Contents

GLOSSARY

The following are descriptions of some of the terms used in this Business Review:

AD Anaerobic digestion
BMS Viridor's integrated business management system
CAGR Compound Annual Growth Rate, being the rate of growth over a period, expressed as a single annual average figure
Category 1 incident A major water pollution incident as assessed by the Environment Agency
Category 2 and 3 incidents Significant and less significant water pollution incidents as assessed by the Environment Agency
CHP Combined Heat and Power
Determination The price limits and expenditure plans determined by Ofwat for South West Water for a five-year period
DWI Drinking Water Inspectorate
EA Environment Agency
EfW Energy from waste
Financial year Financial year of the Group ending 31 March
GWh Gigawatt hours
HWRS Household waste recycling sites
IFRS International Financial Reporting Standards
IDoK Interim Determination of K
ISO 9001 International quality management accreditation standard
ISO 14001 International environmental management accreditation standard
June Return The annual return to Ofwat made by South West Water on its performance during the previous financial year
KPIs Key Performance Indicators
LATS Landfill Allowance Trading Scheme
Ml Megalitres
MW Megawatts
MZC Mean Zonal Compliance or 'Overall Water Quality' as assessed by the Drinking Water Inspectorate
NFFO Non Fossil Fuel Obligation
Ofwat or water regulator Water Services Regulation Authority
OHSAS 18001 International occupational health and safety management system
Percentage population equivalent Waste water treatment works loadings from domestic, industrial and diffuse sources, averaged and stated as a population equivalent load, expressed as a percentage
Periodic Review The process of determining the water industry's price limits and expenditure plans for five-year regulatory periods
PFI Private Finance Initiative
PPC Pollution Prevention and Control
PPP Public Private Partnership
RCV Regulatory Capital Value
RO Renewables Obligation
RIDDOR Reporting of Injuries, Diseases and Dangerous Occurrences Regulations (1995)
ROC Renewables Obligation Certificate
RPI The UK Government's Retail Prices Index
SEPA Scottish Environment Protection Agency
UK GAAP United Kingdom Generally Accepted Accounting Principles
Viridor Viridor Limited (a subsidiary of Pennon Group Plc) or a Viridor operating subsidiary, depending on the nature of the activity described
WEEE Waste electrical and electronic equipment