It has become increasingly common to note, under the general law that no good deed goes unpunished, that successful implementation of water conservation measures by utilities and their customers generally leads to higher commodity rates for water. This phenomenon occurs because water utilities have significant fixed costs, and as the amount of water decreases, those [...]
Archive for the ‘Economics of water’ Category
Water Conservation and Rate Impacts: The Example of Penngrove Water Company
Posted in Economics of water, Public utilities regulation, Water conservation on March 17, 2010 | 6 Comments »
The California Water Bond, Private Profit and Public Benefit
Posted in Economics of water, Private v. public, Privatization, Public utilities regulation on January 4, 2010 | 1 Comment »
Several commentators have recently criticized the proposed California water bond for allowing private companies to own, operate and profit from water infrastructure paid for with bond proceeds. These criticisms have appeared in the San Francisco Chronicle and California Progress Report, and have been repeated in a number of other publications. The $11.14 billion water bond [...]