Port Augusta City Council Welcomes New Legislation to Deliver Fairness for Ratepayers

Port Augusta City Council has welcomed new legislation introduced by the Hon Frank Pangallo MLC that will remove a 25-year rates exemption for electricity generation companies – a move that will deliver greater fairness for local ratepayers and improve Council’s financial sustainability.

The Statutes Amendment (Rates – Electricity Generation) Bill 2025 will allow councils to rate energy providers in the same way they rate other businesses and residents, ensuring that large-scale energy companies contribute their fair share to the communities where they operate.

An independent report released earlier this year found that regional South Australian councils are losing over $6 million in rates revenue annually due to outdated State Government legislation. This burden has been unfairly passed on to local residents and small businesses, many of whom are already feeling the impact of rising living costs.

Port Augusta CEO John Banks said the proposed legislation is a win for fairness and will benefit both Council and the wider community.

“For too long, the people of Port Augusta have been unfairly burdened with the costs of hosting largescale energy infrastructure, while major energy companies have paid little or nothing in return,” Mr Banks said.

“Removing this outdated rates exemption is a critical step toward fairness and will deliver real savings for our ratepayers.”

“This reform will significantly improve Council’s financial sustainability. It will ensure that all energy companies contribute fairly to our community’s infrastructure and services, rather than leaving local families and businesses to foot the bill,” he said.

With the State Government’s renewable energy targets expected to drive a significant increase in electricity generation over the next decade, Council is focused on ensuring the Port Augusta community benefits from this growth, rather than being left to shoulder the costs.

“Port Augusta is proud to play a leading role in South Australia’s renewable energy future, but that role must come with fair compensation,” Mr Banks said.

“Without reform, Port Augusta and councils like ours could miss out on millions in revenue each year – funding that is essential to maintain roads, services, and infrastructure impacted by heavy industry. This Bill corrects an unfair system and protects the future of our community.”

The Local Government Association of South Australia has strongly supported the Bill, citing the opportunity to provide cost-of-living relief to families and businesses across the state. Independent analysis has shown that councils may be able to reduce rates by up to 5% because of the legislation.

Port Augusta City Council thanks the Hon Frank Pangallo MLC and the LGA for their advocacy and looks forward to Parliament supporting this important reform.

For further information please contact Council’s Media and Communications Officer on (08) 8641 9100

JOHN BANKS
CHIEF EXECUTIVE OFFICER
PORT AUGUSTA CITY COUNCIL