Water & Wastewater Cost, Revenue & Rate Study
In Fall 2008, the City commenced a comprehensive review of the costs to deliver drinking water, and sanitary and storm conveyance and treatment services in Ottawa. The study examined corporate operating and capital costs over the next 50 years, and determined how costs should be recovered to ensure sustainable service delivery over time.
One of the first steps in the study was to review the current rate structure that is used to recover drinking water, sanitary and storm water costs. Three options underwent public consultations in 2009, and a recommended approach was tabled at Planning & Environment Committee in April 2010. Rate structure changes approved by Council will be implemented in 2011. In summary, the following change was approved:
- That separate rates be established for drinking water and wastewater services. The sewer rate will no longer be expressed as a percentage of the water rate (e.g. 100 per cent sewer surcharge.) Instead, it will be a rate charged in dollars per cubic metre ($/m3) set at the level required to recover the costs of providing sanitary and storm water services in the city.
Subsequently, a ten-year Drinking Water Financial Plan was approved by Council and submitted to the Ministry of Environment in June 2010, per the requirement of Ontario Regulation 453/07 under the Safe Drinking Water Act, 2002.
Ten-year financial plans for sanitary and stormwater systems will be prepared as part of the Long Range Financial Plan update scheduled for late 2010 or early 2011.
If you would like more information regarding this initiative, please feel free to contact the Project Manager, Sally McIntyre at 613- 580-2424 ext. 23307.
