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Get the facts: price smoothing is best-practice approach

13 April 2015
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Council would like to correct a quote printed in the Redland City Bulletin (8 April 2015) that Redland City Council has “overcharged its water users by $14 million over the past two years”.

Using the well accepted practice of price smoothing to guard against price shocks, Council has over-recovered significantly less than $14 million over two years and all of this will be passed back through services or price reductions in future years.

Council’s approach is best-practice and has been vindicated by the Queensland Competition Authority who has recently recommended a smoothing of the bulk water pricing path to the State Government.

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Council is committed to keeping its water costs as low as possible and does not control State Government bulk water costs.

Tags: redland city bulletinwater

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