Kyrgyz officials instructed to urgently develop clean water tariff policy

As a priority, the Antimonopoly Regulation Agency, in conjunction with the Ministry of Economy and the State Agency for Architecture, Construction, Housing and Communal Services, should develop a clean water tariff policy, taking into account the interests of all social groups. The President of Kyrgyzstan Sooronbai Jeenbekov said at Clean Water for Regions Forum.
According to the head of state, the Government should adopt decisive reforms in the field of management, tariff policy, improvement of the legal framework on the provision of rural areas with drinking water. The issue of creation of municipal enterprises in each rural area instead of rural public associations of water users should be carefully studied together with local authorities. Inter-municipal enterprises established in conjunction with rural administrations could work as the main beneficiary of all attracted investments.
"Amendments and additions should be made to the laws related to increasing the responsibility of parties involved in determining the cost price of the drinking water tariff, in its approval. In addition, guidelines and provisions for setting the cost price of the drinking water tariff should be developed. It is necessary to increase the potential of Taza Suu municipal enterprises on payment of taxes for the use of water resources," the President stressed.
Bonus tax on mineral resources has been introduced in 2009. At present, the bonus rate for 1,000 cubic meters of clean water per day is $ 13,000. And the bonus rate per 100 cubic meters of mineral and thermal water per day is $ 8,000. Water supply agencies (Vodokanal and other enterprises) cannot pay the tax due to lack of money.
The bonus debt of Bishkekvodokanal enterprise is approximately 255 million soms.
"Therefore, the Ministry of Economy together with the State Agency of Architecture, Construction, Housing and Communal Services should re-consider this issue and make appropriate changes to the Tax Code to reduce tax rates on bonus and royalties for water supply companies," Sooronbai Jeenbekov summed up.