Modelling from WaterNSW suggests water prices in the Greater Sydney region may increase by up to 10.4 per cent per year until 2027-28.
This means bills for the average Sydneysider would increase by $7 next year, and by $31 in 2028 before inflation.
The new price increases could come into effect as early as October.
Chair of the NSW Independent Pricing and Regulatory Tribunal Carmel Donnelly said the decision set out in the draft considered many factors.
This includes the need to ensure there is infrastructure in place to support the safe and efficient delivery of water to Sydney residents.
She also claimed the price hikes were lower than they initially anticipated.
“The draft prices we have set in this report are lower than WaterNSW’s September 2024 proposal to increase prices by around 14 per cent per year,” she said.
“However, some increases in prices are necessary to allow WaterNSW to maintain its assets and continue to deliver reliable services that the community expects.
“Our aim is to set prices that mean customers of WaterNSW only pay what is required to efficiently deliver bulk water services.”
