Quick Guide – Construction Section Agreements
- matthew82126
- Apr 2
- 2 min read
Needing to refresh your knowledge on the legal agreements associated with developers and drainage? You’re in the right place.
There are specific sections within the Water Industry Act 1991 and the Highways Act 1980 that allow waste drainage systems to be ‘adopted’ by a wastewater undertaker. Details of all the UK’s undertakers can be found here.
Section 38 Agreement – S38 (Highways Act 1980)
The S38 agreement applies to the adoption of highways, and the reason you find it here is that it includes some drainage systems too.
Under an S38 agreement, the only drainage that can be adopted under the Highways Act is the drainage responsible for draining the highway. Any other drainage network installed under the road, including rising mains, must be adopted under a Section 104 agreement.

Section 104 Agreement – S104 (Water Industry Act 1991)
This agreement, commonly referred to as an S104, provides a way for drainage that has been constructed or is to be constructed to be managed and maintained at the expense of the local adopting authority.
This agreement is between the developer/owner and the sewerage undertaker and permits the sewerage undertaker to adopt the sewer or drainage network. From time to time, the government may pass regulations requiring sewerage undertakers to carry out mandatory adoption of certain drainage aspects, as seen in September 2011 with the Private Sewers Transfer Regulations.
TIP: For a new development, do not construct the drainage before approval, as this can lead to long delays at the adoption stage, costing you £££ in associated maintenance costs.
Section 106 Agreement – S106 (Water Industry Act 1991)
This agreement, commonly referred to as an S106, permits a developer/owner to make a new connection to an existing adopted sewer.
These agreements must be submitted as an application to the local council or sewerage undertaker, which, when approved, allows the proposed system to connect to the existing system, generally at a monetary cost. These works are carried out by the developer/owner and must comply with Sewers for Adoption regulations to ensure consistency of workmanship across drainage networks.
