Tapping into water technology
Posted: Wednesday 4th July 2007
Investment in new technology is desperately needed if the water industry is to tackle the challenges ahead.
Tapping into water technology
Investment in new technology is desperately needed if the water industry is to tackle the challenges ahead.
An initiative designed to deliver multi-million pound funding and turn the industry’s best ideas into effective and commercial solutions holds the key according to one of the UK’s leading professional support service providers to the utilities.
Mouchel Parkman has been pioneering the cause for 18 months and launched an industry-wide consortium known as TAG – Technology Approval Group – to bridge the gap between the water sector and investors.
TAG comprises technical and engineering experts from across the sector. Their role is to review the latest products and technology and recommend the best and most relevant innovation to prospective investors. Among TAG consortium members are leading water companies including Anglian; Northumbrian; Severn Trent; South East Water; Southern; Thames; Wessex; and Yorkshire Water.
“The UK is recognised as a world leader in water innovation. Yet, traditionally, external investment in water technologies has been deficient due largely to a lack of knowledge in the sector from potential investors,” explains Dr Piers Clark, managing director of Mouchel Parkman Utilities and a driving force behind the initiative.
“There’s never been a more critical time to attract investment given the environmental, infrastructural and management issues confronting the industry with global requirements of more than £50bn over the next five years.
“The industry needs this forum and funding opportunity to ensure that innovation currently being lost to our marketplace is allowed to see the light of day and deliver the sustainable solutions that we need to be implementing now for the future,” he says.
Funds available for investment through TAG’s venture capital community are reported to be in excess of £500m for the ‘cleantech’ sector (water, waste, energy and environment).
Since inception, TAG has reviewed more than 200 new technologies from around the world. Thirty companies have been selected for a formal presentation to the consortium with 80% of these receiving an industry endorsement.
These companies have raised in excess of £10m from venture capital for their technologies which improve efficiencies and tackle operational challenges without requiring asset operators to divert resources into non-core, product development, activities.
One new technology to emerge recovers large volumes of wasted energy from water distribution networks and could soon be operational in the UK. Untapped renewable energy is generated through the use of micro-turbines operating in existing water and wastewater distribution systems where there is a measurable difference in pressure and available flow.
The technology, which is supported by UK Trade and Investment, has prompted the launch of Rentricity Limited, a company intent on delivering the clean energy potential to the UK water industry. One site generating just 30kW of power has the capacity to supply electricity to 70 homes.
Another development attracting interest in the UK from New Zealand company Derceto optimises water distribution energy requirements. Designed for use across large networks, it has the potential to reduce a water company’s energy bill by as much as 15%.
