Accommodation providers struggling
• Tony and Phyllis Moorcroft of Northeast Restawhile Bed and Breakfast are struggling to make ends meet with reduced guest numbers.
By Daisy Baker
October 21, 2020
Local accommodation providers hope the opening of borders will provide some relief after months on end with low guest numbers due to COVID-19.
Northeast Restawhile Bed and Breakfast owner Tony Moorcroft said they’ve been struggling to make ends meet with just 20 single night stays since March.
“We’re making loss over loss, still paying insurance, advertising, everything else. We’re way down.
“I can’t go out of business because this is our home too. We have to ride it out.
“We are getting Job Keeper but that goes down this month so that’s another $600 we’re not getting coming in.”
Despite receiving Job Keeper and a state government grant, many of their charges remain the same as if they were in full operation.
Mr Moorcroft said he’s calling for TasWater to reduce fixed sewerage charges to better reflect their usage.
“I think it should be based on turn over, that would be the fairest,” he said.
“I don’t mind paying it but I think it should be fair.”
They have been operating as a bed and breakfast for the past 18 years, with five guest rooms with ensuites and a total capacity of 12 people, including Mr and Mrs Moorcroft upstairs.
A TasWater spokesperson said sewerage charges are determined through Equivalent Tenements (ET).
“One ET is the sewerage discharge from an average single residential house,” they said.
“Bed and Breakfast/guest houses are assessed as 0.45 of an ET on a per room basis.
“Where the property owner has a separate dwelling on the same property an additional Equivalent Tenement of 1.0 applies.”
Mr Moorcroft’s ET charge was recently raised from 2.2 to 2.5 but after contacting TasWater it has since been dropped back to 2.2.
Beulah Heritage Accommodation owner Jan Hughes said it’s been a tough year for accommodation providers with ongoing operating costs and significantly less guests.
“Our customer base is about 85% overseas tourists who are not able to come at the moment,” she said.
“We’re just lucky we have other little businesses that can keep us going but if it was just the B and B we’d be in a different financial situation.”
Anabels of Scottsdale owners Nadine and Steve de Launay said their trade is around 60 per cent due to travel restrictions.
Mr de Launay said their water bills are in excess of $5,000 per year.
“Our TasWater accounts do not reflect our actual water usage. The cost of usage is less than 20 per cent of our bills (even lower during COVID19).
“The remaining 80 per cent is for perpetual fixed charges,” he said.
“We were shocked by the price of quarterly water bills when we took over Anabels.
“We queried the charges in early 2019 and TasWater visited us, gave us discount which was minimal.”
A TasWater spokesperson said they are happy to review any customer’s charges if they believe it is incorrect.
TasWater entered a 12-month price freeze from July 1, 2020 and are offering a 100 per cent rebate on bills for small businesses on electricity tariff 22, 94, 82 or 75 on their TasWater account issued between 1 April 2020 and 30 June 2020.
“We encourage small and medium business customers to contact us if they have not received the rebate,” the spokesperson said.
“We understand that circumstances can sometimes make it difficult for customers to pay their water and sewerage bill.
“We have multiple ways of support, ranging from due date extensions to payment arrangements. The solutions are based on individual needs and can be confidentially discussed with a dedicated member of our team.”
Any TasWater customers wishing to query their charges or discuss their range of customer support programs can call 13 6992.