Water cost matters

A number of cities have already raised water prices in the first half of this year and some others are preparing to do so by holding public hearings. All have given the same reason: that prices are too low to cover the cost of managing supply and sewage treatment. The National Development and Reform Commission (NDRC) published a document last week to support the price hike, citing the same reason.

With China's per capita water resources only one fourth of the world average and two third of its cities suffering from water shortage, the significance of saving on water can never be overestimated. Actually, water prices have been raised several times in the past for the same reason.

But, to the disappointment of the public, they have never been told of the cost of supply and sewage treatment. Almost all cities are complaining that their water works are running in deficit for years, which has been cited as a justification for the price hike.