Reservoir in Oswestry could be created by Severn Trent
A £3.5m reservoir could be created in Oswestry under plans released by Severn Trent.
The proposals are part of an £11.2m programme to upgrade mains and sewage systems and alleviate flooding in the county.
Severn Trent said a planning application had been submitted to Shropshire Council for a four-million litre reservoir at Mount Road.
If approved, the company said building work could start next year.
It is expected to replace a facility on the same site, as well as a 70-year-old reservoir outside the town.
Severn Trent said the new "relatively small" reservoir, combined with boreholes, would allow it to reduce the amount of chlorine it used and improve the taste of tap water.
The water company has faced local criticism over the tap water since the source was changed from the Berwyn Mountains to its Shelton reservoir in 2003.
John Roberts, who manages a cafe in Oswestry, said: "I notice it at home, more than at work, because we filter water for hot drinks.
"At home it has an awful, strong taste. Unless it's filtered, it's too chemical for my taste.
"At the cafe, local people know what the tap water tastes like and we always sell bottled water as an alternative."