Hundreds more to lose power in devastating blow for Couran Cove Island Resort residents

Hundreds more residents are set to lose basic services at Couran Cove Island Resort in a matter of weeks as the crisis reaches a disturbing new low.

Residents of an embattled Gold Coast island resort have been warned the entire community will have essential services axed next month due to alleged unpaid body corporate fees.

Couran Cove Island Resort residents received a letter late Tuesday stating four precinct bodies corporate would have their electricity, gas and water services cut from 10am on April 17.

The letter was signed by Island Resorts (Infrastructure) and Island Resorts (Facilities and Equipment) company director Simon Napoli.

It alleged millions of dollars were owed under service agreements.

An entrance sign to Couran Cove Island Resort. Picture: Tertius Pickard

“Unless monies are received pro rata weekly by the service providers from CBC (Community Body Corporate) on receipt from the precinct bodies corporate and other members of CBC to fund the necessary outgoings to enable production and supply of the services on-supplied by CBC to the scheme members, future supply of the services by the service providers is not commercially viable,” the letter read.

“The annual budget is approximately $5m for all services to be provided to Couran Cove under the contracts, so on a pro rata basis, (then) this would equate to a requirement to pay $100,000 per week in order for the ongoing provision of services based on the agreements.”

There are five bodies corporate involved on the island, with complex court proceedings playing out over allegations of millions of dollars in unpaid levies.

The devastating blow for residents is the latest saga to plague the embattled South Stradbroke Island community.

Dozens of families were forced to flee the island when utilities were disconnected on February 15.

About 120 dwellings of the 360 at Couran Cove remain without power and water six weeks on.

The latest move to disconnect utilities will mean a service blackout for the entire resort and affect hundreds more residents.

Couran Cove Island Resort from above

Fears island resort dispute could turn deadly

A Gold Coast island resident cut off from essential services for six weeks fears it will take a death in her community for the state government to finally intervene.

Rhonda Dalgleish is one of the more than 20 families and individuals at Couran Cove Island Resort who have gone six weeks without electricity and water.

Dozens more were forced to flee South Stradbroke Island when utilities were disconnected on February 15 amid allegations of unpaid body corporate fees.

Ms Dalgleish said the lamentable milestone had not been lost on the core group of residents who had stayed behind.

“It’s probably as bad as I have ever felt as a human being before,” the grandmother said.

“How much longer are we supposed to hold on before somebody comes and helps us?

“I will end up having a nervous breakdown because I can’t deal with this anymore.”

Couran Cove resident Rhonda Dalgleish. Picture: Tertius Pickard

Ms Dalgleish feared other residents were not coping either and something bad would happen.

“Somebody is going to do something, you can tell,” the retiree said.

“People are getting mad, strange things are happening.”

She pleaded for the state government to step in before it is too late.

“You’ve had six weeks – please somebody, come and help.”

The director of two companies which control utilities at Couran Cove, Simon Napoli, described the situation as “dire”.

Mr Napoli said about 120 dwellings of the 360 at Couran Cove were still without power and water because the bills for these essential services had not been paid.

Couran Cove boss Simon Napoli. Picture: Nigel Hallett

This was despite residents saying their body corporate fees were paid up to date.

“Owners are being unfairly inconvenienced, despite many of them already having paid their body corporate levies which are levied to pay for essential services and meant to be passed on by their Strata Committee to cover the cost of those essential services,” Mr Napoli said.

“At present the bills for these essential services remains unpaid.

“The company believes these residents are the innocent victims of a difficult and unpleasant

situation.”

Inside Couran Cove Island Resort

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There are five body corporates involved on the island, with complex court proceedings playing out over the alleged unpaid fees.

Mr Napoli called on Attorney-General Shannon Fentiman to appoint an independent manager on the island, as raised during their meeting in Brisbane several weeks ago.

“An independent manager can deal with all the complex issues without emotion – and with their professional skills provide practical solutions to resolve the dire situation,” he said.

Couran Cove Eco Body Corporate chairman Dave Bowden said those still left on the island were struggling mentally and physically.

“Their neighbours and friends are supporting them as much as possible, but we fear there is very real and long lasting damage occurring,” Mr Bowden said.

“Community Recovery and other (state) departments have offered counselling and other support, but of course this does not address the root cause, which is very debilitating.”

Couran Cove Eco Body Corporate chairman David Bowden (right) and resident Mark Pitt. Picture: Glenn Hampson.

He said the matter could only be resolved through mediation with the service provider.

“It is clear that the courts will not resolve this. The legal system will just continue to soak up large amounts of money that could be used to rebuild the resort, fix the infrastructure and let people live in peace,” Mr Bowden said.

“However until we get some meaningful engagement to resolve this fairly and equitably, the legal process will continue.”

A spokeswoman for Ms Fentiman said she was deeply concerned about the situation.

“It is not appropriate for the Attorney-General to intervene in individual disputes or proceedings,” she said.

“The government continues to monitor the situation and provide support to ensure residents are safe.

“Through the Community Recovery team, there has been ongoing deliveries of drinking water, food and fuel vouchers have been distributed and temporary housing and financial counselling offered.”

Originally published as Hundreds more to lose power in devastating blow for Couran Cove Island Resort residents