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ANR Horizon
Realty & Industrial Land

Power and water availability at industrial sites

How to check whether an industrial site can get the power and water it needs — substation capacity, connection timelines, water sources and permits.

By ANR Horizon Editorial Team · · 4 min read

Power transformer and switchgear at an electrical substation

Every industrial facility depends on power and water. A factory that can't get the electrical connection it needs, or a facility that runs short of water every summer, faces delays, extra costs and operational risk. Yet utility availability is often checked only after land is bought. It should be one of the first checks in site selection.

Power

What to check

Required load

Estimate the facility's electrical demand — current and future — in kVA or MVA. This determines the connection voltage and type.

Connection voltage

Larger loads typically connect at higher voltages (high-tension), which may need a dedicated feeder or line from a substation. Smaller loads connect at low voltage.

Substation capacity

A substation nearby is a good sign, but it may not have spare capacity. Capacity depends on transformer loading, feeder availability and planned upgrades.

Connection works

High-tension connections may need:

  • A new line or cable from the substation
  • A bay at the substation
  • An on-site substation or transformer
  • Right of way for the line. See wind project right of way for similar issues.

These take time and may be partly at the consumer's cost.

Reliability

Ask neighbouring industries about outages, voltage fluctuations and power quality. See power quality and solar at industrial sites.

Timeline

How long will the connection take? Align it with your construction schedule.

How to check

  1. Estimate load
  2. Identify nearby substations and feeders
  3. Make preliminary enquiries with the distribution company
  4. Apply for a formal feasibility assessment where possible
  5. Ask neighbours about reliability
  6. Factor connection cost and time into site comparison

Renewable options

On-site solar and off-site renewable supply can reduce grid dependence and cost, but don't replace the need for a grid connection. See open access vs group captive and battery storage for industrial sites.

Water

What to check

Required quantity

Estimate daily water needs — process, cooling, staff, fire systems, landscaping — now and in future.

Quality

Some processes need specific water quality, which may require treatment.

Sources

  • Municipal or estate supply — availability and reliability
  • Groundwater — depth, yield, quality and permissions
  • Surface water — rare for individual facilities; needs permissions
  • Recycled water — treated wastewater, where available
  • Rainwater harvesting — often required by building rules, and useful as a supplement

Seasonal reliability

Many areas face water stress in dry months. Ask neighbours whether they rely on water tankers in summer.

Permissions

Groundwater extraction may need permission depending on location and quantity, and some areas restrict extraction. Check current rules.

Wastewater

Industrial wastewater must be treated and disposed of according to pollution control requirements. Industrial estates may provide common effluent treatment; private sites may need their own. See environmental checks on industrial land.

How to check

  1. Estimate water demand and quality needs
  2. Check estate or municipal supply availability
  3. Commission a groundwater assessment if relying on wells
  4. Check permission requirements
  5. Talk to neighbours about seasonal supply
  6. Plan rainwater harvesting and recycling

Estates vs private land

Industrial estates often provide power and water infrastructure, though capacity still needs confirming. Private land may need the facility to arrange everything. See industrial estates vs private land.

Other utilities

  • Telecom and internet — fibre availability for operations
  • Gas — piped natural gas availability, for some industries
  • Sewerage and storm drainage

Utilities and land value

Sites with confirmed power capacity and reliable water command a premium. That premium reflects real savings in time and cost. See what drives land value for projects.

Common mistakes

  • Assuming a nearby substation means available capacity
  • Not budgeting for connection works and right of way
  • Relying on groundwater without an assessment or permission
  • Ignoring seasonal water shortages
  • Not planning wastewater treatment

Backup arrangements

Even with a good grid connection, most facilities need some backup: diesel generators for outages, uninterruptible power for controls and IT, and water storage for days when supply fails. Size backup for critical loads rather than the whole facility, and plan space, fuel storage and permissions for generators. Battery storage combined with solar can reduce diesel use for shorter outages.

Planning for growth

Size utility requests for the facility you expect to run in five or ten years, not just the first phase. Upgrading a connection later can mean new lines, new bays and another round of approvals. Where full capacity isn't available now, ask the distribution company about planned upgrades in the area and how future applications would be treated. For water, design storage, recycling and rainwater harvesting so that they can be expanded as demand grows.

How we help

Through industrial land services for industrial consumers, we help screen sites for utility availability, coordinate enquiries with utilities and include utility capacity in site comparisons. We also help plan on-site solar alongside grid supply.

Frequently asked questions

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