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In Canada, water bills could jump for years after pipe breaks expose a $6.5B problem

"Past utility rates have not kept pace with [the] level of investment needed to address infrastructure risk."

The Calgary skyline.

Photo Credit: iStock

Calgary residents could soon face years of rising water bills after city officials determined the system requires billions of dollars in overdue upgrades.

If council approves the plan, the average household would be paying nearly $90 CAD ($63 USD) more per month by 2030, according to CBC News.

Here's what to know

The proposal calls for annual increases of 19.9% for drinking water, 15.2% for wastewater, and 5.8% for stormwater each year from 2027 to 2030.

For an average residential customer, the first year would add about $14.50 CAD ($10.17 USD) to their monthly bill in 2027.

After that, the same customer would face added monthly costs of about $20.05 CAD ($14.37 USD) in 2028, $24.48 CAD ($17.16 USD) in 2029, and $28.70 CAD ($20.12 USD) in 2030.

The city says the increases are needed because officials estimate it will take $6.5 billion CAD ($4.6 billion USD) to address aging water infrastructure. 

"Past utility rates have not kept pace with [the] level of investment needed to address infrastructure risk," a report cited by CBC News stated.

An executive committee was scheduled to consider the water utility increases.

More background

According to CBC News, concern around Calgary's water system intensified after two major failures involving the Bearspaw south feeder main, a major pipe in the city's network.

The city is fast-tracking a replacement pipe for that feeder main. The report, however, describes that project as only one part of a much broader issue.

It also says funding is needed to reduce water losses, upgrade wastewater plants, and improve emergency readiness.

The recommendation emerged after Calgarians learned councillors will also consider a 15% property tax increase.

What's being done?

At City Hall, the proposal has not drawn universal support. 

Coun. Dan McLean acknowledged that investing in water infrastructure is important but called major hikes — particularly alongside the proposed property tax increase — "totally unacceptable."

Mayor Jeromy Farkas, meanwhile, pledged to push to keep increases as modest as possible but conceded that water infrastructure investments are critical.

"I think Calgarians realize that there's a cost to our infrastructure. And we could artificially lower the amount of money that's being spent, we could artificially lower the rates that are being charged, but that just pushes down the road a future cost that only snowballs," Farkas said.

"That's not the financially responsible thing to do."

Where can I learn more?

Water systems elsewhere are under pressure too, from drought and freshwater shortages to disaster risks and flood threats. Coverage from across the United States shows how those challenges are playing out.

• In the Carolinas, new restrictions on major lakes followed mounting drought pressure in the Keowee-Toxaway basin.

• In Louisiana, Venture Global kept drawing millions of gallons as residents were urged to conserve freshwater.

• Across the United States, billion-dollar disasters every 18 days underscored mounting climate and infrastructure risks.

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