Northern Ireland Water has been told it must cut its spending plans by £136m.
Northern Ireland Water has been told it must cut its spending plans by £135m.
The BBC has learned the industry regulator made an interim recommendation after studying NI Water's business plan for 2010-2013.
Ian Osborne suggested savings of 11% and told the government-owned company more efficiencies are needed.
If water bills were issued to the public, his recommendation would mean lower average household bills.
Just last month the company said it would spend another £1.5bn upgrading water and sewage systems over the next eight years, subject to approval by the regulator.
The company has said it was currently spending up to £150m on infrastructure every year.