Lobby leader reflects on price
Water’s low price is no accident, according to a major lobby.
Stuart Wilson, Deputy Executive Director of the Water Services Association of Australia (WSAA), points to ageing infrastructure as the key reason behind rising water bills.
In a recent blog post, he noted that previous generations built and paid for water systems like Sydney's Warragamba Dam, which has supplied water since 1960.
These systems were passed down “virtually debt free”, allowing Australians to enjoy low water costs for decades.
“We are like teenagers who have been given a car by their parents and only pay for the scheduled servicing,” Wilson says.
However, those long-lived assets are now nearing the end of their lifespan.
“Water will always be excellent value, but it can’t be cheap forever,” Wilson warns.
With a growing population and the government’s plan to build 1.2 million new homes, maintaining and upgrading the existing network will be costly.
“Servicing growth costs more when you are getting the existing services at a low price,” Wilson said.
The situation is compounded by climate change, requiring investment in recycling, desalination, and preparations for extreme events.
“This generation needs to pay its fair share and even start considering what it might leave to its children and grandchildren,” Wilson said.
Though the water industry will support those struggling financially, most Australians should expect to pay more.
“For the rest of us who can pay, we really can’t complain about paying a bit more,” he noted.