Overview
- TasWater changed sewerage billing on July 1 to set fixed charges by a property’s water pipe size rather than by sewage discharge, which pushed bills much higher for sites with large connections but low sewer use.
- The Tasmanian Economic Regulator cut TasWater’s proposed plan from an average 8.8% rise to 5.7% a year over four years and rejected a move toward higher usage charges because it said demand is inelastic.
- Businesses and sporting clubs reported extreme increases, with one saying its bill rose from $630 to $3,800 a month, and those complaints drew public and parliamentary scrutiny of both TasWater and the regulator.
- In early October TasWater agreed to pause the fixed sewerage charges for heavily affected non‑residential customers, reassess the charging method and backdate any adjustments to July 1 to provide immediate relief.
- The dispute highlights a wider funding tension: TasWater says the regulator trimmed about $500 million from its $1.7 billion four‑year capital plan and warns this could risk underinvestment in pipes and future housing, while the regulator says it only set maximum price caps and left flexibility for TasWater to adjust charges.