Amy Khor on managing rising water demand and costs

Singapore can continue to have a sustainable water system and safeguard its water security with right pricing and sustainable growth in demand, said Senior Minister of State for Sustainability and the Environment Amy Khor. Replying to Parliamentary questions on Wednesday (Oct 4), she highlighted the support for households and businesses in managing costs amid moves to raise prices. Dr Khor pointed out that the cost of producing and supplying water has increased substantially since the last price revision in 2017. Cost pressures have led to an increase in PUB's operating expenditure by around 30 per cent since the last water price revision. Dr Khor said PUB has undertaken various measures to moderate the impact of these cost drivers, such as leveraging energy-efficient technologies to reduce energy consumption and harnessing engineering solutions to offset construction costs, as well as optimising and digitalising processes. She said PUB’s efforts have borne some fruit but the cost of producing and supplying water, as well as collecting and treating used water, remains significantly higher than the current water price. An increase in water price is therefore necessary to catch up with rising costs, she said. Dr Khor said the Government will continue to review the water price regularly to ensure that it is right-priced. She also stressed the need to manage the growth in water demand and urged everyone to use water wisely.