Council works towards future water services delivery model

Published on 28 November 2024

Workers prepare to install new water infrastructure pipes

Whanganui District Council is making significant progress in its efforts to navigate the government's Local Water Done Well policy, ensuring the best outcomes for our community.

The Strategy and Policy Committee today (Thursday, 28 October) received an update on ongoing work to ensure the council is in the best position possible to make an informed decision about how it responds to the requirements of the policy, including choosing a proposed water services delivery model for drinking water, stormwater and wastewater.

The committee also received feedback from a communications campaign in October to ensure our communities are aware of the government’s new requirements and what it might mean for the council and our communities.

Whanganui Mayor Andrew Tripe says the feedback showed the importance of water quality and affordability to our community.

“As we work to finalise our approach, we remain committed to transparent, evidence-based decision-making that reflects the best interests of the Whanganui community.

“Public consultation will be critical. We’re planning to consult widely with our residents in early 2025. As well as community feedback, we must show that the delivery of water services is financially sustainable and meets new regulatory standards,” Mayor Andrew says.

Council Three Waters transition manager Kathryn Stewart says the government is driving a tight timeframe for the changes. It is a legal requirement for the council to decide and consult on its proposed delivery model and develop, adopt and submit a Water Services Delivery Plan by September 2025. In practical terms, this means public consultation in the first part of 2025.

While the government has not mandated amalgamation, it continues to encourage collaborative regional approaches. In response, the council has been working with neighbouring councils in the Manawatū-Whanganui region to explore regional and sub-regional delivery options, as well as going it alone, the update says.

Council officers have now completed the updated financial modelling for each of the delivery options which is the final piece in its options appraisal. The conclusions from the appraisal work will be presented at a 10 December meeting where councillors will decide on their preferred delivery model for public consultation early next year.

The models that are being considered include:

  • Continuing with an in-house business unit
  • A single Council CCO (council-controlled organisation)
  • A multi-council CCO with the maximum number of councils from the Manawatū-Whanganui region
  • A multi-council CCO or shared service arrangement with Rangitīkei and Ruapehu District councils

Kathryn Stewart says the options appraisal has shown that the financial case is marginal, with little difference to the ratepayer over ten years. Any decision to work with our neighbours will be for the wider environmental and operational benefits it brings.

The information-sharing campaign in October resulted in 200 comments received via several platforms and more than 500 people actively participating in an event, viewing online content or providing a comment. The feedback received from the community was largely about water quality and costs, rather than the delivery model for water services.

Many community members expressed confidence in the current water supply system, although there were concerns about water hardness and calls for wider use of rainwater tanks to improve affordability and resilience.

Over the next 12 months, Taumata Arowai will introduce new wastewater standards and the Commerce Commission will begin regulating investment and pricing in the sector. Additionally, increasing compliance requirements are anticipated from Taumata Arowai and Horizons Regional Council.

The formal consultation process is currently expected to begin in March or April 2025 with a final Water Services Delivery Plan adopted following the consultation period.

Find the full report in the committee agenda