Creating a Customer Fee/Water Register Fee

Creating a Customer Fee/Water Register Fee

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One of the most common things we hear from you – our customers – is keep the bills simple!

One of the most common things we hear from you –our customers – is keep the bills simple! One way we think we can do this is by developing a new Customer Fee.

This fee would mean you are not charged multiple service fees on your account. It will also mean you can elect to receive one bill from us.

In your words

“Simplify– the whole billing system is too complex.”

“Do something about the billing structure.”

“Stop charging such high prices for services other that water.”

What costs are recovered by the Service Fee?

The Service Fee recovers the costs associated with creating and maintaining records of customers, their water entitlements and land, billing and debt collection and customer engagement.

What can we do?

First we can create a new Customer Fee that means only one service fee will be charged per account. Currently you can have a drainage and a gravity irrigation services on one account. This change will stop you paying two Service Fees.

Next we can give you the opportunity to amalgamate accounts across services and regions – meaning one bill for each customer.

An integral part of the proposal is to create a Water Register Fee. GMW pays a fee(currently $12.89) to the Victorian Water Register to store customer’s water entitlement records (e.g. water shares, take and use diversion licences and supply agreements).

This is the cost currently covered by the Service Fee that differs between customers. Some individual customers hold no water entitlements while others may have as many as 50. The Water Register Fee would ensure each customer meets the costs associated with storing their water entitlement records.

What is the impact on your fees?

With only one Customer Fee per account and account consolidation, the number of accounts on which the fee is levied will reduce. To ensure revenue from the charge meets the costs, this would mean the single Customer Fee would need to increase.

Taking Water Register Fee costs out of the Customer Fee will reduce the Customer Fee. The proposal will change the amount paid by each customer, with the amount depending on how many Service Fees they currently pay and how many water entitlements they have. The result will be simpler and fairer bills for all customers.

GMW’s transformation project also provides opportunity for our business to reduce customer administration and operational expenditure costs. This means less revenue needs to be recovered and we can pass these benefits back to customers through the reduction in fees outlined above. We also have an opportunity to generate savings through Victorian Register costs.

What we need to explore with you

How do you feel about the single Customer Fee and Water Register Fee proposal?

Do you understand the cost impacts to you?

Do you believe this would help simplify our billing system and make it fairer?

Is there any other way you think we can further simplify bills?