Water utility rates for most Kelowna residents will likely be increased 6 to 7 per cent annually for the 'foreseeable future.'

The information is contained in a report to council that says the increases are needed to address issues related to renewal, growth and inflationary pressures. 

香蕉视频直播淗istorically, water rates in Kelowna have been some of the lowest in the valley," the report states. 香蕉视频直播淜elowna has the lowest water costs for a single-family home of 35 Canadian cities that participate in a national benchmarking program.香蕉视频直播�

Graph showing 2024 Water Rate comparison between the City of Kelowna and other municipalities. Image | City of Kelowna

The report highlights that the city香蕉视频直播檚 non-potable system is, on average, over 50 years old and has seen minimal renewal. Investment in the system is projected to exceed $3 million per year by 2033. City staff will seek agricultural grant opportunities to aid in its renewal.

On January 1, 2025, the city will take over the Glenmore Ellison Improvement District (GEID). The water rates for that system will be established this fall by the GEID board. Council will set these rates starting in fall 2025, aiming to merge them with the city's rates by 2028. 

Continued development and population growth will put additional pressure on Okanagan Lake and its creeks, according to the report. To address future needs, the water utility is ensuring that land is available near water sources for more advanced treatment facilities.

香蕉视频直播淔inancial analysis shows that using internally financed debt to help fund our 10-year capital plan will allow the utility to be sustainably funded with ongoing annual rate increases in the realm of 6 to 7 per cent,香蕉视频直播� the report says.

The table above shows the projected revenue and spending for the utility over the next five years. In all years, an annual deficit is expected but will be funded using the utility fund balance (reserves), DCC reserves, and developer contributions. This five-year plan will significantly reduce the utility fund balance but is expected to recover over the following five years. Image | City of Kelowna

The City of Kelowna water utility is one of four water operators within municipal boundaries, providing potable water to approximately 86,000 residents, as well as commercial and industrial customers.