Seventy-two anxious Blue Mountains residents who lost their septic pump-out subsidy in July last year are celebrating after hearing the news on Friday that the NSW Liberal government will now reinstate it.
Member for Blue Mountains Roza Sage said the NSW government would deliver a "long-term solution to the 72 Blue Mountains households not currently connected to Sydney Water's sewerage network".
"I am very pleased to say the NSW government has listened to the people of the Blue Mountains and is offering a hand-up for residents to fund a permanent sewerage solution, or ongoing support for property owners to fund the high costs of septic tank pump-out," Mrs Sage said.
One of the affected residents, Craig Sinclair of Wentworth Falls, called the decision "fantastic news".
"It's good news, we've had a win. It was an ongoing campaign, keeping pressure on the government. The timing is ... well, the election is coming and Roza is obviously feeling the pressure [and] so many other residents also thought justice should be done."
Under the new scheme, all affected property owners will be offered a one-off grant of $10,000 to contribute to the cost of capital works for a sewerage connection or on-site system; or ongoing septic pump-out subsidy consistent with the scheme in operation prior to June 30, 2014.
The residents from Warrimoo to Blackheath were told in July last year their septic pump-out subsidies would be removed and they could face costs of about $75,000 to connect to the sewerage system. Many have been taking extreme water conservation measures to avoid expensive pump-out fees for the past seven months.
To draw attention to their plight the affected residents gathered thousands of signatures during regular "sewer sit-ins" outside local MP Roza Sage's office last year.
Mr Sinclair called it a "tribute to the residents and the whole community" adding it was a "shame we had to go through all the heartache".
One older resident from Katoomba "accelerated the sale of his house" because of the added expense and "got a lot less for his house because the subsidy wasn't in place," Mr Sinclair said.
Relieved resident, Donna Gammidge, a single parent from Linden was on the verge of selling and said the decision "means we can stay in our home ... all that worry is gone".
Mrs Sage said the initial phase-out of the subsidy proposed in 2012 had provided a 'one-size fits all' approach that did not adequately recognise the limited options for some residents.
"I understood this exposed a number of Blue Mountains residents to financial difficulty, and I have since that time lobbied the premier and the water minister on behalf of these residents for a solution that I am proud to say has now been delivered," Mrs Sage said.
Minister for Natural Resources, Lands and Water Kevin Humphries said that under the scheme all residents will be offered the opportunity to meet with a consultant provided free-of-charge by Sydney Water to determine the best way forward for their property.
"The commitment by the NSW government is a huge win for the local community and ends more than two decades of uncertainty for residents who have been fighting for a solution to this issue."
The affected residents will be contacted by Sydney Water to provide advice on their options.
Mrs Sage's spokesman said the finer details were still being worked out but the "reinstatement was indefinite".
Labor announced in the middle of last year they would re-instate the subsidy if elected.