Finally, our city and region are having a serious discussion about water infrastructure, or in some cases, the lack of it.
Leonard Gardner
It’s a discussion Hamilton, Waikato and Waipā councils have tried to have before. In 2016, they put a proposal on the table to form a combined water company, aimed at addressing critical issues of growth.
The proposal failed because of a lack of political will. Nearly a decade on, despite massive waters investment in the city, our three waters challenge has only got harder.
Nationally and locally, politicians have finally called time. Successive governments have now accepted New Zealand has a massive water infrastructure problem. They’re forcing councils to come up with new models to provide water services in the future, that ratepayers can actually afford.
HCC and Waikato District Council are proposing to form a joint water company – a Council Controlled Operation – to build, maintain and operate three waters infrastructure across council boundaries. The CCO would be governed by independent directors, with the specialist skills needed to govern a company charged with investing multi-million dollars of public money in critical public infrastructure.
Hamilton City Council. Photo: Mary Anne Gill
As a developer in Hamilton, bring it on. I’ll always be a passionate advocate for the city, but I’m frustrated. We need a step change in the way we manage waters if we are to succeed (not just in Hamilton). The status quo is failing us.
More than anything, we need certainty. Developers need to know that, if we invest here, the waters infrastructure will be in place in time to support that investment. You cannot build residential or commercial development when you cannot plug in water. Currently we must spend thousands of dollars on consultants to check there is enough capacity. We shouldn’t have to.
Developing is already a high-risk game and not having the right infrastructure in place, because the city or district can’t afford to fund it, amplifies those risks even further.
An aerial view of Building E and behind it Rabobank, part of the Union Square development by Fosters in Hamilton. Photo: Supplied.
It is appealing to know we could be dealing with a specialist water company that has a clear mandate in place, and the scale it needs, to get on and do what needs to be done, faster.
As long as there is still accountability back to the public, I’d welcome not having to navigate an endless cycle of Annual Plans and Long-Term Plans. I’d also welcome a financial model, available to a CCO, which allows costs to be spread more fairly across generations. Right now, today’s ratepayers and developers are carrying too big a share of the burden.
I work closely with council staff and know many are frustrated and want change. A bigger company, with greater purchasing power and balance sheet capacity could change the game for the city, district and eventually the region.
It’s good to see elected councillors coming out strongly in support of what could be the key to unlocking sustainable, responsible growth. Let’s hope they follow through.
- Leonard Gardner is a major shareholder and director of Fosters’
Fosters is converting the old Hamilton Hotel into a state-of-the-art Waikato Regional Theatre in central Hamilton.
Hamilton City
