The Local Government (Water Services) Bill sets out a new framework for how water infrastructure is managed and funded in New Zealand, including stronger oversight and new organisational models for service delivery. The Taxpayers’ Union supports the Bill’s direction, particularly its focus on structural separation and improved financial sustainability, while raising targeted concerns where the user-pays principle is at risk.
In our submission, we backed separating water services from councils to improve financing and reduce pressure on ratepayers, and strongly supported transparency through mandatory asset management plans and information disclosure. However, we opposed provisions allowing charges for properties not connected to the network, as this undermines fairness and risks double-charging. We also supported clearer, more precise regulatory settings to ensure the system remains accountable and effective.
This matters because New Zealand faces significant water infrastructure challenges, and getting the framework right is critical. Strong governance, transparency, and fair pricing protect households from unnecessary costs while ensuring long-term investment delivers reliable, sustainable services.