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Since the US Energy Policy Act went into effect two years ago, a new generation of water-efficient plumbing fixtures has been installed in homes, businesses and institutions. This process will continue through about 2025, by which time all existing high-volume fixtures will have been replaced. Passage of this act has raised interesting issues that have technical, financial, and policy implications for water utilities--particularly those with conservation programs. This article reviews some of these effects. Includes 5 references, tables.