Anglian Water is developing proposals for two new reservoirs, one in The Fens in north Cambridgeshire and one in South Lincolnshire, which could cost up to £3.3bn in total.
The water company says the plans have been developing for a decade and it will be ready to show its findings in a detailed site-selection study this autumn, the first phase of a multi-phase consultation on the proposals.
The new reservoirs will provide enough water for at least 750,000 homes and protect the environment by allowing Anglian Water to take less water from rivers and underground aquifers in the region.
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