IPART has released its Final Report on the prices that the Central Coast Council as a Water Supply Authority (CCC Water) can charge its customers for water services from 1 July 2022 to 30 June 2026.
Our review found that CCC Water must increase its spending so that it can appropriately maintain all of the infrastructure required to provide water-related services. Customers have told us there were persistent water quality problems in some parts of the water supply system. The increases should enable CCC Water to improve the quality of services its customers receive.
CCC Water proposed an immediate bill increase for typical residential customers of 37% in 2022‑23. Under our decisions, typical household bills would increase by around $183 (17%) in 2022-23. This is lower than the initial price increase in our Draft Report. In response to the community’s concerns about affordability, we adjusted the price path to slightly ease bill impacts in the first year of the determination period. Bills would then increase by $80 (6%) in 2023-24, $106 (8%) in 2024-25 and $9 (1%) in 2025-26, as well as by inflation.
Use our bill calculator to see what the new prices would mean for your bills.
Our price path allows CCC Water to recover the same amount of money over the 4-year determination period as if we had decided to allow an immediate increase of 28% in typical household bills from 2022‑23. This is lower than the 37% immediate increase proposed by CCC Water. For more information on how these figures have changed since our draft decisions please see our fact sheet attached to our media release.
Over 1,000 stakeholders responded to our Issues Paper survey and 89% indicated that they would prefer any necessary price increases be applied gradually. As a result, we have introduced the necessary price increases over the 4-year determination period in stages. We have also made recommendations to support pensioners and customers who may need extra assistance.
Our review identified the need for CCC Water to substantially improve its performance and accountability to the community. We have recommended a set of performance measures to drive accountability, and that the NSW Government authorises us to review CCC Water’s progress in 2 years’ time.
We also recommend the NSW Government considers the merits of amending the legislative framework for monitoring performance and compliance of CCC Water. Other major water utilities in NSW are subject to an operating licence, which may be one option to consider.
For media enquiries, please contact Adrian Flood by email to firstname.lastname@example.org or by phone on 0427 105 865.