Abstract
Price plays an important role in water resources management. The price of water resources can also be considered as a “water resource tax” which reflects the value and opportunity cost of water, and people will pay for the right to use water. Currently, the water resource fees’ effect of regulating resource differential revenues is not manifest and it’s not enough to reflect the principle of paid use of resources as well as regulating resources differential revenues. Due to the ambiguity and complexity of water resources price, this paper uses methods relating to fuzzy mathematics for modeling and processing. The study had a comprehensive consideration of five factors including water quality, water resources per capita, household consumption level, per capita GNP, population or population density to evaluate the water resource price.
Highlights
Water resources feature scarcity and water supply and sewage treatment has scale economies effect, plus the water industry has a natural monopoly, so this industry needs government regulation to form and maintain the monopoly, and needs price regulation and other regulatory means to prevent adverse economic consequences arising from enterprises’ free decisions-making under the monopoly [1]
As for the water resources fee collected from urban water supply businesses, the adjustment is made by stages
As required by “water resources fee collection and usage management approach” (CZ [2008] No 79) of Ministry of Finance, National Development and Reform Commission, Ministry of Water Resources, water resources fees are specially used in conservation, protection and management of water resources, in rational development of water resources
Summary
Water resources feature scarcity and water supply and sewage treatment has scale economies effect, plus the water industry has a natural monopoly, so this industry needs government regulation to form and maintain the monopoly, and needs price regulation and other regulatory means to prevent adverse economic consequences arising from enterprises’ free decisions-making under the monopoly [1]. Gradually make water price reflect the full cost of water supply to truly facilitate the enterprization of the production and operation units of water services, promoting the whole society to save water and use water efficiently [2]. To put it in a simple way, the water price is the market prices embodied by water as a commodity for exchange. The study had a comprehensive consideration of five factors including water quality, water resources per capita, household consumption level, per capita GNP, population or population density to evaluate the water resource price [7]
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