'New tariff framework for water and sewage could increase rates and generate uncertainty in the sector': Andesco

TL;DR

The new tariff framework impacts 188 large water and sewage service providers in Colombia, serving over 34 million inhabitants.
Andesco warns that the framework, while aiming for modernization, risks increasing user tariffs due to a lack of adequate transition periods and substantial changes from previous versions.
The association questions the regulatory process, stating that significant changes were made after the public consultation period, preventing stakeholders from commenting on the final adopted version.
A key concern is the absence of a sufficient transition period for the new framework, set to take effect on July 1, 2026, which Andesco believes is insufficient for necessary technical and administrative preparations.
Andesco fears the new obligations, including environmental investments and risk management, could lead to increased service costs and impact the financial sustainability of service providers, potentially affecting service quality and continuity.
Andesco has informed the Attorney General's Office and the Comptroller General's Office of potential damages associated with the new tariff framework.

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