Can individual water bills reduce waste?

En kran med rinnande vatten 

Water is becoming an increasingly scarce resource worldwide, and even in Sweden, water management is gaining importance. Despite this, water is often included in the rent in apartment buildings, allowing tenants to use unlimited amounts at a fixed cost. Without direct financial incentives to save water, consumption risks being higher than necessary.

Che-Yuan Liang Foto. Wallerstedt

Che-Yuan Liang Photo: Wallerstedt

– This study examines how individual water metering and billing affect hot water use in apartment buildings— a solution that could be crucial for future sustainable water management, says Che-Yuan Liang, one of the researchers behind the study.

The researchers analyzed data from several hundred apartments in Kumla, just outside the city of Örebro, between 2012 and 2016. Before the introduction of individual metering, all households shared a common water bill. However, when tenants began paying for their actual consumption, hot water use decreased by approximately 18%.

– It is a significant reduction, and the study also showed that the decrease was substantial across all consumption groups, suggesting that individual billing affects all households in a similar way regardless of their economic situation, says Che-Yuan Liang.

The effect was immediate and lasting, regardless of household size, day of the week, or whether the water was used in the bathroom or kitchen.

Compared to previous studies on water conservation, the results indicate that price-based incentives have a significantly greater impact than information campaigns and social norms, which often lead to only marginal savings. Introducing individual metering and billing could therefore be a cost-effective strategy for reducing both water consumption and the energy used to heat water.

– At a time when water scarcity and climate change make resource efficiency increasingly important, such measures can play a key role in reducing both water consumption and greenhouse gas emissions. This study contributes to the ongoing debate on how economic instruments can be used to promote sustainable water management and resource conservation, says Che-Yuan Liang.

Facts

The researchers behind the study from Uppsala University are economists Mikael Elinder and Che-Yuan Liang. The article Mind the Tap: How Volumetric Pricing Affects Residential Hot Water Consumption is open access and published in the Journal of the Association of Environmental and Resource Economists:

FOLLOW UPPSALA UNIVERSITY ON

Uppsala University on Facebook
Uppsala University on Instagram
Uppsala University on Youtube
Uppsala University on Linkedin