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Collapse Issue 281 - 23 Dec 2011Issue 281 - 23 Dec 2011
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Flawed formula

The reason for the huge rent overcharges (Peninsula News, 12 Dec 2011) is that the 2004 rental formula devised by IPART is fundamentally flawed, as advised by the NSW Valuer-General and the Chief Valuer of NSW in 2006-7.

In its October 2011 Draft Report, IPART has recommended keeping the flawed formula, but with slight (but commendable) changes to some of the inputs.

That has resulted in small changes to the Brisbane Water rents, but not brought them back to market, as required by the Crown Lands Act.

IPART needs to dump the old flawed formula and start again.

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