Investor's Guide – How to set up a company - Operational costs - Water

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6.3. Water


6.3. ÁguaThe Portuguese situation has evolved greatly in the last decades as a result of significant investment effort. The level of population served by drinking water supply services reached 97% in 2009 and the estimated level of drainage and wastewater treatment services has reached in 2009 81% and 71% respectively. In Portugal, the responsibility for these services is shared between the State and the municipalities.

 

ERSAR – The Water and Waste Services Regulation Authority, is in charge of regulating public water supply services, urban wastewater management services and municipal waste management services.


In Portugal, the tariff structure of water supply services consists primarily of applying a fixed component and a variable component (in nearly 90% of municipalities). In many cases, each new water connection also has a specific tariff, which varies from municipality to municipality.
The pricing model used in the variable component is the progressive tariff, which represents 98% of of the whole activity. This type of tariff also varies according to Region and with the management model.

According to the Annual Report on Water and Waste in Portugal's 2009 from ERSAR, the multimunicipal concession for water services has approved rates ranging between € 0.3107 / m3 and € 0.6250 / m3, being the national average at € 0.4599 / m3. Regarding local concessions (municipal systems), the estimated average tariff is around € 1.3895 / m3.

 

 

 

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