Water Services budget changes balance between access & use

Toowoomba Regional Council's 2011/2012 Water Services budget delivers a change in the way Toowoomba bulk water users are charged for their water.

"We have begun a journey to put more emphasis on water usage and less on water access," Deputy Mayor and Water Services portfolio leader Cr Paul Antonio said.

"Two years ago, at a time of low water usage, increasing the water access charge was the surest way to fund our water enterprise.

"But it has been our ambition to give more benefit to those striving to be self-sufficient in water. Council has therefore decided to reduce the water access charge by $50, giving property owners who utilise their own rainwater supplies an immediate $50 per year reduction in their water charges.

"Pensioners will continue to receive council's $30 pensioner rebate on water connection charges," Cr Antonio said.

"While council's net water revenue will not change, Toowoomba bulk water consumers will have more choice in the way they use their water.

"While the water access charge will drop to $590 per annum, consumption charges will increase. The first tier charge will go from $1.50 per kilolitre (KL) to $2.10 and the second tier charge from $2.80 to $3.30 per KL.

"Those households that use 125KL per year will face an increase of about 43 cents per week or $22.50 a year."

Cr Antonio said the district water and sewerage schemes would continue to operate and charge separate to the Toowoomba scheme.

"For consumers outside the Toowoomba bulk water system, the access charge remains at $430/annum while their first tier consumption charge will increase by three cents to $1.03 per KL and the second tier charge will increase five cents to $1.80 per KL.

"These district schemes are on an independent price path adopted two years ago with the aim of meeting the full cost of their schemes by 2011/12.

"One of the longest droughts in living memory ended with one of our wettest summers, giving us the most secure water supplies this region has seen for decades.

"Full dams, combined with the Wivenhoe pipeline, give us surety of supply for many years to come.

"And while council will need to meet the fixed costs of the pipeline, the pumping costs of drawing water from Wivenhoe Dam can be avoided for some time.

"However, we still have the responsibility of maintaining and upgrading ageing water infrastructure.

"With a very complex network of assets worth some $1.3 billion, this is no small task. The financial model being used by council has got us to where we are.

"While we've been accused of having dear water, our combined water and sewerage charges are amongst the most competitive in the state," Cr Antonio said.

"To meet current potable water and environmental standards, money is needed for ongoing upgrades in water and wastewater infrastructure.

"Almost $90.7 million has been allocated in this budget to capital works, operating costs and maintenance.

"Some $16.4 million of that will go to water operations, $9.1 million to wastewater operations and maintenance and $5.1 million to water and wastewater services. Over $57 million will fund new capital works projects.

"As announced earlier this year, the Highfields community will have improved water quality with connection to the Mt Kynoch Water Treatment Plant at a cost of $3.65 million."

Cr Antonio said residents to the north of Toowoomba would also benefit from upgrades to both the Crows Nest and Hampton Water Treatment Plants at a cost of $1.25 million. The result would be improved water quality for those consumers.

"Council has allocated over $3 million for treatment improvements at Mt Kynoch Water Treatment Plant and to continue our ongoing program of replacing trunk mains from dams.

"All town water supplied to consumers in the Toowoomba region has to be pumped.  Our pumping costs are therefore considerable, and ongoing increases in electricity and other charges, estimated to be around 6% this year and representing over 30 percent of total water supply operating costs, have to be absorbed.

"Despite these economic pressures, council is attempting to keep operating costs to a minimum.

"In the south of the region, Pittsworth and Millmerran water supplies will benefit from almost $1 million worth of upgrades to bore pumps and pumping systems.

"In the north, $800,000 will be spent on providing an alternative raw water supply for the Yarraman Water Treatment Plant and $769,000 in restoring the Ted Pukallus Weir following serious flood damage in January," Cr Antonio said.

Wastewater operations include the treatment of approximately 7,400 megalitres of wastewater from almost 44,000 sewer connections and we manage trade waste from more than 1600 trade waste generators.

"Council allocated some $36.8 million to wastewater infrastructure projects in this budget in order to service properties in outlying areas and cater for expected growth.

"The Glenvale sewerage pump station and mains will be constructed this financial year at a cost of $5.2 million.

"The $15 million Kingsthorpe and Gowrie Junction sewerage schemes will be progressed with a budget allocation of $1.6 million.

"Westbrook community will be connected to Wetalla Wastewater Treatment Plant with construction of a sewage pump station and mains worth $8.72 million with $4.6 million allocated in this budget," Cr Antonio said.

"Meanwhile Oakey, Kingsthorpe and Gowrie Junction sewerage network and connection to Wetalla will take a step closer to completion with $11.26 million allocated in this budget."