As at the end of July 2018, the nominal local government discount rate is 4.1% and the real discount rate is 1.7%.
We have included the calculation of the local government discount rate in the WACC model spreadsheet, available on our website.
Every six months, IPART publishes the discount rate we recommend councils apply if they are using a net present value (NPV) approach to calculating local infrastructure contributions.
We have updated our method of calculating the discount rate, as outlined in our August 2018 Technical Paper, Modelling local infrastructure contributions in a present value framework.
Current
Fact Sheet - Local Government discount rate - August 2018
Previous
Fact Sheet - Local Government discount rate - February 2018
Fact Sheet - Local Government discount rate - August 2017
Fact Sheet - Local Government discount rate - February 2017
Fact Sheet - Local Government discount rate - August 2016
Fact Sheet - Local Government discount rate - February 2016