Significant community support for a council-operated enhanced water services delivery model means Invercargill is likely to still go it alone.

While Gore, Clutha, Central Otago and Waitaki District councils were all consulting their communities on a joint Council-Controlled Organisation (CCO) for the Government’s Local Water Done Well (previously Three Waters), Mayor Nobby Clark has always maintained Invercargill was strong enough to keep services in house.

The Invercargill City Council went out to public consultation already, through its Annual Plan, with 188 submissions received across three options, and 75% were in favour of the council-operated model.

Group manager infrastructure Erin Moogan told the Infrastructure and Projects Committee meeting today, that as part of the enhanced water services model, they would need to bring in an independent Three Waters specialist onto council to advise on decisions going forward.

But she emphasised that decisions would still come back to the committee and onto council for final decision making.

The new Local Water Done Well legislation would come into effect in July 2025, and councils have to submit their water services delivery plan to the Department of Internal Affairs by September.

An in-house business unit would have no set up costs and increase water rates by $149/year.

An Invercargill City Council CCO would cost $3.9 million to set up and $5.2 million a year to run, with water rates increasing $169.

The third option of a Southland Water Services Entity was even more expensive - $7.9 million to set up and $9 million a year to run.

Mayor Clark said they also had the option of joining with another CCO at a later date if they wanted to, such as Christchurch.

“A lot of the savings in any of these models, and certainly ours, is the ability to have shared services with others,” he said mentioning that Dunedin and Christchurch had already agreed to do that.

“It would be to our advantage to get into bed with them.”

90 Seconds+ with Invercargill City Mayor Nobby Clark - Your Annual Plan Feedback
Mayor Nobby Clark returns to discuss public feedback on Invercargill’s Annual Plan. With over 500 submissions, residents agree on the need for budget cuts — but many oppose reducing support for ILT stadium Southland and community wellbeing funding. He also weighs in on the potential council amalgamation across Southland, suggesting
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