In its submission to IPART, Essential Water prioritised investment on replacing end-of-life infrastructure, including pipe upgrades and the near-100-year-old wastewater treatment plant which can no longer be upgraded to meet modern standards. These upgrades are critical to securing the long-term future of water and wastewater services for communities across Broken Hill, Menindee, Sunset Strip and Silverton. 

IPART’s draft decision proposes to cap typical residential bill increases to around 4.7 per cent plus inflation each year for the next five years. 

IPART indicates this would mean the bill for a typical household receiving water and wastewater services would increase by around $76 in 2026-27 (from $1624 to $1700, plus inflation), with bill impacts varying depending on household type and water use. 

The draft determination also proposes that business customers’ bills would increase on average between 2.8 per cent and 10.9 per cent plus inflation, each year for the next five years. Small businesses using 250KL per year would see average annual bill increases of 7.7 per cent, rising from $1760 in 2025-26 to $2553 in 2030-31 plus inflation. 

Essential Water’s Head of Water Ross Berry said: “We know cost-of-living pressures are being felt across the community, and any increase in bills for essential services matters. That’s why we’ve worked hard to keep costs as low as reasonably practicable.  

“At the same time, we must invest in water security, including essential upgrades and replacement of ageing infrastructure. We have raised concerns about full cost recovery for these works, which are critical to maintaining safe and reliable drinking water and wastewater services. 

“We continue to advocate on behalf of our customers to see if there will be government support to help ease the impact on households.” 

IPART’s draft determination has acknowledged that capping prices below full cost recovery creates a funding gap. IPART estimates a shortfall of around $12.6 million (plus inflation) over the coming five-year period, which would require a government contribution to supplement Essential Water’s income. 

That funding gap would become larger if the proposed increases to customers’ bills is reduced below what IPART has recommended.   

Essential Water will continue to work constructively with the NSW Government and stakeholders on solutions that support customer affordability while ensuring critical infrastructure can be maintained and upgraded. 

IPART is inviting submissions and feedback, including through an online customer survey, by 28 April 2026. Essential Water encourages everyone in the Broken Hill region - customers, community groups and businesses - to take part and share their views. 

“The draft determination is not final and, just like our original submission, community input will play an important role in shaping IPART’s final decision,” Ross says. 

To stay informed of the process, go to IPART’s website.