ESG Enforcement Tracker

On 16 October 2026, Ofwat announced that it had found Hafren Dyfrdwy in breach of its legal obligations relating to the operation of its wastewater treatment works and sewerage network. Ofwat has proposed accepting a £280,000 enforcement package from the company, subject to consultation.

Ofwat’s investigation found that Hafren Dyfrdwy had failed in its duties to effectively provide drainage and deal with the contents of its sewers. The regulator also found that the company had historically breached the requirements of its licence by failing to have adequate processes and systems in place to meet these obligations. According to Ofwat, these breaches resulted in excessive spills from storm overflows.

Hafren Dyfrdwy has acknowledged the breaches and agreed to take steps to address the issues identified. Although Ofwat considers that the company now has appropriate processes in place, it is required to rectify the outstanding issues and ensure future compliance with its obligations.

As part of the proposed £280,000 enforcement package, Hafren Dyfrdwy will install two storm water balancing tanks at Llansantffraid Sewage Pumping Station to reduce spills. The company will also work with Llanfyllin Dolydd Building Preservation Trust to support the creation of a wetland habitat at Llanfyllin Workhouse. The measures are expected to be completed by 2030 and will be funded by the company and its shareholders, rather than through customers’ bills.