A new charging scheme for licence holders who take water from rivers or underground sources will help reduce unsustainable levels of abstraction, prevent the loss of certain river and wetland habitats and protect rare and endangered species from extinction, such as the native white-clawed crayfish, according to the Environment Agency.
Water abstraction over 20 cubic metres a day is regulated by the Environment Agency and requires an abstraction licence and an annual charge. Licence charges are calculated according to the type and volume of the abstraction and the time of year when the abstraction takes place.
The Environment Agency is reviewing the water abstraction charges scheme and a consultation begins today (Friday 14 September 2007).
Chief Executive Barbara Young said water abstraction could damage the environment if too much was taken from a particular source.
“This has the effect of drying out the local environment, so that it can no longer sustain the plants, insects and bugs that are the foundations of ecosystems – meaning that fish, birds and other wildlife are unable to survive. In extreme cases, wetlands and streams may dry up and river levels drop, which kill off life in the river.
“It’s our job to protect the environment and make sure that protected species and habitats are not damaged by the licences and permits we issue to our customers.
“But we’re finding that licences issued 20 or 40 years ago are now causing damage because pressures on the environment have changed over time. When many of these licences were granted there was no time limit and less information available about the environmental impacts of abstraction, future availability of water and climate change. We need to take action to stop these historical licences from damaging the environment now.â€
Barbara Young said it was becoming apparent that a small number of licences may now need to be changed in order to protect the environment, and the Environment Agency was proposing a change to licence charges to fund compensation payments to abstractors who may be affected.
“Although this will be the case for only a small number of licences, we are required to make compensation available to those who are affected.â€
The Environment Agency has been working to find a solution that will be as fair as possible to all licence payers. This has involved earlier consultations and discussions with government.
This consultation covers new ways to recover compensation. It sets out the charge increases that would be needed if the same charge were applied nationally to all licence payers, compared to the charge increases that would be necessary if it was calculated on a regional basis. The effect on abstractors’ bills differs across the country, due to the differing range of costs to be recovered within each region.
“Abstraction charge increases have remained around the level of inflation for years. But water is becoming increasingly scarce as a result of increasing demand – and is likely to become even more so with climate change. We need to value it accordingly,†Barbara Young said.
The consultation is available at www.environment-agency.gov.uk/yourenv/consultations
A final decision is expected to be made in March 2008.
