Charging Regime Advisory Group (CRAG)
In 2011, the Charging Regime Advisory Group (CRAG) was tasked with developing a charging formula for water which could be applied to both residential and non-residential properties using the reticulated water supply.
CRAG evaluated how different tariff structures would affect different types of households and they recommended that a tariff structure of 50% fixed charge and 50% variable charge, to meet the total cost of water supply, would provide the most fair and equitable outcomes for Kāpiti residents.
On 1 July 2014, a new water charging system, with a 50% fixed charge ($188.50 annually) and a 50% volumetric charge for water use ($0.95c per cubic metre/1000 litres), became effective.
CRAG recommended a review of the tariff structure after two years of operation. The group is also responsible for on-going monitoring of the pricing and charging for water by Kāpiti Coast District Council.
Access the CRAG report, containing their recommendations to Council here.
On 10 December 2015, Council decided to proceed with the recommended review of the charging of the regime and to reconvene CRAG for this purpose. It proved possible to retain the original membership apart from the need to replace the two Council and the two tangata whenua representatives. The reconstituted CRAG met four times and reviewed a substantial body of data.
The CRAG concluded that while some minor adjustments may be necessary from time to time to ensure the regime’s continuing viability, the current principles and structure, the 50/50 fixed/volumetric split, should remain in place and provided seven recommendations for future water charging.
Access the CRAG 2016 review report, containing their recommendations to Council here.
If you would like to provide feedback on this information or you have questions about the CRAG, please email [email protected]iticoast.govt.nz
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