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Orange rate rise of 2.5 percent approved, more than triple the original increase

June 20, 2022

By Peter Holmes

Orange City Council has been given approval to increase rates by 2.5 percent annually on an ongoing basis.

This represents more than three-and-a-half times the 0.7 percent capped figure set by the NSW government's Independent Pricing and Regulatory Tribunal (IPART) for Orange.

Orange is one of 86 councils across the state that IPART has allowed to increase its rates by more than the original "rate peg".

There are nearly 130 councils in NSW.

IPART's Deborah Cope said the latest rate peg was determined in the low inflation environment at the beginning of the Covid pandemic.

“Since then, high inflation and global uncertainty increased councils’ costs," Cope said.

"Some councils have demonstrated that without additional funds they will not be able to deliver the projects they have already consulted on and included in their budgets."

IPART described the increases as "modest".

“We were careful to balance the need of councils to maintain the services and investment they had already committed to against the need to keep rates affordable for the community,” said Cope.

Orange mayor Jason Hamling said the 2.5 percent increase meant council could avoid a potential funding shortfall of $620,000.

Bathurst City Council was pegged at 0.9 percent, but has also been allowed to increase rates by 2.5 percent.

Cabonne Council has been approved to raise rates from a peg of 0.9 percent to 2 percent.

Blayney Shire Council is able to increase rates from an initial peg of 0.7 percent to 2.5 percent.


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