Northland to establish new cross-council water organisation

The Team from Whangarei District Council

Water reforms update: We're teaming up with Kaipara District Council and Far North District Council to deliver drinking water and wastewater services in Northland, starting July 2027, through a new Council Controlled Organisation (CCO).

Our General Manager for Waters, Andrew Carvell, says that working together with a CCO offers long-term benefits and the strongest path forward for the Northland region. “The new CCO will help ensure all of Northland can meet the increased compliance requirements under the new Local Water Done Well Central Government legislation, and address growth in the region.”

A major focus for the 'Local Water Done Well' Working Group has been to design a financial model that recognises the different starting points of each council in terms of water assets, debt levels and infrastructure investment needs.

“Councils have agreed to a model that will see financials ring-fenced for each district and have varying water charges to start with,” says Mr Carvell.

“Whangārei District carries comparatively little debt on its water activities, so we are exploring options to transfer debt from Whangarei District Council budgeted activities to the CCO. This would significantly reduce Whangarei District Council’s overall debt levels and ensure that CCO balance sheets are better aligned with the other councils from day one.”

All three councils are now working together to prepare a water services delivery plan, which must be submitted to Central Government by 3 September 2025. Once formed, the CCO will prioritise the critical issues for each district and review its approach to finances and water charges within the first three years.

Media release: www.wdc.govt.nz...