IPART and pricing proposals

The Independent Pricing and Regulatory Tribunal (IPART) has introduced a drought price for the first time. This means that if water storages drop below 60 per cent total capacity, the cost of water would increase from $2.96 per thousand litres to $3.14 per thousand litres.

The price increase rewards people for saving water when it matters most. While there’s a low chance of the drought price being applied, a 15 per cent reduction in water use would fully offset the costs, if it were to be introduced. The price also reflects extra costs associated with delivering water during periods of drought such as higher treatment costs associated with the operation of the Tomago Sandbeds and increased water conservation initiatives.

No. The Customer Contract can only be updated with the NSW Governor’s approval. The Independent Pricing and Regulatory Tribunal (IPART) released our new Operating Licence and Customer Contract in July 2022.

An Environment Improvement Charge (EIC) of $41.01 will no longer apply from 1 July 2020. This charge has previously been levied on all customers in Hunter Water’s area of operations whose properties were connected to the wastewater system (also known as the sewer system), to support the expansion of our wastewater network. As there are other ways to potentially fund backlog sewer schemes, the charge has been removed.

This charge funds an additional $17.3 million for Hunter Water to spend on recycling to irrigate parks, sporting grounds or gardens, as well as stormwater naturalisation projects. This charge will amount to $1.70 per year over the next four years (2020-2024) for residential customers.