Muswellbrook Shire Council is inviting residents, small businesses and stakeholders to take part in the final days of consultation on a proposed special rate variation (SRV), with a Future Fund among the priorities for Council.
The special rate variation is a key initiative in Council’s multifaceted response to the major economic shift impacting Muswellbrook Shire, with public feedback on the proposal closing on 7 January.
With local mine closures projected to finalise by 2030, Council is proposing a 29 per cent SRV on mining rates – which includes the 3.1 per cent rate peg – to secure the Shire’s long-term viability.
Key to the proposal is a Future Fund for the community to secure more value from mining in their backyard, with the SRV to yield a $6 million initial contribution.
The Future Fund is planned by Council as a dedicated reserve to offset the market driven decline in mining in Muswellbrook Shire and the resulting drop in revenue for the community from mining rates.
Muswellbrook Mayor Jeff Drayton said the Future Fund will shore up vital services and support local economic development.
“This Future Fund will give Muswellbrook Shire the foundation to invest in our future, and it’s a responsibility we intend to fulfil. We are not a Council that waits for financial distress to take action for our community, and the SRV is key to that,” Mayor Drayton said.
“We know what’s coming economically – it’s happening now. If we fail to act, our Shire will decline and residents will bear the financial pain of mine closures. An SRV allows us to invest in our Future Fund with the financial strength to diversify, generate jobs, and safeguard services for our residents.”
The proposed SRV applies only to the mining rate category in Muswellbrook Shire, leaving residential, business, and farmland rates unchanged beyond the standard rate peg.
The additional $6 million in revenue projected in 2026/27 will be directed to the Future Fund, operational efficiency for Council, and initiatives to stimulate the Shire’s economy.
Muswellbrook Shire Council is already preparing for a community and economy that remain prosperous, resilient, and less reliant on revenue from mining.
Initiatives being carried out by Council include:
- Local students are gaining greater access to bespoke STEM education and cutting-edge technology at no cost, to equip them for the Hunter jobs of the future.
- Entrepreneurs and businesses benefit increasingly from the MELT Advanced Manufacturing Centre in Muswellbrook, to develop products and access new markets.
- Council has partnered with AGL to deliver hospitality training at the Muswellbrook Regional Gallery café, and has established the Muswellbrook Energy and Resources Centre to connect businesses and locals with new project and job opportunities.
- In close partnership with BHP, AGL, and Idemitsu, Council is working to repurpose mining land for large-scale manufacturing, agritech, and circular economy industries, to create new employment opportunities within the Shire.
The SRV proposal is currently open for consultation, with feedback informing a formal application to the Independent Pricing and Regulatory Tribunal (IPART) by 2 February 2026.
For more information on the proposed special rate variation, including a survey that closes on 7 January 2026, visit: www.muswellbrook.nsw.gov.au/srv
