When was the last time you paid a bill without confirming that what you were paying for had been received or used? If you are like me, the short answer is most likely never.
It was with great bewilderment therefore, that in one of the recent reports presented to Council, it became clear that Mitcham Council has been paying some electricity bills based off estimates rather than accurate readings. It turns out that this is relatively common practice, with only a few councils in SA having embarked on a project to pay what they actually use. The good news is that Mitcham Council will soon be one.
Mitcham Council spends approximately $1 - $1.2 million each year on electricity, of which consumption makes up 30-40% of this cost. The rest is made up of network fees and charges. At the end of last year, the electricity contract that Mitcham has been a part of through the Local Government Association (LGA) for the past three years expired. The ‘re-negotiated’ rate by the LGA would see the price of electricity rise up to a whopping 350% at certain times of the day. As a result, other options to reduce the cost to ratepayers are currently being explored in essentially three parts over two years:
Community renewables – Continuation of the current program at no cost to Council.
Council electricity contract – Reviewing all contracts, reducing costs, installation of solar and battery on Council buildings to improve self-reliance.
Utilities cost management review – Reviewing usage, paying for what we actually use, conversation to smart meters where savings are possible.
The intention of all three is to deliver significant ongoing savings for ratepayers, reducing power bills and closely following where the entire electricity market is moving. Councils need to innovate to stay relevant and find efficiency savings. Delivering more for less.
The old Blackwood Library and adjoining nursery will be on the market soon after a decision was made in the March Council meeting. While the site needed to be sold at some point in time, going to market now seemed premature to me and I think many in the community will be surprised. Maximising financial return for the site, while trying to meet community expectations over what will be built there, will be challenging. Construction costs are high, and I do not believe we have a proper understanding of what the site was worth when making the decision. Additional Council and State Government projects in the area could add substantial value to the land, such as a much awaited second pedestrian crossing and my desire to get a public greening strategy done for Main Road.
I hope everyone has a wonderful Easter and if you don’t celebrate it, then you enjoy the extra time off.
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