2016-02-02 P&O Committee - Item 7 - Attachment 1 - Waste Management PBA Draft Report

Impact Area      Impact Criteria    Impact     Benefits / Cost Description                                                         Qualitative Assessment
                                    Type
                                                                                                                      Likelihood       Consequence          Impact
Business Staff   Resourcing         Benefits      Resourcing within the business under the FCP model will         n.a.               n.a.             Nil Benefit
                                    Costs          be dependent on customer demand rather than from                n.a.               n.a.             Nil Cost
                 NIL IMPACT                        additional compliance related responsibilities.
                 Morale             Benefits      Nil identified.                                                 n.a.               n.a.             Nil Benefit
                                    Costs                                                                          n.a.               n.a.             Nil Cost
                 NIL IMPACT
Customers        Pricing            Benefits      The adoption of user pays pricing principles will ensure that   Very High          Moderate         High Benefit
                                    Costs          all customers are treated in an equitable manner and there      n.a.               n.a.             Nil Cost
                 NET                               are no cross subsidies between customers in product
                 BENEFIT                           supply.
                 (high)
                 Customer Service   Benefits      Little, if any, confusion or impact on customer service         Moderate           Moderate         Medium Benefit
                 Provision          Costs          provision would be likely, given the current FCP structure in   n.a.               n.a.             Nil Cost
                                                   place and ustomer perception of the business as a Council
                 NET                               function.
                 BENEFIT
                 (medium)
Regional         Supporting         Benefits      Full cost pricing practices provides the funds necessary to     Very High          Low              Medium Benefit
Development      Regional           Costs          ensure appropriate ongoing investment in waste                  n.a.               n.a.             Nil Cost
and Economic     Development                       infrastructure to continue to support ongoing regional
Stability                                          demand for waste services, providing business and
                 NET                               industry with the resources required to continue ongoing
                 BENEFIT                           regional development.
                 (medium)
                 Sustainable        Benefits      Appropriate price signals would be sent to businesses           High               Low              Medium Benefit
                 Investment                        looking to invest in the region.
                                    Costs         Under the FCP business model, administration and                High               Very Low         Low Cost
                 NET                               compliance costs would be minimised and constrained
                 BENEFIT                           towards minimum statutory requirements.
                 (low)

Social Welfare   Equity  Between    Benefits      The adoption of full cost pricing principles on a per product   Very High          Low              Medium Benefit
and Equity       Customers          Costs          basis will ensure that individual products are appropriately    n.a.               n.a.             Nil Cost
                                                   priced relative to the market (and allow transparent
                 NET                               decision making should cross subsidisation between
                 BENEFIT                           products and respective customer groups through specific
                 (medium)                          pricing arrangements be required).

                 Ratepayer Equity   Benefits      Transparent decision making regarding the provision of          Moderate           Low              Low Benefit
                                    Costs          non-commercial and community-focused activities should          n.a.               n.a.             Nil Cost
                 NET                               occur, with Council directives funded via CSO payments to
                 BENEFIT                           the business funded by the general rate (with Council
                 (low)

Waste Management Public Benefit Assessment                                                                                                                           Page 17