Tasman Goes In-House For Local Water Done Well Implementation

Tasman's future management of drinking water, wastewater, and stormwater services has taken a step forward, with Tasman District Council unanimously opting for an in-house business unit structure to implement requirements of the Government's Local Water Done Well programme.
This unit would be managed separately from other Council operations in a ringfenced capacity. While still part of the Council, it would be independently monitored to ensure high environmental and customer standards, as set by Taumata Arowai.
The Council has also agreed in principle to establish an internal advisory committee with the option of external members to help provide operational oversight of three waters activities and provide advice to the Council.
A report will be provided to the Council that includes options for membership, terms of reference and associated costs.
Further to this, the Mayor and Councillors have expressed a desire for staff to continue discussions with other councils regarding options for greater alignment of services, information and procurement to increase efficiency savings across the Council's water, wastewater and stormwater functions.
Local Water Done Well is intended to ensure people pay cost-reflective prices for water services, that those services are delivered to an acceptable quality, and that water services providers are investing sufficiently in infrastructure.
The Council was obliged to consider and consult on new water service delivery options as part of the LWDW programme.
On 27 March 2025, the Council confirmed public consultation on three options for future governance and management of Water, Wastewater and Stormwater.
We received 16 submissions during the public consultation period between 22 April - 23 May 2025
Two options involving setting up a Water Council Controlled Organisation (CCO), each governed by an independent board, were also considered alongside the in-house proposal.
Other governance options – such as trust models like those used in the electricity sector – have been considered by Council but are not being pursued.
In the short to medium term, all options deliver similar financial outcomes. The structure and scope of the new business unit is yet to be finalized.
However, it was acknowledged that an in-house unit operating within its agreed parameters allowed better opportunities for community involvement, as opposed to a CCO.
The next steps in the process require a Water Service Delivery Plan to be completed and submitted to Department of Internal Affairs by 3 September, 2025.
The WSDP will then be shared with the Commerce Commission, with a view towards the Water Service Delivery Plan being approved and ready for implementation by November 2025.
It is intended that the internal business unit will formally function from 1 July 2027 to align with the next Long-Term Plan in 2027/2037.

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