Meander Valley Gazette

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TasWater inquiry – Meander Valley small businesses take the plunge

Local McIntyre Legislative Councillor Tania Rattray will lead an inquiry into TasWater to protect small Tasmanian businesses.  Photo supplied Local McIntyre Legislative Councillor Tania Rattray will lead an inquiry into TasWater to protect small Tasmanian businesses.  Photo supplied

Local McIntyre Legislative Councillor Tania Rattray will lead an inquiry into TasWater to protect small Tasmanian businesses. Photo supplied

by Sharon Webb

CAFÉS AND coffee shops in the Meander Valley have made submissions to a Legislative Council inquiry into TasWater, protesting at the corporation’s demand that they pay up to $80,000 each for grease traps.

Advocate for Deloraine businesses on water issues, Malcolm Eastley, says water tariffs have risen fourfold for residential customers since TasWater took over from councils, but rose tenfold and more for cafés and restaurants.

Local Legislative Council member Tania Rattray said TasWater wrote to other legislative councillors telling them to reject her inquiry. But with the help of the Labor Party she was successful and hearings will begin at the end of October.

Three of the committee’s members are from Tasmania’s north: Tania Rattray from McIntyre, Ivan Dean from Windermere and Jo Palmer from Rosevears. The other member, from the south, is Sarah Lovell from Rumney.

‘Tasmanian small businesses were telling me they were affected by TasWater’s trade waste requirements, and I was never satisfied with TasWater’s explanation for why they were necessary’, Ms Rattray said.

According to Mr Eastley, TasWater has an obligation to parliament to provide services that are fair and competitive.

‘But Melbourne tariff comparisons show we pay much more because TasWater continues to use a fixed sewage treatment charge rather than volume charges’, he said.

‘An average residence pays about $200 per year more than a Melbourne counterpart, with lower volume users like pensioners paying $300 more.’

TasWater requires businesses producing waste, cafés and restaurants, to install grease traps. Small and large business requirements are the same.

‘Melbourne cafés are regarded as low risk and their trade waste is billed as non-residential sewage, a category we do not have’, Mr Eastley said.

‘Deloraine was at one point chosen as a test area for grease content. TasWater assumed grease traps could be installed for $3,000, saying all cafés must have one, so no financial advantage was involved.

‘But it became clear some sites were more difficult.

‘Deloraine businesses faced installation costs between $11,000 and $80,000, with maintenance costs of $1,000 a year.

‘TasWater offers four year interest free loans of up to $60,000 to encourage installation but by taking such a loan a small business faces water bills of $19,000 a year.’

The situation is compounded by a resounding lack of interest in the issue by the state and local governments, who benefit annually from TasWater dividends that TasWater borrows to pay.

And the churn of senior TasWater staff has made negotiations difficult.

‘Malcolm has been a champion of small business’, Ms Rattray said. ‘Having him in their corner has been invaluable and I can’t thank him enough for continuing to raise the issue.’

TasWater has said it will fully co-operate with the enquiry

CEO Michael Brewster said, ‘I am confident the committee process will highlight how the business is working hard to provide customers with essential water and sewerage services’

Terms of reference for the TasWater inquiry include

• operations in regard to the impact on business required to comply with Trade Waste regulations

• the opportunity for re-use water expansion for irrigation

• the management of sewage treatment including the disposal of the treated waste biosolids

• the effect of TasWater’s dividend policy on local government revenue

• the delivery and timeliness of water services to Tasmanian communities

• the effectiveness of business operations since the State Government became a shareholder in early 2019.