The Independent Pricing and Regulatory Tribunal (IPART) has not approved Cessnock City Councils application for a Special Variation.
Councillors voted in January to proceed with the application for a permanent one-year Special Variation of 39.9per cent for the 2026/27 financial year.
It has been announced today, Tuesday June 2, that this application has not been approved.
“Our decisions reflect a thorough review against the criteria set by the Office of Local Government, while carefully considering stakeholder feedback received during the submission period,” Carmel Donnelly, IPART Chair, said in a statement.
“It is now up to elected councillors to decide the next steps. Councils have significant flexibility in how and when they implement approved rate increases. This includes the possibility of deferring these changes for up to ten years, as well as deciding how rates are set for different categories of ratepayers.”
Cessnock City Council also shared a statement following the announcement, which read:
“As a Council, we have been actively preparing for any outcome on our application for a special variation of rates. We have a draft Operational Plan for 2026/27 for this scenario currently on exhibition, which was endorsed at our May meeting.
“The IPART determination in itself does not resolve the serious financial challenges we face as a Council, and financial sustainability remains a top priority for our Council going forward. We will continue to communicate with the community as we progress our ongoing financial sustainability journey.
“Council is currently reviewing the contents of the report and media release, which were publicly released hours earlier than IPART stated they would be in a meeting yesterday, and before we received a copy.”
Key differences noted between the two Delivery Program and Operational Plan drafts is the level of investment in Council’s works program, with minimum required rehabilitation and maintenance works not in the plan without the Special Variation.
The draft Delivery Program and Operational Plan can be viewed on Councils website, Cessnock.nsw.gov.au, or hard copies are accessible at the Administration Building or Cessnock Library. Submissions close 5pm on June 17, 2026.
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