Council chooses partnership for future of waters

Published on 24 February 2026

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Today the community was given certainty about the future sustainability, delivery and affordability of Waitaki’s drinking, waste and storm water services.

Waitaki District Mayor and Councillors approved and directed Council officers to develop a Water Services Delivery Plan (WSDP) which joins with the Southern Waters group of Councils, following productive discussions between Southern Waters and Waitaki, Mackenzie and Timaru District Councils.

This decision is supported by work done by Morrison Low consulting, and discussions between all six councils regarding a potential larger joint Council Controlled Organisation (CCO).

Mackenzie and Timaru District Councils will make their decision about the future of their joint services later today, including whether to join with Waitaki and Southern Waters to create a six-council joint CCO.

A six-council joint CCO forecasts the lowest charges per residential connection by 2034, as well as further efficiencies from shared services between a larger number of Councils. It would also secure lower borrowing rates from the Local Government Finance Agency – as a larger entity will have over 61,000 connections, and the second largest population serviced by a Joint CCO in the South Island

Waitaki District Mayor Mel Tavendale said, “From the discussions we’ve had between all six Councils in the last two months, and the clear benefits of a larger organisation in both efficiency and cost savings – choosing a larger entity will deliver the best outcome for Waitaki. I hope we are joined by Mackenzie and Timaru, but ultimately it is for their elected members to decide.

I’d like to thank all five Councils we have worked with in the last few months for their openness to collaboration and cooperation, and note that every single Council wanted the same thing; a sustainable and reliable water network that delivers the best for our communities in the most affordable way”

Deputy Mayor Ryan said, “It’s such a massive call for our community. We have explored the detail properly, we understand this more, we’ve built relationships, we’ve opened up conversations and the genuine six council option has emerged in a meaningful way. This is a leap of faith, but it’s not a blind leap. It makes sense from an affordability and sustainability perspective, and ultimately that is the biggest issue our community is facing”

Cr Frans Schlack said, “The last Waitaki Council’s decision for an in-house delivery unit was the most economical option for the right here and now, but is not sustainable. It would fail in the foreseeable future in terms of water services compliance and charges to Waitaki’s water customers. The establishment of a six-District CCO will be from a consumer and regional economy perspective the most economical long-term water service delivery option for our District.”

Cr Jim Hopkins said “Every elected member at our meetings has heard more than once, a very senior Council official say, to all the elected members in the room – ‘if you form a six council consortium, you will save millions’. The communities in these three Districts voting today need to know that.”

Cr Courtney Linwood spoke in favour, “I’m confident that joining Southern Waters will deliver real benefits for our District. There’s a broader lesson here. The situation is a reminder of what can happen when Councils underinvest in critical infrastructure for short term gain. As elected members we carry a responsibility not just for today, but for the legacy we leave behind. So I’d like this to be a turning point, one where we commit to thinking long-term, investing wisely, and ensuring that future generations inherit a District that’s resilient, sustainable and set up to thrive.”

Cr Dan Lewis spoke, “A message to the community, is times are not as they were. The ability to collaborate and work-in with other Councils of similar sizes is a real strength. During the meetings we have had, it’s about the sense of ease of working with people – it’s a relationship, and you go into them with your head and your heart. Southern Waters are further advanced, and recognise the importance of Rural Water as a fourth water – and I feel for me that sits better. The economies of scale of six councils make the most sense, and I believe we will get there eventually.”

Cr John McCone, “I still think in-house was the best option, but the DIA thought otherwise and I disagree with that decision. Democracy is doubtful in this decision,rather non-negotiable direction given by central government administration. We do not have much time to look for dance partners, we do not have a dance partner, but we must make the decision to go the dance. More partners may come later. On that basis I support going South, given that the structure is already in place and the provincial rural systems are recognised in the way they are.”

Cr Brent Cowles, “This is a foundational decision which will shape how we deliver an essential service for decades. A six-council offers the strongest outcome with the best affordability and the lowest risk, and we are following the evidence for the best long-term outcome for our communities. While local government reform and regional reorganisation are sure to influence how Councils collaborate and with whom in the future, the underlying principle remains the same: partnership and navigating an equitable way forward should be our guiding light.”

Cr Sven Thelning, “A word of warning to ratepayers, and it wouldn’t have mattered even if we’d gone in-house, or whatever option we picked. It’s going to hurt. There’s massive price rises on the horizon, regardless – there’s a lot of work needing done out there, and it’s going to cost – and your elected Council no longer has the ability to kick the can down the road, which is how we’ve got here. We should have better asset management over time, to prevent this happening again.”

Chief Executive Alex Parmley, “There has been historic underinvestment across the country, and that includes this Council. That was well intentioned, to try and keep rates down and keep things affordable, but unfortunately the bill has now arrived and for us that is about a quarter of a billion dollars worth of investment in the next ten years and we need to look at the most affordable way to pay for that and deliver that, because that’s a bill the community will need to pick up over the next few years. In joining a CCO Waitaki will still own its water, through our ownership of the CCO. The Southern Waters set up means Waitaki will not be paying for water and infrastructure in other districts.”

Crown Facilitator Amy Adams said, “The options in front of you are both open to you. They’re also options that meet the regulatory and approval hurdles that you face. Both groupings whether North or South are very eager to have Waitaki join, as it brings ‘considerable heft' and strengthens either collective”

Waitaki District Council will now continue the review of the condition of its water assets, as required by the DIA and will submit its WSDP to be part of a larger joint entity by the deadline of 30 June 2026.

ENDS

media@waitaki.govt.nz