The Government’s proposed restructuring of water services for the country would see responsibility for drinking water, wastewater and storm water shifted from local councils to several regional water agencies.
The reasoning behind the “Three Waters”
The rationale behind restructuring includes both safety and affordability. On the safety side, much of our water infrastructure is ageing and under pressure from our growing population. In 2016, a contaminated water bore in Havelock North led to four deaths and 5,000 getting sick.
On affordability, the estimated investment in infrastructure for water supply, wastewater and stormwater over the next 30 years ranges from $120 billion to $185 billion. Investment be necessary to make up for decades of councils’ under-investment and to serve projected population growth. This kind of spending cannot be covered by ratepayers alone.
The Proposed New Structure
The Government has proposed establishing four regional entities with responsibility for the delivery of three waters services. If the proposal progresses, the entities would likely be in complete control of three waters service delivery from July 2024. The Government would then be responsible for investing in the water infrastructure, taking the pressure of the local governments.
Current Status
There is no consensus with local authorities on whether to proceed with the Government’s plans. Several local councils have accused the Government of centralising power and eroding local democracy. Others have expressed frustration with the lack of details provided by the Government.
