This means typical annual water and sewerage bills for residential owner occupier customers will increase 8 per cent – from $1,367 to $1,477 – from 1 July 2023.
For the remaining four years to 2028, typical annual water and sewerage prices for residential customers will increase by an average of 2.5 per cent per year, before inflation.
The final decision follows a detailed proposal by Coliban Water which was carefully scrutinised by the commission, and consultation with customers and the community on a draft decision released in April.
Coliban Water’s plans to boost its investment in ageing assets such as its water reclamation and treatment plants, to help meet its environmental and health obligations and deliver service levels expected by its customers, is partly behind the price increases.
Coliban Water recognises the impact the price changes will have on customers, and has initiatives in place to support customers experiencing vulnerability, including plans to double its support funding, and to increase education about services for customers experiencing hardship. Coliban Water also reduced its proposed price increase for 2023-24 following the commission’s draft decision.
“We encourage customers to contact Coliban Water if they are experiencing difficulty paying bills, to discuss what assistance or arrangements can be made,” the commission’s director of pricing Marcus Crudden said.
In Victoria, water businesses must provide payment assistance to households and small businesses. Customers who are experiencing difficulty with their water bills may be eligible for payment plans or assistance with applications for utility relief grants and other concessions.
In approving the plan, the commission considered Coliban Water’s price submission, and its responses to queries and the draft decision; consultants’ reports; written submissions from interested parties; and the views of participants in the public forum held on 1 May.
Themes raised during the forum included Coliban Water’s use of sustainable practices to manage water; customer and community views on Coliban Water’s pricing; and the quality of Coliban Water’s engagement with its community and with developers.
Coliban Water has committed to a number of key outcomes over the five-year pricing period, reflecting customer priorities: water quality and reliability; be easy to deal with; enhance the environment; regional prosperity; and fair price.
“Coliban Water will also invest $506 million to renew and upgrade its infrastructure to meet compliance obligations, support reliable services for its customers, help to address future growth, and adapt to climate change,” Mr Crudden said.
The Essential Services Commission thanks customers and stakeholders for their submissions and participation in the price review process, including with Coliban Water as it prepared its proposal.
