The Department of Internal Affairs has approved Invercargill City Council’s bid to keep its water services delivery in-house.
Significant reform of water service delivery models throughout the country was underway, as a result of the Government’s new Water Services legislation. The legislative changes were introduced in a bid to ensure water services were both financially sustainable and effectively managed into the future. Authorities were required to submit their plans to the Department of Internal Affairs for approval.
Council Chief Executive Michael Day said it was immensely pleasing to have received the Department’s endorsement for Invercargill’s plans.
“Water services delivery will impact every single person within our community – not just today, but for generations to come,” he said.
“We are really pleased that the Department of Internal Affairs has considered our proposal to operate an in-house delivery model favourably, and has backed our plans as being practical and fit-for-purpose. Our proposal clearly reflected a deep analysis of service delivery models and alignment with the legislative requirements, and outlined an effective, resilient, and fiscally-sound service that balances practicality with local decision-making.”
Council Group Manager Infrastructure Erin Moogan said the reforms included a raft of legislative changes to how water services were managed, including transitioning to operate similarly to independent utility businesses.
Territorial authorities had spent the past 18 months analysing various delivery models and undertaking consultation with their communities, she said.
Following consultation with the community earlier this year, Council voted its preference was to establish a Council Operated Enhanced Service, to retain its Three Waters services in-house.
The issue attracted significant feedback from the community during public consultation, with 188 of 495 submissions in total providing some comment on the issue. Three-quarters of submitters on the future of water delivery services agreed with Council’s preferred option, to establish a Council Operated Enhanced Service, Moogan said.
“The Department’s approval is a huge win for the people of Invercargill and Bluff, and we look forward to transitioning to our new water services delivery model that will meet our community’s needs into the future,” Moogan said.
From 1 July, 2027, Council will deliver its drinking water, wastewater and stormwater services under the new framework.
The next stage of work would include appointing key leadership positions, developing an Organisational Transition Plan, and establishing systems to treat water services delivery in a similar manner to Council’s existing Council Controlled Organisations (CCOs), Moogan said.
