Ovidius University Annals: Economic Sciences Series (Jan 2020)
The Cost Equation of Sewage Services in Romania
Abstract
The aim of the research is to achieve a multiple linear regression related to the cost of the sewerage service. This cost equation allows us to analyze the effect of changing the cost elements in the tariff structure of sewerage and wastewater treatment, both at the enterprise level and at the level of the national economy. It is a real challenge to shape the effect of changing social policies that have implications on wage, energy and other costs and on the sewerage tariff. The equation was based on data provided by regional water and sewerage operators in Romania for the period 2012-2019. With the help of the resulting multiple linear regression we can predict the level of increase of the sewerage-treatment tariff applied by the regional water and sewerage operators in Romania, as an effect of the changes of the different cost elements. The results of this research can be useful and interesting both for drinking water and sanitation regulators and for researchers.