Privatisation is the last card in the pack that you want to even consider going down in terms of public utilities and water, Cowra councillor and former mayor Bill West has told a NSW government public hearing into protecting local water utilities.
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Cr West, Cowra Council's Director of Infrastructure Dirk Wymer, Central Tablelands Water general manager Gavin Rhodes and chair David Somervaille all attended the hearing held at Dubbo on February 13.
Central Tablelands Water supplies Grenfell, Gooloogong, Eugowra and Canowindra.
"Local water utilities play an incredibly important role above and beyond the vital role of providing water and sewer services to our communities," Cr West told the hearing.
"The role they play within the community, supporting our community grow are also issues that need to be fully understood before any decisions could be made (on privatisation)," he said.
In its submission to the hearing Central Tablelands Water (CTW) stood by a "proud history of providing quality drinking water".
"CTW strongly supports the protection of local water utilities from privatisation," CTW said in its submission.
The key to protecting local water utilities, CTW told the hearing, "is collaboration by assisting each local water utility to address challenges, mitigate risks, and resolve issues, whilst delivering a safe, reliable and affordable drinking water supply to its local communities".
Speaking against any possible forced amalgamations CTW wrote "lessons learnt from the 2016 NSW Council amalgamations in regional areas have not proven to be as efficient and effective as touted".
As for sell offs CTW said this is "difficult to comprehend".
"The majority of utilities have ageing infrastructure which will need replacing in the near to mid future. Replacing water infrastructure is expensive and therefore any prospective buyer wold then have to charge exorbitant water supply fees to recoup their investment and make a profit," CTW said.
In its submission Cowra Council added "Local councils have a vested interest in preserving the financial sustainability of their water utilities to ensure the long term prosperity of their communities".
"The preservation of local water utility ownership is fundamental to the sustainable development and resilience of local communities".
Joining the chorus against privatisation Central NSW Joint Organisation (CNSWJO) chair Cr Kevin Beatty told the inquiry, in a submission, "privatisation is not the solution to under-investment in water and sewerage infrastructure. Underinvestment is largely a condition of a community's ability to pay for water and sewerage services".
The CNSWJO comprises the local government areas of Bathurst, Blayney, Cabonne, Cowra, Forbes, Lachlan, Lithgow, Oberon, Orange, Parkes and Weddin.
"The removal of water supply and sewerage functions from councils would have significant impacts on the financial sustainability of councils and on local and regional economies and employment," Cr Beatty said.
"The CNSWJO Board maintains that the question that should be asked is not about the institutional or structural arrangements for Local Government Local Water Utilities in regional NSW but rather how water is managed strategically between the State, Federal and Local Government.
"This is where the greatest gains can be made in the delivery of Local Water Utility services," Cr Beatty said.