27 Sep '13, 9am

Water: Charging full cost can encourage more efficient use

Households use around a third less water when they are charged for the actual amount they use. However, flat-rate charging structures are still common in many countries, even though such tariffs are more expensive for most water users and do not incentivise efficient water use. Some water uses, such as drinking water, are not significantly influenced by changes in price. However, studies show that other uses are much more responsive, including water for gardening or swimming pools. The report lists some examples of water use responding to pricing. Urban water prices in Denmark increased by 54 % between 1993 and 2004 along with infrastructure investments. Over a decade water use per person per day fell by almost 20 % to 125 liters, one of the lowest levels of any OECD country. Water prices in the Czech Republic increased in real terms since 1990, resulting in a 40 % decreas...

Full article: http://www.eea.europa.eu/highlights/water-charging-full-c...

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