Water utility hits non-payers
The Water Corporation is penalising unprecedented numbers of WA households for unpaid bills.
Two weeks after it emerged that record numbers of customers were being slugged credit card-style interest rates on overdue accounts, new figures show a surge in households whose water supplies have been restricted because of non-payment of bills.
From a low of just 1124 in 2009, households affected by the measure had more than doubled by last year.
Shadow water minister David Kelly said the figures flew in the face of claims that the Water Corp's move from billing customers every six months to every two months would make it easier for people.
The shake-up was brought in at the start of the 2013-14 financial year but since then key measures of customer pain had all risen.
As well as an increase in supply restrictions and penalty interest rates, there has been a jump in the number of customers forced to seek help through the Hardship Utilities Grant Scheme.
The revelations come at a bad time for the corporation, which was slapped down by Water Minister Mia Davies last month after it tried to ram through a controversial change to its hardship policy.
In a push Ms Davies described as unacceptable, the State-owned utility wanted to force renters to seek assistance through their landlord if they could not afford to pay their bill.
The Economic Regulation Authority, which rejected the proposed change, said forcing renters to go cap in hand to property owners would be a deterrent and fell foul of the Water Corp's own industry code.
A Water Corp spokeswoman said supplies were only restricted for a maximum 14 days as a last resort if other measures such as warnings and penalty rates failed to alert customers to overdue accounts.
"It is acknowledged that more customers are experiencing genuine financial hardship at the moment due to the global economic downturn," she said.
"Many people are experiencing financial hardship for the first time, and might be embarrassed about their situation, so choose to ignore paying their bills.
"Water Corporation bills would generally be quite small relative to others, so it is more likely to get put to one side until they next get paid.
"Restricting supply is a particularly effective way of encouraging these customers to come forward and talk to us about our various financial support packages."
Ms Davies said she was confident the new billing system was working well.
Mr Kelly said the revelations were a bad look at a time when households were being stung by inflation-busting water tariff increases.
He said the Government should reassess the "harsh" restriction policy.
Customers finding it difficult to pay their bills should contact the Water Corporation on 13 13 85.
