Whanganui mayor Andrew Tripe says the health of the Whanganui River will guide council choices. Photo / NZME
Whanganui mayor Andrew Tripe says the health of the Whanganui River will guide council choices. Photo / NZME
A two-council water services entity for 25,000 connections is one step closer, with the Department of Internal Affairs approving a plan from Whanganui and Ruapehu District councils.
All councils had to submit a water services delivery plan (WSDP) by September 3 as part of the Government’s Local Water Done Welllegislation.
In his letter to Ruapehu and Whanganui council chief executives Clive Manley and Barbara McKerrow, local government secretary Paul James said he expected the councils to continue exploring options such as price harmonisation and potentially joining other councils for water delivery.
“The department is available to assist with these discussions and support the investigation of further grouping options.
“I would like to acknowledge the level of detail and time that Whanganui and Ruapehu District councils have put into developing this plan.”
A joint statement from the councils said water assets would be retained in public ownership, and the new council-controlled organisation (CCO) was planned to be operational by July 2027.
“Until then, Ruapehu and Whanganui will continue to manage their own water services.”
In a statement, Whanganui mayor Andrew Tripe said the Government’s decision “gives us the certainty to move ahead together.
“We’ve chosen a model that balances keeping decision-making as local as possible within our shared catchment and providing benefits of greater scale while at the same time reflecting the values of Te Awa Tupua (2017 Whanganui River legislation).”
He said it was important to both councils that the health of the Whanganui River and the wellbeing of communities guided their choices.
James’ letter said a pricing strategy for the new CCO and the impact on projected water services charges for Ruapehu would be monitored by the Government during the implementation of the WSDP.
More than 75% of 222 public submissions on Whanganui’s delivery of storm, waste and drinking water preferred the council retaining an in-house business model - the status quo.
In July, Whanganui (8-5) and Ruapehu councillors (6-4) voted in favour of joining together.
Ruapehu mayor Weston Kirton’s last-minute bid in August to revisit the decision was rejected 7-3.
At the time, Kirton said a larger partnership with Horowhenua, Rangitīkei, Palmerston North and Whanganui councils would save Ruapehu water users $3.5 million to $5.4m a year.
He told the Chronicle this week that Ruapehu had “an issue with affordability and we’ve made that quite clear”.
“We have an obligation, and I do too, to carry on with the resolution that the council has got to go with the two (council) option, and collaborate as much as possible.
“Having said all of that, we need to keep options open for the future.
“There are things to consider when we come to negotiations.”
Whanganui District Council three waters transition manager Kathryn Stewart said the next steps in the process included bringing together elected members from both councils with iwi and hapū “to discuss the vision and values we all have”.
“Those discussions will enable us to work up the foundational documents – the constitution and shareholders agreement – for approval by councils, and from there recruit the board and chief executive," she said.
Kirton said the Government would not force price harmonisation, but that did not mean an end to discussions.
“The immediate focus is on delivering our commitment to work together and build a WS-CCO based on Te Awa Tupua values.
“That will put us in a strong position to ensure that any potential future larger entity continues to balance local voice with the benefits of scale.”
Mike Tweed is a multimedia journalist at the Whanganui Chronicle. Since starting in March 2020, he has dabbled in everything from sport to music. At present his focus is local government, primarily Whanganui District Council.