Source: Radio New Zealand
Local Government Minister Simon Watts. RNZ / Samuel Rillstone
Spending on water services will be nearly $9 billion higher under the Local Water Done Well model than councils previously estimated.
Councils had to submit water service plans to show how they would organise water services in a financially sustainable way as part of the reforms.
In a statement, Local Government Minister Simon Watts said all plans had now been signed off, with 44 councils handing over to a separate company and 23 keeping services in house.
“These numbers mean that 76 percent of New Zealand’s population will have water services delivered through a CCO model. This collaboration between councils offers significant assistance in addressing affordability challenges.”
He said the total cost estimate from the plans was nearly $9b higher than under the councils’ earlier long-term plans, which were not required to ensure capital investment was sufficient to achieve compliance.
“The $47.9 billion total estimated investment across all plans shows councils recognise that after decades of under-investment, water projects can’t wait any longer,” he said.
“We need to fix the pipes, and we must address an unacceptable level of non-compliance, but we must also future proof for a growing population. It’s important to strike the right balance.”
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
