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<br />. Protection of the Environment. Efficient water use can translate into less water <br />diversion from streams, lakes, and reservoirs, and reduced mining of groundwater <br />basins. <br /> <br />· Reduction in Utility Costs. Reducing the water demand usually results in lower <br />utility operating costs and fewer or reduced capital improvement expenditures which <br />translates into reduced water rates and tap fees. <br /> <br />Potential Problems <br /> <br />· Reduced Utility Revenues. When increasing water-use efficiency is community- <br />wide, water and wastewater utilities become concerned about reduced utility <br />revenues. However, water conservation measures that are also cost effective to the <br />utility will need less revenue to cover lower operating expenses. Therefore, <br />conservation induced reductions in demand and revenues versus increases in demand <br />and revenues from projected growth need to be considered. <br /> <br />· Interference With Sound Operating Practices. Water distribution systems need <br />periodic flushing to remove accumulated sediment and slimes. The frequency of <br />flushing should not be extended beyond good practice intervals under pressure to <br />meet the conservation goal of reducing overall per capita water usage. This would <br />not be in the best interest of public health. <br /> <br />· Delay in Construction of Needed Water Supplies. Water conservation may postpone <br />the date when construction of facilities for additional supply capacity is needed. <br />This is usually a favorable effect. However, during the delay, inflation may <br />increase construction costs, affecting a utility's ability to finance needed projects. <br />Utilities with bonding or budget limitations on capital improvements are especially <br />susceptible to the adverse affects of cost inflation. <br /> <br />· Increase in Drought Vulnerability. Increasing water-use efficiency under normal <br />conditions (a permanept demand reduction) may make additional savings during a <br />drought m-emergency more difficult to achieve. . <br /> <br />· Short-term Versus Permanent Water Demand Reduction. A clear distinction <br />between short-term demand reduction (emergency or drought induced measures) and <br />long-term demand reduction (permanent water conservation measures) is important <br />for the following reasons: (1) the time period required to implement the measures <br />varies markedly, that is, some measures cannot be implemented quickly enough to <br />meet a short-term emergency; (2) the public may be willing to cooperate with some <br />measures (such as severe reduction in landscape watering and limited flushing of <br />toilets) only on an emergency basis; (3) the long-term savings of some retrofit <br />devices (toilet dams or flow restrictors for showers) may be less than the short-term <br />savings of the same devices during an emergency because customers may remove <br />them; and (4) reduction in demand from long-term conservation measures is <br />available for supply, whereas, emergency measures during a drought influence only <br /> <br />-4- <br />