With the aim of encouraging village residents to fit rainwater tanks to their premises and relieve some demand on their village water supply system, Council will refund $254 to village resident from Braidwood, Bungendore and Captains flat who are connected to reticulated town water.

In August 2004 the policy was instated for a minimum of 22,000 litre tanks, but since February 2005 it has been required for all new developments to install rainwater tanks (minimum 10,000 litre), so the policy (incorporated into its DCPs) effectively removed the need for the previous incentive subsidy for new developments. The revised subsidy policy (adopted by Council on 24 November 2005) catered for these changes with the following requirements:

Palerang Council Director of Works, Gordon Cunningham, says that "the adjusted size limit is retrospectively payable to those home owners (who meet the above requirements) that can demonstrate that their tank was installed on or after 1 July 2005. [This covers those residents who may have installed a tank of between 10,000 & 22,000 litres between 1 July & 24 November 2005]

The subsidy is now linked to annual CPI movements, subject of course to Council resloving to continue with the policy each year as part of its management plan deliberations."

For those residents who qualify, a donation will be made to them for the Development Application fees associated with the installation of the new tank.