Responsibility for water and sewerage services in Scotland rests with the three water authorities established under the Local Government etc. (Scotland) Act 1994. This Order provides, as regards financial years 2002-2003 to 2004-2005, for each local authority in Scotland to be responsible for demanding and recovering charges payable in respect of services provided by the water authorities to dwellings in the area of the local authority (other than charges for a supply of water taken by meter).

Provision is made for the local authorities to account to the water authorities for sums collected (articles 3 to 7), for the forms and procedures to be used or followed by the local authorities in demanding payment (articles 8 to 10) and for chargepayers to have a right of appeal to the relevant valuation appeal committee (articles 11 and 12). Article 13 requires each local authority to keep accounts and records of all transactions under the Order and gives the appropriate water authority the right to inspect such accounts and records.