**Part 5**

**Water Demand / Water Pricing** 

258 Current Issues of Water Management

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**12** 

*Taiwan* 

**The Willingness to Pay of Industrial** 

*1Department of Environmental and Cultural Resources,* 

*2Environment and Development Foundation, Hsinchu,* 

*3Water Problems Enterprise Information & Incubation Center, Tainan Hydraulics Laboratory, Water Resources Agency,* 

*Ministry of Economic Affairs/ National Cheng Kung University,* 

*National Hsinchu University of Education,* 

Yawen Chiueh1, Hsiao-Hua Chen2 and Chung- Feng Ding3

**Water Users for Reclaimed Water in Taiwan** 

Water resource in Taiwan is mainly delivered through diversion from river, regulation of reservoir and groundwater extraction. Diversion from river is dependent on hydrological conditions on yearly bases. Reservoir regulation is unpredictable and subject to actual conditions of the watershed, and moreover, building a reservoir involves huge funding and takes a long time in addition to frequent confrontation of questioning and protests of environmental groups. As for groundwater extraction, land subsidence resulting from excessive groundwater extraction leads to national land conservation issues. Considering natural restrictions and environmental policies, wastewater reclamation has become an important topic when the government seeks for new water sources. Aiming to resolve the supply of water resource, the government is progressively promoting the wastewater reclamation industry and exploiting the corresponding market. With provision of statutes that favor the development of wastewater reclamation industry as well as financial setup that supports relevant technologies, the government expects to counsel the private sector to participate in establishing a wastewater reclamation industry that conforms to the trend of

Taiwan has had a wastewater reclamation industry of the produce/use model instead of the produce/supply model. The produce/use mode is the situation that the supplier and user of the reclaimed water are the same. The reduce/supply mode is the situation that the supplier and user of the reclaimed water are different. The main reason is that the government has encouraged the industry to achieve "process recycle ratio" and "total plant recycle ratio" for more than 10 years, and there have been operators in Taiwan engaged in wastewater reclamation plants of "produce/use" model. However, wastewater reclamation plants of the "produce/supply" model still remain in the Model Plant stage and require successive fostering. Even in advanced countries such as EU, USA or Japan, there had been a number of barriers hindering the promotion of wastewater (sewage) reclamation; one of them is the dominant insufficiency of user confidence over quality and safety of the reclaimed water. In

**1. Introduction** 

green ecology.
