As of 1 August 2006, Stadtwerke Gießen AG (SWG) is increasing the transfer prices for water. "This is a moderate price increase. A domestic water meter will be 12 euros/year more expensive, a residential water meter 6 euros/year more expensive. This price increase is necessary in order to reflect the high fixed costs incurred in the water supply in the prices," says Manfred Siekmann, Chairman of the SWG Executive Board.
The new water prices in detail
The cost of a standard household water meter will increase by 12 euros (gross) per year. From August 2006, the meter will cost 54 euros instead of 42 euros per year. A flat water meter will then cost 42 euros instead of the previous 36 euros (gross). The volume price, on the other hand, will remain constant: Giessen drinking water will continue to cost 2.05 euros (gross) per cubic metre (m³). An average household with an annual consumption of 155 m³ of water will in future pay 371.75 euros (gross) per year instead of 359.75 euros (gross). The increase of 1 euro per month (12 euros per year) corresponds to an average increase of 3.34 per cent. Water customers do not have to inform SWG of their meter readings, as the volume price will not change.
Price and cost structure for water
In the water supply sector, the cost structure is characterised by high fixed costs and low variable costs. Conversely, prices are characterised by a strong preponderance of variable prices (volume price). The transfer prices are comparatively low. There is therefore an imbalance between the price and cost structure. The municipal utilities want to counteract this imbalance by increasing the transfer prices. This is because the fixed costs for the water network will remain constant, even if SWG's water sales continue to fall in the future. In order to allow consumers to participate in the high maintenance and infrastructure costs regardless of consumption, Stadtwerke, like most water suppliers, has a pricing system consisting of a basic price or transfer price for these costs and a volume price for the water consumed.
New pool prices from 7 August 2006
On 7 August 2006, the Westbad will reopen its doors after a three-week renovation phase. The admission prices for the indoor pools will also change on this date. In the indoor pool in the Ringallee bathing centre, however, this price increase will not take effect until 4 September 2006, as the Ringallee indoor pool will be closed for renovation work from 7 August to 3 September 2006. "This price change for the indoor pools is the first price increase in four years. It is necessary in order to at least partially offset the increased costs of the pools," said Reinhard Paul, Technical Director of SWG.
The new pool prices in detail
The following prices will apply from 7 August 2006:
- an adult admission ticket costs 2.80 euros in the Westbad (previously 2.50 euros) and 3.30 euros in the Ringallee bathing centre (previously 3.00 euros)
- a reduced admission ticket costs 1.80 euros in the Westbad (instead of 1.50 euros previously), 2.20 euros in the Ringallee bathing centre (previously 2.00 euros)
- a 10-person adult ticket costs 22.40 euros (instead of 20.00 euros previously) in the Westbad and 26.40 euros (previously 24.00 euros) in the Ringallee bathing centre
- a reduced 10-person ticket costs 14.40 euros (instead of 12.00 euros previously) in the Westbad and 17.60 euros (previously 16.00 euros) in the Ringallee bathing centre
- a 6-month adult ticket costs 84.00 euros (instead of 75.00 euros previously) in the Westbad and 99.00 euros (previously 90.00 euros) in the Ringallee bathing centre
- a reduced 6-month ticket costs 54.00 euros (instead of 45.00 euros previously) in the Westbad and 66.00 euros (previously 60.00 euros) in the Ringallee bathing centre
- a 6-month family ticket costs 168.00 euros (instead of the previous 150.00 euros) in the Westbad and 198.00 euros (previously 180.00 euros) in the Ringallee bathing centre.
All new prices can be found from August 2006 on the SWG website at www.stadtwerke-giessen.de.