Expenditure and revenue of water boards

Water boards spent 2.2 billion euro on the execution of their tasks, 5.1 percent more than in 2002. About 80 percent of operating costs are covered by water board taxes. In 2003 environmental and head tax proceeds amounted to 1.8 billion euro, 6.3 percent more than in 2002.

Financial coverage operating costs water boards

Financial coverage operating costs water boards

1.3 billion euro for water quality control

In 2003 water board authorities spend 0.9 billion euro, close to 40 percent of the total budget, on traditional water board activities and some 1.3 billion euro, i.e. 60 percent of their budget, on water quality control.

Extra costs property re-evaluation

Costs of goods and services increased in 2003 to almost 0.8 billion euro, over 18 percent more than in 2002. The increase is almost entirely the result of payments to the municipalities to cover the costs of the re-evaluation of property. Head taxes imposed by water board authorities are partly based on these re-evaluations.

Typically, water board authorities annually spend a substantial sum of money, about 150 million euro, on the discharge and processing of sludge.

Less money invested

In 2003 water board authorities invested more than 0.7 billion euro, 9 percent below the amount in the record year 2002, when 0.8 billion euro was invested. The reduction was the result of the completion of some major investment projects, for instance, a unique, inflatable flood-control system in the western part of the province of Overijssel and the reinforcement of some river embankments.

Financial coverage for water quality control, 2003

Financial coverage for water quality control, 2003

Costs largely covered by tax proceeds

Expenditure is largely covered by taxes imposed by water board authorities. The costs of water quality management are covered by the proceeds of environmental taxes which amounted to 1.1 billion euro in 2003. More than 0.3 billion euro was collected from the private sector and 0.8 billion euro from households. Thus 84 percent of operating costs of water quality control was covered by environmental tax proceeds.

Financial coverage traditional water board activities, 2003

Head taxes imposed by water boards serve to cover the costs of activities traditionally executed by water boards. The proceeds of these taxes totalled 0.7 billion euro in 2003, enough to cover more than three quarters of the costs of traditional activities. 

Water boards are, to a large extent, capable of covering their own costs and indeed, financial contributions by the government, provinces and municipalities are small, i.e. only 63 million euro in 2003.

André Michel