Get the facts: price smoothing is best-practice approach


Council would like to correct a quote printed in the Redland City Bulletin (8 April 2015) that Redland City Council has “overcharged its water users by $14 million over the past two years”.

Using the well accepted practice of price smoothing to guard against price shocks, Council has over-recovered significantly less than $14 million over two years and all of this will be passed back through services or price reductions in future years.

Council’s approach is best-practice and has been vindicated by the Queensland Competition Authority who has recently recommended a smoothing of the bulk water pricing path to the State Government.

Council is committed to keeping its water costs as low as possible and does not control State Government bulk water costs.