tMetering water consumption and innovative meter-based billing practices have been advocated byeconomists as essential ingredients for effective water management.
This paper scrutinizes the processof introduction of metering for municipal water supply in Armenia.
The primary objective is to analyzethe transition to a water-metering based system, focusing on the associated transformations in the watergovernance and the effects of water metering on household consumers and on the operation of watercompanies.
This paper reveals that within a short period of time the water metering reached a near-universal level with some utilities of 99%. Individual apartment rather than building block level meteringmakes it a unique case.
Metering improved reliability of water supplies and increased water use effi-ciency.
The water conservation effects of metering were higher during the initial period after installationof meters and the last period of 2009–2010 when the tariffs increased. In the short-run, a nearly fourtime decline in residential water demand was observed.
However, substantial cuts in water bills observedby households and absence of price increase resulted in a rebound of consumption by up to 70%. In thelong-run, metering was accompanied by a 48% reduction of residential water demand, even in view ofimproved water supply services, such as daily duration.
Finally, simplification and clarification on metertesting and replacement procedures can be crucial for water loss prevention measures.