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Cost of a water truck load set to reach $80

The Bermuda Water Trucking Association will raise water prices in January to offset a Government increase on water by 45 percent.

The decision to raise the price of a load of water from $70 to $80 was reached on Monday night during an association meeting, reported ZBM news last night.

In an interview with Association Vice President Russ Ford, he said the rise was a direct result of Government increasing its costs.

"We had a motion on the floor that ranged from a $75 up to $90 (increase). But we had a consensus of $80 per load, that represents an increase of about 11 or 12 percent on our part, versus a 45 percent on Government's part," Mr. Ford said.

"We felt it necessary. We have to live as well as independent business persons and we have to make sure that our particular business remains viable."

According to Minister of Works and Engineering Derrick Burgess, before the increase water rates had remained unchanged since 2001.

But there has recently been a large increase in the annual cost of operating the water treatment plants and maintaining the distribution lines.

Mr. Burgess said: "A major source of operational cost increase stems from electricity supply, with electricity costs having increased by 55% since 2003 alone.

"In addition to increases in operational costs, the Water Section within the Department of Operations and Engineering has continued to upgrade the water supply system, at a cost in excess of $15 million.

"One of the key projects is the new water treatment facility at Tyne's Bay which is currently able to produce 500,000 gallons of potable water per day," he said.

The water rates for the Bermuda Government's piped customers will increase from $15.15 per 1,000 imperial gallons to $22.00 per 1,000 imperial gallons.

While the rate for water truckers will be increased from $14.15 per 1,000 imperial gallons to $21.00 per 1,000 imperial gallons. Customers were notified of the increase in October 2009.

The Ministry of Works and Engineering advise the public to conserve water, stating this is the best way for customers to reduce the impact of rate increases.