The new mayors of the country's two biggest cities are combining forces to fight Three Waters with their own plans.
Auckland mayor Wayne Brown and Christchurch mayor Phil Mauger say the key government plank has failed at achieving political consensus.
Their alternative plan is already being backed by Waimakariri mayor Dan Gordon.
The mayors are hoping more leaders will join.
"It is time for the old divisive argument to end, and for a new constructive conversation to begin, to achieve consensus across Aotearoa New Zealand," the three mayors said.
The mayors say there needs to be a stop to the "ugly and angry Three Waters debate", which they say is dividing the country.
Their own plans call for keeping parts of the government plan.
Auckland’s Wayne Brown and his counterparts in Christchurch and Waimakariri are proposing an alternative plan for water. (Source: 1News)
It includes keeping the new water regulator, Taumata Arowai, but maintaining local "ownership, control and accountability" of infrastructure.
The mayors say the recent local elections show the government's current plans "could never secure the necessary wide public support to be sustainable policy".
"If two Cantabrians and an Aucklander can agree on this new starting point, we think everyone else should at least be prepared to give it a decent look," Mauger said.
Prime Minister Jacinda Ardern has said previously that without Three Waters, Aucklanders could see their rates bills go up 7-14%.
Today, Nanaia Mahuta said she was pleased the mayors saw the current state of NZ's water assets was untenable. She would consider what they had raised and was keen for dialogue to continue.
"Fierce debate, but common ground"
The mayors say the debate around Three Waters has been divisive and fierce, but some common ground has been found.
Their plan includes the following:
- Support and endorse the new water regulator, Taumata Arowai.
- Support the local ownership and control of water treatment and reticulation to ensure local accountability.
- Ownership and management of storm water assets should be retained by local councils to ensure clear management alongside transport and drainage assets.
- Encourage local government entities to consolidate, where sensible, into Regional Water Organisations (RWOs) which would be unable to be sold outside local authority ownership.
- Affordable finance should be provided to qualifying Three Waters asset owners to ensure high quality investment in these assets to provide a higher standard of water treatment.
Auckland's Wayne Brown, Christchurch's Phil Mauger and Dan Gordon of Waimakariri say the key Government plan has failed at achieving political consensus. (Source: 1News)
Investment plans
The mayors say finance that is affordable and well-structured will mean better investment in water assets.
- A new water infrastructure Fund (WIF) to be established by Crown Infrastructure Partners.
- Will provide high quality access to equity and investment in new water treatment assets for large councils or RWOs. The WIF will be the primary provider of long term investment / funding in water and wastewater assets for councils and RWOs. It will have access to debt markets.
- The WIF will operate on commercial lines but only able to be subscribed for equity by the NZ Government, ACC, NZ Superfund or iwi, who will be attracted by the inter-generational nature of the investments.
- The WIF could enter financing structures with councils and RWOs for schemes in excess of an agreed threshold.
- Would act like the LGFA and manage debt and financial arrangements. Could hold debt off the council balance sheets.
- Would ensure compliance with green investment principles. They can access international bond markets but will ensure NZ ownership of assets.
The plan says the regional water organisations (RWOs) will be owned and governed by councils that built the assets.
Watercare in Auckland would operate as an RWO.
The plan says the Three Waters' idea of four water entities is based on unsound analysis.
"There are no meaningful economies of scale from large entities distant from the communities they serve.
"We believe the communities can decide what makes sense for their regions," the plan says.
Asset owners would also have to engage with mana whenua.
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