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<br />East Cherry Creek Valley Water & Sanitation District <br />Water Conservation Plan <br /> <br />water use and water rates are fairly inelastic in terms of modifying people's behaviors. While the <br />potential benefits of rate structure strategies may be limited, they will continue to be pursued as <br />the District's primary message to encourage water conservation. <br /> <br />The impact of increasing water use efficiency can be both beneficial and can potentially create <br />problems. Benefits include energy savings; reduced pumping and distribution costs; postpone and <br />or reduce acquisition of further water supplies; reduced potable water pumping costs, and <br />curtailing the immediate requirement to build new facilities; and envirornnental protection by <br />reducing the degradation of surface and ground water levels. Potential problems which can occur <br />include reduction of water utility revenues; risk that conservation would not continue in the future: <br />growth inducement from increased supply; decreasing the ability of the public to save additional <br />water during drought conditions; and alteration of the quality of life for current customers and <br />residents. <br /> <br />AVERAGE DAILY DEMAND REDUCTION <br /> <br />Substantial variation is evident in the amount of water supplied per single family equivalent within <br />the District in the. years between 1988 through 1995. While the financial incentives associated <br />with the inverted block rate pricing structure have been expanded, the variability in water use <br />indicates that the primary factor driving water consumption is weather, not pricing strategies. <br />While the effects of a water conservation program based on encouragement rather than regulation <br />can be limited, the District has established a goal to attain a reasonable water use reduction over <br />the next five year period. The progress towards the attairnnent of such a goal will be measured <br />to determine whether or not long term planning projections utilized to determine water supply <br />needs can be revised. <br /> <br />6 <br />