Welsh Water: 拢77m profit to reinvest in water network

Image source, Hefin Owen

Image caption, Snowdonia's Llyn Padarn is Wales' first freshwater bathing lake after water treatment investment

Welsh Water says an increased 拢77m profit for 2014-15 will help it deliver 拢1.7bn of investment in its network over the next five years.

The latest figures, released on Thursday, are up from an underlying profit of 拢50m on the previous year.

It comes just weeks after plans to cut 360 posts over five years were announced as part of savings.

The firm said it is investing almost 拢1m a day in services - without hikes in customer bills.

Welsh Water's chief executive Chris Jones told 91热爆 Wales that the results reflected a "very good performance" for the company.

He said because the firm had a not-for-profit business model and no shareholders, the entire surplus would be reinvested.

"We've got a programme now of investment over the next five years that will be getting on for nearly 拢2bn - that's going to enable us to do an awful lot," he added.

The company's priorities include improving customer services by investing in the water pipe network, looking at how to combat climate change and how drainage systems can cope in the future.

Image source, Thinkstock

It has already invested 拢15m in the RainScape drainage schemes in parts of Carmarthenshire and Swansea and is setting aside 拢60m for similar schemes.

Mr Jones said last month's jobs announcement reflected the need to keep up investment in water services while keeping customer bills down.

He told 91热爆 Wales the redundancies would be part of a voluntary programme as part of efficiency targets set by the industry watchdog, Ofwat.