sec.170ZIMatters to be considered by authority in making water pricing determination

### sec.170ZI Matters to be considered by authority in making water pricing determination In making a water pricing determination, the authority must have regard to the following matters— the need for efficient resource allocation; the need to promote competition; the protection of consumers from abuses of monopoly power; decisions by the Minister and local governments under part 3 about pricing practices of monopoly business activities involving the supply of water; the legitimate business interests of the water supplier carrying on the monopoly water supply activity to which the determination relates; in relation to the monopoly water supply activity— the cost of providing the activity in an efficient way, having regard to relevant interstate and international benchmarks; and the actual cost of providing the activity; and the quality of the activities constituting the water supply activity; and the quality of the water being supplied; the appropriate rate of return on water suppliers’ assets; the effect of inflation; the impact on the environment of prices charged by the water supplier; considerations of demand management; social welfare and equity considerations, including community service obligations, the availability of goods and services to consumers and the social impact of pricing practices; the need for pricing practices not to discourage socially desirable investment or innovation by water suppliers; legislation and government policies relating to ecologically sustainable development; legislation and government policies relating to occupational health and safety and industrial relations; economic and regional development issues, including employment and investment growth. The authority may have regard to any other matters related to the matters mentioned in subsection (1) it considers are appropriate. In considering a matter mentioned in subsection (1) , the authority may also have regard to the matter as it may continue in existence, arise, or be relevant over a period that is longer than the water pricing period for which the water pricing determination is being made. Subsection (5) applies if the authority makes a water pricing determination that may have the effect of a price increase for customers that is higher than the rate of inflation. The authority must, in making the water pricing determination, consider the need to implement in the determination a price path for the introduction of the price increase to moderate its impact on customers. If the authority decides not to implement a price path when subsection (5) applies, the authority must give its reasons for not doing so. In implementing a price path, the authority must have regard to the legitimate business interests of the water supplier carrying on the monopoly water supply activity. A price path mentioned in subsection (5) may indicate how it will continue beyond the water pricing period to which the water pricing determination relates, subject to any later water pricing determination. s 170ZI ins 2000 No. 15 s 39 amd 2008 No. 35 s 55 ; 2010 No. 53 s 104 ; 2013 No. 39 s 43 sch 1 (sec.170ZI-ssec.1) In making a water pricing determination, the authority must have regard to the following matters— the need for efficient resource allocation; the need to promote competition; the protection of consumers from abuses of monopoly power; decisions by the Minister and local governments under part 3 about pricing practices of monopoly business activities involving the supply of water; the legitimate business interests of the water supplier carrying on the monopoly water supply activity to which the determination relates; in relation to the monopoly water supply activity— the cost of providing the activity in an efficient way, having regard to relevant interstate and international benchmarks; and the actual cost of providing the activity; and the quality of the activities constituting the water supply activity; and the quality of the water being supplied; the appropriate rate of return on water suppliers’ assets; the effect of inflation; the impact on the environment of prices charged by the water supplier; considerations of demand management; social welfare and equity considerations, including community service obligations, the availability of goods and services to consumers and the social impact of pricing practices; the need for pricing practices not to discourage socially desirable investment or innovation by water suppliers; legislation and government policies relating to ecologically sustainable development; legislation and government policies relating to occupational health and safety and industrial relations; economic and regional development issues, including employment and investment growth. (sec.170ZI-ssec.2) The authority may have regard to any other matters related to the matters mentioned in subsection (1) it considers are appropriate. (sec.170ZI-ssec.3) In considering a matter mentioned in subsection (1) , the authority may also have regard to the matter as it may continue in existence, arise, or be relevant over a period that is longer than the water pricing period for which the water pricing determination is being made. (sec.170ZI-ssec.4) Subsection (5) applies if the authority makes a water pricing determination that may have the effect of a price increase for customers that is higher than the rate of inflation. (sec.170ZI-ssec.5) The authority must, in making the water pricing determination, consider the need to implement in the determination a price path for the introduction of the price increase to moderate its impact on customers. (sec.170ZI-ssec.6) If the authority decides not to implement a price path when subsection (5) applies, the authority must give its reasons for not doing so. (sec.170ZI-ssec.7) In implementing a price path, the authority must have regard to the legitimate business interests of the water supplier carrying on the monopoly water supply activity. (sec.170ZI-ssec.8) A price path mentioned in subsection (5) may indicate how it will continue beyond the water pricing period to which the water pricing determination relates, subject to any later water pricing determination. - (a) the need for efficient resource allocation; - (b) the need to promote competition; - (c) the protection of consumers from abuses of monopoly power; - (d) decisions by the Minister and local governments under part 3 about pricing practices of monopoly business activities involving the supply of water; - (e) the legitimate business interests of the water supplier carrying on the monopoly water supply activity to which the determination relates; - (g) in relation to the monopoly water supply activity— (i) the cost of providing the activity in an efficient way, having regard to relevant interstate and international benchmarks; and (ii) the actual cost of providing the activity; and (iii) the quality of the activities constituting the water supply activity; and (iv) the quality of the water being supplied; - (i) the cost of providing the activity in an efficient way, having regard to relevant interstate and international benchmarks; and - (ii) the actual cost of providing the activity; and - (iii) the quality of the activities constituting the water supply activity; and - (iv) the quality of the water being supplied; - (h) the appropriate rate of return on water suppliers’ assets; - (i) the effect of inflation; - (j) the impact on the environment of prices charged by the water supplier; - (k) considerations of demand management; - (l) social welfare and equity considerations, including community service obligations, the availability of goods and services to consumers and the social impact of pricing practices; - (m) the need for pricing practices not to discourage socially desirable investment or innovation by water suppliers; - (n) legislation and government policies relating to ecologically sustainable development; - (o) legislation and government policies relating to occupational health and safety and industrial relations; - (p) economic and regional development issues, including employment and investment growth. - (i) the cost of providing the activity in an efficient way, having regard to relevant interstate and international benchmarks; and - (ii) the actual cost of providing the activity; and - (iii) the quality of the activities constituting the water supply activity; and - (iv) the quality of the water being supplied;