Icon Water’s annual performance on regulatory finances
Please note this reporting relates specifically to Icon Water’s regulatory accounts for water and sewerage services. These accounts are prepared for regulatory purposes to support the commission’s price-control process and may differ from the financial information published in Icon Water’s statutory financial statements and corporate reports. They are not intended for broader financial performance comparisons.
2023-24 and 2024-25 update
The 2024-25 reporting cycle marks the first year of detailed annual submissions by Icon Water under new requirements, covering the utility’s performance for 2023-24 and 2024-25, the first 2 years of the current regulatory period (2023-28). These results establish an important baseline for ongoing monitoring.
Icon Water’s actual revenue from sales of water and sewerage services in the ACT increased by $40 million (or 12%) from $321 million in 2023-24 to $361 million in 2024-25, driven by increases in demand, customer numbers, and prices set for the period by the commission. The actual revenue over the 2 years was broadly consistent with the amount the commission allowed the utility to recover.
Icon Water’s operating expenditure (the day-to-day costs of running the network) was $208 million in 2023-24 and $226 million in 2024-25, about 5% higher than the approved allowance in both years, driven by rising input costs.
Icon Water reported capital expenditure of $64 million in 2023-24 and $96 million in 2024-25. This was $36.5 million (36%) below the approved allowance in 2023-24, but $1.8 million (2%) above the allowance in 2024-25, largely due to timing differences in project delivery. Spending focused on maintaining network reliability, renewing ageing assets, and advancing priority upgrades. We note that while the utility underspent on capital investment in the first 2 years, its 2025 Business Strategy outlines plan for significantly higher investment over the remainder of the current regulatory period.
Why annual reporting matters
As part of the 2023-28 water and sewerage service price investigation, the commission introduced annual reporting requirements for Icon Water’s regulated water and sewerage services.
By collecting standardised information each year, the commission can track Icon Water’s performance more effectively against the regulatory expectations and enhance the ongoing monitoring of its operations between major pricing investigations.
The reporting requirements also support public transparency as relevant information is made publicly available, balancing compliance and confidentiality considerations. Overtime, annual reporting will help identify meaningful trends, support future pricing decisions, and reduce the need for large data requests during investigations.