Rate adjustment incentivizes water conservation and will remain about the same for lowest water users
Los Angeles (January 5, 2021) — Effective January 1, 2022, Los Angeles Department of Water and Power (LADWP) customers will see rate adjustments on their water bill, with its highest water users seeing the biggest increase. Lower water users using the same amount of water as in 2021 will see their water bill remain about the same.
Approved by the Board of Water and Power Commissioners on September 28, 2021 and the Water Rate Ordinance for the City of Los Angeles, the bi-annual water rate adjustments reflect the costs of various water supplies including purchased water to meet increasing demand created by high-use customers.
LADWP’s water rates are in a four-tiered pricing structure tied to a customer’s water use. As of January 1, 2022, the monthly water cost for a typical residential customer in Tier 1 and Tier 2, using the same amount of water as last year, will remain about the same as in 2021. For customers paying Tier 3 rates, the cost of one HCF or Hundred Cubic Feet (748 gallons) of water will increase from $9.192 to $10.436, a $1.244 increase. LADWP’s highest water users, who pay Tier 4 rates, will see a rate increase from $9.192 to $12.794 per 748 gallons, a $3.602 increase.
LADWP customers have been advised of this rate increase through the posting of the “Bi-Annual Notice of Change in LADWP Rates” included in every customer bill and a special Rate notice also included in customer bills. Tier 3 and Tier 4 users will also receive a letter from LADWP about the rate increases and ways they can take action today to conserve water through conservation methods and available rebates and programs.
While Los Angeles experienced some heavy precipitation at the end of December, the city, along with the rest of the state and the region, faced extremely dry conditions going into the new year. In fact, at the end of last year, the State of California announced a 0% allocation of water from the State Water Project in 2022, beyond that for health and safety needs. The State Water Project is one of the sources of water for Los Angeles.
“The drought conditions the City is facing are serious despite recent wet conditions,” says Anselmo Collins, Senior Assistant General Manager of LADWP’s Water System. “As we urge Angelenos to step up their conservation efforts, the water rate changes further encourage and incentivize water conservation while ensuring rates remain relatively the same for customers who use the least amount of water.”
LADWP customers are advised the City of Los Angeles’ Water Conservation Ordinance is in effect, limiting outdoor watering with sprinklers to three days a week, up to 8 minutes per station, before 9 AM or after 4 PM.
LADWP also continues to offer a wide array of rebates and incentive programs that encourage water use efficiency for residents and businesses. Through the various LADWP rebate and incentive programs, customers are able to continue saving water while lowering their utility bill.
For complete details about the water rate adjustments that took effect January 1, 2022, please see the Bi-Annual Notice of Change in LADWP Water Rates. For more conservation tips, watering day information, and to learn about all available water conservation rebates and programs, visit ladwp.com/save.
