Committee publication · Correspondence · 1 May 2026

Correspondence to Andrew Fay, Chair of the Utilities of Australia Pty Ltd regarding the EFRA Committee Report and South East Water leadership accountability

From: Environment, Food and Rural Affairs Committee

Inquiry: Reforming the water sector

Summary

The EFRA Committee chair writes to Andrew Fay, Chair of Utilities of Australia Pty Ltd, following the committee's critical report on South East Water's failures. The letter demands Fay's response to five questions about required leadership changes, assessment of current leadership's tenability, capability to restore confidence, governance action, and shareholder steps to address identified failures by 1 June 2026.

Key findings

  • The Committee's report is highly critical of South East Water's performance, governance and leadership, raising serious concerns about the company's ability to provide reliable, resilient and accountable service
  • The report calls for urgent leadership change at South East Water
  • Problems at South East Water are characterised as symptoms of deeper weaknesses in leadership, planning and accountability, not merely operational inconvenience
  • The Committee seeks evidence that the company's owners recognise the seriousness of the situation and are prepared to act

Tone

Procedural

Topics

water-utilitiescorporate-governanceregulatory-accountabilitypublic-service-delivery

Key actors

Alistair Carmichael MP, Andrew Fay, Utilities of Australia Pty Ltd, South East Water, Environment, Food and Rural Affairs Committee

Notable line

… the problems at South East Water should not be treated as matters of operational inconvenience, but as symptoms of deeper weaknesses in leadership, planning and accountability.

Key Quotes

The Committee's report is highly critical of South East Water's performance, governance and leadership. It raises serious concerns about the company's ability to provide a reliable, resilient and accountable service to its customers, and calls for urgent leadership change.
Alistair Carmichael MP · Opening statement on the Committee's findings and position
Customers, regulators and Parliament need to see clear evidence that the company's owners recognise the seriousness of the situation and are prepared to act.
Alistair Carmichael MP · Emphasis on shareholder responsibility
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Source · parliament.uk record ↗