Thames Water strengthens governance as part of major review
Thames Water has completed a number of governance improvements as part of a major review of its corporate structure designed to boost transparency for customers and stakeholders.
Thames has simplified and clarified the role of the board, including both its relationship with shareholders and the business decisions that are reserved to the board.
Thames’ relationship with shareholders will be similar to that at a quoted company, with shareholders providing additional oversight of key strategic frameworks such as the five-year plan and policies on dividends and remuneration.
Thames has also updated the terms of reference of the board committees, re-established the health, safety & environment committee and committed to increased disclosure of its governance arrangements on the company website.
The review was launched earlier this year following the arrival of Ian Marchant as chairman of Thames Water Utilities Limited. Marchant is the independent chairman of TWUL, the operating company, but not of Kemble Water Holdings Limited, the ultimate parent company.
Thames is boosting the transparency of its operations and reporting, including the publication of its monthly leakage performance on its website. It is also closing its Cayman subsidiaries, with a major milestone in the approvals process passed this week.
Thames also recently agreed to a new licence requirement to meet Ofwat’s principles of board leadership, governance and transparency, alongside continuing support for the principles set out in the UK Corporate Governance Code 2016.
Thames has pledged to have a majority of independent non-executive directors on its board when the governance review is completed.
It has also announced the appointment of Alistair Buchanan, the former chief executive of gas and electricity regulator Ofgem, as an independent non-executive director. Mr Buchanan, a former non-executive of Scottish Water, will join in July.
Marchant said: “Our governance review is delivering important changes and is a vital building block in helping us achieve what we exist to do – serve our customers in the best way possible.
"Rebuilding trust is important as Thames enters a new chapter and I am delighted that Alistair Buchanan will be joining us. He has a deep understanding of the utility sector and the need to provide industry-leading customer service.”
- Reservoir project uses floating crane solution Thames Water have used an innovative solution involving a floating crane as part of a project to renovate a reservoir in... Read More >
- Thames Water boosts fatberg fighting team Thames Water has quadrupled its above-ground fatberg fighting team in a bid to slash the number of sewer blockages caused... Read More >
- Affinity Water to be sold for £1.6BN Affinity Water's owners have announced the sale of the water-only company for an expected value of £1.6 billion, following... Read More >
- Scottish Water starts planning for the long term For SR21, Scottish Water is moving away from the traditional approach to business plans and developing a blueprint for the... Read More >
- Football teams and water companies: Closer than you think New season, new league, new challenges... Egremont Group's Owen Quinn and Alex Graham on the parallels between football... Read More >
- Abstract concept: How can water companies reduce abstraction? Despite concerns over supplies, water companies face pressure to reduce abstraction. As part of our Utility of the Future... Read More >
- The end of 'business as usual' in the water sector? James Connolly, head of partnerships at digital asset and works management company eviFile, assesses the message coming... Read More >
- Data Protection and Brexit - Is your organisation prepared? Guidance to help businesses and charities continue to comply with data protection law after the UK leaves the EU Read More >