New customer contributions guiding resources

New customer contributions (or developer charges) are levied by water businesses when a new connection is made to their water, sewerage and recycled water networks. In some cases, these charges are paid by developers, and in others, they are paid by the customer.

Under the current principles-based new customer contributions framework, there are two types of new customer customer contributions: standard or negotiated.   

Standard charges apply to new connections in areas where infrastructure requirements and growth rates are relatively well known and designated by the water business. The commission regulates standard charges. 

Negotiated charges allow water businesses and developers to negotiate a site-specific arrangement where standard charges are not fair and reasonable or where a new connection is outside the areas eligible for standard charges. The commission does not regulate negotiated charges but water businesses are required to submit to the commission their negotiating framework which reflects the new customer contributions pricing principles.