Each year, prior to the start of the irrigation season, Tasmanian Irrigation determines water charges in consultation with Irrigator Representative Committees from each scheme. Current year charges are contained in the annual pricing announcement, which is available prior to the opening of the irrigation season.
Please be aware that these charges are subject to change and are determined each year on the basis of costs applying at that time.
The supply of water is not currently subject to GST and accordingly Tasmanian Irrigation does not collect GST in respect of the water charges. Should the GST treatment of water change, GST may be collected in the future.
Fixed charges
Fixed charges include an operations and maintenance charge and asset renewal levy. These charges are levied on water entitlement holdings and are payable regardless of whether any water is supplied. The operations and maintenance charge recovers the fixed costs associated with the irrigation district, including costs associated with employee entitlements, vehicles, plant and equipment, routine maintenance, telemetry, compliance, administration, finance and insurance. The asset renewal levy provides for refurbishment and replacement of significant scheme assets and funds that may be made available in the unlikely event of a major scheme failure. Funds collected through the levy are set aside in an asset renewal reserve for the benefit of the irrigation district.
Variable charges
Variable charges are payable on water supplied during the respective delivery periods and vary across the scheme to reflect differences in the cost of supplying water to different parts of the irrigation district.