Ageing and underfunded: $1.3 billion needed to future-proof Lower Hutt's water infrastructure

Wednesday, 23 September 2020

Up to 100 litres of contaminated water per second gushed into Wellington Harbour after a wastewater tunnel collapsed in Willis St in December 2019.

Years of underfunding means Lower Hutt will need to dig deep to find $1.3 billion to future-proof its ageing water infrastructure.

With 60 per cent of the city’s three waters assets needing to be replaced over the next 30 years, Hutt city councillors will discuss investment options for the next decade at a Long term/Annual Plan meeting on Thursday.

In August, Wellington Water Limited presented two options to the Hutt City Council. The infrastructure management company’s preferred “mid option” was an investment of $375 million over the next decade. The “low option” of $204m would not keep pace with growth, council officers say.

Lower Hutt needs to spend $1.3 billion on water infrastructure over the next 30 years.

Prior to 2013 growth in the city was low, however over the next decade population is expected to grow from 108,700 to 120,000.

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Hutt City mayor Campbell Barry says years of under-investment, ageing infrastructure and significant urban growth means Lower Hutt cannot afford to ignore its water issues.

At a briefing in January, Wellington Water told the council $240 million was needed on capital investment.

The present mid option would require an average rates increase of 6 per cent over the next 10 years and result in a debt peak of $835m, pushing the council’s debt ratio beyond the Local Government Funding Agency’s allowable limit.

Other parts of the Wellington region are also facing big bills to fix and upgrade their water systems. (File photo)

Officers will recommend a modified mid option be developed for consideration.

Mayor Campbell Barry said the drinking, storm and waste water systems had suffered from years of under-investment. Ageing infrastructure and significant urban growth had compounded the issue.

Barry was conscious of the economic uncertainly caused by the Covid-19 pandemic but said water infrastructure was a necessity, not a nice-to-have.

'Wellington Water has told us that the amount we currently invest to maintain and develop Three Waters infrastructure is not sustainable.

“The reality is we need to spend more on our water pipes and associated water infrastructure to avoid large-scale network failure. If we avoid fronting up to this issue now, we put at risk the services people expect and rely on every day.'

Other parts of the Wellington region are also facing big bills to fix and upgrade their water systems.

Earlier this year, Porirua City Council was warned it would cost $2b to bring its water network up to scratch, while Wellington could face a similar sum.

The capital’s pipes have been under the microscope since the end of 2019 following a number of failings and other incidents.

In July Stuff reported Wellington’s pipes had an average age of 51 years, and were being replaced at less than half the rate they were wearing out.