The charges have risen by less than inflation since 2019-20, meaning they have fallen in real terms.
The ACCC report noted entitlement storage fees levied on irrigators and private diverters have fallen in real terms since 2019-20.
The entitlement storage fee is levied on (non-bulk) water access entitlement holders, including irrigators in irrigation districts and private diverters.
Beginning in the 2020-24 regulatory period, G-MW moved to a uniform storage price for entitlement storage fees in each of the basins in the Goulburn and Murray systems.
“The entitlement storage fee for basins in the Goulburn system (Broken, Goulburn, Campaspe, Loddon and Bullarook) was $10.03 per Ml and $11.50 per Ml for the Murray system (Murray and Ovens basins) in 2022-23,” the ACCC report found.
“For G-MW’s private diverter customers, the entitlement storage fee is the largest component of their bill.”
The report noted wet conditions across the Murray-Darling Basin in 2022-23 kept water availability high, while regulated water charges varied substantially, reflecting the different tariff structures and approaches to cost recovery taken by each basin state, the ACCC’s annual water monitoring report shows.
The ACCC monitors regulated water charges levied by monopoly infrastructure providers in the Murray-Darling Basin as well as the ‘transformation’ arrangements that allow irrigators to convert an irrigation right into a standalone water access entitlement.
The report noted irrigators transformed small volumes of irrigation rights in 2022-23. Across the basin, the water delivery rights traded or terminated was also a very small proportion of the rights on issue reported to the ACCC.
“It is important stakeholders are kept informed of changes in regulated water charges and market arrangements in the basin,” ACCC deputy chair Mick Keogh said.
Another key focus for the ACCC is monitoring compliance with the water rules by the infrastructure operators that provide water delivery services in the basin.
In most cases, these infrastructure operators have an effective monopoly because they operate in geographically exclusive areas.
