Council figures have revealed Hawke's Bay households will face increases to their water costs of over $7000 by 2051 without reform. Photo / Warren Buckland
Council figures have revealed Hawke's Bay households will face increases to their water costs of over $7000 by 2051 without reform. Photo / Warren Buckland
A recent report has revealed that without reform Hawke's Bay households will face increases to water costs of over $7000 by 2051.
Figures provided by Minister for Infrastructure Grant Robertson and Minister of Local Government Nanaia Mahuta show that with Three Waters reform, households in four district councils of Hawke'sBay could expect to pay an annual average of $1260 for water services in 2051.
Without reform, Wairoa households would pay $8690, Central Hawke's Bay $7260, Hastings $4530 and Napier $2540 annually in 2051.
Robertson and Mahuta on Friday morning confirmed most of the recommendations of the Three Waters Governance Working Group have been accepted.
In a joint statement from Hawke's Bay's four regional councils, the Hawke's Bay mayors Craig Little, Kirsten Wise, Sandra Hazlehurst and Alex Walker said it was no surprise to see the Government adopt most of the working group's "underwhelming" recommendations.
"They remain disappointed Government has steadfastly refused to consider Hawke's Bay's own credible proposal for a local alternative that would see responsibility for Three Waters services staying in the Bay and achieving the very outcomes Government wants from reform," the statement said.
The mayors said a Hawke's Bay water service delivery model offers a credible and sustainable solution ensuring local asset ownership, accountability and decision-making.
The statement said the mayors are collectively vowing to make sure the people of Hawke's Bay understand what the changes will mean for them and how they can have a voice as the legislation makes its way through Parliament.
Local councils will now have ownership of the four new water entities through a shareholding structure if the Three Waters reforms go through.
Mahuta announced last year she would force water assets like pipes and reservoirs currently held by 67 different councils into four enormous regional water entities, which the councils would jointly own.
Shares in the four new water entities will now be allocated to councils based on population, with one share per 50,000 people according to the working group recommendation.
In Entity C, which makes up the east coast of the North Island, Wairoa District Council and Central Hawke's Bay District Council will have one share each while Hastings District Council and Napier City Council will have two shares each.
Robertson said issues of ownership and voice were at the heart of councils' concerns.
"By accepting the majority of the recommendations made by the independent Working Group on Representation, including a shareholding plan, we have listened to these concerns and modified our proposals accordingly."
Co-governance on the board of the four water entities has been ruled out by the Minister of Local Government, with board membership based on skill.
The Regional Representative Groups are confirmed to have equal co-governance between mana whenua and councils.
Diagram showing the governance structure of the proposed Three Waters reform. Graphic / Supplied
Mahuta said the working group was tasked with addressing the concerns of the sector and Cabinet had agreed to the majority of recommendations that ensure councils, iwi and communities have a strong voice.
"We are now at a point where the case for change is well made and the policy has been robustly tested and improved. We have listened to concerns and now is time to move forward with these reforms."
Local Government New Zealand President Stuart Crosby said he welcomed the momentum provided by the Government decisions on the working group recommendations.
"LGNZ is encouraged to see the minister support the Working Group's recommendations around making public ownership crystal clear, through a shareholding for councils."
He said most in local government-supported reform, even those opposed to the government's Three Waters model.
"Councils face big future bills for water services given the new regulator, the unknown condition of many pipes and the impact of climate change. Without reform, ratepayers will be hit in the pocket.
"Without reform, many councils will struggle to meet new water standards, which will require significant investment over time."
