The dams safety levy applies to all declared dams in NSW from 1 July 2025. Dam owners will be charged annually.
Why has the NSW Government introduced a dams safety levy for declared dams?
The levy recovers the efficient costs of regulating the safety of declared dams in NSW from the owners of declared dams. It funds the ongoing regulatory activities of Dams Safety NSW, specifically relating to the administration of the Dams Safety Act 2015.
A levy is a fairer way to ensure the costs of regulatory activities are borne by those creating the need for regulation, rather than all taxpayers.
How much do declared dam owners pay?
The levy amount varies based on the dam's consequence category. Dams with a higher consequence category attract a higher levy, reflecting that they require more resources from DSNSW. The levy amount will be indexed annually.
Levy amounts for the 2025/26 financial year
- $7829 for low/very low consequence dams
- $10834 for significant consequence dams
- $12914 for high consequence dams
- $15624 for extreme consequence dams
Can you provide an example of how the levy is calculated?
The dams safety levy is calculated using the methodology proposed by IPART. The All Groups (Sydney) Consumer Price Index (CPI) is used and the levy amount is rounded to the nearest dollar.
Calculation of the levy for an extreme consequence category dam
(FY2025–2026)
Using the formula from IPART
Inserting the CPI figures
Why is the CPI index used to calculate the levy different to the one referred to in IPART’s methodology?
The All Groups (Sydney) Consumer Price Index (CPI) is the relevant index being used to calculate annual CPI adjustments. This is a consistent method used by the NSW Parliamentary Counsel’s Office when drafting laws relating to fees and charges.
What if my dam is only declared for part of the year?
The levy applies only to dams with a declared status as of 1 July each year. If a dam attains a declared status partway through the financial year, the levy will not be applied until the next financial year. This method was recommended by IPART.
What if my dam’s declaration is revoked, or its consequence category changes part way through the year?
Levy amounts are based on a dam’s declared status and consequence category as of 1 July each financial year. If a dam’s declaration is revoked or its consequence category changes after 1 July, there will be no adjustment to that year’s levy.
When will I receive the levy notice?
Invoices were issued from mid-July 2025 and each subsequent July. All invoices will follow standard NSW Government payment terms.
What happens if I don't pay the levy?
If a declared dam owner's levy remains unpaid, standard NSW Government debt recovery procedures may be used to manage and recover outstanding debt.
Payment of the levy notice must be made within 30 days, otherwise the late levy payment applies.
How will I receive my levy invoice?
Levy invoices are issued by email to the contact nominated by each dam owner. Where no contact is nominated, the invoice will be sent to the primary contact currently held by DSNSW. Declared dam owners should ensure their contact information is accurate and up-to-date.
Payment instructions will be included on the levy invoice. Payment options include EFT and BPAY.
Is GST applied to the levy?
No, GST is not applicable to the dams safety levy.
What should I do if my organisation’s contact or billing details change?
If your organisation’s contact or billing details change, you should notify DSNSW as soon as possible to ensure levy notices and other important communications are directed to the correct contact. You can provide updated billing information by emailing info@damsafety.nsw.gov.au. All other dam contact details can be updated by completing our online form.
How will Dams Safety NSW be held accountable?
As a NSW Government agency, DSNSW is subject to various accountability mechanisms to ensure compliance with its statutory obligations. The Dams Safety Act 2015 strictly limits the use of levy funding, allowing it only for expenses related to regulatory activities, administration, or execution of dams safety legislation, and administrative expenses connected to the levy fund.
DSNSW is accountable to the NSW Government through annual reports and independent audits of its financial statements. It is also accountable to the NSW Parliament, including parliamentary scrutiny.
I still have questions. Who can I contact?
If you have questions, please email water.enquiries@dpie.nsw.gov.au or call Water Enquiries on 1300 081 047 (business hours).
Where can I find further information about the levy?
For more information email us at water.enquiries@dpie.nsw.gov.au or call DCCEEW Water Enquiries on 1300 081 047.