The Superintendencia de Servicios Públicos Domiciliarios (Superservicios) and industry group Andesco are debating reductions in remuneration rates within the new tariff framework for drinking water and basic sanitation services. Rates will drop from 12.28% to 8.58% for large companies and from 12.76% to 9.1% for small ones. Superintendent Felipe Durán Carrón defends the change to prevent passing inefficient costs to users, while Andesco warns of risks to investment and service quality.
The Ministry of Housing, along with the Water and Basic Sanitation Regulation Commission (CRA) and Superservicios, introduced the new tariff framework aimed at shielding users from charges tied to inefficiencies.
Felipe Durán Carrón, Superservicios superintendent, argued that the current system lets companies recover investments via tariffs over 10 years without fully executing them. "It reduces the remuneration rate allowed for service providers on investments," he explained, noting incentives for environmental investments, energy efficiency, and clean energy sources.
Andesco, led by president Camilo Sánchez, challenges the compatibility of the cuts with new requirements, such as a water loss standard of 4 m³ per user per month, which they deem miscalculated. "This standard does not match the real conditions of service provision and territories," the group stated, warning it will discourage investments by treating them as low-risk.
CRA director Gloria Narváez said the preparation phase starts June 1, 2026, and ends December 31, with the framework taking effect January 1, 2027.
