Water bills $200 lower than allowed maximum

Published: Comments:

This is an archived copy of an article. It is online for informational purposes only.
Social:   

The Queensland Competition Authority (QCA) has found Unitywater is undercharging its customers by approximately $57 million – or the equivalent of more than $200 per household – in 2011-2012.

The findings were detailed in the independent regulator’s Interim Price Monitoring Report released on 3 April.

The report also found that Unitywater made efficiencies in its forecasted operating costs for 2011-12 and that revenues from non-capped charges, such as trade waste, fell despite their increasing operating costs for the water retailer.

Unitywater CEO Jon Black said that while the company was currently under-recovering from its customers, he was very conscious of the pain many families were feeling from bills.  He was keen to keep driving down operating costs while continuing to provide high-quality, environmentally and economically sustainable water and sewerage services.

“Unitywater is currently under-recovering on its costs and this does present a challenge for our long term sustainability and returns to the owner councils. However we believe we are responsibly managing this challenge and remain mindful of the impacts rising costs have on our customers,” Mr Black said.

The QCA compared Unitywater’s forecasted earnings from water and sewerage services against the maximum allowable revenue (MAR), according to an estimate of the ‘efficient cost of providing services’.

Unitywater’s forecast revenue for 2011-12 was $398.4 million, while the QCA found $455.3 million was the maximum allowable figure.

Of this, the forecast water revenue of $195.7 million was below the authority’s MAR of $238.8, while forecast sewerage revenue of $202.7 million was below the authority’s MAR of $216.4 million.

The report said there was no evidence of an exercise of monopoly power and found Unitywater’s $268.73 million capital expenditure to be prudent and efficient.

The authority also expressed support for Unitywater’s efforts ‘to seek collaborative and cost-effective solutions for maximising water quality improvement and achieving healthy waterways’.

Unitywater provides water supply and sewerage services to the Sunshine Coast and Moreton Bay regions and is wholly-owned by the Councils of those regions.

 
Unitywater :
Ground Floor, 8-10 Maud Street, Maroochydore
1300 086 489
Unitywater
Showing 6 recent articles for this business
Don't Flush, All Ye Faithful! Unitywater's 2016 festive jingle hits the charts 20 December 2016 | It will be a joyful and triumphant Christmas for Unitywater if everyone soaks up the message in its newest festive hit: Don’t Flush, All Ye Faithful! More information...
Zoo-goers to get ‘Back to Tap’ thanks to Unitywater 13 December 2016 | Australia Zoo visitors can now fill their water bottles with free, chilled tap water at five locations around the Beerwah site. More information...
Unitywater announces major sewerage network upgrade for the Sunshine Coast 28 October 2016 | Unitywater and contractor Pipeline Drillers today signed a $24.2 million contract to construct two major new sewerage mains on the Sunshine Coast. More information...
Big wave surfer Mark Visser goes back to tap for National Water Week 20 October 2016 | International big wave surfer Mark Visser is helping to wipe out harmful plastic from the marine environment. More information...
Unitywater wins national compliance award 24 October 2016 | Unitywater has taken out two prestigious honours at the Governance Risk and Compliance Institute (GRCI) Awards. More information...
Nambour residents win competition to have their Unitywater bills paid for a year 25 July 2016 | Imagine having your water and sewerage bills paid for an entire year. Andrew and Miranda van Veen don’t have to dream it, they can believe it after being named the very first winners of a new Unitywater compe... More information...



Social:   
comments powered by Disqus

All articles submitted by third parties or written by My Sunshine Coast come under our Disclaimer / Terms of Service