Price regulation
Regulation of water pricing by independent bodies in each state and territory provides for pricing transparency.
Under the National Water Initiative (NWI), independent bodies are required to set or review prices, or price setting processes, for water storage and delivery by government water service providers. This is to be done on a case-by-case basis, consistent with the principles in paragraphs 65 to 68 of the NWI. They are also required to publicly review and report on pricing in government and private water service providers to ensure that the principles in paragraphs 65 to 68 of the NWI are met.
Independent regulators
In its 2009 Biennial Assessment of progress against the NWI, the Commission found that independent economic regulation is promoting transparency, rigour, and at least broad consistency in price review and price setting processes in Victoria, New South Wales and the ACT. While the Commission acknowledges some progress in other jurisdictions, such as South Australia's recent announcement that the role of the Essential Services Commission will be extended, South Australia, Tasmania, Western Australia and the Northern Territory do not yet benefit from fully independent economic regulations.
While recognising recent progress, the Commission recommends that more be done in Tasmania, South Australia, Western Australia, Queensland and the Northern Territory to establish and put into operation independent economic regulation to improve the efficiency, accountability, national consistency and transparency of water pricing across Australia.