Los Angeles Department of Water & Power Achieves Demand Management Goals with Unique Volumetric Rate Structure and Long-Term Planning

Case Study

The Los Angeles Department of Water and Power (DWP) serves the City of Los Angeles and some small adjacent areas. The City’s increasing block rate was developed from a Citizens Blue Ribbon Committee in 1993 and has been widely seen as a success that helped flatten water demand in spite of a growing population and economy. DWP’s rate structure has maintained required utility revenues, reinforced incentives to use water efficiently, and has achieved broad customer acceptance within a major metropolitan area having a diverse customer base.