Letter | No flow on to residents

I would like to clarify a story that ran in the Northern Daily Leader on Friday 16 June titled “Dropped price hits city: Rodda”. 

I would like to reassure residents of the Tamworth Region that IPART’s decision to introduce an 80:20 split of fixed charges verse usage charges will not result in an increase of water rates. 

Councillor Rodda expressed concerns that are felt by all Councillors in regards to the high price we pay for water in the Peel Valley, however the inference that the IPART decision would result in a flow-on charge to residents is simply not correct. 

The decision by IPART to change to an 80:20 ratio from 1 July 2018 means Council will forgo over $150,000 in savings per year for the remainder of the determination period. In essence, Council will not see the full savings that could have been achieved had IPART kept the 60:40 ratio of charging.

I would like to support Cr Rodda’s sentiment that this is excellent news for the local irrigation industry. 

Tamworth Region Mayor Col Murray