The total water and sewerage DEC across NSW regions except greater Sydney, Riverina and Murray is projected to grow by $186 million, or 19.7 per cent, from $948 million in 2011 to $1,134 million in 2031.
Local councils provide water and sewerage services in regional NSW. There are currently 106 regional water and sewerage suppliers in NSW, which may prove to be an unsustainably high number - by comparison, there are 13 such suppliers in Victoria.
Maintaining the current level of service for water and sewerage services in regional NSW is a significant issue which will likely require attention during the period to 2031. Figure 57 shows where prospective water supply constraints, particularly in the north and west of the state, will require attention. Options will need to acknowledge the requirements of the National Water Initiative and the Murray Darling Basin Plan, which requires a reduction in surface water extraction by 2019. A number of regional towns also face water quality issues.
The SISU recommended that the NSW Government allocate $1 billion from the Rebuilding NSW Initiative to:
■ deliver projects in the Gwydir, Macquarie, Lachlan and upper Hunter River catchments;
■ secure water supplies in Broken Hill and Cobar; and
■ finalise the business cases for 71 projects aimed at ensuring regional towns meet water quality and environmental standards.304
Infrastructure NSW has also recommended that Water NSW should develop a best practice 20-year capital plan to provide an evidence base for pricing applications to support the funding of capital investment required for water security. The issues of scale and governance also need to be addressed through reform initiatives.
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304. Infrastructure New South Wales (2014), p. 80