TasWater commenced operating on 1 July, 2013 and was formed through the amalgamation of the three Tasmanian Water and Sewerage Corporations namely:

  • Ben Lomond Water
  • Cradle Mountain Water
  • Southern Water, and their service firm;
  • Onstream

Background

These four Corporations were formed in late 2008 as a result of significant reform of Tasmania's water industry, and commenced trading on 1 July, 2009. The three Regional Corporations (Ben Lomond Water, Cradle Mountain Water and Southern Water) were owned by local government councils within their respective regions. As the shared services business, Onstream was owned by the three Regional Corporations. On commencement, the three Regional Corporations managed the transfer of some $2 Billion in water and sewerage assets from the previous ownership by 29 councils, three bulk water authorities and some state government agencies with the transfer of some 615 staff. Between 2009 and 30 June, 2013 the three Regional Corporations focused on:

· delivery of Compliance Implementation Plans agreed with industry's major regulators

  • managed significant inherited and new capital works expenditure
  • managed bulk and reticulated water and sewerage operations
  • introduced a new billing system

· installed 54,000 water meters in southern Tasmania for the first time as well as others in unmetered areas of the state

· had their first Price and Service Plans approved by the Economic Regulator for the next three years

The move to a single corporation

In September 2011, the Board Chairman initiated discussions with owner councils about the potential benefits that could ensue from a single statewide water and sewerage corporation. After a series of reviews, council owners in all regions agreed to move to a single corporation that merged the current four corporations.

Specific governance arrangements were agreed that are now largely incorporated in the Water and Sewerage Corporation Act 2012 (Tas), the new constitution and the new Shareholders' Letter of Expectation. The new corporation was registered as a proprietary limited company under Corporations Act 2001 (Cth) on 5 February, 2013.

Objectives

The objectives for TasWater prescribed in the Water and Sewerage Corporation Act are to:

  • efficiently provide water and sewerage functions in Tasmania

· encourage water conservation, the demand management of water and the reuse of water on an economic and commercial basis

  • be a successful business, and to this end
  • operate its activities in accordance with good commercial practice
  • deliver sustainable returns to its members

· deliver water and sewerage services to customers in the most cost efficient manner

Fast Facts

Based on the annual reports for 2011-12, the scale of the combined statewide corporation is anticipated to be:

  • combined annual turnover of $246.6M
  • combined total assets $2187.5M
  • over 200,000 water connections
  • over 178,000 sewerage connections
  • over 700 employees
  • combined capital expenditure $105.2M
  • combined debt $276.3M
  • combined total payroll $59.7M