Independent water regulator releases final decision on Greater Western Water pricing

In its final decision on Greater Western Water’s prices for water services, the Essential Services Commission has approved new prices for customers over the 4-year period commencing 1 July 2024. 

Typical bills will rise by less than inflation in 2024-25. The typical annual water and sewerage bill for residential owner occupier customers in the central region will increase by $31 to $1,038 in 2024-25. And for the western region, the typical annual water and sewerage bill for residential owner occupier customers will increase by $35 to $1,134. 

Greater Western Water’s service area includes Melbourne's CBD, inner and north-western suburbs (known as the ‘central region’) through the Melton and Sunbury growth corridors to Bacchus Marsh and the Macedon Ranges (known as the ‘western region’). This is Greater Western Water’s first price review, following the merger of the former City West Water and Western Water businesses in 2021. 

Executive Director of Price Monitoring and Regulation Marcus Crudden said Greater Western Water will deliver several key initiatives to support customer value and better outcomes.

“Greater Western Water engaged well to help ensure its proposals took into account key priorities and concerns of its customers and community. 

“As well as increasing investment to maintain service quality and reliability and address challenges from climate change and population growth, it has committed to increasing financial support for those experiencing hardship.

“Greater Western Water will take a caring-for-Country approach to its land and waterways in partnership with Traditional Owners, agencies, and community members, supported by its new outcome ‘heal and care for Country’,” Mr Crudden said.

The final decision took into account Greater Western Water’s response to the commission’s draft decision and 12 further public submissions received through the commission’s public consultation process. The final pricing was adjusted for changes in financing costs and long-term inflation.

While the commission approved many of Greater Western Water’s proposals, it did not accept some elements including the business’s proposed new customer contributions. The commission instead approved current new customer contributions increasing by inflation. The commission also approved lower expenditure benchmarks than proposed by Greater Western Water, following its review of efficient costs.

* Bill estimates reflect the gradual removal of the government efficiency rebate which will cease by 2027-28.