International Water prices continue to increase
Posted: Thursday 23rd August 2007
More increases projected in coming year.
Water prices across the globe increased over the last twelve months, says NUS Consulting Group in its 2006-07 International Water Report and Cost Survey, and even higher prices can be expected in most markets overt he coming year.
This year’s Benchmark report from NUS Consulting Group, the world’s leading independent energy and telecommunications cost control and consulting organisation, reveals that 12 of the 14 major countries surveyed experienced increases in water costs over the last year. The survey looked at the prices paid by commercial water users in each country.
Denmark remains the most expensive with the US being the least expensive. The single largest increase year-on-year, 17.8%, was experienced in Australia and other countries with significant increases included Belgium, Canada, Denmark, South Africa, United Kingdom and the United States.
Richard Soultanian, co-president of NUS Consulting Group, comments,
“Water cost increases have been pretty universal but the reasons for these vary considerably. Some, like Australia, are largely driven by environmental issues like drought, while others such as Canada come from a drive to increase efficiency and promote conservation.
“Given these developments around the world, medium to large business consumers of water can no longer rely on cheap and abundant supplies. With fleeting opportunities for savings and the reality of even higher prices, commercial consumers around the world must take an active role when it comes to managing their water purchases. This means looking for economies of scale and better utilisation of the water they purchase.”
Internationally the key findings are:
- Denmark continues to have the most expensive water in the world, nearly 60 US cents a cubic metre more than the second ranked country, Germany.
- 12 of 14 countries experienced price increases during the last twelve months
- Australia experienced the single largest increase in prices, 17.8%, mainly attributable to its long lasting drought and the prolonged, draconian water restrictions this has necessitated
- South Africa continues to struggle with infrastructure problems as the government tries to find new ways of delivering quality drinking water to all its population
- Canada for the third year in succession experienced price increases well ahead of inflation, and further increases are predicted as the country invests in volume based pricing and promotion of conservation efforts.
- European price rises were mild in comparison to previous years but actual prices in Europe remain some of the highest in the world. There is a general perception that higher prices will make the consuming public more sensitive to water issues thus promoting greater conservation measures.
- The US experienced one of the largest increases in recent memory at 6.1%.
