Monitoring, evaluation and reporting on the Greater Sydney Water Strategy

1.1. Change the way we think about future water needs 

• Customer priorities and insights from the ‘Our Water, Our Voice’ engagement program have been used to inform customer service expectations and attitudes towards water supply resilience. Outcomes from this program were integrated into Sydney Water’s price submission to the Independent Pricing and Regulatory Tribunal (IPART) and will continue to inform implementation of the Greater Sydney Water Strategy.
• Work continued to explore future water restriction regime design options to support the implementation of the Greater Sydney Water Strategy and inform future iterations of the Greater Sydney Drought Response Plan.

1.2 Consider future climate change and drought risk 

• A cross-agency working group of the NSW Government, Sydney Water, WaterNSW and Hunter Water progressed work to develop guidance to support climate change modelling and decision making, which is expected to be delivered in 2026.
• Sydney Water updated their Climate Change Adaptation Guidebook with specific guidance for various business processes, including water supply planning and demand forecasts. 

2.1 A strong focus on water conservation and efficiency 

• Sydney Water and the department continued to deliver the 5-year Water Conservation Plan for Greater Sydney. The plan maps out a range of activities to deliver 38 billion litres of water savings by 2030, with a view of achieving the 49 billion litres of savings by 2040 as set out in the Greater Sydney Water Strategy. At the end of 2024-25 Greater Sydney was tracking at around 35 billion litres of water savings towards this target.
• In 2024-25, and supported by the Climate Change Fund, the department established a residential washing machine exchange program to target up to 7,300 low-income Sydney households over 2025-26 and deliver an estimated 146 million litres of annual water savings and $1.8 million in household cost reductions
• The department worked in collaboration with the Department of Planning, Housing and Infrastructure’s BASIX team, National Australian Built Environment Rating System the (NABERS) team, and the NSW Government Architect to review development standards in the Sustainable Buildings State Environmental Planning Policy 2022 and to support improvements that would lead to long-term community water savings in new buildings.
• Sydney Water’s WaterFix® customer programs - Concealed Leaks, Commercial and PlumbAssist® exceeded annual water savings targets while the rollout of digital meters continued to boost water savings through both continuous flow notifications for customers. Sydney Water also reduced their network leakage by 1.5% compared to the previous year.

2.2 Optimise operation of the Sydney Desalination Plan 

• The Sydney Desalination Plant continued to contribute to water supply resilience in Greater Sydney providing around 21 GL of drinking water in 2024-25 as requested by Sydney Water in response adverse water quality events.
• Operation of the Sydney Desalination Plant is guided by a decision framework that has been in practice for several years. The decision framework was published in 2025.

2.3 Plan for new infrastructure with a focus on rainfall independent supply 

• Sydney Water submitted the project scoping report for ‘Securing our water supply – Quakers Hill to Prospect’ with the NSW Department of Planning, Housing and Infrastructure in July 2024. The report describes the project, demonstrates alignment with NSW Government plans and strategies and summarises the expected benefits and impacts. The next steps in the planning process are for Sydney Water to prepare an Environmental Impact Statement and continue to provide a range of opportunities for community education, engagement and feedback on the project.
• The NSW Government’s Recycled Water Roadmap was released in June 2025 and identifies the need to take steps now so that purified recycled water is an option for future water supply. The Recycled Water Roadmap recognises that purified recycled water can provide critical rainfall independent drinking water supply and deliver environmental benefits. As an action of the Roadmap, the department’s Water Group are developing a Community Engagement Framework to support water utilities to deliver engagement and social research programs for purified recycled water projects.
• In 2024, Infrastructure NSW assured the Strategic Business Case for Greater Sydney First Water Supply Augmentation and expansion of the Sydney Desalination Plant was confirmed as the first best investment in additional water supply. The first stage of expansion planning has now occurred.

2.4 Improved preparedness for drought 

• The Greater Sydney Drought Response Plan sets out how WaterNSW, Sydney Water and the NSW Government will work together to respond to future droughts. The plan includes drought monitoring, governance and decision-making, roles and responsibilities, and drought response action plans for each stage of drought. It is reviewed annually and adjusted as needed so that it maintains relevance. The 2024 annual review and update of the Greater Sydney Drought Response Plan was completed by Sydney Water and WaterNSW.
• Through 2024-25, Sydney Water completed the Drought Asset Response Plan which complements the Greater Sydney Drought Response Plan, and is used by Sydney Water to evaluate and plan for the delivery of water supply assets that may be needed in drought.

2.5 Manage location-specific or asset specific risks 

• Long-term capital and operating plans are in place for both Sydney Water and WaterNSW to guide infrastructure and investment decisions out to 2050. The plans address water, wastewater and recycled water and define how these services will be provided over the long term in response to the challenges of population growth, changing customer expectations, climate change, evolving technology and ageing infrastructure. The plans were recently refreshed to inform Sydney Water’s and WaterNSW’s 2025-2030 Price Proposal.
• Sydney Water and WaterNSW will continue to review these long-term plans to determine how investments will be delivered with consideration of community acceptance, costs and government approvals.
• The Purified Recycled Water Discovery Centre at Quaker’s Hill is open for free community tours. The centre provides an opportunity for the community to see how purified recycled water treatment technology works. Around 4,400 people have toured the centre since it opened in late 2023.Sydney Water also continues to promote water literacy and the importance of rainfall-independent water supplies, including purified recycled water and desalination, through face to face discussions at events, and via newsletters, and social media campaigns.
• Sydney Water partnered with NSW Health to develop a robust Water Quality Management Framework for the Purified Recycled Water Discovery Centre.

2.6 Respond to the impacts of flood mitigation decisions on the system 

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  Through 2024-25 the NSW Reconstruction Authority continued to investigate and evaluate options for mitigating the impacts of flooding downstream of Warragamba Dam. A draft Foundation Hawkesbury Nepean Valley Disaster Adaptation Plan is expected in 2026. Community and stakeholders are invited to have their say on flood risk reduction in the Hawkesbury Nepean at Hawkesbury Nepean Flood Study.
• The NSW Reconstruction Authority is being supported by the department, Sydney Water and WaterNSW in its assessment of the impacts and benefits of flood risk management options so that water security and the priorities of the Greater Sydney Water Strategy are considered. 

3.1  Integrated water cycle and land use planning 

• The department published the Integrated Water Cycle Management Framework (IWCM) in March 2025. The Framework is a best practice guide to developing and delivering IWCM projects. It provides steps for organisations seeking to adopt an IWCM approach to design, deliver and review new projects, programs and strategic planning processes. Government, land use planners, water utilities, councils, developers, businesses and the community can use the Framework to work together to better plan, manage and deliver water-resilient cities and towns across NSW. The Framework is supported by an excel-based self-evaluation tool which translates the IWCM Framework's tasks into a set of evaluation criteria.
• Sydney Water is implementing an Integrated Water Cycle Management (IWCM) approach for developments in Aerotropolis and the Mamre Road Precinct. The approach satisfies many of the best-practice features identified in the department’s IWCM Framework and an associated review.
• Sydney Water continues to take an integrated water cycle management approach in planning including developing the Illawarra Regional Master Plan and Orchard hills sub-Regional Plan.
• Work continues within the department to improve the integration of land use planning and water management. Policy and planning considerations identified in this work have helped shape the department’s NSW Water Quality Governance Roadmap (2024) and the development of the Integrated Catchment Management (ICM) Work Program.

3.2 Support the design principles for Greater Sydney 

• Through 2024/25, several projects were completed which contribute to the evidence base to support changes to the Building and Sustainability Index (BASIX) for water, including:
  • BASIX Climate Data – a project that generated rainfall and evaporation data sets for BASIX that adjust for the likely climate over the life of the dwelling.
  • BASIX Water and Green Cover – a project that identified opportunities to improve and expand BASIX calculations to include the contribution vegetation makes to saving water and water management.
  • Cost-Benefit Analysis (CBA) methodology – a project that included a CBA methodology and tool that can be used to test the cost effectiveness of policy options, ahead of a more complex CBA.
• Ongoing work continues to evaluate the effectiveness of BASIX contribution to water efficiency, and to research and develop policy options for more efficient fixtures and fittings.
• Over 2024-25, the department worked with National Australian Built Environment Rating System (NABERS) and the NSW Government Architect to review the non-residential water standards in the Sustainable Buildings State and Environment Planning Policy to identify improvements to lead to long-term community water savings in new buildings.

3.3 Prioritise alternative water sources for greening and cooling 

• The Recycled Water Roadmap was released in 2025, and it identifies actions, case studies and opportunities for government to facilitate the increased use of recycled water for both drinking and non-drinking purposes.
• The department is developing a Water Sensitive Urban Design (WSUD) Guide expected in 2026. The guide will introduce WSUD principles and outcomes, recommend a process to follow, and explore the benefits and challenges. WSUD supports healthy waterways and urban biodiversity, and helps make our cities greener and cooler, by increasing vegetation and reducing the urban heat-island effect.

3.4 Progress a circular economy approach for water services 

• Sydney Water completed an expression of interest process for the development of a Circular Economy Zone co-located with the Upper South Creek Advanced Water Recycling Centre in Western Sydney. Co-locating with the Advanced Water Recycling Centre presents a unique opportunity to drive systemic change in waste management, with the potential to harness recycled water, produce renewable energy, and develop innovative circular products and services.
• Sydney Water is on track to meet a net zero target for scope 1 and 2 emissions by 2030, working on renewable energy procurement, operational energy efficiency and self-generation of renewable energy as well as investigating offset options.
• Renewable energy assets including solar, hydro and cogeneration produced about 16% of the total electricity consumed by Sydney Water over 2024-25, and the renewable energy program continues grow with projects underway including Malabar biomethane and Liverpool co-digestion.
• The Malabar Biomethane Project has now achieved a stable level of operation and the Liverpool Co-digestion project is to be commissioned in the 2026 financial year.
• Delivery of the North Head Biosolids Upgrade project progressed to enable Sydney Water to produce more high-quality biosolids and reduce odour. 

4.1 Maintain and improve ecosystem health 

• The department has been reviewing community values for all waterways in coastal NSW by engaging with Government, industry and local communities to understand how they value their waterways. The results from this stakeholder engagement will update the NSW Water Quality Objectives to reflect contemporary community aspirations.
• To further this work, NSW Water Quality Objective icons and definitions have been updated. Land use disturbance has been classified to inform selection of water quality monitoring reference sites and catchment protection levels. A revision of Visual Amenity, Whole Body Contact, Incidental Contact, Drinking Water, Livestock Water Supply, Irrigation Water Supply, Aquatic Foods and Industrial Water Supply Water Quality Objectives summary guidance has also been progressed to ensure alignment with contemporary indicators and guideline values established by Federal and State Authorising bodies since 1999.
• Methods remain under development to create localised physical and chemical water quality guideline values for Aquatic Ecosystem Water Quality Objectives at the site specific, sub catchment and catchments scales.
• The department finalised a review of water quality and river health monitoring governance options for Greater Sydney. This work will inform the broader project on state-wide Integrated Catchment Management (ICM) which will identify critical reforms aimed at enhancing water quality and improving river health outcomes at a catchment scale. A knowledge review of past approaches, current frameworks and initiatives in NSW and other jurisdictions, and relevant case studies has been completed and will inform reform options.
• Coastal Management Programs are currently being prepared by local councils with department support for Cooks River, Georges River, Northern Beaches Open Coast & Lagoons, Collaroy-Narrabeen, Outer Sydney Harbour, Inner Sydney Harbour, Hawkesbury-Nepean River System and Waverley Beaches. Coastal Management Programs establish the long-term framework for coordinated coastal management, identify priority issues and required actions, and enable councils to access grant funding to implement these actions.
• The Coastal Management Program for Bate Bay in the Sutherland Shire was certified by the Minister for Environment in December 2024.
• As of the end of the reporting period, a decision to deliver the capital infrastructure needed to deliver environmental flows from Warragamba Dam had not been made. Since that time, it has now been determined that this will be deferred given the need to prioritise other investments in the next few years.
• Consistent with the NSW Government’s election commitment, the department provided financial support to the Parramatta River Catchment Group to plan stormwater compliance and education programs and riverbank naturalisation initiatives to improve catchment health.
• Sydney Water is constructing the Upper South Creek Advanced Water Recycling Centre, expected to be finished in 2026. When the plant is complete, Sydney Water will be able to release high-quality recycled water to the Nepean River near Wallacia to replace a portion of environmental flows.

4.2 Invest in wastewater management 

• Sydney Water has invested in works to reduce the volume of wet weather overflows.
  These investments are reducing the amount of stormwater that gets into the wastewater system by fixing pipes and addressing incorrect stormwater plumbing on customer properties.
• Sydney Water has completed a pilot nutrient offset project at Camden and is working with the EPA to quantify the associated benefits. A further pilot project, including Glenbrook, is also in progress.
• Sydney Water has committed to fund additional waterway restoration pilot projects during 2025-28, and will be working with councils and landowners on delivery.
• In early 2025, the EPA commenced investigations into debris ball pollution events that occurred on a number of Sydney beaches during the period October 2024 to January 2025. Preliminary investigations identified the Sydney Water sewage network and specifically the Malabar sewage system the most likely source of these pollution events. In June 2025, the EPA established an expert panel to review their investigations and assist in developing recommendations to prevent future incidents.

4.3 Improve stormwater management 

• Through 2024/25, IPART completed the Mamre Road Stormwater Scheme Review to confirm efficient costs and distribution of costs as the basis for setting developer contributions. Following this, Mamre Road Development Servicing Plan for integrated stormwater servicing was registered with IPART and approved. The department and Sydney Water are continuing to work together to refine the regional delivery of stormwater management in the Aerotropolis and the Mamre Road precinct.
• Sydney Water completed its Muddy Creek naturalisation project, which will be open to the public once Transport for NSW complete active transport links in the parkland next to Muddy Creek.
• Sydney Water continues to collaborate with local government and catchment partners in the Cooks River, Parramatta River, Georges River and Sydney Harbour areas to improve stormwater management.
• Sydney Water has been developing a pilot project to improve stormwater management and deliver the swimming outcome for the Parramatta River in partnership with council, the Department of Planning, Housing and Infrastructure and the development industry, known as the Blue Green Index.

4.4 Protect water for recreation 

• The Places to Swim program opened a swim site at Penrith Beach in Western Sydney for summer from December 2024 to April 2025 and offered free water safety, learn to swim workshops, and wellbeing activations to encourage recreation.
• The department provided a grant to Randwick City Council to support the construction of a new stormwater pump station at Goldstein Reserve in Coogee. The project will divert stormwater flows away from Coogee Beach and will improve the suitability for swimming. This project will be delivered by Randwick City Council in collaboration with Sydney Water.
• Sydney Water continues working with partners to identify and open new swimming sites in Greater Sydney through the Urban Plunge Program. In January 2025, the City of Ryde opened Putney Beach on the Parramatta River. 

5.1 Recognise and protect Aboriginal rights, interests and access to water

• The NSW Aboriginal Water Strategy was on public exhibition in July and August 2024. Feedback on the draft strategy was provided by Aboriginal Land Councils, Regional Aboriginal Water Committees, agencies within the NSW Government and a range of other organisations across the state. The strategy identifies actions related to engagement, licensing, and water planning.
• The final NSW Aboriginal Water Strategy was released in 2025.

5.2 Enhance community confidence through engagement and transparency 

• Through 2024-25, the department improved its website to provide better access to water-related educational resources, including linkages to existing resources from Sydney Water, Hunter Water and WaterNSW. Additional educational information has also been developed and made available online about alternative water sources.
• Sydney Water continued to promote water wise behaviours, build water literacy and awareness of water efficiency through their community education program, including community events and activities, partnerships, workshops and hands-on learning opportunities.

5.3 Manage price impacts for customers 

• IPART released their draft report on prices for Sydney Water in May 2025 and for WaterNSW in July 2025. These were the first proposals to be evaluated against IPART’s 3Cs Framework (costs, customers, and credibility) which aims to deliver better value for money to customers while addressing the challenges of the water sector. Full details of the final determinations are published by IPART and prices will commence in 2025.
• IPART’s 2025 pricing determinations recommended changes to the NSW Government’s rebate arrangements, to better support customers as water and sewerage prices increase. The department is now undertaking a statewide review of water customer affordability programs.
• Sydney Water continues to offer social assistance programs to customers that may have difficulties with water affordability including PlumbAssist®, pensioner concessions and the Payment Assistance Scheme.