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RPC looks at ‘cost cutting’ budget as rate rise goes… into the 11s

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Hugh Schuitemaker, Murray Pioneer

Rates for Renmark Paringa residents are set to rise by 11.25 per cent next financial year and wastewater charges will increase by 43 per cent – as council collects an extra $2.29m from its ratepayers.

Renmark Paringa Council this week released its 2025/26 Draft Annual Business Plan and Budget for public feedback, outlining a $29.3m investment in essential services and infrastructure in response to what it described as the pressures of inflation, and ongoing financial impacts of the 2022/23 River Murray flood.

Council’s anticipated $2.29m extra in general rates in 2025/26 includes an average rates increase of $147 per household, based on an average residential property capital valuation of $393,000.

The 2025/26 plan also proposes an updated Community Wastewater Management System (CWMS) charge of $793 – a 43.14 per cent increase on the previous year’s cost of $554 – per property unit.

Renmark Paringa chief executive officer Tony Siviour said the current economic environment had placed considerable strain on local government operations and budgets, which has required council to respond with a “disciplined, strategic approach to planning”.

“Like many households and businesses, council is not immune to rising costs,” he said.

“The impacts of high inflation, and escalating prices for construction, materials and utilities have significantly shaped our thinking. At the same time, the recovery from the Murray River flood has had an impact on our financial position.

Prior to the 2022/23 flood, council was debt free. We estimate that we will commence the 2025/26 financial year with a minimum of $1.8m in debt.

This is a financially responsible plan that takes seriously our duty to the community – both now and into the future.”

The draft budget allocates $21.4m to the delivery of day-to-day services, including waste collection, libraries, parks, community development and regulatory services.

Proposed Waste Management Service Charges for 2025/26 – based on the provision of a three-bin system – are $380 for ‘town residential’, and $285 for ‘rural residential’.

A further $7.85m is allocated to renewing and upgrading essential infrastructure and progressing key initiatives that support organisational efficiency and community outcomes.

Mr Siviour said the draft plan reflected goals of the community, the financial realities of the current economic climate, and the need to maintain long-term sustainability.

A comprehensive review of current year projects was undertaken in development of the draft, resulting in a “significant” reduction in planned capital expenditure, totalling $5.7m, deferred to future years.

Council also achieved a 6 per cent reduction in its materials and contracts budget compared to the previous financial year, while launching reviews into fees, service standards and staffing structures.

Cost-cutting measures have included a freeze on community grant funding and a reduction in community events, to be reviewed in 12 months’ time.

Council is also exploring the sale of a number of building and land assets, including the McCormick Centre for the Environment in Renmark.

Mr Siviour noted Renmark Paringa was the second-lowest rating council in the Riverland and Murraylands region for the 2024/25 financial year.

“This means our ratepayers already enjoy comparatively low rates compared to like-sized councils,” he said.

“Despite the increase, we are committed to ensuring that rates remain as affordable as possible while still allowing us to deliver high-quality services and maintain infrastructure.”

Mr Siviour said development of the plan addressed recent ESCOSA advice – released in February – regarding council’s position of being “potentially unsustainable”.

Council expects the CWMS charge to raise approximately $2.9m in revenue, fully recovering the cost-of-service provision and ensuring long-term financial sustainability for the system.

Increases to CWMS pricing follows a comprehensive external review in 2024/25, and aligns with ESCOSA’s 2018 pricing guidance, and the National Water Initiative Pricing Principles.

Loxton Waikerie council in May announced a proposed 2025/26 rate increase of 2.5 per cent, while Berri Barmera councillors last week endorsed a 7.9 per cent rise.

The monthly CPI indicator rose by 2.4 per cent in the 12 months to April 2025.

Public consultation on the draft plan, as well as the Long Term Financial Plan 2026-35 and Infrastructure and Asset Management Plan, is open until July 16, 2025.

The full documents and supporting materials, including FAQs, are available on council’s Engage RPC online consultation platform (www.engagement.renmarkparinga.sa.gov.au/renmark-paringa-council-annual-plans-202526).

Submissions can be made via the feedback form on the website, or in writing to PO Box 730, Renmark, SA, 5341.

A public meeting to receive community feedback will take place on Thursday, July 17, at the Renmark Club between 5pm and 7pm.

Hard copies of the plans will be available at the Renmark Paringa Council Community and Civic Centre, and the Renmark Paringa Library.

Murray Pioneer 25 June 2025

This article appeared in Murray Pioneer, 25 June 2025.

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