Local Water Done Well

Content:

What is Local Water Done Well?

Kawerau District Council's position

Water Service Delivery Plan

Water Delivery Model

Planned Investment

Timeline

For more Information 

What is Local Water Done Well? 

Local Water Done Well is the Coalition Government’s plan to address New Zealand’s long-standing water infrastructure challenges. 

Local Water Done Well covers drinking water, wastewater and stormwater. This legislation requires all councils to establish a corporate structure to deliver water services that must be financially sustainable, which includes having enough debt head-room to renew infrastructure.

The Local Water Done Well legislation recognises the importance of local decision-making, outlines the framework for delivery of water services and aims to ensure a strong focus on investing sufficiently, ring-fencing funding for water services and meeting economic, environmental and water quality regulatory requirements.

Kawerau District Council's position

Council received 107 responses from the community consultation held from 11 April - 23 May 2025. Council received 4 responses from the industry and commercial businesses. No responses were received from iwi and hapū. Of the 107 submissions were received, 103 submissions were in support of the in-house business unit delivery model, two submissions supported the multi-council owned company, and two submissions did not state a preference.  
Following this consultation, Council adopted the in-house business unit water service delivery model as the preferred delivery model. Council also resolved to continue to explore collaboration options and opportunities with Rotorua Lakes Council, Whakatāne District Council and Ōpōtiki District Council. 

Water Service Delivery Plan

The Water Service Delivery Plan sets out the intended service delivery models and associated investment requirements: Drinking Water, Wastewater and Stormwater services will be delivered in-house by the Council. The plan assesses the current state of waters infrastructure, existing service areas, regulatory compliance, and identifies future investment needed to support growth and service improvements.

It includes a long-term, strategic approach to funding and infrastructure planning, ensuring financial sustainability, asset resilience, and service continuity. The WSDP reflects Council’s commitment to long-term planning, environmental stewardship, and continuous improvement in the delivery of these essential services. 

Read our Water Services Delivery Plan 

Water Services delivery model

Under Local Water Done Well legislation, councils decide on the delivery model, choosing from the five options that are available or developing their own. The five options suggested by the Department of Internal Affairs which is working with territorial authorities (councils) to enact the government legislation comprise:

  1. Internal (in-house) business unit
  2. Single-Council Controlled Organisation (CCO)
  3. Multi-Council Controlled Organisation (CCO)
  4. Council and Consumer Owned Organisation
  5. Consumer trust

Overview of water services delivery models - Department of Internal Affairs >>

For more information on water services delivery system >> 

Planned investment

Council plans to invest in replacing water services infrastructure as the assets reach their end of life. The replacement/renewal projects for water services for the period 2025 to 2034 are as follows:

Additional investment of $2.3 million is planned for the Stoneham Park Development.

The main investment programs for drinking water is the ongoing reticulation replacement of all steel and AC pipes ($9.4 million remaining from the $16 million program) and replacing valves and treatment plant components. A Manganese removal plant is planned to be installed in 2026. A total of $0.44 million of drinking water reticulation is planned to be installed in the Stoneham Park development. A total of $13.5 million is planned to be invested in drinking water assets up to 2033/34.

Wastewater investment is primarily reticulation replacements estimated at $12.3 million and treatment plant component replacements of $2.5 million. A total of $0,74 million of wastewater reticulation is planned to be installed in the Stoneham Park development. A total of $15.0 million is planned to be invested in the wastewater network.

Stormwater pipes in the high geothermal degradation areas were relined between 2019 and 2023. The stormwater network is being evaluated by Council staff and investment is delayed due to slower degradation than expected. A total of $1.05 million of stormwater reticulation is planned to be installed in the Stoneham Park development.

In total Council plans to invest approximately $30 million in water services assets. 

Timeline

2027 Onwards

  • 1 July 2028- The in-house business unit will operate as a structurally separate business unit with its own Annual and Long Term Plans, its own strategies, management plans, and supporting policies, and its own finance structure. The in-house business unit will pay other Council departments and business units for support and management services via an overhead allocation to Council. 
  • 30 June 2027- Council will adopt a separate Long Term Plan for water services. In the year to 30 June 2027, Council will also adopt a separate Infrastructure Strategy, Asset Management Plan, and any other necessary policy and planning separations. 

2026

  • 1 July 2026- 30 June 2027- Council’s water services will transfer to a structurally separate in house business unit. The in-house business unit will operate separate from, but with the continued support of, Council’s operations and services department, finance and corporate services department, and health and safety department. Water services will continue to contribute to Council overhead funding via water service rates and charges.
  • Until 30 June 2026- Council will continue delivering water services in-house according to existing financial and management systems until 30 June 2026. At the time of writing water services are delivered via Council’s operations and services department.

2025

  • 29 October 2025- Council was formally notifed that the Water Services Delivery Plan has been accepted by DIA.
  • 3 September 2025- Council submitted plans to DIA
  • 27 August 2025- Council adopts Water Service Delivery Plan
  • 18 June 2025- Hearing for submissions
  • 23 May 2025- Local Water Done Well Consultation closes
  • 11 April 2025- Local Water Done Well Consultation opens

2024

  • December 2024 - Local Government (Water Services) Bill introduced to Parliament.
  • September 2024 - Local Government (Water Services Preliminary Arrangements Act 2024) enacted and establishes the Local Water Done Well legislation.
  • September 2024 - Infrastructure and Environment Committee direct officers to develop Water Services Delivery Plan on basis of in-house model, while other options are explored.
  • February 2024 - Repel of previous water services legislation.

For more information about Local Water Done Well: