More ‘breathing room’ for Waikato waters planning

Thursday, 3 October 2024

The extension is welcomed by the council, but work is still continuing to find a long term solution for Waikato’s water services.

Waikato District Council’s water services pressure has been eased a little as their contract with Watercare has been extended until 2028.

Originally planned to be terminated in 2026, Watercare reached an agreement with the council to extend the contract for another two years.

However it doesn’t mean that the council’s other options for waters are off the table.

Watercare acting chief executive Jamie Sinclair said that Watercare is pleased with the extension of the contract, as it will provide more security for both the council and Waikato Watercare staff.

“This extension of time gives Waikato District Council a bit of breathing room while it firms up what the district’s future water services look like under the Government’s Local Water Done Well policy,” Sinclair said.

“We are happy to support the council as it works towards its desired outcome under the water reform.

Watercare informed the council of its termination of the contract in March this year.

“Confirming our contractual arrangements until June 2028 also provides welcome certainty to our staff, who do an outstanding job providing water, wastewater and stormwater services in the Waikato district.”

The new waters legislation from central government, which is being released in stages, encourages councils to work together, potentially forming larger regional enterprises to achieve better economies of scale.

The new legislation requires councils to submit a plan by September 2025, with a 2028 deadline for implementation.

Waikato District Council chief executive Gavin Ion said that while the contract extension takes some pressure off, council is still keeping all of its options open, and retains the right to exit the contract if another option comes up.

“Waikato District Council is underway with development of a Water Services Delivery Plan, which will outline how we will provide effective and affordable water operations for our district in future.”

“Council is exploring the structure of the new water services model, with three options on the table to investigate further.”

The council has been considering several options for their three water services after the end of contract with Watercare was first announced.

The three options are a standalone Waikato District council controlled organisation (CCO), a shared CCO with Hamilton City Council, or a commitment to Waikato Waters Done Well, a joint water entity for ten Waikato councils.