Sunshine Coast Hinterland Times

Nostradamus said that world war three would be fought over water.
We hope not, but recently there’s been a spirited war of words between Sunshine Coast mayor
Bob Abbot and the state government over the future management of water resources
in south-east Queensland.
Here, Bob Abbot explains the future of water management on the Sunshine Coast to Michael Berry
of the Hinterland Times.

“The state originally came in and said they would take over bulk water, down to its treatment. They said they would create the bulk water; they would treat it, and sell it for us to distribute to our customers.
They originally said they were going to have one big distribution business for potable water and sewerage right across south-east Queensland – from Noosa to Coolangatta and west to Toowoomba.
The Council of Mayors argued against that from day one. That’s because the people who were sending the bills – the councils – were the people who were going to get all the complaints. So the customer down the line was totally isolated from the distribution company. That company was responsible for the quantity and quality of water that we use, but they weren’t the ones that were going to get the complaints. So the state distribution company was totally remote from the customer. A classic example of that is Energex where there have been problems because the customer no longer has contact with their service provider.
Two years after the original announcement of plans to create a single water distribution company the state government, at our urging, changed its mind. Instead of a distribution monolith, it decided to set up three smaller companies that would supply and sell water in the south east. Those three businesses would sell the water and the sewerage – all water – storm water, manufactured water, desalinated and recycled water. So we saw that as a big positive where the returns come back to the council that is providing the service.
The Council of Mayors wanted the Sunshine Coast and Moreton councils to be one of those three retail companies, but for some reason, the minister recently recommended that Ipswich join with the Sunshine Coast and Moreton councils to form one of three retail entities.
This made no sense to us or to Moreton. The problem is remoteness – we’re significantly remote from Ipswich as a business interest. What they do and what we do are very different, geographically and culturally.
Also, the majority of growth in south-east Queensland is in the Ipswich-through-to-Brisbane corridor. Therefore the wealth generated in that region does not benefit us. They have 40 per cent of the growth in south-east Queensland, but we only have 28 per cent of the connections. Also, I don’t know what infrastructure agreements are in place in that area, I don’t know what they have agreed to. So, you’re buying a pig in a poke, by being linked to Ipswich.
From my perspective for five to ten years of pain that the Sunshine Coast would have to wear, it is not worth the percentage long term.
Currently the state government owns the treatment plants and all the bulk supply, including the desalination plants and recycling schemes. We still own the rest. That is, we take potable water from their treatment systems and deliver it to our customers. We operate the sewerage treatment plants and we deliver the treated water back to the environment.
Thankfully, the state government has agreed to support our original submission and allow the Sunshine Coast and Moreton councils to team up and build a water supply business to serve our regions.
As local governments, we’re on parity. We roughly have equal numbers of people, equal amounts of debt, a similar number of connections, a similar long term view to growth and it will be a geographically-aligned business.
This is a significant victory for our region and will allow us to keep costs down.
Water has become the single most valuable commodity in the world. Electricity and oil – we can change our energy resources. Food – we can manipulate. But water is the ultimate bottom line. Of all the natural assets that need to be kept in the hands of the people, it is surely water.