This week briefings to councillors in Wellington, Porirua and Lower Hutt will outline the challenges they face as they consider a joint water services delivery plan in response to the Government’s Local Water Done Well policy. Greater Wellington Regional councillors were briefed last week.

The briefing sessions focus on the changes to legislation, scale of the challenge, implications around funding and pricing and are to prepare councillors for significant decisions ahead.

Nine councils in the Wellington region and Horowhenua District are working together to consider a joint water services delivery plan which must be developed by September 2025. The councils collectively represent more than 500,000 people.

Work is being led by the region’s Advisory Oversight Group (AOG) made up of elected members and Iwi/ Māori representatives.

Dame Kerry Prendergast, Independent Chair of the region’s Advisory Oversight Group says all councils are committed to the process and working at pace to ensure the right approach to water management is reached.

"We are committed to an enduring solution, as a sustainable and long-term approach is required to address the challenges our water networks face - now and into the future," Dame Kerry said.

"Our region has a significant backlog of investment needed in three waters infrastructure," Dame Kerry said.

"Currently over 20 percent of the region’s water assets are worn out and needing replacement, which presents significant risk of major services failures. If we don’t fix the network, we will keep on seeing major pipe failures like at Day’s Bay and Kent Terrace or ongoing challenges like at the Seaview wastewater treatment plant.

"Significant investment in water is going to be needed over the next 20 years. We know that this will be really challenging and we will have to work closely with contractors and suppliers to grow the workforce, explore new delivery models and find new and lower cost solutions.

"Our preliminary analysis of the water network and the level of investment needed highlights that there are no quick fixes - this will take sustained effort," Dame Kerry said.

"We know what people pay for water will need to rise and we are looking at a range of options and scenarios to keep this affordable.

"This is why it’s imperative that councils work together, despite each facing different issues. Some councils have challenges now, some have challenges to come in the future. This is a long game, and working together, at scale, gives us the best chance to work our way out of the current water infrastructure situation."

New funding arrangements announced by the Government on 8 August for water organisations through the Local Government Funding Agency mean that if councils set up a new delivery organisation these will have access to additional debt funding.

There are some real positives to this change, Dame Kerry said. "The investment will enable growth and new home building; it will create a lot of jobs in the region. Over the next 20 years, about 44 percent of the network could be replaced, building significant resilience for future earthquakes. The investment will also address the region’s critical water shortage challenges through meters, increased water storage, and fixing leaks."

Local Water Done Well is the Government’s plan for water reform and requires councils to develop water service delivery plans by September 2025. It is being implemented in three stages, each with its own piece of legislation. The second stage is underway, with the Local Government (Water Services Preliminary Arrangements) Act passed into law on 2 September.

The report outlining the regional option for water service delivery will be finalised and released in October, for each council to then consider and make decisions. These decisions will shape the next steps for the region.

Notes:

The report outlining the regional option for water service delivery will be finalised and released in early October.

Councils will then each make decisions on their approach to water services delivery plans. Council meetings are scheduled for late October and November.

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