Utility Week

4 | 28TH JUNE - 4TH JULY 2019 | UTILITY WEEK Seven days... Swansea's £1.3bn tidal scheme races to beat 2020 deadline A £1.3 billion tidal power project in Wales that was last year refused subsidies by the UK government is now racing to firm up private funding so as to begin construc- tion before its planning permission expires in 2020. The project's developer said it was still "do-able" to build a lagoon in Swansea Bay that would generate electricity from the natural rise and fall of the tide, funded by a combi- nation of bank loans, equity from the private sector and commitments from the Welsh government. Tidal Lagoon Power, the com- pany behind the scheme, said it was in talks with potential backers including a Middle East sovereign wealth fund, a utility company and London-based pension funds to meet the £1.3 billion construction cost of the project, and hopes to make a final investment decision by October. Financial Times, 24 June US gasoline prices rise after blasts at Philadelphia refinery US gasoline prices jumped aŒer a large fire and explosions were reported at the Philadelphia Energy Solutions oil refinery, the largest on the Atlantic coast. Wholesale gasoline futures for delivery into New York harbour next month were up 3.9 per cent last week at $1.86 a gallon, outstripping gains in crude oil, which was up 0.9 per cent. The refinery dates to Pennsyl- vania's 19th-century oil boom and lies less than a mile from residential areas of South Philadelphia. City emergency responders reported a vat of butane had exploded on-site shortly aŒer 4am on Friday, but reported no injuries. The company did not respond to requests for comment. Financial Times, 21 June National media Ofwat hits Southern Water with £126m of penalties O fwat has ordered South- ern Water to pay £126 mil- lion in fines and customer rebates for serious failures in the operation of its sewage treat- ment sites and for "deliberately misreporting" its performance. A "large-scale investigation" had found Southern failed to operate some wastewater treat- ments works properly, including by not making necessary invest- ments to prevent equipment failures and sewage spills. Southern said it was deeply sorry for the failures outlined by the regulator and was fully committed to continuing to improve its business to deliver the standards its customers deserve. Proportionate to the size of the business, the package of penalties is the biggest Ofwat has imposed. The amount would have been larger had Southern not co-operated fully with the investigation, addressed its fail- ings and agreed to this penalty package, Ofwat said. The regulator also found that Southern had manipulated its wastewater sampling processes, which resulted in it misreporting data about the performance of sewage works to avoid penalties under Ofwat's incentive regime. The penalties are now subject to a consultation, which will close on 19 July 2019. The total value of the package is equiva- lent to 6.7 per cent of Southern's wholesale wastewater turnover. The previous highest imposed by Ofwat was 3.5 per cent. Southern wastewater custom- ers should expect a rebate on their bills of £61, with £17 in 2020/21 and £11 in each of the following four years. Ofwat chief executive Rachel Fletcher said: "It was not just the poor operational performance, but the co-ordinated efforts to hide and deceive customers of the fact that are so troubling." Ian McAulay, who has been Southern Water's chief executive since 2017, acknowledged the failures but said the company is "making good progress" in transforming the business. KP "An inclusive and diverse workforce offers better debate, decision making and outcomes" Jim Smith, managing director of SSE Renewables, as SSE pledged its commitment to the Equal by 30 campaign aiming to achieve equal pay, leadership and opportunities for women in the clean energy sector by 2030. STORY BY NUMBERS Latest switching figures Figures published this week by Energy UK have revealed details of energy switching for last month. 487,231 customers switched their energy supplier in May. 1.4% fewer switches were made than in May last year. 2.6m 2,606,747 customers have now switched since the beginning of this year. 41% of May's switches were from larger to small and mid- tier suppliers. 12% of May's switches were from small and mid-tier suppliers to larger ones.

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