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Minister Blocks Drainage Price Plan

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Residents will be consulted on a drainage price to be included in residential rates after Local Government Minister Ron Hoenig refused to allow Central Coast Council to simply transfer the charge from its water rates, no questions asked.

The drainage charge is $130 a year for properties less than 1000m2 up to $3,251.85 for properties more than 45,000m2 according to council’s FAQ answers on its website.

The charge is worth almost $20M each year and council says it needs it to deliver essential services to the community.

It could opt to levy a stormwater charge as some councils do but at $25 a pop, it would not bring in as much money as the current drainage charge.

To keep the charge, Council will now have to ask the Independent Pricing and Regulatory Tribunal (IPART) for a rate rise to take effect in 2026-27. It is already asking IPART for an 8 per cent water rate rise to take effect from 2026-27.

Minister Hoenig said Council has been advised that its request has been declined and advised its financial situation should continue to be managed according to the regular processes within the Local Government Act and in consultation with the local community.

Resident Kevin Brooks says the Minister’s decision is a win for the community.

“If transfer of drainage costs requires an increase in general rates, it should also mean an equal decrease in water rates,” Mr Brooks said.

“That’s why public consultation is so important — so the public can gauge the combined effect across both general rates and water rates,” he said.

Council has already increased its income from combined rates by about 39% in the four years up to 2024-25.

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