The DEC for water and sewerage infrastructure in WA is projected to increase by 96 per cent to $3.1 billion between 2011 and 2031. The Audit identified that 243 GL of water was supplied to Perth in 2011 and 210 GL to other regions. A total of 127 GL of sewage was collected in Great Perth in 2011, and 11 GL in other regions.
The highest projected growth in water and sewerage DEC is in greater Perth, where DEC is projected to grow by $1.3 billion from 2011 to $2.5 billion in 2031. In the regional areas DEC is projected to grow by $260 million to $691 million in 2031.
It is important to note that water and sewerage services have historically been under-priced, particularly in regional areas, and that this has potentially led to an understatement of DEC, which is derived from the National Water Commission data.
In regional areas the under-pricing of water and sewerage services means that the return on the capital base is a long way below the level needed to fund the full replacement cost of assets.