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Water Price

Effective Water Pricing

Water is a precious resource, and its prudent use is key to our water sustainability.  

Water pricing is an important and effective mechanism to reflect the scarcity value of water. Water is priced not only to recover the full costs of producing and supplying it, but also incorporates the higher cost of producing water from unconventional sources, specifically NEWater and desalinated water.

The water price was last revised in 2000, over the period from 1997 to 2000. 

The Integrated Water System

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Water Price Revisions 2017

Water prices will be revised from 1 July 2017. Tariffs will go up in two steps, in July 2017 and in July 2018.

Heavy investments in water infrastructure, coupled with rising operational costs, have made the increase in water prices necessary. We are upgrading our water system to make it more resilient, especially to face the challenges posed by climate change. The revised water prices will enable PUB, the National Water Agency, to cater to future demand, strengthen Singapore's water security, and continue to deliver a high quality and reliable supply of water. 

The water price goes towards meeting the cost of water treatment, reservoir operations, NEWater production, desalination, used water collection and treatment, and the maintenance and expansion of the island-wide network of water pipelines. 

It also includes the Water Conservation Tax (WCT), which is imposed on the potable water tariff. The WCT reinforces the message that water is precious. It is also to reflect the full incremental cost of producing more potable water (likely by desalination and NEWater) beyond PUB's present output, so that consumers are conscious of the scarcity value of the water they use.

To help households manage the higher water prices, the Government will provide eligible HDB households with additional U-Save rebates, ranging from $40 to $120 per annum, depending on HDB flat type.

Click here for the press release on Water Price Revisions 2017.     

Domestic (Households)

Potable Water Prices

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The key revisions to the water prices are:

    • A 30% increase in water price, phased over 2 years, starting from 1 Jul 2017.
    • Restructuring of the Sanitary Appliance Fee and the Waterborne Fee into a single, volume-based fee.

 

Assistance for Eligible HDB Households

Families living in 1- and 2-room HDB flats will now receive $380 of U-Save rebates each year compared to $260 previously, while families living in 3- and 4-room HDB flats respectively will receive $340 and $300 annually, compared to $240 and $220 previously. 

After additional U-Save rebates:

    • 75% of all HDB households will see an increase of less than $12 in their monthly water bills.
    • 1- and 2-room HDB households will on average see no increase in their water bills.
    • 3- and 4 -room HDB households will on average see an increase of about $2 and $5 respectively in their monthly water bills in 2018.

 

Average Water Bill after U-Save Rebates (in 2017, by HDB Flat Type)

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Average Water Bill after U-Save Rebates (in 2018, by HDB Flat Type)

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Non – Domestic (Businesses)

Water Efficiency Fund

In 2007, PUB launched the Water Efficiency Fund (WEF) to encourage organisations to seek out efficient ways to manage their water demands. It would co-fund projects that would yield at least a 10% reduction in water consumption within organisations. Companies organising community-wide campaigns would also be eligible for WEF Funding.

Click here for more information.

Potable Water Prices

(Not Applicable to Shipping Customers)

(Click on image for an enlarged view)  

The key revisions to the water prices are:

    • A 30% increase in water price, phased over 2 years, starting from 1 Jul 2017.
    • Restructuring of the Sanitary Appliance Fee and the Waterborne Fee into a single, volume-based fee.

 

NEWater Prices

(Click on image for an enlarged view)  

Key revisions to the NEWater prices are:

      • From July 2017, there will be an increase in NEWater tariff and a 10% Water Conservation Tax imposed on NEWater.
      • The increase in Waterborne Fee will be phased over two years, in July 2017 and in July 2018.

 

 Industrial Water Prices

        (Click on image for an enlarged view)  

        Key revisions to the Industrial Water prices are:

        • The Industrial Water Tariff will be raised in one step from July 2017.
        • The Waterborne Fee increase will be phased over two years, in July 2017 and in July 2018.

         

        Potable Water Prices for Shipping Customers

        (Click on image for an enlarged view)

The Water Bill

PUB's Billing Agent

SP Services is PUB's billing agent. For efficiency, a consolidated bill showing the monthly utilities usage comprising water, electricity and gas is sent to customers. U-Save rebates are also credited to each HDB household's utilities account with SP Services.

Components of the Water Price

There are four components to the water price in the monthly bill: water tariff, water conservation tax, waterborne fee and sanitary appliance fee.

Water Tariff

The Water Tariff covers the costs incurred in various stages of water production process — collection of rainwater, treatment of raw water and distribution of treated potable water to customers through an extensive island-wide network of water pipelines. The Water Tariff is charged based on the volume of water consumed.

Water Conservation Tax

The Water Conservation Tax (WCT) was introduced in 1991 to encourage water conservation and to reflect its scarcity value. WCT is imposed as a percentage of the water tariff to reinforce the message that water is precious from the very first drop.

Waterborne Fee and Sanitary Appliance Fee

Every drop of used water is collected via a separate network of sewers and channelled to the water reclamation plants for treatment, after which it is further purified into NEWater.

Currently, the Sanitary Appliance Fee (SAF) and Waterborne Fee (WBF) go towards meeting the cost of treating used water and maintaining the used water network. The SAF is a fixed charge based on the number of sanitary appliances in a household or premise. The WBF is charged based on the volume of water usage.

From July 2017 onwards, the SAF and WBF will be restructured into a single, volume-based fee. This is more reflective of the volume of used water discharged.