This paper sets forth the major types of rate structures and attendant rate-making considerations that promote conservation within the urban sector and presents three case histories as illustrations. Rates covered include fixed and variable rates, nonmetered rate structures and consumption-based rate structures, and demand-based rate structures. Among the consumption based rate structures are multiple block rates, uniform rates, decreasing block rates, increasing block rates, excess use rates, and seasonal rates. Considerations that must be addressed in each case include cost-based rates, metering, billing, rate structure design, fixed and variable charges, complexity versus comprehensibility, and monitoring. A figure lists in outline form the characteristics of various types of water rates.