Ho Chi Minh City will provide potable water at higher prices from March this year, and prices will be increased every year until 2013, the city’s sole water supplier said at a press briefing Friday.

For those using 4-6 cubic meters a month, the price will go up to VND7,500 in 2010, VND8,300 in 2011, VND9,200 in 2012 and VND10,200 in 2013, he said.

Larger volumes will cost VND10,000 a cubic meter in 2010, VND10,500 in 2011, VND11,000 in 2012 and VND11,400 in 2013.

Manufacturing establishments will pay VND6,700 per cubic meter in 2010, while service providers and state agencies will pay VND12,000 and VND7,100 respectively. These prices will be raised by around 10 percent every year until 2013, Phu said.

The prices are being raised to help Sawaco be more independent in raising funds and investing in improving the pipeline system, the city government said.

Water leaking from underground pipes broke on Nguyen Dinh Chieu Street early this month and caused two holes on the road that connects the Cat Lai Port with the downtown area in November.

In related news, Hanoi had last week announced higher water prices starting January 1, to meet higher costs and increasing demand.

Reported by Minh Nam – Phuong Thanh