NI Water has set out a wide-ranging programme of works across the Derry City and Strabane District Council area while warning that mounting wastewater capacity constraints and funding pressures are hindering progress.

Briefing the council's Governance and Strategic Planning Committee on 7 October 2026, Dr Stephen Blockwell, NI Water's Head of Investment Management, underlined that modern, resilient water and wastewater systems are essential to economic growth, environmental protection and the delivery of new housing across the region.

NI Water supplies approximately 605 million litres of drinking water each day to more than 920,000 homes and businesses in Northern Ireland and treats around 360 million litres of wastewater daily. Much of the network, however, is ageing and is already operating at or beyond its intended capacity.

Speaking at the meeting, Stephen Blockwell said: "NI Water remains committed to delivering investment across the Derry City and Strabane area. However, wastewater capacity constraints have become one of the most significant barriers to economic growth, housing development and environmental improvement across Northern Ireland.

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"Without sustained investment in wastewater infrastructure, the challenges facing communities, developers and the environment will continue to increase."

The company noted that the original PC21 investment programme envisaged over £2 billion of spending on water and wastewater services across Northern Ireland. Since 2024, however, budgetary pressures have led to significantly lower annual capital allocations than planned, constraining delivery of wastewater treatment upgrades and network improvements.

In the Derry City and Strabane District Council area, NI Water highlighted several major schemes that are progressing. These include completion of the £9.5 million Strathfoyle Sewerage Siphons Replacement Project, with more than £6 million being invested this year; the £3.2 million Corrody to Creggan Transmission Main Replacement Project to safeguard water supplies for around 35,000 properties; and nearly £20 million of planned investment in the Lenamore and Skeoge wastewater pumping station projects and associated sewer infrastructure to help unlock future housing and economic development.

Councillors were also told that wastewater constraints continue to affect development opportunities across Northern Ireland. NI Water said legacy underinvestment has created capacity pressures across the sewerage network, contributing to restrictions on some new housing and business connections.

Looking ahead, NI Water is preparing its PC28 Business Plan for 2028–2033 and expects to submit proposals totalling approximately £3 billion. The plan will focus on maintaining essential services, protecting public health, supporting economic growth and tackling long-standing wastewater infrastructure challenges.

Steve Blockwell added: "Resolving wastewater capacity constraints and improving environmental performance will require sustained investment over multiple years. This is not a challenge NI Water can address alone. It requires a shared response involving government, regulators, developers and wider stakeholders."

"Our PC28 plan sets out a practical and prioritised programme of investment that will help support homes, businesses, communities and the environment. The key challenge now is securing the funding necessary to deliver it."