Water usage and charges
Who has to pay for water consumption
Residents with a separate water meter on their site where there is no minimum charge payable have to pay for water consumption even if there is not a clause in their tenancy agreement requiring them to pay.
Important. Park residents cannot be charged for excess water unless their sites are individually metered by the local supply authority.
This situation does not apply to parks in areas supplied with water by a water authority operating on an excess water system. The park owner must pay water rates and charges in these circumstances.
Top of pageWhat is an excess water system?
This is a water supply arrangement, still in use in some areas of New South Wales, where the local water authority provides customers with an annual allowance of water for which an annual rate or fixed charge is payable, and then charges for water used in excess of the allowance.
Can park owners carry out their own metering of water supplied to sites?
Yes, but the meter must comply with the NSW Code of Practice Plumbing and Drainage. This Code requires that privately owned water meters must meet the requirements of the local water supply authority that operates in the area where the park is. Questions on whether a meter complies with the required standard should be directed to the local water supply authority.
What can the park owner charge for water used?
The maximum consumption charge is the amount the resident would have been required to pay if the resident was a direct domestic customer of the local water supply authority. In other words, the resident cannot be charged more than the amount a person living in a house or flat in the same area supplied by the water authority as a direct customer, is charged. Park owners are also able to charge the water availability charge divided by the number of sites in the park although this cannot exceed $50 per year for each site under a tenancy agreement.
Quick Tip. The local water supply authority should be contacted if information on the current charge for water consumption is needed.
Does a receipt have to be issued by the park owner for water consumption payments?
Yes. It must be a separate receipt from any receipt given by the park owner for rent payments or it can be clearly identified as a separate charge on the rent receipt.
What details have to go on the water consumption bills?
The bills, which must be issued at least as frequently as the park owner is billed by the supply authority, must include:
- the latest meter reading
- the previous meter reading
- the amount of water used
- the charge per unit of water.
Are residents able to do anything about their rent?
Yes. The Residential Parks Act provides at section 56(3) that the introduction of water metering arrangements for the supply and charging for water where such a charge had not previously been paid by the resident, is taken to involve the withdrawal of a service.
An application to the Consumer, Trader & Tenancy Tribunal could be made by a resident on the grounds that the rent is excessive. However, a change in water charging arrangements would not necessarily make the rent excessive and each case is judged on its merits by the Tribunal.
What happens in areas where excess water systems are still in place?
In some areas of NSW water supply authorities still use an excess water system.
Some water authorities may be considering changing over from excess water based systems to user pays based arrangements where water is paid for only on the basis of how much is used. In areas where this occurs, residents will then have to pay for the water they use provided their sites are properly metered.
Important. Residents and park owners not sure of the water supply systems in place in their area should contact their local water authority (often a local council in country areas).