Stratford District Council reaffirms concerns over Three Waters reforms

Stratford District Mayor Neil Volzke says the proposed Three Waters reforms lack clarity. Photo / NZ Herald

The proposed model for Three Waters is lacking clarity and detail and will potentially leave communities such as Stratford out in the cold, says Stratford District Mayor Neil Volzke.

At Tuesday’s council meeting, elected members discussed the council’s proposed submissions on two Bills currently before the Government’s Finance and Expenditure Committee regarding the Three Waters reforms. Councillors had been asked to provide feedback to council staff over January, with Neil and CEO Sven Hanne then putting together a draft submission on the Water Services Economic Efficiency and Consumer Protection Bill and a separate one on the Water Services Legislation Bill.

Sven said he had tried to capture the thoughts and feelings of all elected members who had given their feedback, adding it was made easier by the fact they were all generally on the same page regarding the issues they identified.

“While the ship has perhaps sailed regarding Three Waters going ahead, unless there is a complete change in direction from the Government, we still took the opportunity to reiterate our opposition to the reforms overall.”

Sven said while he, senior staff and elected members were all opposed to the Three Waters reforms in their entirety, it was important they still had their say on the legislation as it moved forward.

Key issues in the current proposals included the payment of rates, he said.

“Under the Bill, the new water services entity would not be liable for rates for any pipes or assets on land they don’t own. This contradicts the message we have been constantly given since the start of these discussions that the entities will be paying their own way.”

Sven said other utility providers such as gas providers were liable for rates on any assets running under or across properties, and there was no reason the new water entities should be treated differently.

Neil said another key issue was centred around a reference in the Water Services Legislation Bill to “transitional charging arrangements”.

According to the Bill, councils could be required to collect charges on behalf of the new water services entities until 2029.

“We don’t want to do it. It’s not in our best interests,” he told elected members, saying it would mean the council would be the one to receive all the enquiries and complaints regarding both the cost of the charges and the service provided.

“It would allow the entities to be faceless, and not have to directly deal with the public.”

Another issue was the proposed consumer forum, which may sound good in theory, but in reality could leave Stratford out in the cold, said Neil.

He said while the Water Services Legislation Bill talked about a consumer forum being set up to represent the needs of consumers, given the proposed Water Services Entities covered a large area, there was a risk smaller communities and districts might not be represented on any such forum.

“The scope is really broad. It is very loosely defined, so we might find ourselves represented by people living in Hamilton with no one local on that forum.”

Councillor Steve Beck asked why they weren’t asking to make an oral submission in support of their written one.

Sven said council staff had considered the option, but it came with a notable cost regarding staff time and travel, and no guarantee they would be selected to speak.

He was also “a little cynical” as to the difference speaking to the submission would make, he said.

“I am cynical about the whole reform,” replied Steve, to laughter from other elected members.

Councillor Grant Boyde praised the work put into the submissions, noting the timeframe for it had been over the holiday season and came at the same time submissions on other Bills had also been called for.

“The timing is just unbelievable. So, great job, thank you and well done to all involved, councillors for sharing their views and Sven for putting it together.”

Elected members voted unanimously to submit both submissions with no changes.

Disclaimer: Editor Ilona Hanne is married to the CEO of Stratford District Council.