I would disagree. Since this isn't about just apartment. But renters. For instance, many houses that rent out have free water included, since the owners want to maintain the upkeep of the yards, since renters if given a choice or having to pay for it, would not maintain the yard.
And this is the catch. If the owners want to pay for the upkeep of the property, the tenant will take advantage and not care about water consumption inside, since it's all free. But if you make the tenant responsible for the water, then they will cut corners and not water the lawn/landscaping.