A recent decision to reverse a council merger has sparked renewed optimism among other New South Wales communities pushing for similar changes.
Cootamundra and Gundagai councils, which were merged by the state government in 2016 as part of a broader restructuring that reduced 44 councils to 19, have now been granted permission to demerge after nearly a decade of local advocacy.
“This is a win for local democracy,” said Grantley Ingram, coordinator of the Demerge NSW Alliance and president of Save Bombala.
“The minister listened to the people of Gundagai and Cootamundra and respected their wishes.”
Pushback Against Forced Mergers
The former Coalition government implemented the 2016 council amalgamations with the aim of boosting efficiency and cutting costs. However, critics like Mr Ingram argue the changes brought more harm than good, pointing to shared frustrations over core services such as roads, waste management, and local governance.
He also cited losses in council-operated aged care services and high staff turnover as major consequences.
In Bombala, which was incorporated into the Snowy Monaro Regional Council, Ingram said discontent remains widespread.
“People here never supported the merger. It’s just not working,” he said.
Snowy Valleys Council, another product of the 2016 reshuffle, combined Tumut and Tumbarumba Shires. Councillor and former Tumut mayor Trina Thomson said that maintaining unity across such distinct communities has proven difficult.
“We’re essentially trying to run two different councils under one structure,” she explained.
“A demerger would let each area reclaim its own identity.”
Not All Regions Want Change
However, not all regions share this sentiment. In the NSW western plains, Dubbo Regional councillor Matthew Dickerson said the merger between Dubbo and Wellington has been accepted.
“The eggs are broken and the omelette’s made,” he said.
“That moment has passed. There’s no strong desire to reverse the merger—we’ve moved on.”
Demergers Now an Option
During Thursday’s announcement, Local Government Minister Ron Hoenig outlined a clear process for other merged councils interested in splitting.
“We will not impose mergers or demergers,” he said.
“Such decisions belong to local communities—not governments. Elected councillors have the responsibility to act in line with community interests.”
Mr Ingram agreed, saying that any decision to demerge should be led by councils with meaningful community consultation.
“Some might support their current structure, even if I think it’s flawed,” he noted.
“It’s essential we listen to what the people actually want.”
