Water utility revenues differ greatly depending on a number of factors, including company status (private or government-owned), pricing policy, rates charged, rate structure and billing frequency. A water utility’s main source of revenue comes from charges for water supply and various other fees, such as fixed charges, volumetric rate charges, interest income and non-operating income (such as property leasing or contract services). In general, operating revenue must be sufficient to cover costs of operation, maintenance, and infrastructure investment. Other issues, such as unauthorised consumption, data handling problems, and customer meter inaccuracies can also lead to decreased revenue and should not be underestimated.
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