Labour’s water tax to clean waterways

Water bottling companies and farmers operating irrigation schemes will pay royalties under Labour’s new freshwater policy announced in Auckland yesterday.

Labour leader Jacinda Ardern set out the plan that would ‘‘differentiate’’ water use based on the source, quantity, whether it’s being ‘‘used for export off-shore versus whether or not it’s being used in a domestic commercial sense’’.

But National has hit back at a lack of detail about how much royalty charges would be and who would get the money, saying Labour likely already knew, it just didn’t want to reveal the full extent of its plans before the election.

Ardern said she would ‘‘liken it to the difference between a royalty on gold and gravel’’.

The policy would be flexible around drought or very wet areas but a rate won’t be set until Ardern has an opportunity to consult on the issue, if in government after September 23.

The money raised from the royalties would largely be returned to regional councils and would be used to clean up New Zealand’s waterways.

‘‘Clean water is the birthright of all of us. I want future generations to be able to swim in the local river, just like I did. All our children deserve to inherit swimmable lakes and rivers – and they can, if we commit ourselves as a country to cleaning up our water.’’

Ardern said Labour’s Ready for Work programme would be used to employ young people off the dole and put them to work improving the environment – fencing waterways and riparian planting would be some of the jobs on offer.

To help set the royalty Ardern promised to hold a roundtable discussion on water at Parliament in her first 100 days in office.

‘‘I will not set a rate until I have met with those who will be affected. This is an issue that we must tackle together.

‘‘Labour believes when water is exported for profit, private companies should also pay a royalty.

‘‘Labour will work with iwi to resolve Treaty water claims in a manner that respects iwis’ mana, and restores the mauri of our rivers and lakes,’’ Ardern said.