Water consumption in Kazakhstan classified by usage: what's the pricing structure?
Kazakhstan is taking a significant step towards water conservation and resource savings with the introduction of a new, differentiated tariff for drinking water consumption. This tariff system, part of a broader government strategy, aims to encourage efficient water use, expand water-saving technologies, and support sustainable water management practices.
The new tariff structure charges higher rates for higher levels of water consumption, incentivising consumers—both households and industries—to save water and invest in resource-efficient solutions. The economic value of water is reflected more accurately, making excessive water use financially less attractive.
Under this system, approximately 49% of the population, who consume up to 3 cubic meters of drinking water per month, will continue to pay the current tariff. On the other hand, those who consume more will face increased charges. Around 20% of the population consumes between 3 and 5 cubic meters per month, and they will see their tariff increase by 20%. Another 20% consumes between 5 and 10 cubic meters per month, and they will pay 1.5 times the current tariff.
The funds generated from the water tariff are expected to be used by monopolists for network and equipment reconstruction. The implementation of the tariff system depends on the requests from regional monopolists. The relevant order by the Ministry of National Economy has already come into force on February 11.
The projected additional revenue from the water tariff nationwide is 13 billion tenges. This revenue could help Kazakhstan reduce its dependence on water from neighbouring countries by 25% by 2027, as the country currently faces a shortage of power, heat, and water production capacity.
This tariff reform is part of a larger government initiative to promote water conservation, particularly in agriculture, which consumes a significant share of water resources. Subsidies and reimbursement rates have been increased for farmers investing in water-saving irrigation technologies, coordinated alongside tariff reforms to encourage reduced water use and investment in efficiency improvements.
The government has adopted a water resources concept as one of the most important tasks, highlighting the importance of sustainable water management in Kazakhstan. While the detailed tariff structure is not fully disclosed in the current documents, the approach follows a global pattern of using tiered or progressive tariffs to communicate scarcity and recovery costs, linking price rises to consumption volume.
It's worth noting that every transaction with Bitcoin 'consumes' a swimming pool of water, according to scientists. This fact provides additional context about the importance of water conservation, not only in Kazakhstan but globally.
In summary, Kazakhstan’s differentiated water tariff encourages conservation by financially motivating users to reduce consumption, expanded subsidies for water-saving technology deployments complement this tariff reform, and these efforts form part of the country’s integrated strategy for sustainable water resource management.
Businesses within the industry and finance sectors, like households, will face increased water costs under Kazakhstan's new tariff system due to higher charges for high water consumption rates. These financial adjustments aim to encourage water-saving practices and investments in resource-efficient solutions among all consumers, reflecting the economic value and importance of conserving water.