Richmond Valley Council is currently considering a revised pricing framework for its Water Fund operations.
Currently for 2010/2011 the water fund pricing is as follows:
• Residential / Non residential (including Business and commercial) – $1.63 a kilolitre for first 200kL, $2.45 per kilolitre for use greater than 200kL• Food Producer Category (Northern Cooperative Meat Company, Richmond Dairies, Seine and the Broadwater Sugar Mill) - $0.69 per kilolitre
The proposed pricing structure being considered by Council is to have the same rate for all users; at this time it is estimated that the uniform charge will be $1.68 per kilolitre. A second tier tariff will only apply to residential customers for consumption in excess of 200kL in line with State Government water pricing guidelines.
Prior to any revised pricing structure being implemented, Council will be advertising details of what is proposed as part of its Integrated Planning and Reporting processes. That advertising and public exhibition is likely to occur from 14 April to 12 May 2011. The community will have the opportunity to put forward submissions on any water pricing proposal (and other matters) during the exhibition period. The final decision in relation to the water pricing structure for 2011/2012 will most likely be made on 24 May 2011.
The proposed water supply pricing structure has been an issue since 2004/2005 when Council resolved to align pricing across the Council area in order to remove pricing anomalies and comply with Water Supply Pricing Guidelines issued by the NSW Government.
The Food Producer Group has previously consumed approximately 40% of Council’s water yet contributed in the order of 20% of revenues; this represents a significant cross subsidisation that is not available to other commercial undertakings in the Council area.
The proposed pricing structure will not derive additional revenue for Council's water fund but will spread the charges for use more equitably and enable compliance with the State Government water pricing requirements. The issue has been the subject of discussions/communications with Food Producers for the past seven years; accordingly, the issue is not one that has been unknown to those businesses in the Food Producer category.
In addition to the above matter, the Council Meeting held on 15 March 2011 considered the following issues:
- a proposed special rate variation to apply from 2011/2012 of up to 3.2%
- constitutional recognition of local government
- the pursual of loan funding for the Broadwater Sewerage Project
- tenders for the Northern Rivers Rural Fire Service Control Centre that will be located at Casino Aerodrome
- the public access opportunity scheduled for 12 April 2011 for people who make submissions to Council in regard to Richmond Valley Council LEP 2011.
Col Sullivan
MAYOR
31 March 2011
