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A sane water plan?

By johnboy - 27 March 2007 32

The Canberra Times is reporting that the colourful Kevin Cox has popped up with a scheme to let people pay through the nose to consume large amounts of water and give a portion of that money to those who conserve.

Heavy users would then pay almost twice the price for their water.

But households that use less than the sustainable level would be rewarded according to the amount of water they had saved.

Dr Cox expects people to opt-in to the system for both selfish and altruistic reasons.

“I think that people would be willing to pay more if they could put up a sign on their lawn saying, ‘we’re a Water Rewards member, don’t bug us about our green lawn’,” he said.

Better late than never.

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32 Responses to
A sane water plan?
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cscoxk 8:59 am 08 Apr 07

Thanks for the positive comments on Water Rewards. There are still some misunderstandings but most people seem to get it. Water Rewards is a voluntary system, and it will be a not for profit and we hope ultimately owned and controlled by people who join. It would be of great assistance if you could give your feedback so we can improve it. Go to

Which is, of course, completely different to auto insurers who discriminate/differentiate based on age, gender, location, driving history and vehicle type.

Ralph 2:10 pm 29 Mar 07

I have often wondered why health insurance doesn’t offer no-claim or low-claim bonuses like car insurance.

I think this is because there is some ridiculous law that prevents health insurance companies from discriminating/differentiating customers.

“why stop with this sort of system for water? Lets use it for education, health, electricity.

I have no kids and i keep fit so i haven’t seen the inside of a hospital in 15 years. Where is my check? “

I have often wondered why health insurance doesn’t offer no-claim or low-claim bonuses like car insurance.

johnboy 10:30 pm 27 Mar 07

The article was clearing referring to bonds in the water infrastructure to be paid for by the heavy water users and distributed to the water efficient.

They might have to hold onto them until they mature but it’s still a huge chunk of cash and about as socially progressive a levy on consumption as it is possible to imagine.

Note: If you do not know what a bond is then look it up before commenting please.

bigred 10:00 pm 27 Mar 07

It is people like Kev who got us into the GDE imbroglio. Alarm bells should be going off about anything he proposes.

Hugo 8:40 pm 27 Mar 07

Fungibility? Why do I have this sinking feeling (pun intended) that the economists have found themselves a new playground – our environment?

Pandy 7:35 pm 27 Mar 07

VY you are NOT allowed to water your lawn with a hose.

AS for Kev, he is a nutter.

caf 4:23 pm 27 Mar 07

Mmm, but water rights are fungible because one “1000 litres water right” is just as good as another “1000 litres water right” (or two “500 litres water right”), not because you can sell them. I understand you were simplifying but I think you might have simplified it a bit far 🙂

Ralph 3:27 pm 27 Mar 07

Well bugalugs, I take it from your tone that you will be standing (again) as an independent at the next ACT election?

Come on then, spit out your wonderous alternative proposals (as opposed to fence sitting and firing off pot shots).

Jazz 3:13 pm 27 Mar 07

I was referring to selling the rights to the water. the commodity itself is still the same. perhaps i didnt make that clear.

caf 2:48 pm 27 Mar 07

Jazz: not quite, fungibility means that one example of the commodity can be substituted for another (eg crude oil is the canonical example of a fungible commodity, because one barrel is exchangeable for another).

The concept you describe sounds more like tradeability.

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