The Independent Networks Association (INA) has said that although it welcomes the publication of Delivering economic growth and nature recovery: An independent review of Defra’s regulatory landscape, led by Dan Corry, the review’s silence on New Appointments and Variations (NAVs) is a significant omission.
NAVs have become a key part of infrastructure delivery, particularly in the water sector. They provide around one in five new water connections in England and Wales, delivering essential services for new housing developments and regeneration projects.
Yet, according to the INA, the current regulatory framework governing NAVs remains outdated, citing the site-by-site licensing model, unique to the water sector, as an example. The INA said the model imposes excessive administrative burdens and delays – in stark contrast to the more flexible regimes in gas and electricity.
In a statement, the INA said:
“This approach is inefficient and undermines the very competition that Government policy elsewhere seeks to promote.
“This regulatory drag must be addressed as the UK faces significant pressures to deliver new homes, support economic recovery, and meet net zero goals.”
However, the INA does support the report’s endorsement of a more risk-based approach to compliance and monitoring (Recommendation 17 in the Corry Report). The INA believes that many of the current requirements imposed on NAVs, such as obligations under Water Resource Management Plans (WRMPs) and Drinking Water Inspectorate (DWI) targets, place disproportionate burdens on smaller, independent providers.
“The INA stands ready to work with government and regulators to ensure reforms are deliverable and reflect the real-world conditions under which independent networks operate.
“Independent networks are already delivering over 300,000 new utility connections each year across Great Britain, and our members are well placed to support the next phase of infrastructure delivery – if the right regulatory conditions are in place.”