The Queensland Competition Authority (QCA) has released its final report and recommendations for SunWater’s five-year price path for irrigation pricing.

 

State Minister for Energy and Water Supply Mark McArdle said the Government will consider the authority’s recommendations before setting a final price path to commence at the beginning of July.

 

“I thank the QCA for their substantial report, the first major review of SunWater’s irrigation pricing in Queensland by the independent economic regulator,” Mr McArdle said. 

“Since the draft report was released in November, the QCA has visited each of the 22 irrigation schemes which fall under the scope of the review, in addition to accepting written submissions. 


“The recommended prices indicate that, in the majority of bulk schemes, prices will only increase by inflation with price increases above inflation in some of the channel schemes”. 


“These recommended price increases have been limited to avoid price shocks.” 

 

Mr McArdle said the QCA had been required to recommend irrigation prices based on prudent and efficient costs and to consider the requirement for SunWater to operate as a commercial entity. 



“The final report includes the QCA’s recommendations on methodology such as the allocation of SunWater’s costs to irrigation customers and tariff structures, as well as the prices for each tariff grouping,” Mr McArdle said. 


“Input from irrigators across all of SunWater schemes, peak industry bodies and SunWater has greatly assisted the QCA to provide a comprehensive report. 



“The QCA’s advice will enable the Government to give consideration to new pricing arrangements that are both fair for irrigators and financially sustainable for SunWater”. 

 

The full report can be found here