Australians are using less water but the average household water bill has jumped to $584 a year, the latest figures show, largely due to new drought-proofing measures such as desalination plants. 
In   May this year the Abbott government controversially abolished the National Water Commission, an independent body overseeing water management. The urban water industry has called on the Turnbull government to reinstate independent monitoring of water reform, which includes measures to drive efficiency.
Figures released by the Australian Bureau of Statistics on Thursday showed that in 2013-14 Australians used 19,000 gigalitres of water, equal to 38 Sydney Harbours. This was down 6 per cent on the previous year.
Average annual household spending on water rose 12 per cent to $584 per household, despite a slight decrease in the volume of water used.
The biggest increases in household water prices occurred in NSW (27 per cent) and Victoria (24 per cent).
Australian households spent more than $5 billion on water in 2013-14, paying an average of $3.08 per thousand litres. South Australian households paid the most at an average of $4.29 per thousand litres.
Former chair of the now-defunct National Water Commission, Karlene   Maywald, said the price rises were largely due to efforts to secure water supplies.
"As a consequence of the last drought there is a lot more infrastructure being built to provide greater water security," she said.
"While people might be consuming less water, which is a very good thing, the pipes, the pumps, the dams, the desalination plants, are still there and still need to be paid for.
"[And] as our cities grow there's a need for more water, and that puts pressure on the delivery of infrastructure."
In its final report, the National Water Commission said Australia's population is predicted to grow by an extra 21.5 million in the next 50 years and further urban water reform was needed. This included more active engagement with customers on pricing and service delivery, and a consistent regulatory framework to allow more productivity and innovation and reduce costs.
Some NWC functions were assumed by other government agencies after its abolition, however there are fears the water reform agenda will lose momentum.
Water Services Association of Australia executive director Adam Lovell, whose organisation represents the urban water industry, cited the Victorian Desalination Plant and the North-South pipeline as big infrastructure projects contributing to water price rises in that state.
Earlier this month Melbourne Water reportedly proposed cutting its wholesale charges for the first time in a decade, which would save households an average $100 over the next five years.
Mr Lovelle said the organisation had examined its energy use, labour and other in-house costs to find new efficiencies.
He said bodies such as the National Water Commission were needed to avoid "politicisation of water at a state level".
"Water is absolutely integral to this country and we don't have that independent oversight body that can call anybody to account that manages water," he said.
Sydney Water has also predicted households will save about $100 each year for four years as part of a pricing proposal submitted to the NSW Independent Pricing and Regulatory Tribunal.
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