3.1. The Value of Treated Water - User Fees Charged by State Agencies

Tue, 09/18/2012 - 10:59 -- klm-admin

'Thus approx. US$ 10,000 annually is available for amortization and operation of a wastewater treatment facility.'

Here is an example of wastewater recycling fees at Silva Jardim, state of Rio de Janeiro, Brazil:

  • The average household uses 175 liters per person per day, with average 4 persons per household.
    175 l/p*d x 4 p x 30 d = 21,000 m3
  • This equals 21 cubic meters monthly per household. The state water agency* charges
    US$ 8.50 for 21 cubic meters/month for sewage**
  • The neighborhood of Nova Cidade, which is served by the wastewater recycling facility, has approx. 200 households so:
    $ 8.50 x 200 x 12 months = $ 20,400 annually
  • Local agencies calculate that half of these fees support maintenance and capital amortization costs of the collection system, with the other half going to operating costs for facilities.
  • Thus approx. US$ 10,000 annually is available for amortization and operating costs of a wastewater recycling facility.

*NOTE: Source: Sabesp Grupo Tarifario 3 Categoria Residential Vigencia 15/07/96 -  Financial statistics are used from Brazil's largest wastewater state agency, Sabesp in the adjoining state, as the local water agency at Silva Jardim has unreliable statistics.

**NOTE: This calculation understates possible revenues. A large house in Silva Jardim pays a flat water/sewage rate of approx. $80 monthly, and a small house pays $20 to the local water agency. Source - Interview with administrator of Silva Jardim November 26, 1997. Therefore, the Sabesb-quoted figures for this calculation are at the very low end of the revenue scale.

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