Wednesday, May 11, 2016

The government pours cheap water. PiS block price increases – GazetaPrawna.pl

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by Thomas Żółciak 05/11/2016, 7:48; Update: 11/05/2016, 8:26

 Every year, they represent a municipal  councilor proposed new rates for water. In many  cases, especially when it comes to increase, ends  a tavern brawl.

Every year, they represent a municipal councilor proposed new rates for water. In many cases, especially when it comes to increase, ends a tavern brawl. Source: ShutterStock

PiS wants to fix maximum prices for what flows in our taps. This block increases implemented by the company’s water supply. The rules define what must be taken into account, counting rate for residents. So what PiS wants to regulate?

Every year, they represent a municipal councilor proposed new rates for water. In many cases, especially when it comes to increase, ends a tavern brawl. – Often, water is a political issue. Part of the local government recognizes that should be supplied for a song – tells us, a representative of one of the companies.

The dispute involved just the government. – We would like to introduce to the market the national regulator. Something along the lines of the Energy Regulatory Office – says in an interview with the DGP Deputy Minister of Environment Mariusz Gajda. The government wants to reserve the right to determine the highest ceiling rates per cubic meter of water. In a similar way the finance minister in the annual notice defines the upper limits of local taxes and fees. – The point is that the content of the taps no more drożała – explained the deputy minister.

So – hypothetically speaking – if the ministry were to consider that the total maximum amounts for the collective water supply and sewage disposal must not exceed 9 zł for 1 cubic m., then for example. Warsaw would have to go down with the price of 1,62 zł (currently 10,62 zł net for households), but Lublin such an obligation would not have. Because today the rate for water and sewage is there 8,25 zł net.

According to the local government where the money the government will prove to be higher than those actually in force in many municipalities, it may be interpreted by some of the company’s water supply as tacit approval to increase. In the opinion of Mayor of Lubicz Marek Olszewski top-down assessment of prices is quite risky idea. – It is difficult to compare the water supply in different parts of the Polish. There are differing ownership structures of companies and different ways of obtaining raw material. For example, my municipality buys water from Torun, so I already have no impact on the rate – he argues.

Some wonder whether he needed the appointment of a national regulator. – Because what he will do, as we determine the maximum rate? After all instances of the cross will be subject to the intervention of the governor supervising the local government in terms of legality – highlights Grzegorz Kubalski from the Association of Polish Counties. This does not exclude that in connection with the intention of the government is perhaps bidding for each municipality individually. And if so, then we are talking about far-reaching interference in the functioning of local government.


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