Water prepped for six weeks after no-deal Brexit

The water sector has stockpiled water treatment chemicals for a six-week period from 31 October in preparation for a no-deal Brexit, with at least one company readying helicopters for the worst-case scenario.

As the UK readies to leave the EU with or without a deal at the end of next month, the water sector has been hailed as one of the best prepared sectors for the worst case in all scenarios.

The industry’s efforts are being coordinated by Water UK, which said all companies would have a minimum of six weeks’ worth of stocks of chemical supplies.

Water UK said: “We think this is the right balance to allow us to maintain a comfortable buffer of supplies through any temporary delays in our supply chain, and we do not anticipate any impact on our customers.”

Ensuring the passage of chemicals into the UK without being held up at customs or in delays around the ports is crucial to ensuring clean water supply will continue.

Operation Yellowhammer stated water companies are “well prepared for any disruption”.

The document said stockpiling where possible had taken place and the likelihood of a disruption to the supply chain occurring was “considered low”. The potential impact is assessed as “likely to be localised, affecting up to 100,000s of people.”

It said: “(Water companies) have significant stocks of all critical chemicals, extensive monitoring of their chemical supply chains (including transport and deliveries) and mutual agreements in place.”

Sector-wide efforts have been underway for more than two years to ensure availability and free passage of chemicals plus equipment and spare parts that come from Europe.

Water UK said companies were “well-prepared” for a no-deal Brexit as the sector had been planning for the possibility for many months. It added that companies’ existing mutual aid agreements would further minimise risk.

Where possible, companies have switched to UK chemical suppliers and are working closely with Defra and the Chemical Industries Association. Some chemicals – for instance chlorine – are manufactured in sufficient quantities in the UK for ample provisions, while supply chains for other products have been examined.

To ensure supplies can be available where and when they are needed, stocks are being stored close to where they are needed within dedicated, specialised storage facilities on the water company sites or nearby. Water UK said it would be monitoring the situation carefully and was confident of managing any temporary delays using normal transport routes.

Ian McAulay, chief executive at Southern Water described preparing for Brexit as a very comprehensive exercise: “We are at a point where we have done huge amount of mapping for transportation logistics; putting critical spares on sites; and looking at having to helicopter things around sites in case the roads become too congested”, he told Utility Week.

Under a worst-case scenario, he said considerations had been made to reconfigure networks and “share” water to keep people supplied.

Although the company has planned for different scenarios, McAulay said the uncertainty that remained around Brexit meant preparations had been more difficult.

That uncertainty was reflected by Trevor Bishop, head of Water Resources South East (WRSE) who said although the industry has been well prepared for a long time it was still challenging. He said, for example, the duration of any interruptions meant longer term planning could not be done.

Bishop said: “It’s a really useful exercise to go through because Brexit is only one event in the future that could compromise the supply chain. So even if there are no issues from Brexit it’s incredibly useful for the sector to be planned and ready to support through these things.

“Whether it’s strikes, production, or climate change-related, or even other national problems not related to Brexit there are many factors that could hold up supplies.”

Jason Tucker, director of strategic delivery and commercial assurance at Anglian Water, said the company has all critical stock running at “sensible levels” in preparation for interruptions.

“It’s not turning business upside down. The sector understands resilience and is used to dealing with it. What we do is so fundamental, we were prepared for this to happen last March.”

Water UK is monitoring one of the major concerns – that currency fluctuation between the pound, the euro and the dollar may impact operations.

Tucker said there were opportunities for the supply chain beyond Europe, but because Anglian regularly trades with 8,500 companies developing such alternatives would take time.

Tucker said the anxiety levels ahead of 31 October were very low and Brexit was being viewed as both a “risk and opportunity” with companies and suppliers working collaboratively for minimal disruption.