The role of the firm in the evolution of European Environmental Rules:The case of the water industry

This paper considers the ways in which water supply companies have responded to the 1980 EC Drinking Water Directive in terms of both corporate compliance and lobbying activity. It reports the results of a documentary review and interviews with industry representatives, policy makers, water regulators and environmental groups in the UK and Germany. It identifies the processes of lobbying and negotiation between firms and policy makers during the formulation, implementation and subsequent review of the Directive and examines the implications of the Directive in terms of corporate strategy and the resultant costs of compliance on the supply of water services.

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