May 6.
'The problem of Shanghai' water "economy has provid-led a pretty study. Water waste arises, in essence, -from ithe belief that water by some mysterious means comes from the heavens and costs nothing. This matters little in a village community, perhaps. When to a highly organised durban area waterworks, involving scientific and engineering enterprise, have to be given, the development of costs on a fixed rate becomes uneconomic. In such conditions human derelict" tion of duty is accentuated in forgetful - tenants, use of water all com: bine to make a precise measurement of consumption absolutely necessary as the basis of charges. Three years ago, when the fall in exchange and ever-increasing per capita consumption of water in Shanghai compelled the Council to authorise a surcharge of 25 per cent. on all water rates, this problem reached an acute stage. Mr. Nicholas Hill was called in to give an independent report, His verdict showed that Shanghai was getting cheap water and that the Shanghai Waterworks Company was rendering efficient service. Asked to make a specific reference to the question of metering Mr, Hill, who is a leading American expert, declared strongly in favour of metering as the only method of effec: tively and economically restricting household waste. He also considered reasonable the Company's estimate that metering would reduce the domestic per capita consumption from 88. to 20 gallons a day—a saving of about 83 per cent, of the average daily pumpage in Shanghai.
Mr. Hill's report emphasised the necessity for charging to consumers living in low rental premises a lower rate than that for premises of a higher rental. It said:
"It_may and probably will necessary to unbalance meter rates in, Shanghai in order that the total revenue derived from small Chinese domestic consumers, who are favoured by the present flat, rates, will not be unduly increased,' This may be accom:
plished without inerensing and Probably after lessening the Giscrimination against, larger domestic and industrial consumers under present rates." The agreement made last year between the Company and the Council provided for a flat meter vote. When returns were avail able from those areas in which meters were first installed, it was found that individual tenants in and owners of low rental properties. had to pay considerably more than under the old fixed rate. In the Eastern area the average was over four times as much and con~ siderably more where gross waste had been occurring, With the Council's approval the Come pany therefore made a substantial rebate where charges were greatly in excess of the old rates to give property owners time to put their fittings in good repair and—above all—persuade their tenants to, exercise reasonable economy. The majority of the low rental property owners were satisfied with this treatment which, in fact, did credit to the Company's sense of fairness. It clearly followed the lines of Mr. Hill's" championship of the interests of the small Chinese owner. Tt had to be reinforced by patience with recalcitrants who refused to recognise the generosity of the rebate and refused to pay their authorised rates. The Company waited for several months and then had no option but to discontinue supply to those premises, taking care however to give tree water from the nearest street hydrant until the tenants had induced the ce posals made to the Council. Mr. Feng Ping-nan, who played most useful part in expounding the point of view of the con sumer and showed much public spirit in negotiation, suggested the advisability of ' giving an adequate quantity for good sanitation in consideration of a payment equivalent to 74 per feet. on the rental—the rate ruling before the institution of general metering. The notice published on Friday showed that, under the scheme adopted for an experimental period, the well-to-io residents are retired to pay at a rate four and a half times that paid by the poorest classes.
This new tariff is expected to produce the revenue wanted. It should eventually result in a considerable saving to the community in the amount previously paid by them for their water service—alvays provided
Text read from the printed page and cleaned; old type leaves the occasional error.