Capital Expenditure

Our major task is to raise water and sewerage infrastructure performance to an acceptable standard in terms of coverage and compliance with regulatory requirements. We have set a capital expenditure objective of $170M for the 2010-2013 period. The program has been set from information provided by our owners, learnings from the first year of operations, government policy on water, the requirements of industry regulators and internal capital constraints.

The first year of the plan is focused on water and wastewater improvements that do not compromise regionalisation. Planning for the regionalisation of wastewater facilities is also a focus of the first year with planning approvals for wastewater a priority for year two and the commencement of major wastewater related capital works in year three.

Capital expenditure has been categorised into level of service and compliance, renewal, growth – augmentation and service extensions. The requirement to meet public health, environmental and occupational health and safety standards will see levels of service and compliance being given the highest priority. Significant growth is occurring in urban and some regional areas and augmentation projects will target and support this development. Potential service extensions will be considered but at this stage are the lowest priority.

To achieve the required levels of service and compliance we will:

  • cooperate with the respective health and environmental regulators to identify and upgrade high priority wastewater treatment plants;
  • implement the small town Boil Water removal Notice Program to ensure water of an acceptable quality if delivered to the townships of Judbury, Gretna, Hamilton, Ouse, Wayatinah, Colebrook and Tunbridge;
  • install water meters for all customers in the southern region;
  • progress implementation of the Kingborough Wastewater Strategy;
  • undertake investigations and upgrade designs to ensure water storage dams are maintained to ANCOLD standards;
  • initiate a program to progressively roof all water reservoirs in the southern region;
  • complete the Swansea and Ellendale water treatment plant upgrade; and
  • complete safety upgrades at all sites
Growth within many existing serviced areas will require a number of upgrades and extensions to water and wastewater infrastructure, particularly across metropolitan Hobart. Examples of these projects include:
  • completing the Swansea and Huon Valley water supply projects;
  • complete pipeline augmentations at Kingborough and in the bulk supply system to support growth;
  • implement the Lauderdale Sewerage Scheme project; and
  • implement the Kingborough Wastewater Strategy.