Frequently Asked Questions about water billing

These are the most frequently asked questions about water management account statements.

1. What is this Water Management Account Statement for?

British Columbia's Water Sustainability Act assigns ownership of surface and groundwater to the Crown, on behalf of the residents of the province. With a few exceptions, if you want to divert and use surface water or non-domestic groundwater, you must obtain a water licence or a use approval under the Water Sustainability Act that grants you the rights to that water. When a water licence is issued, annual water rentals are assessed.

Payment of annual water rentals is one responsibility of a water licence holder. Your statement reflects your annual rental charge for the right to use the water allocated to you under your water licence. Depending on the amount of annual rental payable, clients are billed in the following manner:

• Twice a year if the annual rental is over $100,000.00
• Once a year for all other annual rentals less than $100,000.00. 

2. I sold that property. Why am I receiving a bill?

Water Management Branch (Ministry of Water, Land and Resource Stewardship) are not automatically notified by the Land Titles Office of the sale of a property or when a Crown land tenure expires or is transferred. Our statements are sent to the client(s) we currently have registered on record as the water licence holder. If you no longer own the property appurtenant to the water licence for which you have been billed, please complete a Notification of Water Licence Name Change or Transfer. You can also call FrontCounter BC and they will arrange for the transfer.

3. I don't use that water. Why are you sending me a bill?

The Provincial Government needs to be notified that you are no longer using your water rights. To do this, complete the Water Licence Abandonment notification at FrontCounter BC. You will continue to be sent a bill for as long as there is a balance owing on your account. This also applies to licences that have expired or have been cancelled.

If an overdue account is not settled within a reasonable amount of time, it runs the risk of being forwarded to a collection agency.

4. I use well water. Do I need a water licence?

Under the Water Sustainability Act that came into effect on February 29, 2016, those using groundwater for non-domestic purposes are required to obtain a water licence or use approval and pay fees and rentals. Homeowners with wells (“domestic users”) are exempt from licensing and fees. Domestic purpose is defined in Section 2 of the Water Sustainability Act. Learn more about new requirements for non-domestic groundwater users. 

Existing groundwater users who applied for a water licence on or before March 1, 2022 had their water licence application fees waived. Annual rentals accrue starting February 29, 2016, regardless of when an application is submitted during the six-year transition period that ended March 1, 2022.

5. The water is on my neighbour's property. Why should I pay this bill?

The ‘point of diversion’ for the water you use may originate on your neighbour’s property. You are required, nevertheless, to hold a licence that reflects your right to that water from that source. If you feel there is an error in your water licence please visit your regional FrontCounter BC office or contact FrontCounter BC.

6. The debt belongs to the previous landowner. Why am I receiving this bill?

Under the Water Sustainability Act, debt associated with a water licence is the responsibility of the current landowner. This is because the licensed rights and obligations (including payment of rentals) pass with conveyance of the appurtenant land as described in the Land Title.

A vendor is responsible for disclosing everything about the land they are selling. A purchaser is responsible for finding out everything about their intended purchase. Settlement of debt from a previous owner is strictly between the purchaser and vendor – Ministry of Water, Land and Resource Stewardship, Water Management Branch plays no role in this matter.
If you decide to keep the licence that is connected to your land, you must pay the outstanding balance owing on the licence in full or you run the risk of your licence being cancelled for non-payment.

If you decided to abandon the licence you will remain responsible for the debt calculated up to the date your complete water license abandonment application is accepted by Water Management.

7. The water is not usable. Why are you billing me?

The Water Sustainability Regulation specifies that rentals are charged for the right to use the water, not for the actual use. Water Management does not guarantee that water will always be available; nor does it guarantee the quality of the water. You may want to consider abandoning your water licence if you are not using the water you are entitled to.

8. I pay my bills. Why is there an overdue amount?

An overdue amount will appear on your statement if a payment has not been received or not yet recorded prior to your statement being sent out, if you did not make a full payment in the past, or if there have been additional charges added to your account.

If your payment for the previous year’s rentals is not received until the current calendar year, your statement will show a "Balance" forward on the statement, while the payment information (receipt #, date, etc) will show in the body of the statement; the "Total Due/Credit" amount will reflect the net of all charges, payments and adjustments on your account.

Your account will reflect any charges since your last payment; for example, any charges incurred through an amendment to your licence.

If you paid your account, but Water Management Branch does not have a record of your payment, please contact Water Revenue at Water.Revenue@gov.bc.ca or call 1-800-361-8866. 

9. I can't understand the statement. What are all the charges for?

The most common charges are for:

a) A new licence has been issued from an application:

• Additional application fees may be required, e.g., Permit Over Crown Land
• Pro-rated first year rentals plus additional rentals may be charged to bring your account in line with your billing group

b) A licence has been issued as a result of an amendment:

• An amendment fee may be required;
• Rentals may be adjusted for the period the licence was under review; and
• Rentals may be adjusted for a change of purpose or the quantity of water authorized

c) A licence has been abandoned/cancelled/expired:

• An adjustment may be required to show what is actually owed up to the point the licence ceased to exist;

10. I paid an application fee when I applied for my licence. Why are you still charging me for it?

There are numerous situations in which a licence issued is different from what the client originally applied for. Every individual water use purpose and Crown land use (Permit over Crown Land) has a required application fee.

The most common application fee not paid at the time of application is for a Permit to Occupy Crown Land. An application fee may have been paid for a domestic licence but once reviewed by regional water staff, it’s determined that a permit over Crown land is also needed, which is a separate application fee and licence.

This required application fee is often assessed to the account after the licence has been issued.

11. I recently paid my statement. Why are you sending me another statement?

Your payment and your current statement may have crossed in the mail; or you may have paid the balance on a previous statement that did not include the current charges.

12. Why does the water licence volume shown on my water billing statement not match the volume on my licence?

The statement shows water volume in cubic metres. Water Management Branch calculates this volume by converting the volume (Imperial units were used prior to 2006) or area measure, recorded in our database, to cubic metres, and then rounding this to four significant figures. This may result in a discrepancy between the volume or area measure shown on the water billing statement and your water licence or Permit over Crown Land.

Although there may be a difference between the volume of water on the licence and the volume of water on your billing statement, if the volume of water involved is small, there is no difference in the rental rate.

For example:

A water licence may be issued for 2,200 litres a day (which is also 2.2 cubic metres a day) for domestic use. Water Management’s database may have recorded the volume to be 500 gallons a day. The metric conversion used to calculate the water rent will round 500 gallons a day more precisely – that is, to 2.273 cubic metres. However, the water rental will be the same – that is, default to the minimum of $50.00.

If you believe there is a greater discrepancy or error on your statement, contact FrontCounter BC.

13. How does Water Management calculate my water rental charges?

Annual, sector-based, rents for water licences are based on an annual volume (expressed in cubic metres per year), which is the total amount of water you are authorized to use in a year. Rental rates for Permits over Crown Land, which authorize dam sites, works and flooding, are based on hectares.

The rental calculation on your water billing statement can be checked against Water Management’s web-based Rent Estimator.

The Water Rent Estimator provides an estimate of provincial water rentals, which are annual payments for the diversion and use of water. The tool was updated in 2016 to reflect changes that came into effect for licensing and use approvals.

This tool provides an estimate for a given volume and purpose. Actual rentals that apply may differ.

Additional charges, such as late payment penalties and amendment fees, are not calculated by the tool.

Water Management has changed its billing practices. If you were previously billed on a three-year billing cycle, you will now receive an annual statement. 

The most significant changes affect non-domestic groundwater users, who must now pay fees and rentals to divert and use water.