Water Industry - Scottish Government Investment Group - Committed List performance progress report: quarter two 2023-2024

9. Conclusions

The IG is invited to note that:

• At the end of Q2 2023/24 investment levels are on track to deliver in line with our Delivery Plan forecast of between £885m to £995m. At the end of Q2 we had invested £395m on Tier 2 projects and sub-programmes. (please note we have added this to the main body of the report as well).
• The overall IPOD indicator is within the target range of 690 to 810 points at 721 points and our forecast shows that the IPOD indicator will remain within target range for the rest of the year.
• There are two areas where the IPOD is outside of the range - these are G100 (Acceptance) and G110 (Financial Completion).
• On the “Acceptance” milestone we are 3 points outside of the range. This has been primarily driven by the wastewater portfolio where a number of projects have been impacted by the realisation of construction risks, third party issues and additional scope requirements.
• On the Financial Completion milestone we are 13 points below the target range. Again this has been primarily driven by the wastewater portfolio where a number of projects have impacted by the realisation of construction risks, third party issues and additional scope requirements.
• An area of concern is the SR15 completion programme where 108 projects (62 “delayed projects” and 46 “Planned projects”) have been delivered against a Q2 forecast of 138 projects (84 “delayed projects” and 54 “Planned projects”). This has been due to a combination of changes in scope and third party challenges.