ACT Treasurer Katy Gallagher said yesterday the Government would support the matter being referred to the Independent Competition and Regulatory Commission in favour of the ACT Opposition's proposal to have a Legislative Assembly committee inquire into the matter.

''There are some good reasons why the ICRC could look into it,'' Ms Gallagher said yesterday.

''They have an understanding around the pricing of utilities, they've been involved since the beginning, they can have access to all the documents and ultimately they can determine whether or not it's a reasonable cost.''

Actew Corporation issued a revised estimate of $363 million in September for the project, substantially more than the $145 million price tag that had been bandied around four years ago. When completed it will increase the Cotter Dam's capacity from 4 to 78 gigalitres, and the ACT's total storage capacity by 35 per cent.

For more, pick up a copy of today's Canberra Times