Council planning approval is only part of a subdivision. Before new titles can be issued, the local water utility has to be satisfied that every new lot can be connected to water and sewer. For many small subdivisions, this step decides a large share of the cost and the timing.
This guide explains why each lot usually needs its own connection, how the water authority approval works in each state, and what the charges and timeframes look like.
Why each new lot needs its own connection
When one lot becomes two, the new lot needs its own way to receive water and discharge wastewater. A house sharing the old connection with a separately owned home generally will not be accepted.
Does each new lot need its own sewer and water connection? Generally, yes, for green title or Torrens title lots. Water Corporation in WA says each green title lot needs a direct, individual connection to its sewer main and water main. Hunter Water says each new Torrens title lot will be provided with separate water and sewer services, while strata lots share services.
Yarra Valley Water in Melbourne similarly says water and sewerage services are required to be extended to each individual lot. In Tasmania, TasWater says developers generally provide a 20 mm water connection and a 100 mm sewer connection to each lot for serviced land.
Where there is no main close enough to a new lot, the main may need to be extended. That is often the biggest variable in a subdivision budget, especially for rear lots that sit below the street or behind the existing house.
How the approval works in each state
NSW
In Sydney Water's area, the key document is the Section 73 Compliance Certificate.
What is a Section 73 certificate? In Sydney Water's area, a Section 73 Compliance Certificate is proof for your council that your development or subdivision has access to Sydney Water's water and wastewater services. Your council or certifier will tell you if you need to apply.
Applications are usually managed by an accredited Water Servicing Coordinator. Sydney Water then issues a Notice of Requirements listing the works you must complete, which is valid for 12 months. Sydney Water says the Notice arrives within 60 days. Its 2026–27 price list shows a development requirements application fee of $273.70 for complying development and $723.81 for other development.
In the Newcastle and Hunter region, Hunter Water issues a Section 50 compliance certificate, which covers Torrens, strata, stratum and community title subdivisions.
Western Australia
The Western Australian Planning Commission approves subdivisions subject to conditions, and Water Corporation usually sets the water and sewer conditions. Once its requirements are met and fees are paid, Water Corporation issues a clearance. It says it will issue a clearance within 5 working days once its checklist is complete and the invoice is paid.
Where mains need to be built, the owner engages a civil engineer registered under Water Corporation's Developers' Manual.
Victoria
Councils refer subdivision applications to the relevant water corporation, which sets conditions. Before the council issues a statement of compliance, the water authority must confirm its conditions are met. Yarra Valley Water says it will require all conditions to be met before it gives that consent. Building over a sewer easement, or within 1 metre of a sewer pipe, needs the water corporation's consent under the Water Act 1989.
Queensland
In south-east Queensland, water and sewer approvals sit with the distributor-retailers, Urban Utilities and Unitywater. Unitywater says you need approval to add additional connection points to its water and sewer network. Urban Utilities' standard connection guideline provides for one additional water service and meter, and one additional sewer connection, for each new lot in a small reconfiguration.
South Australia, Tasmania and the NT
In South Australia, SA Water recommends a licensed surveyor, who usually deals with SA Water directly, and its augmentation charges are paid before SA Water clears the titles. In Tasmania, TasWater responds to council referrals and issues a Submission to Planning Authority Notice that is attached to the planning permit. In the NT, the certificate of compliance confirms the servicing requirements of your permit have been met, and clearance letters from service authorities may be needed.
Charges for a new lot
How much are water and sewer charges for a new lot? It depends on the utility, and charges change each 1 July. For 2026–27, Water Corporation's standard infrastructure contributions in WA are $2,756 for water and $5,121 for wastewater per additional lot. In Yarra Valley Water's area of Melbourne, the standard area New Customer Contribution rate is $1,113.63 for 2026–27. These are only part of the cost, because any works are extra.
Other common costs include:
- application and coordinator fees
- design by a civil engineer or hydraulic consultant
- construction of a new property connection or main extension
- easements over pipes that cross one lot to serve another
Timeframes
How long does the water authority take? Utilities publish their own timeframes. Water Corporation says it will issue a clearance within 5 working days once its checklist is complete and the invoice is paid. Hunter Water says the maximum timeframe for a Section 50 certificate is 60 days, but generally within 30 days. Building any new mains adds time on top.
Yarra Valley Water warns that the development process for larger asset works may take a few years, which is why servicing is worth understanding early in the design.
When a sewer runs through your block
Many suburban blocks have a sewer main running through the backyard. That can help, because the new lot may be able to connect nearby. It can also limit where a new home goes, because building over or close to the main usually needs the water authority's consent. Our guide to easements and subdivision explains how these easements work.
Getting advice
A licensed surveyor or civil engineer can confirm where the mains are, whether each lot can connect and what the water authority is likely to require.
If you would like a first look at servicing and access for your address, you can check your block with Subdivision Checker.
This guide is general information only. For advice on your property, speak with a licensed surveyor or town planner in your state.