Council keeps water in-house
The Taupō Wastewater Treatment Plant next to the Waikato River is nearing capacity. Photo / Dan Hutchinson
Taupō District councillors have decided to retain the council’s water services in-house and review the decision in two years.
The Government’s Local Water Done Well reforms required all councils to consult on at least two options for the future of their water services. Retaining the status quo was not an option.
The reforms replaced the Three Waters Reforms of the previous government and apply to drinking water, wastewater and stormwater.
Taupō District Council consulted on three possible options for its water services: Retain water services in-house but in a separate business unit and review in two years; Join six other councils to form Waikato Waters; Set up a single Taupō District Council-controlled organisation.
Council received 220 submissions, with 74% favouring keeping council services in-house for the time being. Under this option council would continue to deliver water services, own all its water assets and make all water-related decisions.
Councillors also agreed to join Waikato Waters as a limited shareholder for some shared services, such as procurement.
The terms of the draft agreement allow Taupō District Council to remain involved with Waikato Waters and safeguard the option to join later.
Under every scenario for the future of water services, the cost to ratepayers is expected to rise due to new economic compliance required by the Commerce Commission; and enforcement of higher water standards by the water regulator Taumata Arowai.
Deputy Mayor Kevin Taylor thanked submitters who made the effort to engage in the process.
“We wouldn’t be in the position we are in and having the options we’ve got had it not been for many, many years of prudent decision-making and wise investment. We’d be in the position of our fellow councils who have had no choice."
The council will now develop a Water Services Delivery Plan to submit to the Department of Internal Affairs. It must also establish a separate business unit for its water services including the full financial separation required by the Commerce Commission.
There has been no extra funding from central government and the council will need to meet the $500,000 cost of the process from its own budgets.