💧 Water Savings

Does Reducing Your Water Consumption Also Lower Your Sewer Bill?

Often, but not always: a commercial property may see lower sewer charges when its local tariff calculates wastewater charges from the same water-meter usage. Savings may not follow where charges are flat, seasonal-average, tiered, capped, fixed, or based on a separate sewer meter. Confirm the account formula before projecting savings.

Perfect Water Valve Team·June 2, 2026·5 min read

If your facility is exploring ways to reduce operating costs, water efficiency is often the first place to look. A secondary benefit may be available when the sewer tariff uses the same water-meter usage, but that depends on the billing formula for your individual account.

Here is how that works, where it applies, and what it means for your bottom line.

How Can a Commercial Property Lower Its Sewer Bill?

Start with the account's wastewater tariff. If the variable sewer charge is calculated from metered water use, reducing the billed meter volume may lower that variable charge. The practical first step is to separate variable charges from fixed fees and then model the lower meter reading against the utility's published formula.

Are Water and Sewer Bills Separate or on the Same Bill?

It depends on the utility. Some commercial properties see water and sewer as separate line items on one statement, while others receive separate bills from different providers. A shared statement does not mean both charges use the same formula, so review each line item and the supporting rate schedule.

What Is the Difference Between Water and Sewer Charges?

Water charges generally cover delivery of potable water to the property. Sewer or wastewater charges generally cover collection and treatment after water leaves the property. Because many utilities do not meter wastewater directly, they may use water-meter usage as a billing proxy—but the rate, fixed charge, and exceptions can differ.

How Do Commercial Sewer Bills Work?

Some commercial sewer bills use incoming water-meter readings to calculate usage-based charges rather than measuring wastewater separately. Others use averages, minimums, approved deductions or a separate wastewater meter. Your account’s published tariff determines which method applies.

When sewer charges respond to current water-meter volume, a lower billed reading may reduce that variable charge. Fixed fees and other charges may remain unchanged. Confirm the commercial account rules rather than applying a residential example to your building.

These utility sources describe account-specific billing rules:

  • •Portland, Oregon (Portland Water Bureau): Nonresidential sewer charges generally use actual metered water use, with exceptions for the utility’s submeter program. Residential averaging rules differ.
  • •Los Angeles, California (LA Sanitation): LA Sanitation calculates commercial sewage volume using billing-period water supplied and a discharge percentage. Approved adjustments can account for water that does not enter the sewer.
  • •New York City: Metered accounts have sewer charges linked to water charges. Confirm that your property uses metered billing and check the current Water Board rate schedule.
  • •Washington, DC (DC Water): Water and sewer charges include usage-based amounts, while charges such as the Clean Rivers Impervious Area Charge and meter-related fees use other bases. Not every bill item falls with water use.
  • •Colorado Springs Utilities (PDF, page 7): The nonresidential tariff generally bases wastewater volume on billing-period water, less approved consumptive-use or irrigation adjustments. Separate wastewater-meter and other provisions can apply. Do not substitute the residential winter-average rule.
  • •Lehi City, Utah: City code addresses water consumed without entering the sewer and approved separate sewage metering. Confirm the current commercial rate schedule and any permitted adjustment with the city before estimating savings.

These examples show why the water bill and sewer bill should be reviewed together. They do not establish a universal rule for every municipality or commercial account.

What This Means for Your Facility

If your commercial property is billed for sewer based on water meter readings, a practice that reduces metered water consumption may reduce both line items. The result is not automatic: confirm how your account handles fixed charges, minimums, seasonal averages, caps, and any water that does not enter the sewer system.

For project-specific context, review the published Smart Valve™ results portfolio separately from your local sewer tariff. Hospital teams can also use the hospital water-cost guide when reviewing facility demand and billing.

Example calculation:

Illustration only: assume $8,000 per month in variable water charges and $6,000 in variable sewer charges, with both changing directly in proportion to billed meter volume. A 20% reduction in that volume would reduce these charges by $1,600 and $1,200—$2,800 per month combined. Fixed fees are excluded. This is a hypothetical gross utility-bill reduction before installation or program costs, not a forecast of Smart Valve performance. Use your account’s actual tariff and project terms to estimate net savings.

The possible combined effect is tied to how your utility calculates sewer charges; it should be modeled from your own bill rather than assumed.

When Does Reduced Water Use Not Lower Sewer Charges?

Reduced water use may not lower sewer charges when the account uses flat-rate charges, a minimum bill, seasonal or winter averages, caps, tiers that are not reached, or a separate sewer meter. Water used for irrigation or other non-sewer purposes may also be handled differently. These details are set by the local tariff, not by a general rule.

How to Check Your Municipality's Sewer Billing Method

Do not assume the sewer line item changes with lower water use until you confirm your municipality's billing method. Check these items:

  1. Find the sewer or wastewater line item and note whether it changes with current metered use.
  2. Look for a fixed charge, minimum bill, cap, tier, seasonal average, or winter-average rule.
  3. Ask the local water authority whether commercial accounts use a separate sewer meter or a water-meter formula.
  4. Use the published rate schedule to model the effect of a lower meter reading before treating it as savings.

If you are unsure, Perfect Water Valve can help you review your current billing structure as part of the free site assessment process.

How Smart Valve™ Affects Both Bills

Flow Dynamics describes Smart Valve™ as maintaining pressure near the meter to limit the expansion of entrained air and manage flow conditions. The effect on billed meter volume is property-specific; a reduction in billed volume is not, by itself, proof of the same reduction in physical water consumption. Any sewer-charge change also depends on the property’s billing formula.

For qualifying properties, an assessment may lead to written Smart Valve™ performance terms for metered water savings after the contract is confirmed. In municipalities where sewer charges use water-meter readings, any lower sewer charge depends on that local formula; sewer savings are not guaranteed.

Published water-meter evidence, including the Amazon YYZ3 case study, should be read separately from local sewer billing outcomes. For the device mechanism and technical reference material, see the AWS Hybrid Technical Guide.

A commercial property with approximately $5,000 or more per month in combined water and sewer charges may be worth screening for a site-specific assessment. Actual site fit and savings are assessment-specific and depend on the property and its billing structure.

Frequently Asked Questions

Q: Does reducing water consumption lower your sewer bill?

A: Often, but not always. If your municipality calculates commercial sewer charges from your water meter, lower metered consumption can lower both line items. Flat-rate, seasonal-average, tiered, capped, or separately metered accounts may work differently.

Q: Does the Smart Valve™ guarantee sewer bill savings?

A: No. Any written Smart Valve™ performance terms apply to qualifying water-meter savings after assessment and contract confirmation. Sewer savings depend on your municipality's billing method, so the local sewer charge must be confirmed separately.

Q: How do I know if my municipality calculates sewer charges from water usage?

A: Review the water and sewer line items on a recent commercial bill, then confirm the formula and any caps, seasonal averages, or fixed charges with the local water authority.

Q: Does this apply to residential properties too?

A: Residential sewer billing methods also vary. Some municipalities use winter-average water use rather than current consumption, and this Smart Valve™ program is designed for commercial and multi-residential properties.

Summary

Many commercial accounts use water-meter usage to calculate at least part of the sewer charge. When that local formula applies, reducing metered water use may reduce both the water and sewer portions of the bill. For facilities with significant sewer charges, the potential secondary savings should be modeled from the account's own tariff and rate schedule rather than assumed.

Sources: Portland, Oregon (Portland Water Bureau), Los Angeles, California (LA Sanitation), New York City, Washington, DC (DC Water), Colorado Springs Utilities (PDF, page 7), Lehi City, Utah, EPA: Understanding Your Water Bill. EPA and utility sources explain billing definitions and account rules, not product efficacy.

Upload recent water and sewer bills for a site-specific billing review. We can help you identify the local billing method and assess whether your property may qualify for Smart Valve™ performance terms.

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