TasWater, Tasmania's state-owned water utility, has reiterated the necessity for a substantial 40 percent increase in water bills despite the recent rejection of their proposal by the state's economic regulator, which only approved a 20 percent hike. Chief executive George Theo emphasizes that the additional funds are essential for upgrading aging water and sewerage infrastructure, which constitute environmental risks, as well as supporting future housing developments in response to increasing demand.

The organization is particularly concerned about the implications of delayed funding on key environmental projects, such as the Launceston Sewer Transformation Project and the rehabilitation of the Kanamaluka/Tamar estuary. Theo states that without adequate investment and price adjustments, these initiatives could be put on hold, further exacerbating existing issues within Tasmania's water management systems.

Public consultation on the draft report regarding the proposed price hike is set to close on March 13, with a final decision expected in May. TasWater continues to build its case for the price increase, arguing it is crucial not only for meeting current demand but also for improving the overall sustainability of water services in the region, as functionally deficient infrastructure poses serious risks to public health and environmental integrity.