Central Hawke's Bay ratepayers could face a potential $47 dollar rate hike their council signs them up to the Ruataniwha Water Storage Scheme.
Today Central Hawke's Bay District Council (CHBDC) agreed to enter into a water user agreement to take water from the RWSS for urban supply, subject to further due diligence and public consultation.
The CHBDC said it recognised the taking of water from the RWSS is of district wide economic benefit and have decided it will be funded on a Uniform Annual Charge (UAC) basis.
It said the estimated cost to ratepayers will be 90 cents per week or equivalent to a cup of coffee a month.
"We must remember this is subject to further due diligence and public consultation" CHB Mayor Butler says.
"One of the most important roles of Council is to look to the future of our district, how the district will grow and what infrastructure and services do we as council need to have in place to allow for this growth.
"Essential for growth is the availability of sufficient and sustainable urban water".
The CHBDC said that using stored water to supplement urban supply for Waipukurau and Waipawa has significant environmental and ecological benefits for our region, resulting in increased river flows as the towns will no longer be sourcing water from the rivers at times of low flow.
Taking water from RWSS for urban supply will enable new businesses, employment opportunities, bring new residents to CHB and expand the water network.