IAWAI, the company responsible for water and wastewater services for Hamilton and Waikato is warning there is “no silver bullet” to resolve local water challenges.
But there is a clear plan and strong momentum to tackle them.
In its first six-monthly report, Chief Executive Peter Winder describes a pressure cooker half-year as IAWAI prepares to take full responsibility for services previously provided by Hamilton City Council and Waikato District Council. Responsibility for water services and assets, plus water-related debt, will transfer to the company on 1 July 2026.
“In the last six months our focus has been on establishing strong, well-informed governance, setting a very clear direction and advancing key projects that cannot wait,” Winder said.
“The challenges are significant. Growth pressures, ageing infrastructure, environmental compliance and cost-pressures are all connected – there’s no silver bullet. But there is a real opportunity to do things differently. By being more commercially minded, we can find fair, realistic solutions our communities can afford.”
IAWAI was prioritising a seamless transition of services from councils with no disruption, Winder said. But the company has already signalled major change in the way it will work with contractors. Next month it will go to the market, seeking a 10-year relationship-based maintenance partnership potentially worth half a billion dollars.
“We are very clear we need to align costs much more closely with revenue, noting that water and wastewater costs are rising faster than many people can afford. That means leveraging our size to get the best price while providing a pipeline of work that gives certainty to the construction sector.”
Momentum has continued on major waters projects for shareholders. That includes planning for a major upgrade to Hamilton’s only wastewater treatment plant in Pukete which will be a step towards IAWAI’s first sub-regional plant.
Upgrades to the Ngaaruawaahia and Huntly wastewater treatment plants are also advancing to meet compliance rules. Planning work on a new wastewater treatment plant for the south of the city is underway, Winder said.
The report confirms work is on track to deliver a government contract to build a new 25 million litre reservoir for central Hamilton by 2028.
Supporting growth is another priority. IAWAI has been working alongside developers to find ways to unblock capacity restraints in Hamilton and north Waikato.
“In the last six months we’ve made solid progress toward potential solutions. We’ve also been clear that growth must be paid for by those who drive that growth, not by existing water and wastewater users.”
The Board continues to focus on striking the right balance between setting water charges as low as possible, having prudent levels of debt, while delivering a $3 billion capital works programme over the next decade.
IAWAI’s priority for the next six months is to finalise its Water Services Strategy and ensure services continue without disruption. The strategy, a legally-required document, will be released on 3 March for feedback
