Beijing is planning to raise water price by about 24 percent to discourage residents from wasting water and ease shortages.
The price of water for residential use will rise from 3.7 yuan (54 U.S. cents) to 4.6 yuan (67 U.S. cents), according to a proposed plan by the Beijing Municipal Development and Reform Commission.
The government would offer subsidies to low-income families to ensure their living standard not to be affected by the hike, a commission spokesman said Wednesday.
A public hearing would be held on Dec. 16 to solicit opinions from the citizens, the spokesman said.
Beijing, a city of 17 million, has been grappling with water shortage over recent years.
The city has been plagued by droughts in nine consecutive years in the past decade.
Government data show that the per capita water availability is only 300 cubic meters, far less than the internationally recognized warning line of 1,000 cubic meters.
Over the past five years, Beijing has invested more than 4 billion yuan in the conservation of water resources and construction of water supply projects.
Last month, the city raised the price of water for non-residential use by up to 48.6 percent.