Clean water price in Da Nang after adjustment is still lower than the national average

On December 28, the People's Committee of Da Nang City informed about the plan to adjust the retail price of clean water in the area.

In this pricing plan, the city will still support ethnic minorities, remote communes, and rural areas.

Da Nang invests more than 1,170 billion VND in Hoa Lien Water Plant to improve clean water quality in the city.

Accordingly, water fees are exempted for ethnic minority households in Hoa Phu and Hoa Bac communes using water from ^15m3 /meter/month or less. For households using more than ^15m3 /meter/month, the old price of 2,000 VND/ ^m3 remains.

Rural households (except Hoa Phu and Hoa Bac communes); urban households are calculated according to the ladder price increasing gradually according to usage volume and have a price increase of about 13%.

For administrative agencies; public service units; schools, hospitals, medical examination and treatment facilities; serving public purposes; organizations and individuals producing materials, organizations and individuals doing business and providing services, the water price will increase from 13.48% to 13.97%.

The current clean water consumption price in Da Nang has been implemented since 2014 and has remained stable for over 10 years. Currently, many factors in the cost of clean water prices have increased, such as: basic salary increased 6 times; regional minimum wage increased from 2.4 million VND to 4.16 million VND; electricity price increased by more than 40% compared to 2014; input prices of water treatment chemicals, materials, equipment for maintenance of water supply systems, etc. have increased over 10 years compared to 2014.

In addition, some costs are not included in the water price such as: forest environmental service fees, water exploitation rights fees, water infrastructure asset rental fees. Recently, the Water Supply Joint Stock Company has invested in increasing the city's water supply capacity from borrowed capital, so fixed asset depreciation costs and interest expenses have increased.

In fact, over the past 10 years, with the fluctuations in water price costs, the City Water Supply Joint Stock Company has repeatedly requested the City People's Committee to adjust water prices (in 2017, 2019, 2022, 2023).

However, to stabilize people's lives, especially in the period from 2019 to 2023, when the economic and social situation is still facing many difficulties due to the impact of the COVID-19 pandemic, the city leaders have considered and not yet considered increasing prices as proposed.

Therefore, this adjustment of clean water retail prices in Da Nang aims to offset the costs of operating and maintaining water supply for the city.

According to the People's Committee of Da Nang City, the current increase in clean water prices has had a small impact on people's lives. For example, for rural households using less than ^10m3 of water per meter per month, the maximum increase is only 4,000 VND per month; for urban households using an average of ^10m3 -15m3 ^{of water per} meter per month, the monthly payment will increase by 5,500 VND to 8,800 VND per month.

“Compared to the national average, the expected adjusted water price in Da Nang is still lower than in some other localities,” said the Da Nang City People’s Committee.

In 2014, the city's water supply capacity was only ^210,000m3 /day, now it has reached ^460,000m3 , the water supply network has been expanded more than 1.5 times. Water quality has been significantly improved. Da Nang has also invested in Hoa Lien Water Plant, contributing to increasing water supply capacity, improving water quality, ensuring long-term clean water security for the people and developing the city.

Source: https://nld.com.vn/gia-nuoc-sach-tai-da-nang-sau-dieu-chinh-van-thap-hon-mat-bang-chung-ca-nuoc-196241228124728048.htm