Although not commonly thought of as a means of conservation, system development
charges (SDC) have important conservation implications. At a minimum, if properly
developed, and SDC provides a price signal to a builder (or developer) of the cost
of water capacity provided to the structure the developer built. This price signal
encourages builders to size their tap correctly rather than oversize the tap. Without
the price signal, builders have an incentive to oversize taps and, as a result, utilities
face higher potential capacity demands. Additional benefits are possible
if non-traditional SDC forms, such as lot-sized SDCs, are used. This paper will
review the purpose of an SDC, how SDCs relate to conservation, typical arguments
against SDCs, who should bear the cost of capacity, and the benefits of lot-sized
SDCs.
| Edition : | Vol. - No. |
| File Size : | 1
file
, 100 KB |
| Note : | This product is unavailable in Ukraine, Russia, Belarus |
| Number of Pages : | 7 |
| Published : | 01/01/1999 |