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Fees & subsidies,
the pillars of the
French Water
Agencies
A short overview of the system implemented
in 1964
Arnaud Courtecuisse
Wednesday 27 Novembre 2019
22
Content of the presentation
1. The basis of the system :
1964 French Water Law
1. The fees : rate, collection
mode, key elements
1. The subsidies : Illustration of
the 11th action program
1. Conclusion : mains issues
dealing with the system and
its evolution
333
The 1964 French Water Law
26 regions,
101 “departments”,
36 700 communes
6 river Basin
6 Basin Committee (+ corsica)
6 Water Agencies
4
The main mission of the water agencies is to implement the water policy,
meeting national guidances but designed at basin level, by :
• collecting fees (environmental taxes) from the economic sectors (industry,
households, agriculture) who abstract water or discharge polluted waters,
• giving subsidies or soft loans to municipalities, industrial or agriculture
unit who invest for the reduction of pollution (i.e. waste water treatment
plant, clean process,….),
• preparing River Basin Management Plan (SDAGE) according to EU
Directives
The main missions of the Water
Agencies
5
6 River Basins : Basin
Committe + 6 water
Agencies
Fees for use and
pollution
SDAGE
(Masterplan)
6 SDAGE adopted
in 1996
• Objectives
• Programmes of
actions
• Legal content
EU WFD RBMP =
revised SDAGE
plus :
• Economic analysis
• Public consultation
• Transboundary
issues
• Reporting to EU
Water
Law
1964
Water
Law
1992
Water
Law
2006
WFD
Transcr
iption
2015 2021
WFD cycles
2027
6
2 Billion
Euros
per year
At river
basin
level
7
Local
Authorities
Users
32 Members
32 Members
STATE and State
bodies
16 Members
• Members nominated for representing
their stakeholder category
• Build and share a vision of the River Basin
• Vote the RBMP and fees tariffs
• Disseminate the decisions
• 6 years mandate
SYSTEMRULEDBYTHE
BASINCOMMITTEE
8
7 fees collected by the water agencies:
 water pollution
 water abstraction
 waste water discharged in sewage networks
 water storage in drought period
 using dams
 pollution by pesticides
 angling
WATER LAW defines for each fee
:
• potential fee payers and
exemptions
• legal basis
• maxima level tariffs
• threshold from which pollution
or abstraction leads to pay a fee
9
The rate of the various fees (examples)
14,4 c€/m3 for drinkable water supply
10,8 c€/m3 for economic uses
7,2 c€/m3 for irrigation
1 c€/m3 for irrigation by gravitation
Water Abstraction
10
The rate of the various fees (examples)
Domestic Pollution
Pollution : O,5 €/m3
Collection : 0,3 €/m3
« Roof rate »
11
The rate of the various fees (examples)
Non Domestic
Pollution
12
The collection of the fees
Water Abstraction and domestic pollution
Water Bill
20%
Water Abstraction and non Domestic
pollution for small economic unit
Water Abstraction and non Domestic
pollution for industry
Calculated and charged by the
Water Agency (e-process)
13
ED est l’énergie digestive de l’aliment utilisé, exprimée en
mégajoules.
Le résultat du calcul donnant l’assiette annuelle.
INDUSTRIE
ÉNERGÉTIQUE
CENTRALE NUCLÉAIRE
Production d’électricité :
Activité complémentaire à B100.
A calculer par mois.
B120 en circuit fermé GWh électrique produit (en net). 0, 045 A calculer par mois.
Activité complémentaire à B120.
A calculer par mois.
CENTRALE À FLAMMES
FONCTIONNEMENT
AU FIOUL
B200 Production d’électricité GWh électrique produit (en net). 1, 1 A calculer par mois.
Activité complémentaire à B200.
A calculer par mois.
0, 060, 21B210 Production d’électricité Emploi. 0, 91 2, 13 3, 04
0, 06B130 en circuit fermé Emploi. 0, 91 2, 13 3, 04
2, 13 3, 04
0, 21
0, 21 0, 06B110 ― en circuit ouvert Emploi. 0, 91
1, 7 A calculer par mois.B100 ― en circuit ouvert GWh électrique produit (en net).
87, 5 /
ED-
490 /
ED-
65-2.
ED-
CHAL OBSERVATIONS
A800 Pisciculture d’eau douce
Tonne d’aliments achetés pendant
l’année.
PISCICULTURE
NO P AOX METOX
NIVEAU FORFAITAIRE DE POLLUTION THÉORIQUE PRODUITE PAR UNITÉ
de grandeur caractérisant l’activité (exprimé en kg ; kéq ; siemens / cm x m ³ ou Mth)
DBO5
Code
d'activit
é
Libellé de l'activité polluante
Unité de la grandeur
caractérisant l’activité
DCO MES MI SELS NR
Polluting
Parameter
Type of activity. Example
: Nuclear Plant
Indicator for calculating the
activity. Example for Nuclear
Plant, the number of Giga
Watt produced
Quantity of polluting parameter for one unit of A
Example : one employee produces 0,91 kg of
DBO5
A
Le Tableau d’Estimation
Forfaitaire
14
The collection of the fees
Water Abstraction and non domestic pollution
of agriculture
Pesticides and fertilizers
Angling
Calculated and charged by the
Water Agency
Charged on the price of
products
Charged on angling license
15
Subsidies (2019-2024) : 1 114 Million Euros
Urban 60%
Industry 5%
Agriculture 9%
National Public
Body in charge
of environment
13%
International
1%
Functionning
10%
The subsidies
The 11th
Program of
Artois-Picardie
Water Agency
16
The subsidies
• global earmarking (not by type of fees nor users
• the subsidies are modulated by zone, content of project,…
• the 11th Program contribute to the WFD Program of Measures
17
18181818
Conclusion
s
What is a good water fees system ?
• fair and economically acceptable (i.e.
households and economic sectors will agree
to pay) and progressive
• cost-efficient (i.e. the ratio cost for
collection / money collected is good)
• collecting money and earmark it to the
financing of water
investments/measures
• Environmentally incentive (Threshold
values taking into account environmental
objectives)
1919191919
Conclusion
s
What is a good water fees system ?
• Provides data for the RBMP
202020202020
Conclusion
s
• PPP ?
• Earmarked fees = pragmatic approach
• Which evolution to come ?
21212121
Thanks a lot for
your
attention….and
ready for
questions

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Fees & subsidies, the pillars of the French Water Agencies

  • 1. 1 Fees & subsidies, the pillars of the French Water Agencies A short overview of the system implemented in 1964 Arnaud Courtecuisse Wednesday 27 Novembre 2019
  • 2. 22 Content of the presentation 1. The basis of the system : 1964 French Water Law 1. The fees : rate, collection mode, key elements 1. The subsidies : Illustration of the 11th action program 1. Conclusion : mains issues dealing with the system and its evolution
  • 3. 333 The 1964 French Water Law 26 regions, 101 “departments”, 36 700 communes 6 river Basin 6 Basin Committee (+ corsica) 6 Water Agencies
  • 4. 4 The main mission of the water agencies is to implement the water policy, meeting national guidances but designed at basin level, by : • collecting fees (environmental taxes) from the economic sectors (industry, households, agriculture) who abstract water or discharge polluted waters, • giving subsidies or soft loans to municipalities, industrial or agriculture unit who invest for the reduction of pollution (i.e. waste water treatment plant, clean process,….), • preparing River Basin Management Plan (SDAGE) according to EU Directives The main missions of the Water Agencies
  • 5. 5 6 River Basins : Basin Committe + 6 water Agencies Fees for use and pollution SDAGE (Masterplan) 6 SDAGE adopted in 1996 • Objectives • Programmes of actions • Legal content EU WFD RBMP = revised SDAGE plus : • Economic analysis • Public consultation • Transboundary issues • Reporting to EU Water Law 1964 Water Law 1992 Water Law 2006 WFD Transcr iption 2015 2021 WFD cycles 2027
  • 6. 6 2 Billion Euros per year At river basin level
  • 7. 7 Local Authorities Users 32 Members 32 Members STATE and State bodies 16 Members • Members nominated for representing their stakeholder category • Build and share a vision of the River Basin • Vote the RBMP and fees tariffs • Disseminate the decisions • 6 years mandate SYSTEMRULEDBYTHE BASINCOMMITTEE
  • 8. 8 7 fees collected by the water agencies:  water pollution  water abstraction  waste water discharged in sewage networks  water storage in drought period  using dams  pollution by pesticides  angling WATER LAW defines for each fee : • potential fee payers and exemptions • legal basis • maxima level tariffs • threshold from which pollution or abstraction leads to pay a fee
  • 9. 9 The rate of the various fees (examples) 14,4 c€/m3 for drinkable water supply 10,8 c€/m3 for economic uses 7,2 c€/m3 for irrigation 1 c€/m3 for irrigation by gravitation Water Abstraction
  • 10. 10 The rate of the various fees (examples) Domestic Pollution Pollution : O,5 €/m3 Collection : 0,3 €/m3 « Roof rate »
  • 11. 11 The rate of the various fees (examples) Non Domestic Pollution
  • 12. 12 The collection of the fees Water Abstraction and domestic pollution Water Bill 20% Water Abstraction and non Domestic pollution for small economic unit Water Abstraction and non Domestic pollution for industry Calculated and charged by the Water Agency (e-process)
  • 13. 13 ED est l’énergie digestive de l’aliment utilisé, exprimée en mégajoules. Le résultat du calcul donnant l’assiette annuelle. INDUSTRIE ÉNERGÉTIQUE CENTRALE NUCLÉAIRE Production d’électricité : Activité complémentaire à B100. A calculer par mois. B120 en circuit fermé GWh électrique produit (en net). 0, 045 A calculer par mois. Activité complémentaire à B120. A calculer par mois. CENTRALE À FLAMMES FONCTIONNEMENT AU FIOUL B200 Production d’électricité GWh électrique produit (en net). 1, 1 A calculer par mois. Activité complémentaire à B200. A calculer par mois. 0, 060, 21B210 Production d’électricité Emploi. 0, 91 2, 13 3, 04 0, 06B130 en circuit fermé Emploi. 0, 91 2, 13 3, 04 2, 13 3, 04 0, 21 0, 21 0, 06B110 ― en circuit ouvert Emploi. 0, 91 1, 7 A calculer par mois.B100 ― en circuit ouvert GWh électrique produit (en net). 87, 5 / ED- 490 / ED- 65-2. ED- CHAL OBSERVATIONS A800 Pisciculture d’eau douce Tonne d’aliments achetés pendant l’année. PISCICULTURE NO P AOX METOX NIVEAU FORFAITAIRE DE POLLUTION THÉORIQUE PRODUITE PAR UNITÉ de grandeur caractérisant l’activité (exprimé en kg ; kéq ; siemens / cm x m ³ ou Mth) DBO5 Code d'activit é Libellé de l'activité polluante Unité de la grandeur caractérisant l’activité DCO MES MI SELS NR Polluting Parameter Type of activity. Example : Nuclear Plant Indicator for calculating the activity. Example for Nuclear Plant, the number of Giga Watt produced Quantity of polluting parameter for one unit of A Example : one employee produces 0,91 kg of DBO5 A Le Tableau d’Estimation Forfaitaire
  • 14. 14 The collection of the fees Water Abstraction and non domestic pollution of agriculture Pesticides and fertilizers Angling Calculated and charged by the Water Agency Charged on the price of products Charged on angling license
  • 15. 15 Subsidies (2019-2024) : 1 114 Million Euros Urban 60% Industry 5% Agriculture 9% National Public Body in charge of environment 13% International 1% Functionning 10% The subsidies The 11th Program of Artois-Picardie Water Agency
  • 16. 16 The subsidies • global earmarking (not by type of fees nor users • the subsidies are modulated by zone, content of project,… • the 11th Program contribute to the WFD Program of Measures
  • 17. 17
  • 18. 18181818 Conclusion s What is a good water fees system ? • fair and economically acceptable (i.e. households and economic sectors will agree to pay) and progressive • cost-efficient (i.e. the ratio cost for collection / money collected is good) • collecting money and earmark it to the financing of water investments/measures • Environmentally incentive (Threshold values taking into account environmental objectives)
  • 19. 1919191919 Conclusion s What is a good water fees system ? • Provides data for the RBMP
  • 20. 202020202020 Conclusion s • PPP ? • Earmarked fees = pragmatic approach • Which evolution to come ?
  • 21. 21212121 Thanks a lot for your attention….and ready for questions