The council this week agreed to enter into discussions with Greater Hume about the feasibility of taking control of supplying water to Jindera, Burrumbuttock, Brocklesby and Gerogery.

As the lead water authority, Albury presently supplies potable water to 1400 connections in the four towns under an agreement dating back to 1984.

Greater Hume is responsible for distribution and billing of customers.

The latest move comes against a backdrop of Greater Hume asking for a review of the agreement with a particular focus on the pricing structure which was last altered two years ago.

Greater Hume residents pay more for water than those in Albury.

Greater Hume management is also in talks with Riverina Water about supply arrangements in parts of Culcairn.

A feasibility study will focus on legislative approvals process; asset base, construction and maintenance regimes; mapping and data management systems; new sub-divisions, plumbing and connection standards; drinking water standards; resources; billing and implementation plan.

A report prepared by Albury engineering staff member Greg Whorlow and presented to council this week confirmed Greater Hume had made further advances about the cost of supplying water.

"It is recommended that Albury Council agrees to Greater Hume Shire's request and undertakes a feasibility study," he said.

Greater Hume councillor Tony Quinn has been pushing for the Albury takeover of the villages water scheme.

"It is a step in the right direction," he said.

"There is light at the end of the tunnel."

Greater Hume is hoping a decision can be made by the end of this year.

Albury agreed to reduce the cost of the bulk potable water to Greater Hume by almost 11 per cent in 2015.

The charge for potable water in 2017-18 is $1.70 per kilolitre.