In Palestine (West Bank) each local community is responsible for supplying water in the community; only two main utilities are responsible for supplying water in the middle and south of W.B. and only one bulk utility is found. The Palestinian Water Authority (PWA) was established as the Regulator of the water sector. It has put a balancing policy for the water tariff taking in its consideration all the economic and social aspects in order to protect the right of the consumer, the sources and suppliers. This policy will imply that each person will access to his need of water with good quality at the suitable price. The paper will discuss the main sources, the main elements of cost. The financial situation in main utilities and municipalities in West Bank, the tariff applied. It will also discuss the PWA Tariff Policy.