Urgent water infrastructure reform needed - report

File image/SunLive.

New analysis of New Zealand's drinking water, wastewater and stormwater infrastructure provides a clear picture of the urgent problems faced.

The Department of Internal Affairs released a series of reports today, which look at the need for reform and addresses some of the key issues raised during consultations with the sector.

Water New Zealand chief executive Gillian Blythe says New Zealanders have made it clear that safe drinking water and healthy environmental outcomes are a priority, but there will be a need to achieve this in the most affordable and effective way.

The latest Water Industry Commission for Scotland report, estimates that between $120 billion and $185 billion needs to be invested over the next 30 years to comply with quality standards.

Blythe says there has been significant under investment in water infrastructure for many years.

Local Government Minister Nanaia Mahuta says, 'It is clear the affordability challenges facing our water infrastructure are too great for councils alone.”

'This research underscores the overall benefits of reform reducing future costs on households, creating new jobs and contributing to regional economies and local industry – all of which build on our economic recovery.”

'The reports also highlight how the national water infrastructure reforms, would create an extra 5900 – 9300 jobs countrywide between 2022 and 2051,” says Mahuta.

Blythe says, 'However, councils and utilities are already finding it difficult to fill current vacancies. This has been recognised for some time. For instance, Water New Zealand's latest National Performance Review revealed an eight percent vacancy rate across the country in 2019/2020.

'That is why Water New Zealand has begun working with Connexis, Taumata Arowai and the Department of Internal Affairs on a long-term strategy to develop a workforce today to meet the needs of tomorrow.”

Two further reports by Farrierswier and Beca provide assurance of the WICS approach and its relevance for New Zealand, says Mahuta.

The Government is working alongside local government and iwi on a proposal to combine the country's 67 council-owned and managed water service providers into a small number of publicly owned providers.

'Together, the reports confirm the need for major reform to upgrade and maintain our water infrastructure, protect our environment, and avoid unaffordable increases to household bills.”

National's Local Government spokesperson Christopher Luxon says, while the problems and case for change when it comes to our three waters is clear the plan to create four to five water entities is 'already fraught with serious risks”.

'What we've heard from mayors is that they lack information; they're not convinced amalgamation will be positive; they believe amalgamation relies on dubious scale benefits; and they have a ‘high degree of uncertainty about outcomes'," he says.

'Any change will be impossible if councils and communities aren't taken on the journey.

'It's vital that these reforms remain voluntary for councils, and that councils and mayors are engaged with and kept informed by the Minister," says Luxon.

According to the report without reform average household bills in 2051 are forecast to range from $1900 to $13,900. Under reform proposals with five providers those figures range from $800 to $180, with three providers the range is $800 to $1600.

Mahuta says, 'Our plan means the required upgrade of infrastructure for our most precious natural resource will be much more affordable for New Zealanders than continuing on the current path.”

'The case for reform is boosted by an economic impact report also released today. Produced by Deloitte, it shows this mahi will provide for more jobs for people, opportunities for businesses and a net increase in GDP by $14 billion to $23 billion over 30 years.''

Cabinet decisions on the way forward for the reforms will be announced in the coming months.

You may also like....

9 comments

How dare

Posted on 02-06-2021 23:04 | By Let's get real

Water New Zealand chief executive Gillian Blythe suggest that drinking water is more important than cycle lanes... We've spent hundreds of millions around the country to satisfy the demands of a few planet savers. How can we possibly meet our responsibilities to save 0.18% of global emissions if we're going to have to supply clean water and dig up all of our roads to do so. Bring on the electric construction equipment...


It just so happens...

Posted on 02-06-2021 23:38 | By morepork

... that for a mere $45 million (the cost of unwanted modifications to Cameron Road), we could have a modern desalinization plant that would provide 25% of the total water requirements for Tauranga and ensure that we would never be short of clean drinking water, no matter what the state of the streams and rivers. We live next to an ocean. A virtually inexhaustible supply of water. But no one will even consider such an option because there is no vision for anything that is radical or innovative, in our City Administration. These plants are successful all over the world, but that means nothing to dyed in the wool administrators, with tunnel vision.


That's a hard pass on radical

Posted on 03-06-2021 12:18 | By Informed

We want proven delivery, not radical ideas. Plus you can't spend transport funding from NZTA on a waters project. And since Tauranga already has a new treatment plant being built, why would we throw all that away.


@Informed

Posted on 03-06-2021 13:09 | By morepork

"We want proven delivery, not radical ideas." That is exactly my point. Thank you. I take it you will be standing in the next TCC elections...?


@informed

Posted on 03-06-2021 14:01 | By Let's get real

Reading the national press, it would appear that the wonderful Nania has been given the responsibility to find the $185 Billion cost of remediation. If you're hobby doesn't get the funding from central government, it's not there to be taken away. This government might well decide to underfund essential services for a few more years though. Don't call for help if you fall off your bike.


Labour

Posted on 03-06-2021 15:32 | By Slim Shady

Centralised Health. Centralised Water. Building the machine bit by bit. The Central Committee is very busy.


@lets get real

Posted on 03-06-2021 15:41 | By Informed

Maybe go back and read what's actually happening in the three ways space. Large parts of NZ have failed or failing water infrastructure. Over the last couple of years this had lead to a number of communities hit by outbreaks in their drinking water and failed pipes etc. What the minister has commissioned is a report to understand how best to resolve these issues with the structure and funding of three waters. The means for the first time we understand our options and how much it might cost. Sounds like good practical steps that you would expect of any department or company. I'm sure you would agree, we can be like the US where cities can't drink their own water?


Tom Ranger

Posted on 03-06-2021 18:14 | By Tom Ranger

Let's get real. Or get hit by a Lime.


Unbelievable

Posted on 04-06-2021 06:49 | By beefhooked

Who comes up with these figures? "According to the report without reform average household bills in 2051 are forecast to range from $1900 to $13,900". What a load of bollocks.


Leave a Comment


You must be logged in to make a comment.