Account charges explained - Residential water pricing
Yarra Valley Water provides water and sewerage services to over 1.6 million people living and working in Melbourne's northern and eastern suburbs.
Outlined below is an explanation of our charges for the provision of these services.
Water and Sewerage Charges
Click here for more information on the price increases applicable from 1 July 2010
Customers connected to water and sewer pay:
- Fixed service charges for the provision of water and sewerage services.
- Usage charges based on the volume of water and sewage that you use as measured by your property meter.
- Other charges - the Waterways and Drainage Charge and Parks Charge are collected on behalf of other authorities.
1. Fixed service charges - billed quarterly along with your water usage charges
The fixed service charges for residential customers are:
2. Usage charges - billed quarterly
Usage charges consist of two separate charges - Water Usage and Sewage Disposal. They are charges for how much water you use and how much sewage you dispose of.
- Water usage - the block tariff system
In line with Our Water Our Future, the State Government's action plan to secure our water supplies for the next 50 years, Yarra Valley Water uses a three tier block tariff to encourage customers to become more water efficient. The word block used here relates to the pricing tariffs applied to your water use, it has nothing to do with actual property or house block. Block tariffs are seen as the fairest and most effective way to price water to encourage conservation, while recognising the need to provide water for essential domestic use at an affordable price.
An example of how this works:
If you use less than 440 litres per day you will pay $1.5343 per kilolitre (1,000 litres) on that amount of water. If you use over 441 litres per day you will move up into the next block of pricing and will pay $1.8000 per kilolitre over 441 litres until you reach 880 litres a day.
You can see that the more water you use, the more expensive the water becomes. There are many simple and very effective ways to save water click here to visit the saving water page.
The amount of water that you use is calculated by reading your meter. This occurs approximately every three months. Click here to follow simple steps on how to determine why you are using the volume of water as shown on your account.
| 1 |
0 - 440 |
$1.5343 per kilolitre |
| 2 |
441 - 880 |
$1.8000 per kilolitre |
| 3 |
More than 881+ |
$2.6594 per kilolitre |
Sewage is much more than what gets flushed down the toilet. It includes everything that goes down the kitchen, laundry and bathroom sinks as well as trade waste from industry. The residential sewage disposal charge is $1.7196 per kilolitre. The charge is for the estimated volume of sewage that is disposed into the sewerage system.
What does the Sewage Disposal Charge cover?
The sewage disposal charge covers the transport, treatment and disposal of sewage, which is an extensive and costly process. Once sewage reaches a treatment plant, any waste products other than domestice sewage such as grease or oils must be separated. These waste products must be pumped out and relocated to a registered waste disposal site. The remaining sewage is treated biologically, and then filtered over a bed of sand or stones, then finally disinfected using ultra-violet light.
Why not physically meter the volume of sewage discharged?
It is technically difficult to meter the volume of sewage discharged, and it is also very expensive. Therefore we estimate the volume based on the amount of water supplied to your property as measured by your water meter, minus a percentage estimated for water used outside.
3. Other Charges
- Waterways and Drainage Charge
Melbourne Water is responsible for the management of waterways, drainage and floodplains. Yarra Valley Water bills customers for this charge on behalf of Melbourne Water. Both charges are levied on property owners and the funds are used to protect and improve our catchments and to upgrade the drainage infrastructure.
Catchments are geographic areas that drain rainwater run-off from land into a river or stream. Eventually, these drain into the ocean, or, in the case of Melbourne, into Port Phillip Bay or Western Port. No matter where a property is located, the run-off from its surfaces inevitably ends up in the drainage system and our rivers and creeks.
Land development, such as clearing properties and constructing houses, roads and other impervious surfaces, alters the stormwater run-off within an area. This, in turn, puts added pressure on drains and waterways to cope with increased flows over shorter periods of time and can further lead to erosion and flooding problems. In addition, increases in litter, chemical, nutrient and sediment loads in waterways can be attributed to development within a catchment.
Therefore, all properties in the catchment pay a contribution towards the maintenance of this system, which is the fairest approach given that everyone in the catchment benefits.
The Waterways and Drainage Charge / Waterways Charge is not for supplying drainage services to individual properties. This is typically a local council or landowner responsibility.
How is the rate set?
For properties within the Urban Growth Boundaries the charge is called the Waterways and Drainage Charge.
The Urban Growth Boundary (UGB) clearly defines where development can and cannot occur. It supports the orderly development of land, discourages the unnecessary extension of infrastructure and helps preserve the highly valued open spaces, farming, conservation and recreation areas.
Properties outside the UGB are considered rural and receive the Waterways Charge. The difference in name is to reflect the different levels of service received.
Rateable properties in the new area and all rural properties are subject to a flat charge based on occupancy. The amount of the charge depends on whether properties are classified residential, non-residential or rural.
| Residential (inside UGB) |
$0.8699 in $NAV (minimum $72.80) |
| Non-residential (inside UGB) |
$0.9502 in $NAV (minimum $89.40) |
| Rural (outside UGB) |
$42.72 |
Are there changes to the charge basis for existing areas?
Yes, but not until 2012/13.
The Waterways and Drainage Charge for property owners in the existing area will continue to be based on the Net Annual Value of properties until that time. The rate in 2010/11 is $0.8699 cents per dollar of NAV.
The majority of residential customers in the existing area pay the minimum amount of $72.83 a year.
The Parks Charge is a once a year charge collected on behalf of the Department of Sustainability and Environment. It has been an annual charge on water bills in Melbourne for over 50 years. For 2010/11 the minimum charge has increased by 2.2%.
The Parks Charge is also based on the NAV (Net Annual Value) of commercial and residential properties and is made in the first quarter of each fiscal year and levied on all rateable properties. The majority of ratepayers pay the minimum amount of $63.75 a year.
Funding Victoria's parks
The money collected is allocated to Parks Victoria, Zoos Victoria, the Royal Botanic Gardens and the Shrine of Remembrance and is used to maintain the network of parks and waterways across greater Melbourne.
Some of the money collected is also used to acquire additional land for parks and land of significant conservation value around Melbourne. If you would like to learn more about parks in Melbourne please visit www.parkweb.vic.gov.au or call 13 1963.