Water Investment

Subiaco's AUD 105 Million Design Phase Carries a Regional Investment Test

Published 3 November 2026 Publisher IMWO Region Asia Pacific Confidence Confirmed
Daily treatment and planned capacity. Subiaco / Water Corporation, 22 October 2026.

IMWO original engineering diagram; source: Water Corporation

Subiaco's initial AUD 105 million funds design, engineering and site preparation. Infrastructure WA's assessment puts the preferred plant at 90 ML/day and ties a large share of its economic benefits to deferring other wastewater and ocean-outlet investment.

Design funding advances the compact-plant option

Water Corporation's 22 October announcement allocates an initial AUD 105 million for detailed design, engineering and site preparation. It reports current treatment of about 65 ML/day and proposes around 23 ML/day additional capacity [1]. Infrastructure WA's business-case assessment, dated December 2025 and published in June 2026, specifies a 90 ML/day new compact plant against a 67 ML/day base case. Its roughly AUD 1.3 billion whole-project estimate includes demolition, escalation and contingency. The estimate is based on Class 4 design with a 32% P90 contingency [2].

Deferred network works carry much of the benefit

IWA gives the preferred option a benefit-cost ratio of 1.2. Nearly half its monetised benefits come from deferring more than AUD 1.1 billion of Woodman Point treatment and Sepia Depression Ocean Outlet Landline upgrades. IWA therefore calls for the feasibility and timing of that deferral to be defined during subsequent development [2]. Subiaco's commissioning sequence affects investment elsewhere in the system. A later available treatment train could shorten the deferral period and reduce that benefit, even if the new plant ultimately delivers its intended capacity.

Evidence conclusion

Retained plant needs an explicit operating boundary

The preferred delivery route uses early contractor involvement followed by design and construct, with some existing infrastructure retained [2]. The 2018 upgrade renewed treatment, electrical and control facilities; Hydroflux identifies three grit washers within its inlet-works contribution [3,4]. Those historical components establish the need for an asset-by-asset retention decision during definition. Tie-in planning should identify which treatment and inlet functions remain available during construction, their residual-life assumptions and the point at which the new train can support the regional capacity plan.

Outstanding evidence

  • Project-definition estimate and retained-asset decisions
  • Woodman Point and ocean-outlet deferral dates
  • ECI scope, live-plant tie-ins and final investment decision

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