Region of Waterloo creates ‘bucket’ policy to allocate available water
Posted May 7, 2026 07:03:56 AM.
Last Updated May 7, 2026 10:24:36 AM.
The Region of Waterloo has approved a policy that will look to kickstart development in the midst of a water capacity constraint by creating a “bucket” of water that local municipalities can dip into.
The region’s newly established Water Supply Capacity Allocation Policy will help council and staff decide how much water will be allocated to each area as new and repaired sources of water come online.
It identified a water capacity issue in the Mannheim Service Area back in December, a revelation that has brought development in the region to a halt for the time being, and has spent the last six months working to find solutions.
According to staff who presented an update on the work happening at the Mannheim Water Treatment Plant, they’ve expedited repairs and upgrades to a point where they’ve crammed two years’ worth of work into a six-month timeframe.
Regional staff presented the framework for their allocation policy to council at a meeting on Wednesday after consulting with industry leaders and the area municipalities.
Based on population and employment growth forecasts, the region will give each municipality a percentage of available water so that they can approve development projects. Additionally, the region will reserve a portion of available water for its own projects.

“New water supply capacity will be allocated to area municipalities proportionally based on forecasted population and employment growth within the Mannheim Service Area,” reads the report from staff. “Initially, the allocation will occur quarterly as new capacity is identified through the Interim Risk Management Framework and will shift to less frequent intervals as water supply capacity is added to the Mannheim Service Area.”
That risk management study is set to be unveiled to council in June, giving the region a clearer picture of how much water will be available in the aforementioned “bucket.”
The report from regional staff claims that planning and work on this policy dates back to 2024, well before the water supply constraint was identified.