Muswellbrook Shire Council is urging residents to register a say today on the proposed special rate variation (SRV) on mining rates, with consultation closing at midnight tonight, Monday 12 January.
The proposal applies only to mining land and is a key measure to safeguard the Shire’s long-term sustainability as rate revenue declines, while protecting residential, business and other ratepayers from future rate increases.
Muswellbrook Mayor Jeff Drayton said the proposal is about taking action to preserve affordability for residents in the Shire.
“Muswellbrook Shire has the lowest average residential rates in the Hunter, and Council is determined to keep it that way. We’ll do everything in our power as a Council to preserve low rates for our residents and small businesses,” Mayor Drayton said.
“We know change is already here as mines move toward closure. This proposal is about planning responsibly now, while the industry is still operating, so the cost doesn’t end up falling on our residents and small businesses in the years ahead. Doing nothing would only make the problem bigger and harder to solve.”
Mining and power generation remain central to the Muswellbrook economy, and Council continues to support these industries. But the Shire’s economy is changing. The Shire’s largest mine and employer is scheduled to close in 2030. No new mine approvals are proposed beyond 2048.
More than half the Shire’s current rate revenue comes from mining, but that is projected to drop significantly as mines approach closure. Council will lose around $5 million a year in mining rate revenue in the near term, with the shortfall widening to $18 million by 2045 if no action is taken.
Council has a strong financial record including an outstanding rating in the most recent Your Council report, notably in the Own Source Revenue indicator of financial health. Planning for long-term sustainability is a core responsibility of Council.
The current proposal would mean a 29 per cent increase to total permissible mining rates, including the 3.1 per cent rate peg and 25.9 per cent SRV. The increase would apply only to mining rates and generate a projected $6 million in revenue in 2026-27.
Residential, farming and commercial rates would remain at the rate peg. Council is working to keep rates among the lowest in the Hunter to ensure Muswellbrook Shire remains an affordable and desirable place to live.
Revenue raised through the SRV would go towards Council efficiency and services, attracting new industry, jobs and investment, and strengthening Council’s Future Fund to offset the loss of mining revenue over time.
The survey closes at midnight Monday, January 12, 2026, takes about two minutes and is available at:
