IPART has made a 1-year determination for WaterNSW maximum prices for bulk water services to rural valleys in NSW, commencing on 1 July 2025.
Under IPART’s 1-year determination:
- Prices will increase by 5.8% plus inflation of 2.4% for bulk water (including Fish River) customers
- The WaterNSW Rural Valleys Murray Darling Basin Authority (MDBA) charge, which applies to the Murray and Murrumbidgee valleys, will increase by 0.6% plus inflation of 2.4%
- The WaterNSW Dumaresq-Barwon Border Rivers Commission (BRC) charge, which applies to the Border valley, will increase by 1.1% plus inflation of 2.4%
- All other prices will increase by inflation only of 2.4% (including the North and South Coast and the Yanco Creek levy).
Tribunal Chair Carmel Donnelly said WaterNSW originally proposed a significant increase of 53% in revenue for its services to rural valleys over 2025 to 2030, which would require large price rises for customers if approved.
However, at this stage, the Tribunal is not convinced that all the increased costs proposed by WaterNSW are sufficiently justified, and more assessment is needed to determine how much of any efficient increases should be passed on to customers.
IPART does not have flexibility to extend the timeline for this pricing review. New prices must be in place by 1 July 2025 to ensure consumer protection. By making a 1-year determination the Tribunal has ensured new prices will take effect by 1 July 2025 as required, also providing an interim period for IPART to fully investigate the large increases proposed by WaterNSW and the matters raised by stakeholders in our consultation,” she said.
“We thank all stakeholders for providing feedback on the prices of WaterNSW’s rural bulk water services, and we have considered everything in every submission.
“Our 1-year determination will allow a modest increase in revenue for WaterNSW, while limiting bill impacts for customers compared to the revised 25% before inflation increase in prices in 2025-26 sought by WaterNSW in its submission to the IPART’s recent Information Paper.”
Ms Donnelly said the Tribunal will begin its next review of maximum prices for WaterNSW bulk water services for rural valleys immediately. The review will include publication of a draft report and draft determination, a public hearing and a final report. While WaterNSW will not need to submit a new pricing proposal, IPART will require WaterNSW to provide additional information to inform the review.
“We will take into account all of the information and stakeholder feedback received to date as part of our next review,” Ms Donnelly said.
IPART’s Final Report is available on IPART’s website.
Media Contact: Mark O’Brien 0427 105 865 media@ipart.nsw.gov.au