Property Council NSW Executive Director Katie Stevenson said the determination demonstrated IPART had listened to industry concerns and acknowledged the need to revisit pricing if infrastructure falls behind Greater Sydney's housing and economic growth needs.
"The Property Council's submission to IPART's draft determination called for Sydney Water to be resourced sufficiently to expand and upgrade infrastructure in line with the state's housing and non-residential growth needs," Ms Stevenson said.
"The final decision provides a larger funding envelope than the draft but still falls short of Sydney Water's original proposal - and of what could be needed to keep up with growth across housing, industry, and jobs.
"We need to work together to stay ahead of the growth challenge, so we'll continue to engage closely with the NSW Government, with Sydney Water and with IPART to avoid the risk of leaving water, wastewater and stormwater infrastructure underfunded at this critical time," she said.
Ms Stevenson said IPART's final report acknowledged concerns from Sydney Water that surging demand from data centres could significantly impact future infrastructure needs.
"We're pleased that IPART has acknowledged emerging pressures like data centre growth and left the door open to earlier price reviews. That's a principle we support – as the region's infrastructure demands shift, flexibility and foresight are essential," Ms Stevenson said.
Ms Stevenson said while IPART's final decision went some way to addressing concerns about a shortfall in funding, there may be a need for the NSW Government to revisit Sydney Water's pricing structure or provide top-up funding from consolidated revenue.
"You can't build homes or industrial precincts without pipes. If infrastructure investment doesn't match the pace of development, we'll see delays, higher costs and missed opportunities right across the economy.
"Being on permanent catch-up isn't a plan. We need proactive investment to meet demand, unlock land, and keep housing and job creation moving," she said.
