Full Cost Pricing of Utility Services 

No doubt some water utilities are waiting for the dawn of a new era of federal public works programs with outright grants to provide for the upkeep of their pipes, pumps and treatment facilities. The federal treasury is a far-off solution, one that raises many issues of efficiency and equity on a national scale, pitting the older systems of the Northeast and upper Midwest against the newer systems of the Sunbelt and West.

A case can be made that rate payers are not anywhere near paying for the full cost of our nation’s water and wastewater infrastructure. Liberty Utilities revenue requirements, the amount of money needed for us to operate and maintain facilities, cover capital expenses, and provide an opportunity to earn a return on our investments are evaluated. Rates to collect that revenue are set by the CPUC. Liberty Utilities rates reflect the true cost of water and are not subsidized by property taxes or other outside funding.