Thursday, March 03, 2011

Why local Chinese officials ordered one town's residents to use more water

"Sometimes you wonder how China has transformed itself into a global economic miracle when you hear what local planners here do.

The latest piece of puzzling authoritarian economics comes from the town of Chibi in the southern province of Hunan. Residents there are being forced to consume five tons of water per household per month in the middle of one of the worst droughts to hit China for decades.

The local water company (owned by the government) has complained that it costs 1.67 renminbi (about 25 US cents) to produce a ton of water, but that it is allowed to sell it for only 16 cents a ton.

The answer to this conundrum? Decree that every household must drink, bathe, and wash up more wastefully so as to consume (and pay for) more water. Residents complained to the Beijing Times that they are being made to pay for five tons a month regardless of their real consumption."


Source:
http://www.csmonitor.com/World/Global-News/2011/0301/Why-local-Chinese-officials-ordered-one-town-s-residents-to-use-more-water

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