1. Learning and Growing IPWEAQ State Conference 2012

2. -Outside South-East Queensland, operated directly by councils -Local Government amalgamations in 2008 – major impact. Loss of lots of Shires, creation of lots of Regional Councils -In South-East Queensland, a debacle. The Queensland Urban Water Industry

3. Gold Coast Water Pine Rivers Brisbane Water Ipswich Esk Gatton Laidley Water Board Gatton Esk Laidley Caboolture Redlands Boonah Beudesert Maroochy Caloundra Aquagen Sunwater SEQWater Logan Redcliffe Jan 08 Kilcoy Somerset Lockyer Moreton Scenic Rim Noosa Sunshine Coast Mar 08 SEQ Institutional Arrangements Customers Bulk Transport Treatment Bulk Supply Distribution Retail

4. Bulk Transport Treatment Bulk Supply Customers Distribution Retail Sunwater SEQWater Gold Coast Water Bris Water Somerset Lockyer Moreton Scenic Rim Sunshine Coast Ipswich Logan Jan 08 Mar 08 Jul 08 SEQ Institutional Arrangements Redlands

5. Bulk Transport Treatment Bulk Supply Customers Distribution Retail Jan 08 Mar 08 Jul 08 SEQ Institutional Arrangements Jul 10 Jul 11

7. Bulk Transport Treatment Bulk Supply Customers Distribution Retail Expected July 12, $9B in capital, ~$500M in restructuring costs later SEQ Institutional Arrangements Gold Coast Water Logan Water Redlands Water

8. -Subsidy removal -Drought response, demand management, then flood response and water quality focus -Water connectivity (lotsa pipes) -Increased, ad hoc development of legislation -2012 State and Local Government Elections State drivers and pressures

9. 3 national reviews -Security an reliability of supply -More definitive regulation -Promoting benefits of size and scale -Economic reform, water pricing and trading -Increasing customer expectations -Review of governance and ownership -Skills – operator training and certification? Federal drivers and pressures

10. -Attraction and retention, skills development (resource booms) -Drought, Flood & Cyclones -Asset ‘time bomb’ Key Industry drivers and pressures ABARE Oct 2010 ABARE Apr 2011

11. -Advocacy, particularly with Local Government Association of Queensland -Statewide Water Information Management System -SWIM, SWIMLocal, SWIM:GIS -Skills – bringing the water industry together to create buying power, improving the training providers, web resources, short courses, $ from govt etc -Queensland Water Regional Alliance Program -Communications, Marketing and Members Major programs

12. -KPI number 1 “Successful cooperative water sector programs” -Achieved through both major programs and a foundation of consistent, quality technical knowledge and advice -Stakeholder understanding is crucial -Big changes in Queensland in 2012, new Premier with a massive majority, huge turnover in LG politics, new key appointment at Director General level -Given that most drivers involve declining funding opportunities, the case has to be tight and we need to head into uncharted territory to remain relevant…. the “community” Building a Queensland Urban Water Industry

13. -Positive community messages -Drinking water quality -Environmental sustainability -The valuable, skilled people in the industry A Taste Test - the path to the community 27March

14. A Taste Test - the path to the community

16. A Taste Test - the path to the community 2013 -Help the community understand that there is an urban water industry -Promote the services that the industry provides and its valuable, skilled staff to the community (and ultimately decision makers) -Raise awareness of the health benefits of drinking tap water over alternatives through stringent quality controls -Reinforce the economic benefits of tap water -Start to promote other benefits of drinking tap water including major environmental benefits -Channel 10 and vox pops-style community events, WIOA, State of Origin?

17. Infrastructure Australia National Water Commission Productivity Commission Institutional Models

18. Bulk Transport Treatment Bulk Supply Customers Distribution Retail Option 1 Option 2 Alternative CountyCouncil RegionalCorporation Regional Alliance Institutional Models

19. Size Matters?

20. 1.7 mill sq km 2/3 WA, 2x SA or NSW 4.4 million people 99% reticulated water 66 LG utilities > 380 schemes Size Matters?

21. 2.7 x Texas Same population as NZ 6 th -largest sub-national entity Sub-National Entity sq kmPop. 1Sakha Republic3,103,200958,300 2Western Australia2,645,6152,296,411 3Krasnoyarsk Krai2,339,7002,828,200 4Greenland2,166,08656,615 5Nunavut2,093,19033,303 6Queensland1,852,6424,516,361 7Alaska1,717,854710,231 Size Matters?

22. Safety Performance Anxiety Security Sustainabili ty Annual residential charges based on 200 kL of water and 200 kL sewage

23. 1.Agree Project with Government Regional Corporation Regional Authority/ Corporation Regional Alliance Alliance County Council Status quo 5. Analysis of Institutional Options 2. Establish Pilot Regions 3. Form Political & Technical Groups 4. Due Diligence Review 1.Regional Review 2.Risks, Gaps and Strengths 3.Peer Review 1.Regional Review 2.Risks, Gaps and Strengths 3.Peer Review

24. Rob Fearon CEO, qldwater e: rfearon@qldwater.com.au m: 0428 300 208 w: www.qldwater.com.au qldwater is a business unit of IPWEAQ and is an initiative of: