Changes in water rates and taxation that make water prices more market-based must also be considered. In general, it makes sense to use graduated water rates that charge more for higher water use to encourage conservation. It also makes sense to mostly use water rates to pay for water, rather than property taxes that might mask the true costs.
However, these are complex issues and the generalities don’t apply in every circumstance. The Utah Foundation is producing an excellent series of studies on water rates and costs that demonstrate the complexity of the matter.
“Generally speaking,” says the Utah Foundation study, “conservation is the cheapest way to meet demand for water, followed by agricultural conversion. Building new infrastructure is far more expensive.”
Using new technologies to produce data detailing exactly how water is being used and how much is being wasted can also be part of the solution.
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