The Association of Portuguese Municipalities says water tariffs set by ERSAR violate the autonomy of local authorities

The president of the Association of Portuguese Municipalities (ANMP) on Tuesday criticised the decision that allows the Water and Wastewater Services Regulatory Authority (ERSAR) to set water tariffs for “violating the autonomy of local authorities”.

This change, which “allows ERSAR to set tariffs, deserves our rejection or, better yet, our strong opposition, since it clearly violates the autonomy of local authorities,” defended Luisa Salgueiro (PS).

Following the meeting of the ANMP Board of Directors today in Coimbra, the President of the City Council of Matosinhos also stressed that it is the municipalities that must set the tariffs for the services provided in their territory.

In his opinion, these tariffs should be set by municipalities based on the conditions of the territory itself.

“The tariffs in force in our municipalities should not be set by an external body,” he added.

In an interview with Lusa, Luisa Salgueiro noted that municipalities are opposed to the decision, which “contradicts the changes.”

“At first it seemed possible, then this possibility was cancelled and transferred to the municipalities. So now it is a failure, and ERSAR again has this competence, which we are disputing,” he said.

A fundamental position against the introduction of ERSAR tariff differentiation was submitted by ANMP to the government on 20 August, which states that tariffs must be adapted to the economic and social reality of each territory.

“In the logic of public services, and not in a purely economic-financial logic, under threat of raising tariffs to socially unacceptable levels, especially in the most economically disadvantaged, more dispersed and less densely populated regions of the country,” it says: “This is based on the opinion of the ANMP, to which Lusa had access.

The document also states that “the solution will include ensuring the economic and financial sustainability of the systems, which cannot be done through tariffs alone, and serious thought must be given to the introduction of equalisation mechanisms based on solidarity between the systems.”

The opinion was requested from ANMP by the government on August 9, one day after the Council of Ministers approved the decree-law defining tariffs, tariff revenues and other amounts to be collected.