THE Independent Pricing and Regulatory Tribunal has approved water bill increases of nearly 50 per cent – excluding inflation – across many New South Wales valleys over the next four years, despite acknowledging many customers have limited capacity to absorb them.

Gwydir Valley Irrigators Association executive officer, Louise Gall, said IPART ignored repeated warnings from customers and chose to prioritise WaterNSW’s financial position over the ability of farming businesses and regional communities to pay.

“We supported a five per cent annual price cap – plus inflation – to balance affordability pressures irrigators are currently facing with the ever-increasing input costs of agricultural production,” Ms Gall said.

“Instead, IPART capped price increases to a maximum 10 per cent per year plus inflation.”

Water bills in the Gwydir will increase between seven and 10 per cent plus CPI each year for the next four years.

Boolooroo Weir at Moree.

Ms Gall said this is a cumulative change of 33 to 42 per cent.

Typical general security bills will increase from $18,863 to $26,724 a 9.1 per cent annualised increase and entitlement prices will incur an annualised increase of 9.9 per cent for general security and 6.1 per cent for high security.

Usage prices will see and annualised 8.8 per cent increase and local water utilities in the Gwydir will also see increases. These increases cannot continue, Ms Gall said.

She said WaterNSW is a monopoly provider, and customers have no choice where they access their water entitlements.

IPART’s consultant found price increases materially reduce farm profitability, with significant flow-on impacts for regional communities.

“Farmers are already facing increasing climate variability, and irrigation is essential to the viability of our towns and regional economies,” Ms Gall said.

“Regional communities cannot continue to absorb these escalating costs. The NSW Government must undertake a full review of WaterNSW’s operating model, regulatory framework and funding arrangements.

“Farming drives regional jobs, businesses and economic growth.

“We are simply asking the NSW Government to back farming now and into the future so our towns can continue to thrive,” Ms Gall said.

Information Links

IPART Final determination HERE.

IPART Final Report HERE.