Collis: ‘Devil in the detail and there’s a whole lot of detail’
Mayors in and near Manawatū say new details about proposed reforms to water services still leave issues unresolved.
Local Government Minister Nanaia Mahuta and Infrastructure Minister Grant Robertson spoke yesterday about how the Three Waters reforms would proceed.
The proposed reforms would take control of wastewater, drinking water and stormwater systems out of the hands of councils. Those services would be run by four large entities governed by boards, which would in theory be able to borrow more money at better rates than councils.
Those boards would be elected by regional representation groups, consisting of a 50:50 split between council and mana whenua representatives.
Mahuta said the boards would not be cogoverned but made up of people who have the skills to run the new entities.
A big sticking point for councils was how they would be compensated for assets.
Mahuta said the entities would be owned by councils, at a rate of one share per 50,000 people. She had written to other political parties to support entrenching laws to prevent privatisation.
Tararua mayor Tracey Collis said her district struggled because of its small rating base. The shareholding situation would leave Tararua with a 1/36th share in one entity, she said. ‘‘We have no voice.’’
The Tararua District was a result of amalgamation, when various small councils were merged during the 1989 local government reforms, so it had experience on how difficult it could be, she said.
Given political parties such as National and ACT were committed to repealing the reforms, it was important to remember how difficult it was to unwind something so large as the water entities.
‘‘We are just looking to make sure this is the best way. The devil is in the detail, and there is a lot of detail there.’’
Manawatū mayor Helen Worboys said Friday’s news changed nothing, still leaving councils out of pocket for the millions of dollars worth of assets they had paid for.
Worboys is also the chairperson of Communities 4 Local Democracy, a lobby group representing 32 councils – including the Horowhenua, Manawatū and Tararua district councils – opposed to the Government’s way of reforming water services.
She said everyone accepted water services needed reforming, but the Government was not listening to all parties.
That left the reforms on shaky ground, especially with the prospect of repeal. ‘‘Why keep going down this path?’’ Palmerston North mayor Grant Smith was approached for comment. EDITORIAL