G-MW is ditching some real estate as part of its drive to cut costs and improve its bottom line performance.By Geoff Adams
G-MW is ditching some real estate as part of its drive to cut costs and improve its bottom line performance.The corporation will be getting out of two of its leased Shepparton buildings and is also planning to close and sell its Shepparton depot in the long term.
Staff will be moved to Tatura.
G-MW managing director Gavin Hanlon has also flagged that he is looking at the viability of other depots across their region.
He expects to release a blueprint within the next few months setting out how the cost savings and revenue changes fit with the long-term restructure.
‘‘While we need a regional office presence, we don’t necessarily need to have depots everywhere.’’
The leased Shepparton space includes the former NVIRP office in Wyndham St and a floor in the multi-storey building in Welsford St opposite the Greater Shepparton City Council office.
As part of its business restructure the corporation recently announced it was selling a porfolio of about 20
The move is expected to generate extra income as well as impact on costs as G-MW had to bear the storage charges.
Mr Hanlon said the water sales would be of smaller parcels and spread over time so they would not artificially affect water prices.
Tenders are being called for experienced water traders to handle the sales. Mr Hanlon said the criteria for tenders included experience and competitive fees.
G-MW has held some of the small parcels for years, but most of it has come from the closure of the Campaspe irrigation district.
‘‘In the long term G-MW should not be a water holder at all,’’ Mr Hanlon said. ‘‘Our job is to deliver it, not own it.’’ Mr Hanlon has promised farmers he will cap water prices and address cost issues, and last year announced the corporation would shed about 60 jobs and require a further 120 staff to change jobs in a new structure.
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