Prices 2024-28

Loch Garry Flood Protection customers will see an increase to their per-hectare flood protection fees by 10 per cent (excluding inflation) for each of the next four years (2024-2028).

The main reason for price increases are the levee breach repairs, undertaken in mid-2023 after the 2022 floods, whose costs will be recovered over their estimated 80-year life.

The table below demonstrates how the prices will change over the next four years.

We have developed an online pricing simulator that will assist customers in calculating what their Loch Garry Flood Protection service prices will look like over the next four years (2024-2028).

Loch Garry Future Service Strategy

In the coming weeks, we will also call for expressions of interest for people looking to be part of the Loch Garry Future Service Strategy.

The Future Service Strategy will explore options for the long-term services and infrastructure needs of Loch Garry. It will include representatives from Loch Garry customers and the broader community.

Any recommendations made in the review will come into effect after the next four years (2024-2028).

Flood protection fees not part of GMW’s Pricing Submission

As you may be aware, in recent months GMW has been meeting with customers to talk about its Price Submission 2024-28.

The Price Submission covers all GMW services whose prices are regulated by the Essential Services Commission (ESC). GMW has been advised that Loch Garry Flood Protection District is not subject to price regulation by the ESC.

Although its prices are not regulated by the ESC, GMW will develop and manage the Loch Garry Flood Protection District to be consistent with the principles of independent economic regulation.

The service standards, revenue requirements and prices will be re-evaluated every four years through engagement with customers, as occurs with customers whose prices are regulated by the ESC.

Under the ESC, at the start of each four-year period prices are re-set to the amount needed to recover the approved revenue for that period. Within each four-year period, price changes are generally capped at 10 per cent (excluding inflation). GMW will apply the same approach to the Loch Garry Flood Protection service.

The only noticeable change will be when we discuss services and prices. While we have finished meeting with our other customers for the Pricing Submission 2024-28, we will be discussing services and prices with Loch Garry Flood Protection customers later this year.

These discussions will be about the service for the next four-year period, which runs from July 2024 to June 2028, with prices to take effect from 1 July, 2024.