Decreasing revenue and a shrinking customer base are requiring water utilities to secure new sources of revenue. Learn more and sign up for the report:
http://bv.com/reports/water/financial...
TRANSCRIPT
Ann Bui | Managing Director for Water, Management Consulting, Black & Veatch
2015 marks a challenging time for water utilities around the country. Many say that this is the most challenging time in recent memory.
Our 2015 Strategic Directions: Water Industry report confirms that water scarcity, aging infrastructure and revenue instability are testing the resolve of the nation's water service providers.
Every region in the country is being financially challenged.
Drought across the south and west has reached crisis levels. Throughout the country, aging pipes are causing more water main breaks. And in some urban centers, population migration patterns are reducing the customer bases and revenues.
Meanwhile, many providers are still catching up on maintenance projects that were delayed by the Great Recession.
Our survey shows that only one-third of utilities say they can cover all of their costs from revenues alone. The vast majority must leave some part of their business under-funded or not funded at all.
Water utilities provide an essential service. But they must fix, maintain and improve that service while educating the public on the value of water. To bolster their finances, some utilities are trying to stabilize revenues by shifting from consumption driven rates to increased fixed costs.
Now is the time for public organizations to strike a balance between customer affordability and financial sustainability. Utilities, municipalities and their customers must unite to plan and fund resilient water services.
2015 Water Industry Report: Securing Revenue Key to Financial Resilience black mirror season 5 | |
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