A BILL that could see the Launceston City Council forced to pay $5.8 million a year to TasWater for stormwater services is set to be considered by State Parliament in coming months.
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Ben Lomond Water, now part of TasWater, this year told the council that the charge would be applied to its unique combined stormwater and sewerage system as the state government prepared to bring in new proposed urban drainage legislation.
This places Launceston in a difficult situation as councils normally have responsibility over stormwater infrastructure and the corporation over sewerage infrastructure.
The council has estimated it would cost Launceston ratepayers $190 each, on top of any other annual rate increases, if the charge was levied.
The council and TasWater have been negotiating the charge but would not comment on the discussions before a resolution is reached.
Launceston City Council general manager Robert Dobrzynski said that after numerous discussions with Water Minister Bryan Green and the water corporation, the council still held the view that the law should be altered to recognise the combined system.
"The bill provides for the provision of stormwater by third parties such as TasWater and also provides for arbitration in instances where agreement cannot be reached regarding either the provision of stormwater services or charging for those services," he said.
