Water in Figures 2020
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WATER IN FIGURES 2020 BENCHMARKING & STATISTICS Denmark XXXEDITORIAL TEXT: CARL-EMIL LARSEN/ PHOTO: DANVA The water sector as energy and climate neutral he climate action plan for the water water sector. The water companies are part of by an average household for drinking water and sector emphasises the message that the green transition through the innovation of wastewater has remained very stable over the T Danish water technology can help resource efficient, digital and holistic solutions. last 10 years. In 2019, an average family with find solutions to global climate challenges. These focus on greater efficiencies, energy average consumption paid € 757 for drinking The ambition of the political parties behind optimisation, reduction of greenhouse gases water and wastewater, representing a decrease the agreement is for the water companies in and the production of green and sustainable of 2% compared with 2018. Although the price Denmark to be energy and climate-neutral. The energy. Equally, DANVA's members are seeking of water rose on average by 2.6% to € 9.55/ key figures for the water sector show that the to become climate-neutral and thereby help m3, this increase was offset by a drop in water water companies are already well on the way meet the ambitious objectives set for Denmark. consumption, which achieved its lowest level to achieving this. The water companies are also ambitious so far of 101 litres per person per day. The Danish Parliament has resolved that concerning the requirements set by society for DANVA's benchmarking shows that the Denmark should reduce its CO2 emissions managing wastewater discharges. The summer water companies act in an optimal manner and by 70 percent by the year 2030. The main of 2020 has seen a debate on overflows and exactly in line with the wishes of the politicians greenhouse gas emissions from the wastewa- discharges and, although the sector is only at Christiansborg. It therefore makes a lot of ter sector derive from nitrous oxide in the responsible for 10 percent of the average nitro- sense to lower the bureaucratic burden on the treatment process. Nitrous oxide is 298 times gen outlet into aquatic environments (whereas water sector, which devotes a lot of resources more harmful to the ozone layer than CO2. agriculture is responsible for 60–70 percent), it to unnecessary administration and documen- DANVA's members are already well ad- is nevertheless critical that the situation meets tation. If the tariffs are reasonable, the targets vanced in the process, and DANVA's new strat- the requirements of a modern society. If better met, and water customers satisfied, politicians egy for 2020–2024, adopted by the annual treatment of wastewater is what is desired, the should work to create a less zealous, resource general meeting in May, is a stepping stone on politicians must make the necessary demands. consuming bureaucratic system, which, after the way towards a climate and energy-neutral Measured in fixed prices, the amount paid all, only results in higher costs and higher water prices. The key figures also show that Danes have DANVA and DANVA Benchmarking access to tap water practically 24 hours a day, 365 days of the year. In 2019, average availa- DANVA, the Danish Water and Wastewater Association, is an industry organi- bility was in excess of 99.99 percent. Danes, sation for drinking water companies and wastewater companies in Denmark. on average, were without access to water for DANVA is a non-profit association, funded by its members and through income only 40 minutes out of the 525,600 minutes generating activities. DANVA has been offering benchmarking to its members for almost 20 years. of the year. Benchmarking is a tool to provide an overview of the company's performance Denmark has one of the lowest levels of wa- and to identify DANVA and DANVA Benchmarking areas where efficiency can be ter losses in the water destribution systems in improved. The reporting to DANVA Benchmarking and Statistics forms the basis the world and, apart from a slight increase in for the preparation of this publication. In total, 162 drinking water and waste- 2018, due to the very dry summer, water loss is water companies have participated in the reporting to "Water in Figures 2020", with data from 2019. The participating drinking water companies collectively again right down. In 2019, it was down to 7.29%. supply water to around 60% of the Danish population. Collectively, the partici- Water companies are among society's most pating wastewater companies handle and treat water from around 80% of the important actors and, with their targeted, effi- Danish population. cient management, fully meet the expectations of customers, authorities and regulators. 2 WATER IN FIGURES 2020 Half a litre of drinking WATER PRICE water from the tap How much does costs less than water cost? Why are there "How much does water cost?" and "Why does 0.48 differences in the water cost what it does?". These are two good cent questions which DANVA is often asked and water price? they are not that easy to answer. The price How much does water cost? of water is not the same throughout the country. On the one hand, there are The price of water depends on which wa- structural differences, such as geological conditions, different customer bases ter company you use. There are more than and large differences in investment needs, and on the other hand, the compo- 2,500 water utilities and 98 wastewater sition of the price may vary from company to company. utilities in Denmark. Contact your local water Legislation states that the companies are permitted to charge a fixed annual company to get your water prices. The water price consists of a total of five administrational fee and must charge a variable fee per m3 of water consump- elements: 3 tion. The pricing scheme therefore has a major bearing on the cost of one m • Fixed charge for drinking water (if any) of water consumed. Some companies charge a fixed annual base charge on • Cubic metre price for drinking water water and/or wastewater, while others only charge for the amount of water • Fixed charge for wastewater (if any) consumed, and this results in considerable variation when the price for one • Cubic metre price for wastewater • VAT and other fees m3 of water consumed is calculated. The fixed, annual base contribution is paid per household (and not for example per person). A set consumption Why does the price of water vary? amount must therefore be assumed in order to be able to state the cost of one There is quite a gap between the lowest and m3 of water consumed. This is why we calculate that average price, is which highest prices among the water companies. an average household would pay based on average consumption. In this way, In general, the difference in total prices can be attributed to several factors: we can compare the price across companies regardless of the pricing scheme • It can be relatively less expensive to supply each company uses. water to water consuming industries than The average price for water in Denmark in 2019 was € 9.55 per m3, based small customers, such as holiday homes. on an average household size of 2.15 people with an average household water • Geological conditions can make it more consumption of 101 litres per person per day. For a single person, the average expensive to collect water from below the ground. price of one cubic meter of water is slightly higher, namely € 10.67 per m3 at a • In some places, groundwater pollution 3 consumption of 50 m , since the fixed charge increases the average price more and scarcity of water resources may mean at low consumption. The average price per m3 for a family with three children investing in new groundwater abstraction is somewhat lower, namely € 8.52 per m3, based on an annual consumption areas for water extraction. of 170 m3. The average water price has increased by 2.68% compared with the • Some drinking water companies spend more than others on groundwater protec- previous year's price of € 9.30/m3. The increase for the year was attributed to tion. Other companies are "born lucky”, as a number of issues, including the decrease in water consumption, which, due their water abstraction areas are already in to the fixed charge, results in an average increase in the m3 price. protected nature areas. The price of drinking water covers the cost of groundwater protection, ab- • The treatment requirements for wastewater straction, processing and distribution of drinking water from the waterworks depend, in particular, on the natural setting of the point of discharge for the treated wa- to customers. The cost of wastewater covers the operation and maintenance, ter. Requirements are often higher for dis- renovation and extension of the sewer network, climate protection, operation charge to vulnerable recipients in freshwater and maintenance of treatment plants, as well as checks to ensure compliance areas than for discharge into the sea. with discharge requirements before being discharged to the recipient. • Decentralised wastewater treatment in smaller plants is usually more expensive than central wastewater treatment at AVERAGE PRICE OF WATER BASED ON CONSUMPTION, 2019 larger ones. 3 €/M€/m³ • Environmental conditions requiring addi- tional measures. Single-person • There is a significant difference in the level households 10.67 (50 m³/yr) €/m³ of investment from company to company. Currently, many companies are investing in new climate change adaptation meas- Avg. Family ures in order to respond to the increase in (2,15 persons) 9.55 (79.29 m³/yr) €/m³ rain volumes.