Local Water Done Well

Local Water Done Well (LWDW), is a programme of reforms introduced by the Government in February 2024 that replaced what was known as Three Waters Reform.

The main changes from the previous water reform approach are:

• The Three Waters Reform has been repealed, and the co-governed water service entity model removed.
• Council ownership and control has been reinforced.
• Updated rules for water quality and investment in infrastructure have been set.
• Ensuring water services are financially sustainable is front of mind.

Read the Department of Internal Affairs' information for councils.

The Water Services Preliminary Arrangements Bill (Bill 2) lays out the foundations for the next stage of water reform:

• Councils must develop and submit Water Services Delivery Plans (WSDPs) within 12 months of the bill’s passing.
• Basic "economic regulation" through information disclosure requirements.
• Enabling councils to design the structure, delivery method and funding and financing arrangements for their water services.
• Councils are required to submit a one-off WSDP in mid-2025, by 3 September 2025. We need to consult with our community on the plan, which needs to demonstrate how, whatever model we go with, would achieve financial sustainability by 1 July 2028.

There are several options available for investigation and as part of this journey, we’re looking at options which involve delivering these services by ourselves as well as working with New Plymouth and South Taranaki district councils to consider what joint water services delivery could look like in Taranaki.

Legislation

• The Local Government (Water Services Preliminary Arrangements) Act was enacted on 2 September 2024.
• Bill 3 is expected to arrive in late 2024 to cover a framework for economic regulation and the more detailed powers and duties of water service delivery entities
• For more information on the Act and WSDPs go to Department of Internal Affairs website.

What’s happened to date

At the Policy and Services meeting on 22 October 2024, the committee recommended to proceed with both joint and independent WSDPs. Read the agenda here, the report to Council is on page 63 of the agenda.

Over the following months, elected members were presented with more information on ownership/structure options, governance arrangements, timeframes and delivery costs, and transition planning.

At an Extraordinary meeting on 25 February 2025, Council discussed which of the two WSDPs will be their preferred option for public consultation.

In a 7 to 4 vote a joint WSDP in the form of a regional Water Services Council Controlled Organisation (CCO) was confirmed as the preferred option for public consultation.

It’s important to note that no final decisions have been made on how we will deliver water services in the future. Both delivery options remain on the table until consultation is completed.

Looking ahead

Public consultation will open at the end of April 2025.

Post consultation, elected members will make their final decision on the WSDP to be submitted to central Government. The WSDP needs to be submitted by 3 September 2025 and is subject to approval by the Department of Internal Affairs.

We will update this page as this progresses.