The Ministry of Agriculture explained how tariffs for drinking water are set in Kyrgyzstan.
According to the ministry's press service, providing citizens with clean water is one of the key tasks of the state. The effectiveness of water supply systems depends on a correct and economically justified approach to tariff formation.
Currently, in many villages of Kyrgyzstan, water tariffs remain inflated. This leads to a situation where they do not compensate for the actual costs of maintenance and operation of the water supply.
As a result:
- the quality of services provided declines;
- infrastructure wear and tear increases;
- interruptions in water supply occur;
Tariffs for drinking water are not set arbitrarily. They are calculated based on an approved methodology, according to Resolution No. 320 of the Cabinet of Ministers of the Kyrgyz Republic.
The key principle is to cover all actual costs necessary for continuous water supply.
Components of the Tariff
When determining the tariff, all expenses of the water supply enterprise are taken into account:
Volume of water consumed (including livestock watering)Cost of services for the populationEnergy for the operation of pumps and equipmentMaterials and chemicalsDepreciation (wear and tear of equipment and structures)Repair and maintenanceSalaries of employeesAdministrative and general expensesProduction costsTaxes and mandatory paymentsSpecial clothing, protective equipment, and inventoryProduction activity program of the enterpriseFinal cost of the serviceRoyalties (if applicable, according to legislation)These components form the cost price of water, below which the tariff cannot fall.
State Regulation
The state controls tariffs for drinking water.
Tariffs:
- are agreed upon by the authorized bodies — the Antimonopoly Regulation Service of the Kyrgyz Republic;
- are checked for the justification of all expenses;
- are approved by the representative body — the village council.
Reasons for Low Tariffs in Villages
There are systemic problems affecting the formation and collection of tariffs:
- artificially low tariffs;
- low payment levels from the population;
- lack of qualified personnel;
- ineffective management of water supply systems;
- limited financial resources at the local level.
Importance of an Economically Justified Tariff
A correctly calculated tariff is not only a matter of cost but also of reliability and sustainability:
- uninterrupted water supply;
- timely maintenance and repair of networks;
- reduction of emergency situations;
- infrastructure modernization;
- attracting and retaining specialists.
Consequences for Residents
An economically justified tariff brings real benefits:
- stable water supply;
- improved water quality;
- reduction in the number of emergencies and outages;
- development and modernization of infrastructure.
The tariff for drinking water is not just a figure on a bill. It is the foundation for the reliable functioning of the entire water supply system. Only with full cost coverage can we ensure:
- reliable water supply;
- quality service;
- long-term infrastructure development.
