South Australian households will soon save about $200 a year with the state government cutting water bills.
Businesses will also benefit, keeping $1350 in their pockets under the scheme which comes into force on July 1.
It is estimated the total cost of savings from water and sewerage bills would be about $186 million over the 2020-21 financial year.
The reductions come as the state's Essential Services Commission released its final four-year pricing determination on Thursday.
Premier Steven Marshall says the announcement is a "victory for customers".
"We are delivering one of the single biggest cost-of-living reductions for South Australians in recent years, which will put hundreds of dollars a year back in the pockets of hardworking families and local businesses," he said.
"This will significantly ease the burden on local household and business budgets, providing welcome economic stimulus in the wake of COVID-19 and, in many cases, will have the potential to create jobs."
Environment and Water Minister David Speirs said the government was also investing to improve water supply and security for regional communities, including Kangaroo Island and Oodnadatta.
"We've also committed $155 million to allow SA Water to appropriately invest in the management of its water main network to provide the best level of service possible," he said.