The Essential Services Commission has approved council’s request to increase rates by one per cent more than the state government’s 2.5 per cent cap. Council requested the increase to help fund its infrastructure renewal gap.

The commission has outlined a series of actions council must take before it can apply for subsequent rate cap variations.

Council’s corporate services director Graeme Harrison said approval was granted with the understanding council would complete a more strategic infrastructure need assessment, including seeking resident feedback about infrastructure need and affordability.

He said council would also need to ensure its 2016-17 works program remained on schedule, and was closely monitored during the year.

Other actions the commission has requested include making clear to residents what the financial trade-offs are for various services and the choices available, and continuing to address community issues raised in consultation meetings.

Mr Harrison said council would also need to demonstrate efficiency gains or savings to the community, and complete a long-term financial plan incorporating a range of views and priorities.

Cr Pam Clarke said she was pleased the commission approved council’s request.

“Because we’ve had past history of putting money aside for our infrastructure gap, the commission saw that as a clear indication that this is not something that we’ve jumped on just now to get that extra one per cent,” she said.

“A lot of governments don’t realise we have among the most unstable soils in Australia, and that damages our infrastructure far more than anywhere else.”

Cr Tony Phelan said council’s cap request was warranted. “To me this was a fight to say ‘we need this sort of money to run our municipality and keep advancing our conditions’,” he said.