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Southern Water Awards £338 Million 20 Year Contract For Smart Metering Programme

water
Aug 12, 2025
Article Source LogoWater Briefing
Water Briefing

With an estimated total value of £338.07 million (ex VAT), the contract has been awarded to Salisbury-headquartered firm Horizon Water Infrastructure Ltd. To deliver the ambitious programme, Horizon has formed the Horizon Water Infrastructure Southern Water Alliance (HWI SWS Alliance) – a collaborative partnership, led by Horizon, with SUEZ and M Group Water.

The Alliance brings together first-class delivery, technology and innovation experts with a proven track record in large-scale infrastructure and water metering programmes.

Daniel Reilly, Managing Director of Horizon Water Infrastructure, commented:

“We’re extremely proud to partner with Southern Water on this groundbreaking meter upgrade programme setting a new industry benchmark for efficiency, excellence, and impact. As the first provider of an alternative meter service appointed as a prime contractor, HWI, in collaboration with our Alliance partners, will deliver a future-ready model that redefines what’s possible in the water sector.”

The Alliance offers fully outsourced Metering-as-a-Service (MaaS) solutions for both new and existing smart water programmes, which include everything from solution design, initiation, funding, and deployment to meter provisioning and network management over a 20-year programme lifespan. It also manages repair, maintenance, and warranty concerns, ensuring a seamless operational deployment.

The Metering-as-a-Service (MaaS) model will see the Alliance own the meter assets and take on the asset risks, with Southern Water paying service fees over the term. for both new and existing smart water programmes. The company says on its website:

“We guarantee performance outcomes over a 20-year programme and offer the lowest total cost for rollout.”

The HWI SWS Alliance will operate across Southern Water's supply area, for household and non-household premises.Southern Water already has a high percentage of metered customers (88%) through its pioneering Universal Metering Programme - by 2030 the water company’s household meter estate of ~934,000 household meters, and 52,000 non-household meters,will be upgraded to Smart AMI enabled meters.In total, the number of Smart meter assets in the scope of the full service is 1.02 million.

Scope of services to be provided by the Alliance include:

 

Horizon Water Infrastructure Ltd was one of four organisation in the bidding for the work.

In February 2025 Horizon Water Infrastructure Ltd. announced that it had become part of KKR and that together with Horizon Energy Infrastructure (HEI) and Smart Meter Assets (SMA), it had completed a combination with Smart Metering Systems (SMS). The new Group, backed by global investment firm KKR, is now one of the of the leading providers of UK smart metering assets.

KKR, a US private equity firm, was previously a potential investor in Thames Water – named as Thames Water’s preferred partner in March 2025, KKR ultimately pulled out of a rescue deal.

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