The Cadell Construction Joint Water Supply Scheme was the subject of a complaint to the Australian Competition and Consumer Commission.
The scheme’s managers agreed to the undertaking, which was signed in March this year.
The not-for-profit scheme has about 35 customers who hold general security water access licences.
According to the commission, Cadell was planning to issue charges for the 2023-24 year in November 2023, backdated to July 1, 2023.
According to the commission, Cadell planned to more than double its general security fixed access charges per megalitre per annum of water delivery right held against Cadell.
Cadell then issued invoices to all its customers on the basis of the backdated schedule on November 28, 2023 and January 24, 2024.
“Following an investigation into the conduct, the ACCC formed the view that in backdating the schedule of charges and in levying charges on customers based on that schedule, Cadell had contravened water charge rules,” the Commission said in its annual reporting on compliance across the Basin.
Under the water charge rules, a valid schedule of charges cannot take effect retrospectively.
The commission accepted the undertaking in which admissions were made about breaching the water charge rules, and with the condition Cadell informed its customers of the breach and the signed undertaking.
The incident was reported in the commission’s annual water monitoring report for the Murray-Darling Basin.
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