In Auckland, where I live, we pay for our showers by the litre.
In 2007 New Zealand had the second highest water abstraction per person out of 26 OECD countries. This means that each Kiwi displaces more water than anyone else in the world except for the United States (where people like installing fountains and lawns in the middle of the desert).
A user-pays system seems to be fitting when we are taking our share of a common natural resource. I have never heard anyone complaining about having to pay for water use in Auckland - because it is fair.
We also pay for electricity by usage, most of which comes from hydroelectric dams that require a lot of water.
What I don't understand is why such a system doesn't apply to those who use most of our water - the agriculture industry.