The Independent Competition and Regulatory Commission has proposed a reduction in water prices in the wake of its draft report on regulated water and sewerage services:
If the prices proposed in this review were to come into effect, volumetric water prices would drop by about 17 per cent and sewerage services prices by about 24 per cent. The bill of the typical residential water customer would drop 14 per cent and that of the typical residential user of sewerage services by 24 per cent.
The first thing that must be said about these potential price outcomes are that they depend in part on some novel features of the proposed price direction on which the Commission especially welcomes community comment. It is possible, therefore, that the Commission could make adjustments that would somewhat reduce the extent of the proposed price reductions. Because this draft report proposes substantial changes to the way prices are determined, it would be wise to treat its conclusions with more than usual caution. All that said, it is very unlikely that the final report will not see a significant reduction in the prices of water and sewerage services
The report also recommends creating a new Territory Owned Corporation to handle water and sewerage.
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