2.1 Indicator definition
The indicator is split into two elements: a) Financial cost recovery of water services for public water supply; and b) Affordability of water services. The former is a simple plot of the average price level for water supply and sanitation services in European RBDs against their respective financial cost recovery levels, both as reported by the Member States. The latter is a ratio of household expenditure on ‘water supply and miscellaneous services relating to the dwelling’ to household income, compared to an ‘affordability threshold’ set at 5% for indicative purposes. It is presented along with ratios of expenditure on other household needs to consider the third dimension of water affordability.
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a) Financial cost recovery of water services for public water supply;
I assume this should read
a) Financial cost recovery of the water services for public water supply and sanitation services;
Since you are presenting the results for two water services, not one.
Thanks. We have adjusted the text accordingly.
You would like to plot price levels with cost recovery rates? I thought you said in the beginning that data are incomparable. Of course, one can plot anything against anything, but what solid message can we get out of that?
The lack of comparability we point to before is not between price levels and financial cost recovery, it is between those two elements across countries and RBDs.
Due to the legal requirements of the municipal levy laws, it is generally assumed in the German parts of the river basin communities that there is full cost recovery.
To verify this, the various federal states are carrying out further selected surveys and benchmarking projects. The result of these surveys confirm that the cost recovery rates for drinking water supply in Germany are currently around 100%. The individual results of the state projects for drinking water supply ranged from 95% to 107%, while the cost recovery rates for wastewater disposal ranged from 93% to 105%.
There is no regular central survey of cost recovery rates in Germany.
Thanks. We will explore how to add this (together with the NL case example) to the Accuracy and Uncertainties sub-section.
We will make sure the sufficient reference to the Guidance Document