Your rates, explained · 3-min read

Where your rates go

The average Shellharbour home paid about $1,788 in council rates in 2024–25, plus a separate ~$572 waste charge. Here's what that helps pay for — and the one big thing that made this year's books look unusual.

New to these terms? Read them in plain English

Average residential rate: The typical yearly general-rates bill for a home in the area.
Rate peg: The cap on how much a council's TOTAL rates income can rise this year.
Special Rate Variation (SRV): Permission for a council to raise rates by more than the peg.
OLG benchmark: The healthy target set by the state for each financial ratio.

See the full explainer, with formulas →

Your typical bill (2024–25)

$1,788

council rates / year

$572

waste charge / year

This is the average across all residential properties — your own bill depends on your land value. Source: NSW Government OLG time-series data, 2024–25.

A separate annual domestic waste charge, billed on top of your rates. The rate peg below does not cap this charge.

This year's rise (2026–27)

4.3%

rate peg (set by IPART)

Each year the independent regulator IPART sets a 'rate peg' — the most a council can lift its TOTAL rates income. Shellharbour's 2026–27 peg is 4.3%: a 3.1% core peg plus a 1.2% population-growth factor. It caps the council's total rates income, not your individual bill.

IPART sets a separate peg for each of the 128 NSW councils. For 2026–27, core pegs ranged from about 2.5% to 4.2%; councils with population growth — like Shellharbour — get an extra amount on top (here, +1.2%).

How that compares

About 49% above the NSW council average of ~$1,200

This council$1,788

NSW average$1,203

Rates reflect local land values, the services a council provides and any special variations. We show the comparison and the sources; whether it's good value is for you to judge.

The big thing this year

The Shell Cove land development

Shell Cove is a council-run land development. In 2024–25 it sold about $137.4M of land and homes, and the cost of that land flows through the council's books under 'Economy' — which is why total spending looks like it jumped to $236M. It's a largely self-funding commercial project (it brought in more than it cost) and is not paid for out of your rates.

Land & homes sold (Shell Cove): $137.4M
Why 'Economy' spending jumped: $25.6M → $118.9M
Funded by your rates?: No — self-funding, net positive

Where the council's money goes

Now zoom out from your own bill to the whole organisation. This is the council's total operating spending for 2024–25 — funded by rates plus grants, fees and other income — grouped by its own four focus areas. It is not a breakdown of your individual bill.

Leadership$55.7M · 24%

The council's corporate and governance functions: customer service, finance, IT, communications, HR, governance, councillor services and corporate planning — the back-office that runs the organisation.

Community$32.7M · 14%

Libraries and the museum, aquatics and recreation, parks and open spaces, community facilities and programs, arts and events, town planning, and regulation and compliance.

Environment$29.1M · 12%

Waste management, natural-area and vegetation management, stormwater and transport, development assessment, and environmental and strategic planning.

Economy$118.9M · 50%

The council's commercial activities: Shellharbour Airport, The Links golf course, the holiday park, tourism, economic development — and the Shell Cove development. In 2024–25 this area is dominated by Shell Cove land sales (see the callout above), which is why it's so large this year.

These are Shellharbour's four 'focus areas' from its audited 2024–25 financial statements (Note B1-1), grouping total operating expenditure of $236.4M by purpose. This year 'Economy' is dominated by the one-off Shell Cove land development (see above), which isn't funded by rates — so the split looks unusual. Rates and annual charges (about $80.3M) are only part of the council's income and fund the everyday services (roads, waste, parks, libraries), alongside grants, user charges and land sales.

What this money helps pay for

Capital works program (2024–25): $58.9 million plannedInfrastructure such as roads, buildings and facilities; the council reports it delivered $33.4M across 77 projects in 2024–25.
Weekly services: Bins, roads, parks, libraries, developmentThe everyday services the council runs across 19 suburbs for ~81,600 residents.
Financial health: Everyday operations run close to break-evenIn a normal year the council's day-to-day running is about break-even (2023–24: a small deficit before capital grants). 2024–25 shows a large surplus, but that's a one-off from the Shell Cove land sales, not everyday operations — so it flatters the usual ratios this year. On the standard OLG scorecard it met 7 of 9 benchmarks (2023–24, the latest comparable year); the weak spots are infrastructure renewal (64%, 2024–25) and backlog (3.3%, 2024–25). Full table on the Budget & finances page.

What you can do

Get updates for Shellharbour City Council →Subscribe to be told about rates changes, consultations and elections — no need to check back.
See what's open for your feedback →Budgets and plans go out for public comment — your view counts for more before the deadline.
Find your ward councillor →Contacting your councillor is one of the most direct ways to be heard between elections.
Go deeper on the council's finances →The full financial-health table, against the official NSW benchmarks.

Sources — check it yourself

This page presents publicly reported figures in plain language and links every number to its official source; it draws no conclusions and is not financial advice. Figures are current as at the dates shown and may change — always confirm with the linked source. See the notice at the bottom of the page for how to report a correction.