ESCOSA content iconDetermination of SA Water's drinking water and sewerage revenue 2013-2014 to 2015-2016

  • Project Released: 12 Oct 2012
  • Project Closes: 27 May 2013
  • Contact: Nathan Petrus

Overview

The Commission will make its first revenue determination for SA Water in May 2013, setting maximum allowed revenues for drinking water and sewerage retail services for the three year period from 1 July 2013 to 30 June 2016.

Status

Current status is Final

  • Initiate
  • Submissions
  • Draft
  • Submissions
  • Further Info
  • Final

Final

The Commission has released its final decision on SA Water’s revenues for the three-year regulatory period, 1 July 2013 to 30 June 2016.

This decision sets out the maximum revenue per unit sold that SA Water can recover from its drinking water and sewerage customers over the regulatory period.

SA Water is responsible for setting specific prices (such as supply and usage charges) for residential and non-residential customers; however, those prices must comply with the average revenue caps in the Commission’s Final Revenue Determination.

The Final Revenue Determination results in a nominal reduction in SA Water’s current average drinking water revenue of 5.5% per cent from 1 July 2013; this represents a real (inflation adjusted) reduction of 7.8%. SA Water’s average nominal sewerage revenues from 1 July 2013 will increase by 1.6%, which is a 0.9% real decrease.

In 2014/15 and 2015/16, the average revenue from both services will be allowed to increase with the annual change in CPI only.

Real Average Water and Sewerage Revenue Caps 2013/14 - 2015/16
Year 2012/13 2013/14 2014/15 2015/16
Water Revenue
($ per kL)		 4.337 4.098 CPI CPI
(annual change)   (-5.5%)
Sewerage Revenue
($ per connection)		 600.396 610.113 CPI CPI
(annual change)   (+1.6%)    

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