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Veolia CEO slams UK water firms for lagging AI adoption

Financial Times Companies •
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Veolia chief executive Estelle Brachlianoff told the Financial Times she is “driven nuts” by England’s privatised water utilities for ignoring advanced leak‑detection tools. She contrasted sleek AI‑driven pipelines in Shanghai’s Pudong district and Jordan’s recycled‑water farms with the UK’s stagnant network, urging a faster technology uptake.

The sector is midway through a £104bn five‑year capital programme aimed at replacing 8,000 km of mains and curbing floods, leaks and sewage spills. Household bills have already surged, with some customers facing up to a 50 percent rise after inflation adjustments, putting price sensitivity front‑and‑center overall.

Brachlianoff argues the prevailing “replace‑50‑miles‑a‑year” model is wasteful, proposing sensor‑filled pipes and AI analytics that pinpoint leaks for targeted repairs. Water UK counters, saying every company is deploying robotics and AI as part of the record‑size investment to eliminate sewage discharges and secure supplies now.

For investors, the clash spotlights a potential gap between capital spending and operational efficiency. If UK firms lag in adopting Veolia’s proven AI solutions, they may face higher maintenance costs and regulatory penalties, eroding profit margins. Meanwhile, Veolia could leverage its global tech expertise to win additional UK contracts, boosting its European foothold.