If utilities set water and wastewater rates to provide an incentive to conserve, won low-income households have an unfair burden?
Low-income households, especially those served by high-cost systems, may face affordability problems if prices are raised. To alleviate these hardships, communities may offer pricing structures that mitigate impacts on low-income households. The most common example is “lifeline rates,” whereby low-income households are charged lower rates on that portion of water consumption considered non-discretionary (the minimum sanitary requirement, e.g., 6,000 gallons a month) but then higher charges are levied on water consumption beyond that amount. The most complete work to date offering five different pricing models to help low-income households with their water/sewer bills is the American Water Works Association Research Foundation’s (AwwaRF) report entitled Water Affordability Programs (1998).
Related Questions
- If utilities set water and wastewater rates to provide an incentive to conserve, won low-income households have an unfair burden?
- Are there any utilities within the proposed district territory with public water or wastewater systems?
- What rates does the City of Vancouver charge for water, sewer and/or surface water utilities?
