Tasmania’s water authority, TasWater, is currently reviewing its fixed sewerage fees following a significant 500 percent hike that impacted various non-residential clients. This increase has particularly affected businesses and community organizations, including manufacturers and sports clubs. In response, TasWater has announced plans to modify these charges to alleviate the financial burden on those affected.
Effective July 1, the revised pricing structure for fixed sewerage fees was determined by the diameter of a property’s water pipe connection rather than the actual sewage volume generated. Callan Paske, TasWater’s general manager, acknowledged the concerns raised by customers and emphasized the need to address the issue appropriately. He noted, “While our new pricing model has benefited many, it has inadvertently created challenges for customers with large water connections that do not correspond to their lower sewerage demands.”
TasWater is actively seeking solutions for those severely impacted by fixed sewerage charges linked to extensive water connections but minimal water usage and sewer discharge. Additionally, the utility plans to revise rates for sports clubs primarily engaged in irrigation activities. These adjustments will be retroactive to July 1.
Many Tasmanian businesses and sports organizations have reported substantial financial strain due to the rate changes. One business revealed that its monthly bill surged from $630 to $3,800, representing a staggering 500 percent increase. TasWater clarified that the adjustments, which are currently on hold, were initiated following recommendations from an independent review aimed at reforming its previous sewerage charge system.
In a positive development, Premier Jeremy Rockliff expressed his support for the decision to reassess the pricing changes. He indicated that the modifications were the result of collaborative discussions among his government, TasWater, the Tasmanian Economic Regulator, and local government representatives. “We advocated for relief from excessive hikes, and TasWater has responded positively,” he stated. “This highlights the potential for constructive dialogue as we work towards achieving a fair resolution for the Tasmanian community. The pause will provide crucial support to affected businesses and organizations.”
It is important to note that the recent announcements do not influence the price increases for water usage that will affect households. The economic regulator had previously rejected TasWater’s proposal for an 8.8 percent rise in water prices, determining instead that rates would increase by an average of 5.7 percent annually over the next four years.
