Queensland accepts SunWater's price path
The Queensland Government has accepted the Queensland Competition Authority’s final report and recommendation for Sunwater’s new five-year rural irrigation price path.
State Minister for Energy and Water Supply Mark McArdle said the Government had reached the decision to approve the final report after careful consideration and consultation with peak irrigation bodies.
Mr McArdle said the QCA identified significant savings in determining the prudent and efficient costs of supplying irrigation services - $98 million in past and future capital expenditure and $14 million in operating expenditure.
Mr McArdle said the QCA recommended prices in the majority of bulk water schemes should only increase at the same level as inflation.
In eight channel schemes, increases above inflation will be limited to $2 per mega litre/year, which is consistent with the existing price path.
A copy of the plan is to be submitted to the Department of Energy and Water Supply by 30 September 2012 for its consideration.