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AWWA ACE65381

AWWA ACE65381 Full Cost Pricing of Water Service

Conference Proceeding by American Water Works Association, 06/01/2007

Shanaghan, Peter

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This powerpoint presentation begins by providing a definition of full cost pricing and presents a conceptual model for full cost pricing. Key drivers of the cost of service are given and outlines information on levels of service that include: product quality; fire protection; peak flows; system reliability; main breaks; responding to customer inquires and complaints; field crew interaction with customers; and, customer input. The presentation lists the key dimensions of structure and management of a utility to provide desired level of service as: the size/scale of system and utility; and, the institutional structure of utility. Cost allocation and rate design, types of charges, basic water rate structures for variable usage, single tariff pricing, moving toward full cost pricing, and findings of the Full Cost Pricing Expert Workshop. Includes figures.

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