What is the SA Water regulatory determination?

    The Commission makes a regulatory determination every four years to apply to the water and sewerage retail services provided by SA Water. The regulatory determination sets the maximum revenues that SA Water can earn from its customers over that four-year period, and the service standards it must deliver for its customers.

    What has the Commission decided about SA Water’s maximum revenue caps?

    The Commission’s draft decision on the revenue caps for SA Water for the period of 1 July 2024 to 30 June 2028 are:

    • $3,550 million ($3.55 billion) revenue cap for water retail services, which is 3 percent less than SA Water’s proposal.
    • $1,785 million ($1.785 billion) revenue cap for sewerage retail services, which is 1 percent less than SA Water’s proposal.

    The Commission considers that these revenue caps will provide SA Water with sufficient revenue to fund prudent and efficient operations, finance prudent and efficient investments on a long-term basis, and meet SA Water’s applicable health, safety, environmental and customer service standards and obligations.

    How do the revenue caps compare with the previous regulatory determination?

    The revenue caps for this regulatory period represent a 22 percent increase for water retail services and a 28 percent increase for sewerage retail services compared with those in the previous regulatory determination.  The revenue caps for this determination have been impacted by an increase in financing costs when compared to the previous regulatory period. Higher prices for energy and raw materials are also adding to overall cost pressures.

    When and how will the draft determination impact my bills?

    The new determination will apply to SA Water between 1 July 2024 to 30 June 2028 and will affect the prices that SA Water can charge its customers during this period.

    After the Commission makes its final determination, SA Water will set prices for water and sewerage retail services. SA Water has the flexibility to set prices from year to year as it sees fit, but is only allowed to recover revenues over the four-year period in accordance with the revenue cap the Commission sets.

    Could the determination change before 1 July 2024?

    Yes, the Commission will make changes before it releases its final determination in June 2024. The Commission is currently seeking feedback on its draft determination and will consider all relevant submissions, evidence and information in preparing a final regulatory determination.  

    What consumer protections are SA Water required to deliver?

    Under the Water Retail Code, SA Water is required to deliver several consumer protections. SA Water is required to:

    • have a customer charter; 
    • connect customers as per its connection policy;
    • minimise supply interruptions; 
    • have enquiry, complaint, and dispute resolution procedures; 
    • meet minimum billing requirements; 
    • meet minimum requirements in relation to customers experiencing payment difficulties and hardship; and,
    • limit disconnections and restrictions for non-payment in certain circumstances.

    How can I get involved?

    Read the draft determination and get involved by sending a submission to reviews@escosa.sa.gov.au or taking the survey. You can email us to request a meeting if you would like to discuss your feedback.