Water Consumption and Waste Generation in Spain: A Relationship in Crisis Due to Application of the Pay-As-You-Throw Systems

Considering that a circular economy is a European Union’s priority (EU); that pay-as-you-through systems (PAYT) are a key economic tool to achieve it; that Spain lags behind in meeting waste management goals; and that the municipal fee on waste in Barcelona, based on water consumption, does not appear to comply with these requirements, our purpose is to determine, on the basis of regulations, doctrine, and case law, whether the current wording of Barcelona’s fee aligns with the PAYT systems mandated by the EU and the Spanish legal system. We first outline the main elements of Barcelona’s fee, and then analyze the relevant regulations, doctrines, and case law. Our conclusions apply not only to Barcelona’s fee and its controversial “waste generation-water consumption” relationship, but also to any European municipality where the tax rate is calculated based on estimations rather than the actual amount of generated waste.