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2023: Increase in the price of water in Hanoi

After 7 years of no adjustment, it is expected that by 2023, the price of clean water in Hanoi will have a new adjustment towards an increase.


In early 2023, the wholesale price of clean water from Duong River Surface Water Joint Stock Company increased to more than 8,000 VND/m3. With the retail water usage norm of less than 10 m3 of 5,973 VND/m3 (about $0.25) (applied from 2015), the more retail distribution enterprises sell, the more they lose. Duong River Surface Water Joint Stock Company has just announced to the units selling clean water about the price adjustment. Accordingly, the roadmap to adjust the wholesale price of clean water increases from 5,059 VND/m3 to 8,326 VND/m3 (about $0.36) in 2023, and continues to increase to 9,100 VND/m3 (about $0.39) in 2024. The detailed price is shown as below.

Amount​

Unit price (USD)

VAT (5%)

Environmental fee (10%)

Total price

First 10m3

0.25

0.013

0.025

0.29

10 - 20 m3

0.30

0.015

0.03

0.35

20 - 30 m3

0.37

0.018

0.037

0.43

30 m3 +

0.68

0.034

0.068

0.78

Commenting on the shortcomings in the production and distribution of clean water today, Mr. Nguyen Quang Dong, Institute for Policy Studies and Media Development (IPS) said that there is a paradox, if water prices are not adjusted , businesses cannot afford to pay, but if the price is too high, people will not have access to clean water.



Accordingly, currently the price of clean water is regulated by the Government. Specifically, the Ministry of Finance stipulates the price bracket, method of price calculation, and normed profit nationwide, while the provincial People's Committee decides to approve the price of clean water in their locality but does not exceed the price bracket set by the Ministry of Finance. Thus, water prices in different localities are different to be suitable for the standard of living of the area.


Currently, the price of clean water for daily life in Hanoi is applied according to Decision 38 dated September 19, 2013. Accordingly, with the first 10 cubic meters, 5,973 VND/m3 (about $0.25) and a maximum of 15,929 VND/m3 (about $0.68) when using more than 30 cubic meters (applied from October 1, 2015). Hanoi currently has 6 enterprises producing and supplying main sources of clean water, including: Hanoi Clean Water One Member Limited Liability Company, Song Da Clean Water Investment Joint Stock Company (Viwasupco), Ha Dong Clean Water One Member Limited Liability Company, Son Tay Water Supply Joint Stock Company, Duong River Surface Water Joint Stock, Ha Nam Water Plant.

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