Households face an average hike to their water and sewerage bills of $89, the ACT's independent regulator says, pointing to higher than expected inflation as a key driver of the price rise.
The bill of a typical customer using 200 kilolitres a year would rise to $1338 from $1249, an increase of 7.1 per cent.
The Independent Competition and Regulatory Commission released its regulated price increases for water and sewerage in the ACT on Thursday, outlining residential bill increases between 6.7 and 7.5 per cent depending on water usage.
"Non-residential customers will see annual combined bill increases ranging from around 6.6 per cent to 8 per cent, depending on their water usage and the number of flushing fixtures," Joe Dimasi, the ICRC's senior commissioner, said.
The commission pointed to high levels of inflation and increased investment in infrastructure as driving the 2024-25 price increases.
"These investments increased by nearly $270 million from the previous regulatory period, including over $280 million for upgrades at Canberra's primary wastewater treatment plant at Lower Molonglo," the commission said.
"The price increase of 7.1 per cent for a typical residential customer is higher than the estimated price increase of 6.1 per cent in our 2023 final decision on regulated water and sewerage services prices for 2023-28.
"This is because actual inflation turned out to be higher than the Reserve Bank of Australia's forecast at the time of our final decision. The price increase is partially offset by lower than forecast government charges and a reduction in the cost of debt."
The commission said it recognised customers might struggle to pay their bills, and encouraged them to contact Icon Water for assistance.
Electricity bill will also rise by $240 a year in Canberra for average households on the regulated market offer, a smaller increase than expected which will also be offset by the federal government's $300 power bill rebate scheme.
The price of ActewAGL's standing electricity offers will be able to rise by up to 12.75 per cent in 2024-25, the Independent Competition and Regulatory Commission said last month.
with Jessica O'Bryan
