Ofwat has now announced that it is expecting to finalise its guidance for including ‘externalities’ (costs and benefits that do not have a market value) in the economic level of leakage (ELL) calculation in October 2008. Also the final report on Leakage Target Setting – A Frontier Approach has been published.

http://www.ofwat.gov.uk/aptrix/ofwat/publish.nsf/Content/ltr_rd1608_leaktgts

http://www.ofwat.gov.uk/aptrix/ofwat/publish.nsf/AttachmentsByTitle/rpt_com_leaktgtapp.pdf/$FILE/rpt_com_leaktgtapp.pdf