'Recovering Energy from Water' and 'Space Eye' named winning projects in the fifth Water Breakthrough Challenge
Posted: 20 May 2025
Two innovative projects led by South Staffordshire Water, which operates South Staffs Water and Cambridge Water, have been named winners of the fifth Water Breakthrough Challenge by the Ofwat Innovation Fund.
Recovering Energy from Water
Recovering Energy from Water is a collaboration led by South Staffordshire Water and partners from OnSite, WSP, Carrier, Spring, and two water companies - Affinity Water and South West Water, that has won £1.44 million of funding. Partners are contributing a further 10% to take the total funding to £1.6m. The project is supported by The University of Cambridge.
Carbon reduction is a major challenge for all, with the water sector committed to reaching a 78% reduction by 2035 and Net Zero by 2050.
An important part of carbon reduction planning is to reduce reliance on fossil fuels for energy.
If existing water infrastructure could be used to safely provide heat, community buildings and amenities next to a large water pipe could benefit from renewable energy, significantly reducing the costs and accessibility of greener energy and providing benefits for customers, the environment and our race to net zero.
A diverse range of partners and experts that bring together global knowledge and experience in both water infrastructure and renewable energy will support the design and development of a potential solution.
Space Eye
Space Eye is another collaboration led by South Staffordshire Water, with partners from Quub, University of Wolverhampton, Spring, and six water companies - SES Water, Northumbrian Water, Welsh Water, South East Water, Scottish Water and United Utilities, that has won £1.314 million. Partners will contribute a further 10%, taking total funding to £1.46m.
There are over 350,000km of water pipes in England and Wales serving more than 26 million properties. Some of the water entering the pipe network is lost to leaks in its journey to customer taps. This not only represents a waste of valuable water resources, but also a costly waste of energy.
The project aims to make use of satellite technology and space science to provide updated satellite imagery every few hours, covering the entire UK water pipe network.
This will allow water companies, through innovative machine-learning algorithms combined with data science, to explore a myriad of opportunities, including quickly locating leaks and water wastage.
Through a collaborative partnering approach, the project brings together satellite technology, data science, knowledge sharing and leakage research experts to build, test and launch the new technology.
Elena Karpathakis, Managing Director, South Staffordshire Water, said: "Innovation is at the heart of our culture as a business, helping us to create lasting and positive impact for our customers, the wider communities we serve and the environment.
"I am delighted that both projects we are leading on were successful in receiving funding from Ofwat to progress and, hopefully, in the future, contribute to both accessible green energy and saving more water to protect the environment.
"Both are important commitments and ambitions for us as a business as we move forward."
David Black, CEO of Ofwat, said: "Water underpins our society and economy, and the water sector faces a range of challenges requiring urgent solutions.
"The Ofwat Innovation Fund was established five years ago to incentivise the water sector to collaborate with partners across industry, charities, and academia to accelerate the pace of transformation and create lasting benefits for customers and the environment. The level of ambition of this year’s winners is remarkable.
"We are supporting these projects to prove their impact so that they can be scaled, not only here in England and Wales, but exported around the world as a driver of economic growth."
The Ofwat Innovation Fund is a key pillar in Ofwat’s mission to drive innovation that ensures the water sector is ready for the challenges of the future and results in better outcomes for customers and the environment.
It is delivered by innovation prize experts Challenge Works (part of the Nesta group), in partnership with Arup and Isle Utilities.
Find out more about all 16 of the winners of the fifth Water Breakthrough Challenge