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City West Water

Charges explained

At City West Water we are committed to providing our customers with the best quality water services at an affordable cost.

In fact, in 2018-2019 we will retain the lowest average household water bills for a metropolitan city in Australia. Our average bill will reduce by 2.8% before inflation. That translates to a saving of $8 per year after accounting for inflation.

It is all about delivering high quality services efficiently and keeping bills affordable.

As one of Victoria’s water authorities, our prices are set by the Essential Services Commission (ESC).

The ESC’s 2018 Price Determination for City West Water sets out prices from 1 July 2018 and the process we use to update our prices annually to 30 June 2023.

For more information on the price determination, please visit the ESC’s website.

Our 2018/19 prices

Residential charges

Old price
(1 Jul 2017 – 30 Jun 2018)

New price
(1 Jul 2018 – 30 Jun 2019)
Price change
compared to last year
Water network charge $57.80 per quarter $57.79 per quarter $-0.01 per quarter
Water usage charge
Block 1: first 440 litres of water used per day $2.4440 per kilolitre $2.4904 per kilolitre $0.0464 per kilolitre
Block 2: water usage above 440 litres of water used per day
$2.8766 per kilolitre $2.9312 per kilolitre $0.0546 per kilolitre

Recycled water service charge* $7.6300 per quarter $7.6300 per quarter $0.0000 per quarter
Recycled water network charge $2.4440 per kilolitre $2.4904 per kilolitre $0.0464 per kilolitre
Sewerage network charge $64.14 per quarter $64.13 per quarter $-0.01 per quarter
Sewage disposal charge $1.8805 per kilolitre $0.8348 per kilolitre $-1.0457 per kilolitre
Melbourne Water waterways and drainage charge $98.88 per year $100.72 per year $1.84 per year

Parks Victoria charge

Minimum fee

$75.85 per year

$77.10 per year $1.25 per year
Rate 0.453¢ per $ of NAV^ per year 0.460¢ per $ of NAV^ per year 0.007¢ per $ of NAV^ per year

The prices for non residential charges are as follows:

Non residential charges Old price
(1 Jul 2017 – 30 Jun 2018)
New price
(1 Jul 2018 – 30 Jun 2019)
Price increase
compared to last year
Water network charge $84.19 per quarter $84.18 per quarter $-0.01 per quarter
Water usage charge $2.7186 per kilolitre $2.5970 per kilolitre $-0.1216 per kilolitre
Sewerage network charge $113.27 per quarter $113.26 per quarter $-0.01 per quarter
Sewage disposal charge $1.8294 per kilolitre $1.7068 per kilolitre $-0.1226 per kilolitre
Trade waste usage charges
Volume charge $0.9776 per kilolitre $0.8152 per kilolitre $-0.1624 per kilolitre
Biochemical oxygen demand $0.9954 per kilogram $0.9953 per kilogram $0.0001 per kilogram
Total Kjedahl nitrogen $1.9155 per kilogram $1.9154 per kilogram $0.0001 per kilogram
Suspended solids $0.5393 per kilogram $0.5392 per kilogram $0.0001 per kilogram
Inorganic total dissolve solids $0.0195 per kilogram $0.0194 per kilogram $0.0001 per kilogram

Melbourne Water waterways and drainage charge Minimum fee $126.48 per year $136.00 per year $9.52 per year
Rate $0.6633¢ per $ of NAV^ per year $0.5118¢ per $ of NAV^ per year
-$0.1515¢ per $ of NAV^ per year
Melbourne Water waterways charge for rural areas $54.32 per year $55.36 per year $1.04 per year
Parks Victoria charge Minimum fee $75.85 per year $77.10 per year $1.25 per year
Rate 0.453¢ per $ of NAV^ per year
0.460¢ per $ of NAV^ per year
0.007¢ per $ of NAV^ per year

^Net Annual Value

* Recycled water service and usage charges are only applied to properties receiving recycled water through a separate purple coloured recycled water meter.

How water service charges are calculated

Water Charges

Our water tariff has two components - a network charge and a water usage charge.

Water Network charge

The water network charge is a quarterly fixed charge that contributes to the maintenance of the water supply network, including our water mains, service tanks, water meters and Melbourne Water’s water mains, aqueducts, treatment plants and reservoirs.

Water Usage charge

In addition to contributing to the above, the water usage charges also cover the actual cost of water that is provided to the customer.

The amount of water you are charged for using is calculated from water meter readings taken approximately once every 90 days. The amount of water recorded between readings is divided by the number of days in the reading period to calculate how much water is used every day.

From 1 July 2018, City West Water will move from three-step to a simpler two-step tariff for water usage pricing. The first 440 litres per day are charged at the lowest step ($2.4904 per kL), water used over 440 litres per day is charged at the second step ($2.9312 per kL).

Sewerage Charges

Much like the water tariffs, our sewerage tariffs have two components - a fixed sewerage network charge and a volumetric sewage disposal charge.

Sewerage Network charge

The Sewerage Network charge helps us maintain the sewerage network including our sewer mains and pumping stations and Melbourne Water’s trunk sewer mains and the Western Treatment Plant.

Sewage Disposal

The sewage disposal charge is for the waste water (sewage) you discharge to the sewer, including water that goes down any inside drains, sinks, toilets and any other drains that connect to the sewer.

We estimate the volume of sewage you discharge to the sewer based on the amount of water recorded by your water meter.

For residential customers your sewage disposal estimate depends on your type of residence (house or unit) and what season we are in. Given these variables the percentage of water used that is estimated to have entered the sewer can vary from 62% to 90% during the year.

For non-residential customers the sewage disposal estimate is set at 90% and this does not fluctuate with the season.

For more details refer to Pricing handbook which describes the estimation methodology and how they are applied.

The Victorian Government Rebate

We’ve been providing a temporary Government Efficiency Rebate on residential customer bills for the past four years. It was always intended that the rebate finish in 2017-18.

We’re proud to be able to convert the savings we were providing under the rebate to permanent price reductions for all our customers. In fact we’ve been able to identify additional operating efficiencies and will be providing even more savings to our customers through price reductions.

Converting the rebate to price reductions provides a fairer more equitable way of sharing savings across our diverse customer base. 

Other Authority Charges

We collect certain charges on behalf of other Victorian State Government Agencies. These charges include:

Parks Victoria Parks Charge

We collect an annual Parks Charge on behalf of Parks Victoria. This charge helps fund the purchase, development and maintenance of Melbourne’s major parks, gardens and waterways. This amount is usually charged during the July-September quarter and may be why your account, for that period, seems higher than normal.

The Parks Charge for each property in 2018-19 will be the greater of the minimum fee of $77.10 and a fee based on the property’s ‘net annual value’ or ‘NAV’, calculated at 0.460 cents per dollar of NAV per year.

For more information about the charge and Park Victoria’s services visit Parks Victoria’s website.

Melbourne Water Waterways and Drainage Charge

We collect a Waterways and Drainage Charge on behalf of Melbourne Water. This charge contributes to the management of waterways, drainage assets and floodplains in our region.

For more information about the charge and Melbourne Water's services and projects visit Melbourne Water's website.

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