While there is not a violation of the safety work space required by 110.26(A), there is a violation of the "dedicated equipment space" required by 110.25(F)(1)(a).
Don

I am wondering about what looks like the use of parallel conductors smaller than 1/0?

Bob

Or is the violation having the equipment over the water pipe?

I think a bigger problem might be the pipe above the panel from the looks of the rust on the outside of the panel and the trough under it. I popped a cover on one like this once and found two of the three fuses in the main rusted into the holders.

Lots of problems here. Are those the right kind of straps, look like one hole EMT straps to me.
334.15 B (NM cable?) "shall be protected" is not met.