Service Contracts

Corporate and Customer Services Contracts

Icon Water has two contracts with ActewAGL in relation to corporate and customer services, named the Corporate Services Agreement (CSA) and Customer Services and Community Support Agreement (CSCSA).

The current services contracts between Icon Water and ActewAGL are the most recent in a long history of arrangements for sharing the delivery of services. This recognises the natural synergies that exist between the utilities.

As Icon Water is a publicly owned company providing essential utility services to the community, there are a number of mechanisms in place for oversight of Icon Water’s business and operations. The independent bodies with different review and oversight powers include:

The corporate and customer services include unique support activities and services required for running a utility. There are a range of services within the corporate and customer services contracts, including those listed below.

Corporate Services Customer Services and Community Support Services
  • Information communications technology (ICT) physical hardware, computer
    software systems and supporting technical services
  • Emergency contact centre
  • Economic regulatory services
  • Human resource services
  • Tax
  • Treasury
  • Accounts payable
  • Procurement
  • Warehouse management
  • Fleet management
  • Property and security
  • Accounting

  • Meter reading
  • Customer billing
  • Customer account management
  • Customer contact centre
  • Accounts receivable and credit management
  • Customer data storage and protection
  • Community communications
  • Corporate communications
  • Sponsorships

Audits related to the contract services

The contracts permit audits to be conducted in relation to the delivery of the services.

Icon Water undertakes an internal audit program as part of its internal audit strategy to help Icon Water learn from the past respond to the present and prepare for the future.

Where the scope of any audit relates to services or activities under the services contracts, the performance of those services or activities are included in the audit. In mid-2018 Icon Water undertook a review of the services contracts. The internal audit was undertaken by a member of our internal audit panel of service providers. A summary of the key audit findings can be found here.

Future of corporate and customer services provision after 2023

The current services contracts expire in 2023. In preparation for this date we are assessing its ongoing service requirements and options.

A key focus for us will be to ensure that we can maintain access to the services required to operate our business efficiently and effectively. We must continue to provide high quality affordable water and sewerage services to our customers.

A project was initiated in March 2019 to define a sourcing strategy for the required services. The project was broken up into four phases to facilitate a structured approach to these important decisions. With the fourth phase being completed in June 2020, planning is now underway to facilitate the implementation of the sourcing strategy. 

Partner engagement for implementation

Following an approach to market, in January 2021, we engaged a Program Management and Advisory service provider to partner with us to implement the sourcing strategy.   

Implementation of the future sourcing strategy

In January 2021, we commenced our program to implement the Board approved sourcing strategy for those services covered under existing CSA and CSCSA contracts. We released an expression of interest to market in 2020 relating to ICT infrastructure and operations services. As a follow-up to this, a request for tender was released in August 2021 for the following services:

  • Information communications technology (ICT) infrastructure and operations services, and
  • Financial information management systems (FIMS).

Many of the aspects in the existing CSCSA have been retained as a bundle and following an initial market review and benchmarking activity a request for proposal was sought from the incumbent provider. A new agreement has been signed with the incumbent and will commence in July 2023. 

This webpage will be updated with further information as the program progresses, including any relevant updates regarding services not referenced above.

 

Updated 14 September 2021