MCL Consultancy reviewed the contractual arrangements on South West Water's distribution network in the latter part of 2007, and recommended significant changes to the contract structure to transfer more performance risk to their contract partners. The NEC3 Term Service Contract was adopted from April 2008, with key performance indicators covering regulatory measures of DG3 (properties without water), DG7 (written complaints) together with 2 day repair targets for high priority bursts and leaks being the focus of the contract. The contracts operate on a target cost basis with a 50:50 financial risk share, with any savings made only being shared if the KPI targets are met. The contract scope covers bursts, leaks, new connections, boundary boxes, renewals, S81 highway covers, service reservoir & trunk main cleaning. Significant savings were realised through re-structuring South West Water's Inspectorate, valve isolation being carried out by the partners, co-location of operation which significantly reduced repeat work and duplication of effort.

MCL Consultancy provided the contract management framework, facilitated the establishment of service level agreement measures, regular planning processes at depot level, and workshops to build a new working relationship from management level down to the gangs and inspectors.

These contracts align with the contracts introduced by MCL Consultancy to South West Water on their sewerage networks and pumping stations in 2005 operated by May Gurney and Veolia respectively, which have led to significant improvements in both DG5 (internal flooding of properties) and pollution incidents as well as bringing financial efficiencies to their operation.