The trial has been funded by Waikato District Council within existing budgets.
The Government has set a five-year transition for councils to move away from property value-based charging for water. Waikato District Council is already ahead of the curve, with residential water metering in place. This pilot is about making sure our systems remain fit-for-purpose, efficient, and able to support sustainable water use for our communities.
An asset-owning CCO would own all of the water and wastewater assets that are currently owned by the Council. This would give the CCO greater power (and responsibility) to manage the operation, maintenance and regular replacement of network components that have worn out over time. An asset-owning CCO would also be responsible for setting fair charges for the services that they provide, and in the case of water and wastewater, this will be subject to checking by the NZ Commerce Commission.
There is no new government funding available to assist us with the Local Water Done Well changes, but we are able to use some remaining funds from the previous water reforms process.
However, one new factor is that the Local Government Funding Agency (LGFA) will now be able to lend significantly more money to new Water CCOs, and this might help us to spread the debt for new projects over longer timeframes.
We can change operations over to the new model whenever we like. The government requirement is that our model is financially sustainable by September 2028.
Stormwater is categorised differently from drinking water and wastewater. This is largely because stormwater can't be charged volumetrically, so it's harder to set a user charge rather than a rate.
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Last updated 29 August 2025, 01:16 pm
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