Overview
The Tasmanian Economic Regulator is conducting a comprehensive investigation to determine the maximum prices TasWater can charge for regulated water and sewerage services during the fifth regulatory period (1 July 2026 – 30 June 2030).
This process ensures that prices reflect efficient service delivery costs, and support TasWater in meeting its service obligations to customers across Tasmania.
TasWater's Proposed Price and Service Plan
TasWater has proposed that an 11.2% price increase each year for the next four years would be required to support its planned expenditure.
To reduce the short-term impact, TasWater has proposed that this be recovered over eight years, through an 8.8% price increase each year from 1 July 2026 to 30 June 2030 (PSP5) and a 5.4% increase each year from 1 July 2030 to 30 June 2034 (PSP6).
The 5.4% price increase would be in addition to any increase that is required to support TasWater's expenditure over the sixth regulatory period (PSP6).
Period
| TasWater's proposed price increase
|
Fifth regulatory period (1 July 2026 - 30 June 2030)
| 8.8% per year |
Sixth regulatory period (beyond 1 July 2030)
| 5.4% per year + proposed PSP6 increase
|
TasWater is also proposing structural changes to its water, sewerage and trade waste charges:
- Water charges: TasWater has proposed an increase in the variable component of a customer's water bill and a reduction in the fixed component of a customer's water bill.
- Sewerage charge: TasWater has proposed a new approach for sewerage charging, based on a fixed annual charge ($ per connection size) and a variable charge ($ per kilolitre) that is applied to the volume of sewage that a customer discharges into the network.
- Trade waste charges: TasWater has proposed new customer categories and new fixed ($ per year) and variable ($ per kilolitre) charging components.
Key Documents
Fact sheets
2026 Water and Sewerage Price Determination Investigation Fact Sheet
Summary of TasWater’s proposed water and sewerage charges
Summary of TasWater’s proposed trade waste charges
What's Being Investigated?
The Regulator is assessing:
- Whether TasWater actually needs to spend the amount of money it is forecasting to spend (ie is it prudent to spend the forecast amount?)
- Whether TasWater is providing services at the lowest cost (ie is the expenditure efficient?)
- The prices TasWater proposes to charge
- The services and outcomes TasWater commits to delivering.
Key Milestones
- 1 October 2024: Regulator releases Notice of intention to conduct the investigation and the Price and Service Plan Guideline
- 30 June 2025: TasWater submits its proposed Price and Service Plan
- February-March 2026: Regulator releases the Investigation Draft Report and Proposed Price Determination for public consultation
- By May 2026: Regulator releases the Investigation Final Report and makes the Price Determination
- June 2026: Regulator approves TasWater's Final Price and Service Plan after confirming that it complies with the Investigation Final Report and Price Determination
- 1 July 2026: Regulator approved prices start.
Consultation and Engagement
Stakeholder input is a vital part of the process. The Regulator will release an Investigation Draft Report and a Proposed Determination in February 2026 for public comment.
This will be followed by approximately 6 weeks of public consultation. The Regulator will welcome submissions from customers, industry and community groups and other interested stakeholders during this period.
More information on the public consultation process will be made available in early 2026.
Stay Informed
To receive updates or participate in future consultations, please subscribe to our mailing list or contact us at office@economicregulator.tas.gov.au.