Date: 24-Jul-09
Country: CHINA
Author: Langi Chiang and Simon Rabinovitch
BEIJING - China will adjust water pricing because the treatment of sewage is now too cheap and water resources should be used more efficiently, the Chinese central planning agency said on Thursday.
The National Development and Reform Commission said local governments would need to implement the changes gradually and cushion the impact on low-income groups by increasing subsidies.
The prices of water used for industrial and commercial purposes should be unified, it added in a statement on its website. It also encouraged more recycling.
It did not give any specific details about how pricing would be adjusted.
Rapid expansion of cities and factories has put a heavy strain on water resources, and China has been trying to cut usage to alleviate chronic shortages that it fears could undermine its ability to feed itself and crimp economic growth in the long run.
(Editing by Jacqueline Wong)