Toxic Algae Warning
The future of water services in the Wellington region is at a crossroads. To ensure clean, safe, and sustainable water for generations to come, we are seeking community feedback on two options for reform. Hutt City Council's preferred option is a new multi-council-owned water organisation, which would take ownership of public water assets and services. Hutt, Upper Hutt, Porirua and Wellington City Councils and Greater Wellington Regional Council would own the organisation.
This model allows for better long-term planning, investment, and environmental protection while keeping costs to consumers lower. The alternative is a modified version of the status quo, in which Councils retain asset ownership while Wellington Water Ltd manages services. This may limit future investment, efficiency, sustainability and lead to higher costs to consumers.
Regardless of the chosen approach, water infrastructure will remain publicly owned and managed on behalf of ratepayers.
The following table is also available as a pdf.
| Multi-council-owned water organisation | Modified status quo | |
|---|---|---|
| Ability to borrow to improve services | A higher borrowing capacity, so costs to replace and upgrade infrastructure could be spread over time. | Would require each Council to manage its own debt within existing borrowing limits, which would restrict investment and lead to higher costs for ratepayers. |
| Environmental, social and cultural impacts | A regional approach, allowing for better environmental protection, improved water quality, and Council continues to work with Iwi and communities for the best outcomes. | Keep decision-making with individual Councils, which may lead to inconsistent environmental management and make it harder to achieve long-term social and cultural goals across the region. |
| Impact on household costs | Expected to keep household water costs lower over time, with charges projected to be about a third less than the status quo. | Significantly higher running costs. |
| Transition costs | Would involve upfront costs to set up the new entity, transfer assets, and establish new systems, but is expected to provide long-term savings through better efficiency and investment. | Lower transition costs since it builds on the existing system, but considerable investment is needed to improve systems. Less efficient funding and investment may lead to higher costs over time. |
| Influence over decision making | The board of the new water organisation would be appointed by and accountable to shareholders (the Councils), but financial decisions would ultimately be the responsibility of a governance board. | Individual Councils retain direct control over investment decisions, but this could lead to slower decision-making and less coordinated regional planning. |
| Iwi involvement | For this reform Iwi have been around the table from the start and the new model will continue this practice. | Continue the current approach, where Iwi provide input but have less direct influence over water service management and decision-making. |