Meeting papers

SPECIAL MEETING                                                                        30 JUNE 2025



3. Full Cost Pricing and Sustainability Reporting

As identified as an objective in the Corporate Plan 2023-2028, Council will continue to enhance its
commitment to sustainability through future introduction of ESG reporting, sustainability indicators
and carbon accounting in line with developing reporting and accounting standards. This may impact
the application of full cost pricing measurement in future years.


Link to Corporate Plan

Theme No. 5 - Excellence
This theme focuses on customer experience, financial sustainability, innovation and technology,
levels of service, governance, our employees and volunteers, funding streams and asset
management practices.

Objective 5.2 - Continue to deliver a financially sustainable Council that has the resources now and
into the future to achieve its strategic objectives. This will be supported through the introduction of
enhanced sustainability reporting and performance indicators, as well as ESG (environment, social
and governance) accounting practices as guided by statutory requirements.


Previous Council Consideration
Special Meeting Minutes, 28 June 2024, Item 2.3
That Council note the report by the Financial Services Manager to the Special Meeting dated 28
June 2024 and:
A. Continue to apply the Full Cost Pricing reform option to the Waste Management business activity
   for the 2024/25 financial year in accordance with section 44(1)(b) of the Local Government Act
   2009; and
B. Continue to apply the Code of Competitive Conduct to the Holiday Parks business activity for
   the 2024/25 financial year in accordance with section 47 of the Local Government Act 2009.
Council has adopted NCP reforms to the Waste Management and Holiday Parks business activities
since de-amalgamation in 2014.


Finance
The financial implications of NCP reforms primarily revolve around pricing strategies for full cost
recovery, which includes a return on investment component. In addition, there is an administrative
effort in ensuring ongoing competitive neutrality compliance (i.e. budget preparation, reporting, full
cost pricing modelling).




Risk & Opportunities
Failure to appropriately review and apply competition reforms annually is a breach of the Local
Government Act 2009 and could also potentially result in competitive neutrality complaints, should
appropriate adjustments not be incorporated into business activity pricing decisions.




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