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Annex A
The Charging Scheme Principles and Structure
The Principles
W
The general principles underlying the charging scheme for sewage services are
(a)
(b)
(c)
(d)
charges paid by different categories of service users should reflect the costs of providing the services to these users (Polluter Pays
Cross Principle).
subsidies between different user categories should be minimised;
the basis on which charges are calculated should be relatively easy to explain and justify to the public;
charges should be relatively simple to calculate so that monitoring and administration of the charging scheme is manageable; and
the
charges, where
should feasible,
encourage efficient
of services,
of in terms
both the financial and the environmental costs and benefits.
The Structure
2.
use
:
On the basis of the charging principles, it is proposed
users levied against eight categories of that charges be levied against Residential (individually metered) : Residential (communally metered) : Government: Fresh Water Flushing: Miscellaneous. category would pay charges based on three components :
(a)
(b)
(c)
Restaurants :
Other
Commercial :
Industrial : Users in each
the
a fixed charge, to recover
cost the fixed
of services. This fixed charge should include a capacity charge (based on the size of a user's water meter) and an account charge (reflecting the cost per account of billing, administration, etc.);
a variable charge, to recover the operating cost which varies with the volume of sewage discharged; and
a trade effluent surcharge, to reflect the additional cost for treating the more polluting industrial or commercial effluent down to the average strength of domestic sewage.
annexa.fin
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