It is released from the Rangitata diversion race near Mayfield.
The diversion race has a control gate system near the South Hinds. In an emergency, if the radial gates at Klondyke blew out, the water in the races could be caught and released through siphons - and the water is drawn off there into a concrete settling basin before flowing into the stoney bed of the South Hinds riverbed.
Hundreds of native plants have been put in there, and sanctuaries created for lizards.
The community-based governance group is working with Environment Canterbury, Rangitata Diversion Race Management Ltd, Te Runanga o Arowhenua and the Ashburton District Council in the project.
Governance group chairman Peter Lowe said the project ticked many boxes and of all its sites, the one at South Hinds was likely to be the best.
The primary objective of the Hekeao/Hinds River Project is to increase the reliability and flows of the Hinds River to improve ecological and cultural values while also increasing natural recharge to aquifers.
The water will also link with a wetland and it is hoped eels will move into the area.
Another design feature arises out of Te Runanga o Arowhenua's interest and overall benefit in re-establishing native species on the flood plain.
This area is now covered in broom, gorse, blackberry and muehlenbeckia.
The area has been seed-bombed and planted physically and it is hoped to reclaim 24ha of river flat. Seed was sourced from Te Runanga o Arowhenua.
The area is also home to three lizard varieties and existing rock piles have been extended and lizard food varieties planted.
A wetland between the two recharge areas also has the potential for eel and other species.
The governance group has permission to use up to 500 litres a second of Ashburton council water.