Water prices set to soar

WATER prices are set to rise dramatically from next year, with households in Paphos facing a doubling in their bills as Cyprus comes into line with EU regulations.

The Water Development Department (WDD) has drawn up a plan to implement rises in the wholesale price of water from January 1 next year ahead of accession on May 1.

According to the WDD, prices will increase in stages. To meet with the requirements of the EU water directive, the district water boards of Nicosia, Larnaca, Limassol and Famagusta will buy water at 44 cents per cubic metre, almost 30 per cent higher than the current price of 33.5 cents per cubic metre. However, in Paphos the cost will be double today’s price of 16 cents per cubic metre and is expected to rise again at a later date.
These alterations will take place during the first few months of 2004. The selling price of water to the public is currently lower than what it costs the government to buy. After a preliminary study conducted by the WDD, it was estimated that the government buy water at approximately 55 cents per cubic meter. To recover the costs and meet EU demands, consumers will therefore be required to buy water at its actual cost value which may exceed 55 cents by 2010.

This rise will affect wholesale prices to all water boards and local authorities; therefore district water boards will look at their own costs and subsequently start charging consumers more. Wholesale prices amongst different districts will still vary, as some towns have other sources of water beyond what the Water Development Department supplies.

The vice-chairman of the WDD, Christodoulos Kritiotis, said yesterday: “It has been 10 years since the last water price increases were implemented and general costs of processing and supplying water to consumers have risen.” He also said that the use of desalination plants and water treatment plants had proved to be costly. “Environmental costs and expenses are great,” said Kritiotis. “Up until now Cyprus has not met the requirements of the EU water directive.”

Agriculture Minister Timis Evthimiou said the WDD’s proposal would be discussed with the district water boards and local authorities before it was approved by the House of Representatives.

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