Lilydale City Council Approves Water Rate Adjustment for Pipe Upgrades, Residents to See Changes on 2027 Bills

The Lilydale City Council voted 7-2 on July 8 to raise the water and sewerage portion of property rates by 3.2 percent to pay for replacement of aging mains in the central district.

The measure addresses findings in the 2025 engineering assessment that listed 15 kilometres of pipe at risk of failure within five years, with the first segments targeted along River Road and Elm Street.

Changes to Household and Business Costs

Under the approved schedule a single-family home valued at 450000 dollars will pay an extra 48 dollars a year once the new rate takes effect, according to figures in the council budget papers released after the meeting. Owners of commercial properties on Main Street will see charges calculated from meter readings taken after October 1 2026, with the higher amount reflected on statements issued in early 2027.

Local advocates note that the adjustment applies only to the water line item and does not alter the general rate or waste collection fees. The legislation states that revenue must be placed in a dedicated infrastructure account and cannot be transferred to other uses.

Policy analysts say the increase will be collected quarterly beginning with the January 2027 billing cycle, giving property owners until December 2026 to adjust payment plans if needed. Construction crews are projected to start work on the first 4 kilometres of pipe in March 2027, with advance notice of lane closures posted at least 14 days prior.

The government says the policy will complete the full 15-kilometre replacement by 2031, using the added revenue to match state infrastructure grants already secured for the project. Residents may review the detailed construction timeline and submit comments through the council website until August 15, after which the final schedule will be published in the September community newsletter.