Odessa Approves Rate Increase for Infokvodokanal

The dispute over water rates has flared up again in Odesa. While the utility insists that a rate hike is necessary due to rising costs, city council members warn that the current decision could be just the beginning of a much larger price increase.

The Center for Public Investigations has uncovered the decision made by the Odessa City Council’s executive committee.

At the executive committee meeting, they discussed the rates for centralized water supply and wastewater services provided by Infox LLC through its subsidiary, Infoxvodokanal. At the same time, they raised the issue of leasing the entire property complex used by the company.

City officials noted that the rent has not been adjusted for more than 20 years, except for indexation. Therefore, they decided to conduct an independent appraisal of the property to determine its market value and a fair rental rate. Funds for the appraisal have already been allocated in the city budget.

Initially, the company calculated a rate of 93.66 UAH per cubic meter. After a review, the city department adjusted it to 82.90 UAH. For comparison, the rate set by the NEURC resolution of December 30, 2025, was 65.54 UAH.

The company representative explained that the adjustment is due to rising costs of electricity, fuel, and salaries. According to the provided calculations, assuming full payment by consumers, revenue was expected to be approximately 242 million UAH, while expenses were estimated at approximately 246 million UAH. The company’s largest expenses were expected to be electricity—about 123 million hryvnias—and salaries and taxes—about 58 million hryvnias.

At the same time, MP Kornienko stated that the decision came as a surprise and that a tariff exceeding 80 UAH may be only a temporary measure. He speculated that the price could rise to 115–120 UAH in the future, and eventually even reach 150 UAH per cubic meter.

The projections for 2027 raised particular concern. “Infoksvodokanal” has already submitted documents proposing a rate of 101.89 UAH per cubic meter, of which 55.98 UAH was for water supply and 45.83 UAH for wastewater disposal. The department emphasized that these documents are still under review.

At the same time, city hall stated that the increase should not place an undue burden on the most vulnerable residents. For those eligible for benefits under city programs, the city plans to continue providing compensation from the budget.

During the discussion, it was also proposed that the property complex be returned to the city if the company is unable to operate at an acceptable rate. City officials responded that this could lead to years of litigation and pose risks to the uninterrupted water supply.

Ultimately, the decision was supported by 10 members of the executive committee; there were no votes against or abstentions. Now the city will have to simultaneously resolve the issues of rates, property leases, and potential budgetary compensation.

In early August,the “Infoksvodokanal” branch announced its intention to change the rates for centralized water supply and wastewater services for Odessa residents for 2027. The Odessa City Council has already responded to this announcement and outlined the conditions under which it would agree to a tariff review.

Анна Літман