Further promotion of utilizing reclaimed water depends on the policy support and the advantage of the price of reclaimed water. The price difference between the reclaimed water and the tap water is one of the main causes to promote the users to accept the reclaimed water. Based on the reasonable water pricing method, the component, mechanism and range of reasonable price of the reclaimed water are analyzed. The influence of the ratio of the conventional water price to the reclaimed water price on the utilization of the reclaimed water is investigated. Finally, some policy suggestions are proposed, that is, establishment of reasonable price relationship among surface water, groundwater, tap water and reclaimed water, formulation of price of reclaimed water and improvement of the relevant policies.