Water into wine
I’m taking a break from blogging about Plato – yes, that Plato – to rise to a challenge set by a blog fan. Responding to ‘2026 and all that’, he remarked: “You almost had me feeling sorry for Hinton [CEO, South East Water]. Given what’s happened since, I bet you can’t carry on being nice to him.” A bet? How much? Game on!
In case your New Year’s resolution was to eschew the headlines in all media, I’ll summarise what’s been happening with South East Water. It’s a mess: no water supply or, at best, low pressure for what must seem like weeks in areas of Kent and Sussex (although things are getting back to normal). Pregnant ladies (because men can’t be pregnant), new-borns, the sick and the elderly, businesses, schools and healthcare services, everyone’s at the end of their tether.
One cause of the supply failures is – putting it simply – low water levels in local reservoirs that result in low pressure at the treatment centres, which conks out the pumps. Reservoir levels are low because southeast England has suffered from lower-than-average rainfall over an extended period of time, coupled with increased demand for water owing to a growing population and a multi-faceted increase in per capita demand, including more people working from home since Covid. The situation is exacerbated by leaks and bursts from freeze-thaw during the recent cold spell and storm Goretti.
Consequent criticism of Hinton & Co is same-old-same-old, most of which I’ve blogged about over the years and factually, logically and reasonably explained, mitigated or dismissed. Can I possibly do the same again? Now? After what’s happening in Kent and Sussex? I don’t know about you, but I find going over the same ground again (and again) rather tedious. I’m sure you’d like to hear a new line of thought as much as I’d like to develop one. So keep reading.
Tens-of-thousands of residents, businesses and services, through no fault of their own (bar some nuanced, philosophical, huge-picture arguments), have been without water, a fundamental necessity of everyday living. For Kent and Sussex, the lack of water is not an isolated or fleeting incident. Therefore, something isn’t working properly and SEW is struggling to cope. Leadership is inadequate because, no matter how hard Hinton and his fellow execs might have tried and what bits they might have done right, they’ve failed overall.
How dare Hinton fail, I hear you cry. He’s paid a huge package. Well yes, a £400,000 basic salary sounds rather nice thank you very much. But the basic for Severn Trent’s CEO was £830,000, while for Thames Water it was £850,000. You can’t castigate Hinton for doing the best he can that’s worth £400K p.a. when what SEW needs is a CEO who can command over £800K. This leads to the question: should he be sacked or resign so that someone more capable can do a better job? That depends. I believe he should be judged to the same standards as Two Tier Keir and his Komplete Kalamity Kabinet, successive CEOs of HS2 Ltd., the West Midlands Police and Crime Commissioner and his pension-protecting antisemitic Chief Constable, the misogynistic Chief Executive of the County Durham and Darlington NHS Foundation Trust, and Wayne Rooney.
Another reason why I’m being somewhat forgiving of Hinton is because he might have achieved better outcomes had others fulfilled their own leadership obligations. You can’t expect a two-pronged attack to succeed with only the one prong taking part, no matter how well that prong is sharpened. Who’s the other prong? The Government and regulators, so three prongs in total then. They should have partnered constructively with SEW to sort things out. Instead, they’ve been grandstanding, a£se-covering, knuckle-chewing and achieving absolutely nothing. In truth, they’ve made it even more difficult for SEW to make improvements – short and long-term – by distracting the company from the task at hand with pre-determined investigations, demands to appear in front of lame-duck committees, and threats of fines and sweeping organisational changes that will further reduce SEW’s ability to cope. If leadership has been lacking at SEW, then our politicians and bureaucrats have taken things to a new low and are as much a part of the problem as any failed widget buried in a rusty old water pump that was commissioned back when Bazalgette was a boy.
Talking about failed widgets, where is the COBRA Committee whose primary purpose is to bring together various government departments and agencies to manage national crises in a unified and coordinated response? While Kent and Sussex on their own fall shy of the definition of ‘national’, the consequences of not sorting out this current mess could be national if SEW fails and has to be renationalised. This could lead to other water companies following suit, which the taxpayer can’t afford, and which would undermine investor-confidence in British industry as a whole. What an opportunity for The Donald to do a deal at rock-bottom prices, eh!
What should Government and regulators be doing? Well, instead of salivating over ‘gotcha’ questions to the Hapless Hinton, they should be engaging with SEW to ascertain and provide what extra resources and know-how the company needs. I’m sure our armed forces could help with both engineering and logistics. And what about input from other water companies who don’t appear to have suffered so badly, despite being similarly if not worse hit by the weather – they must be doing something right. I wonder why they haven’t taken the initiative and volunteered to help SEW. My guess is that to do so would fall foul of some diktat by the regulators who would fine them for doing something that hadn’t been costed, stress-tested and regurgitated in the latest round of ‘negotiations’ (which are actually Mexican standoffs).
As for The Donald again, can you imagine how he would handle the situation? He’d invite Hinton over for a round of golf and sign a deal at the nineteenth hole. He’d 1) send in the Army Corps of Engineers to upgrade the pumps and fix the leaks, 2) deploy the National Guard to sort out logistics and 3) instruct ICE-inspired SWOT teams to neutralise eco-agitators (domestic terrorists he’d call them) that are detrimental to the industry, the economy, the environment and the rule of law. Job done.
Similarly job done, I’ve managed to be nice to Hinton on the grounds that those who should have extended a helping hand actually put the boot in. Perhaps of greater importance is that ‘everyone needs a friend sometimes’ (as Seth MacFarlane wrote).
Now then, back to Plato …
You need to own up. You either work for a water company, or you've got shares in one. Your always defending them, and your are about the only person on the planet who does.
ReplyDeleteThank you for commenting. I have no qualms about confirming that I own shares in several water companies directly, and indirectly via unit trusts and pension funds. Also of relevance, I have friends and family who work in the industry so know where to find the publicly available data that pours scorn on many negative slants out there.
DeleteIt doesn’t matter to me if I hold a minority opinion. As long as I can square it with my underlying values, the facts and logic, I’m cool.
So only now do you tell us that. The correct thing is to declare your interest first, not just when someone asks you.
DeleteIf you expect full disclosure on this blog then it also extends to anyone who comments.
DeleteI am just someone who is sick to death of not having a reliable water supply but paying to much for it. That's all you need to know. I agree with many of your blogs, especially giving environmental protesters ICE treatment. You can be sure they will stop their disruption as soon as one of them gets shot in the face. But I stay anonymous because when I have revealed myself I have been trolled by woke left wing idiots. You are being two-faced about disclosure. I bet you don't own up to the priest to not believing in God the Bible or Christ just before you have communion.
DeleteThat's a pretty good reason not to want to disclose your ID and I shall respect it. TBH this disclosure stuff never occurred to me until you mentioned it so thanks for the opportunity to think about it .... and to decide to stick to my current approach which is to disclose stuff of my own volition, plus respond to questions from readers as they arise. Anyway does it matter what my family/friendship ties to the water industry are as long as I can argue my point? As for owning shares, is the reason for owning the shares relevant or just the fact that I own some (not nearly enough in number to make any difference to any shareholder vote, by the way)? Where is the red line for disclosure. It's my blog that costs my readers nothing and makes me nothing so legally and ethically I'm on solid ground.
DeleteRe the Communion thing, as a matter of course I don't tell a vicar I'm not a believer but once or twice it's cropped up in conversation. Anyway as I see it, it's nothing to do with the vicar - it's between me and my conscience and 'God'.
I think you might like the Plato blog I need to get back to. He struggled with 'what is a good life'. Spoiler alert - he never found out!
But you don't believe in God, you said that, so it's just left down to your own conscience, which therefore says hypocrisy is totally acceptable. And BTW it has everything to do with the vicar and everyone else in the Church because you're lying to them all, mocking their religion by playing with it, and misusing their trust. I say that as a very concerned Christian.You're saying it would be OK to join a Palestine Action demo without telling them you hate them. Don't know how anyone can know whether you believe any of your blogs, or whether they can believe anything you say, or if you just write them to attract attention to yourself
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