Lower Hunter councils have called on Hunter Water and the state government to ensure properties across the region can can be connected to the sewage network on a socially equitable basis.
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At present funds from an Environmental Improvement Charge, which is levied on all water users, pays for the connection of sewage connections across the Lower Hunter.
However, the Independent Pricing and Regulatory Tribunal is considering a proposal to remove the charge, which would leave property owners liable for the cost of connection.
"We need to work together to come up with an approach that is equitably funded for those who are missing out on this basic service. It's evident the existing mechanism will not allow for the backlog to be addressed. It's also overwhelmingly clear that our residents should not be asked to pay a hefty bill to secure a sewerage service, " Cessnock mayor Bob Pynsent said following this week's IPART hearing.
Councillor Pynsent said applying a user-pays model in areas such as North Rothbury was not equitable.
"The idea that a resident would have to pay $63,000 per property to get sewerage connected is incomprehensible," he said.
A Hunter Water spokeswoman said the corporation's priority was to complete a backlog of 400 sewer connections in Wyee.
"In late 2018, the Independent Pricing and Regulatory Tribunal updated its methodology for determining the funding and delivery of backlog sewer services by Hunter Water," she said.
"We are legally obliged to charge in accordance with relevant IPART determinations and will be applying this new methodology when considering future backlog sewer schemes."
The spokeswoman said the Hunter Water was mindful of the Cessnock Council's wish to ensure North Rothbury properties had access to sewage services.
"Hunter Water notes Cessnock City Council's ongoing interest to prioritise sewer services to North Rothbury. We will continue to work with local councils within our area of operations, including Cessnock, to understand priority sewerage opportunities, and relevant environmental and social benefits," she said.
City of Newcastle has also lobbied to have properties in Hexham connected to the sewerage network.
"Several years ago Hunter Water's then portfolio Minister Niall Blair indicated that Hexham would be connected once Wyee was done. Wyee has since been completed and now it is Hexham's turn," a spokesman said.
"This commitment to sewer Hexham followed submissions from NSW Health and the Environment Protection Authority who were rightly concerned about the health and environmental impacts of not being connected to the sewer system."
Residents and industrial businesses in Hexham currently rely on on-site sewage systems, which create the potential for sewage run-off to pollute and contaminate Hexham's nearby waterways and wetlands.
"If Hunter Water proceeds with scrapping the Environment Improvement Charge which has been in place for more than 30 years, the mechanism for sewering Hexham is effectively lost forever. Most frustrating is the cost to Hunter Water of undertaking this work is just approximately $5-6 million which is relatively low given the long term health benefits and new jobs that would occur," the spokesman said.