Council approves in-house water unit while exploring partnership
Published on 28 August 2025
Today our Council approved a Water Services Delivery Plan for submission by the 3 September deadline for government approval, to meet legislative requirements. The plan details how Thames-Coromandel District Council will deliver future water services through an internal water services delivery unit while exploring a joint Water Services Organisation (WSO) with other councils.
On 24 June this year, our Council voted in favour of working with Tauranga City Council (TCC) and Western Bay of Plent District Council (WBOPDC) as partners for a joint WSO. An in-house water services unit was identified as the next viable option that Council considered at that meeting. In the short and medium term, an in-house water services unit is a viable option that meets the legislative requirements. Our debt is relatively low and our assets are in good condition. But over the longer term a joint WSO that includes a metropolitan area can deliver greater efficiencies of scale, particularly in procurement and securing skilled staff.
Our detailed analysis and financial modelling carried out over many months identified a joint WSO as the best long-term option in terms of future affordability for local ratepayers. This modelling clearly demonstrates a saving of $500 per annum per ratepayer by 2034 through progressing with a WSO with TCC and WBOPDC, whose ratepayers would also see savings. Affordability was identified as the number one concern by a clear majority of submitters in our public consultation earlier this year. A joint WSO option was favoured by 51% of submitters and 46% said they preferred an internal water services unit.
In mid-August, TCC voted in favour of forming a WSO with WBOPDC and our Council, with TCDC’s involvement subject to WBOPDC’s approval. However, WBOPDC decided in favour of forming a WSO with Tauranga but not TCDC. Their decision reflects concerns about ongoing Treaty of Waitangi matters involving iwi and hapū local to each area.
Council’s decision today reinforced our willingness to continue to work with TCC and WBOPDC on forming a joint WSO in the future. In support of this direction, Council resolved to request a Crown facilitator through the Minister for Local Government to help find a pathway to navigate the iwi/hapū matters that have been raised. If succesful, then TCDC will look to join TCC and WBOPDC in the development of a joint WSO. If a suitable pathway cannot be identified through a Crown facilitator, TCDC’s fallback position is to proceed with an in-house business unit approach.
If our Council decides to change to a multi-council WSO in the future, the Water Services Delivery Plan (WSDP) can updated and re-submitted by 3 September 2026.
See the report to today’s Council meeting, including the draft WSDP.