Susan Davy announces her retirement as CEO of Pennon after 18 years
- Susan Davy announced her retirement from Pennon after 18 years and will remain until a successor is appointed.
- Her departure follows a significant settlement with regulators regarding wastewater treatment failures.
- Davy stated that this transition represents a natural point for her retirement after achieving a £3.2 billion investment plan with Ofwat.
In the United Kingdom, Susan Davy, the chief executive and director of Pennon, has revealed her plans to retire following a long tenure of 18 years. Her announcement comes shortly after the company agreed to a significant £24 million settlement with regulators due to wastewater treatment failures, as well as a year after a major water contamination incident in Brixham, south Devon. This decision appears to mark a crucial transition point for the firm, particularly after receiving regulatory approval for a £3.2 billion investment plan from Ofwat in December, which Ms. Davy described as a 'natural juncture' for her departure. The investigation by Ofwat had uncovered numerous failures in the management of South West Water's wastewater treatment and sewer network. These issues have been highlighted as critical concerns for the water quality and environmental safety in the region. The penalties imposed on the firm showcase ongoing challenges in the water management sector, especially around accountability and compliance with regulations. During her leadership, Susan Davy emphasized the importance of responsibility among the Pennon team, voicing pride in leading an organization committed to maintaining essential public services. Despite the regulatory setbacks, Davy's tenure saw the company navigate various external pressures with a focus on resilience and strategy. Her decision to step down not only signals a personal transition but also indicates a pivotal moment for the company as it prepares for future regulatory periods. Moving forward, the board plans to conduct a formal search for Davy's successor while ensuring a smooth transition of leadership. David Sproul, chairman of Pennon, expressed gratitude for Davy’s unwavering commitment and leadership, highlighting her effective navigation through challenging circumstances. The future of Pennon now hinges on the new leadership's ability to address previous shortcomings as well as to continue the work of sustaining water quality and managing the operational demands of the sector.