Customer Update - Fixed and Variable Fees and Charges

From 1 July 2023, Murray Irrigation’s fixed and variable fees and charges will increase. 

This year’s increase, approved by the Board of Directors, are as follows: 

1. An increase of 10% (of which 7% comprises CPI) to all fixed and variable charges (other than annual outlet fees). 

2. Outlet fees (Other than Stock and Domestic outlets) will increase by 40%. This equates to an average of $426 per outlet per annum. 

Further to this, the Board has approved an interim budget to support the company through its Business Modernisation Project, which commenced in September 2022. The purpose of the Business Modernisation Project is to develop a diverse revenue strategy that incorporates ongoing modernisation to infrastructure and IT systems to reduce cost, risk of failure of equipment and to enhance security for customers, all while keeping customer fees as low as possible. This project is expected to reach a milestone in late July 2023. All customers will be updated at this time. 

The Board understands the increasing financial pressures businesses and families are being placed under across Australia. To this end, we have endeavoured to keep fees as low as possible while still ensuring the cost of providing a sustainable water delivery service and maintaining infrastructure is provided for. As highlighted in the WaterWell announcement on Thursday 1 June 2023, one of the ways the company will achieve this is by selling $7 million of temporary water on the open market. This decision by the Board has allowed the company to keep fees as low as possible. 

MIL has undertaken a comprehensive review of outlet costs and has found there has to date been a significant under-recovery of these costs. The annual outlet fee rise of 40% commences the journey of full costs recovery against these assets. Moving forward, our intention is to recover the actual costs of providing the outlets over a period of time. 

Relevant government pass through charges have increased and are set by the NSW Independent Pricing and Regulatory Tribunal (IPART). These charges are passed on by Murray Irrigation to our customers and have been listed accordingly in our Schedule of Charges. They can also be viewed on the WaterNSW website at Regulated-IPART-A5-Prices-Booklet-2023.pdf 

Please find below Murray Irrigation’s Schedule of Charges and Schedule of Standard Service Fees for 2023/24:

• Annexure A to the Fees and Prices Policy - Schedule of Charges
• Annexure B to the Fees and Prices Policy - Schedule of Standard Service Fees 

The Schedule of Charges and Schedule of Standard Service Fees are effective from 1 July 2023.

Murray Irrigation is required by the Water Charge Rules 2010 (Cth) to provide all customers with a copy of its Schedule of Charges 10 business days prior to the fees applying. Murray Irrigation’s Schedule of Charges is also available on our website.