GOLDBERG: Council plans to send Calgarians’ water bills soaring need a second look

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Water bills for the average Calgary resident are set to rise under the plan drawn up by Mayor Jeromy Farkas and city council to address the city’s backlog of water infrastructure. Between 2027 and 2030, Calgarians will see their water bills increase by 74%, meaning the average customer would pay about $1,053 more each year by 2030 compared to this year. At the time, Calgary City Council is also said to be considering a 15% property tax increase for 2027.

At a time when nearly 50% of Canadians say they are $200 away from not paying their bills, that’s an increase Calgarians can ill afford.

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“Cost for our infrastructure”

Farkas seems to think Calgarians are on board with such a significant increase because of the scale of the infrastructure problem.

“I think Calgarians realize there is a cost to our infrastructure,” Farkas said. “And we could artificially reduce the amount of money that’s spent, we could artificially lower the rates that are charged, but that pushes down the road a future cost that just snowballs.”

But Farkas and his fellow politicians may not be thinking about the full scale of the costs of such an increase.

Calgary has seen its population boom as one of Canada’s fastest growing cities. Alberta’s tax advantage, coupled with the province’s strong economic growth, has made Calgary an attractive place for Canadians to relocate.

All of that could change when taxes and fees begin to rise at rates that newcomers and current residents simply cannot afford.

And then there is the impact that moves beyond the dwelling.

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Large businesses such as breweries, the construction sector, hotels, restaurants and the beverage industry all use a significant amount of water to operate. A cost increase of this dramatic scale could drive businesses out of Calgary, increase tourism costs, and make it more expensive for Calgarians to even eat at a restaurant.

And according to the city’s executive committee, large businesses will be hit even harder than the average household, with the average large-scale customer expecting monthly water bills to rise by 95% within three years.

If property taxes are at risk of increasing by 15% in 2027, imagine what politicians will have to do when businesses start closing their doors because they can’t afford higher costs.

Higher taxes and fees are not just a recipe for driving out residents; they are a recipe for driving away business, tourism and future investment.

Counselors worry

Fortunately, the feeling on the council does not seem to be unanimous. Coun. Dan McLean, who represents Ward 13, noted that if there are investments in infrastructure that need to be made, it is also necessary to “find some savings on the other side.” Coun. Jennifer Wyness, who represents Ward 2, also spoke about the “need to keep it affordable” and pointed to the possibility of more senior levels of government stepping in to help with infrastructure funding.

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Whether Calgary politicians can convince other levels to step in and help the city rebuild its aging water infrastructure remains to be seen. But either way, forcing such a steep increase on residents and businesses cannot be the way forward.

Council will vote on the proposed water rate increase at the end of October, with Council’s executive committee already approved the plan in an 8-2 vote.

If you don’t want to see water prices rise, businesses leave and tourism decline, now is the time to reach out to local politicians and make your voice heard. Farkas and the rest of the council need to know that their plan is not affordable for residents and businesses and cannot be allowed to stand as is.

Jay Goldberg is the North American Affairs Manager at the Consumer Choice Center

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