Bulk water

We supply, treat and transfer drinking water to Melbourne’s retail water companies and other non-metropolitan water businesses.

Our bulk water customers include:

  • Greater Western Water (formerly City West Water and Western Water)
  • South East Water
  • Yarra Valley Water
  • Gippsland Water
  • Barwon Water
  • South Gippsland Water
  • Westernport Water

Bulk charges comprise fixed monthly availability prices from three separate sources of water (headworks) and a single variable usage price. There is also a variable usage price for the water order from the Victorian Desalination Plant (VDP), however a zero gigalitre desalinated water order for financial year 2023-24 was announced by the Minister in April 2023.

The headworks prices reflect Victorian Government policy changes to the Bulk Water Entitlement Framework that came into effect 1 July 2016. Headworks prices are based on each retailers entitlements share of the Greater Yarra System–Thomson River, North South Pipeline and Victorian Desalination Plant. These prices provide a clear cost signal associated with holding, buying or selling water entitlements.

Prices from 1 July 2023 to 30 June 2024 

Retailer Headworks price ($/month)
Greater Yarra System -Thomson River
Headworks price ($/month)
North South Pipeline
Headworks price ($/month)
Victorian Desalination Plant
Usage price ($ /ML)
Transfer
City West Water

4,874,733.62

1,102,104.16

11,770,471.64

296.54

South East Water

6,581,051.50

1,102,104.16

15,890,359.67

296.54

Yarra Valley Water

6,905,348.88

1,102,104.16

16,929,918.68

296.54
Western Water

582,235.83

    296.54
Barwon Water

510,453.33

    296.54
South Gippsland Water

31,903.33

    296.54
Westernport Water

31,903.33

    296.54

Our prices and price paths for a five year period commencing 1 July 2021 were reviewed through a public process in 2020/21, where the Essential Services Commission:

  • completed extensive analysis of our 2021 Price Submission, which sets out the expected costs to deliver planned capital works programs, service standards and forecast volumes for each prescribed service

  • reviewed capital expenditure, operating expenditure and forecast demand

  • consulted with stakeholders, including a review of submissions made by interested parties.

The 2021 Water Price Review covers a five-year regulatory period from 1 July 2021 to 30 June 2026. The prices set through the review reflect the efficient cost of providing water services.

Bulk water agreements

Last updated: