Griffith City Council's annual water and sewer performance report has revealed the city's water bills are among the cheapest in the state, coming in the top 20th percentile with an average bill of $422.

But the city's sewerage services are tipping the scales with Griffith among the most expensive and the typical bill around $100 more than the state average.

Council's director of utilities David Tull said the new water reclamation plant, which was officially opened last week, was to blame for the high sewerage rates.

"They are impacted by the charges on the new reclamation plant and they're probably not going to get any lower than that," Mr Tull told councillors at Tuesday night's council meeting. 

"But if we look at efficiency, the new plant is extremely efficient in producing cheap water and that is evident in the water rates being one of the lowest in the state."

The report also showed residents were taking advantage of the low water rates and ranked second in the state in its category for water usage.

Councillor Pat Cox raised concerns about the continued high water usage in the city and urged council to continue to look for solutions to the problem.

"Consumption of water is well above the state average," she said. 

"As a council we need to continue working to persuade residents to look at reductions in their water use."

But while the water was cheap, high consumption had pushed the city's operation costs to nearly double the state average $619 compared to $370 despite Griffith having a relatively low per kilolitre charge.

The performance report also recommended council review its water quality issues as complaints had skyrocketed this year, but Mr Tull said the floods were mainly to blame for periods of poor quality.

"There are some issues we need to address," he said. 

"The water quality issues we had during the floods need to be examined to see whether we can solve those over the coming years and we will spend time on analysis and money on getting better water quality. But when it is working properly (during a normal period) quality is very high."