How we work with Ofwat

The Environment Agency and the Water Services Regulation Authority (Ofwat) work closely together, and with others, to regulate the water industry. Together we have produced a memorandum of understanding which helps to describe this working relationship.

We have responsibilities for protecting and enhancing the environment as a whole (air, land and water), and contributing to the Government's aim of achieving sustainable development in England and Wales. Ofwat is the independent economic regulator of the water and sewerage industry in England and Wales.

This memorandum of understanding sets out the principles and values of the relationship between us and Ofwat. We have produced this as a requirement of the Water Act 2003. It relates to our functions concerning water resources and water pollution when they refer to water and sewerage organisations and licensed water suppliers.

The Water Act places a duty on us and Ofwat to work with each other with a view to promoting:

• co-operation and the exchange of information
• consistent treatment of matters which affect us both.

This memorandum of understanding will be reviewed at three-yearly intervals and updated as necessary.