The Waikato District Council is proposing a new model for managing water services.
The proposal involves creating a Council-Controlled Organisation (CCO) jointly managed by Waikato District Council and Hamilton City, with the possibility other councils might join later.
A CCO is a separate business owned by the councils. In this case, it would be governed by an independent board of directors, appointed by a shareholders’ forum that includes representatives from Hamilton City, Waikato District, and Waikato-Tainui. These directors are chosen for their expertise in areas like finance, infrastructure, legal matters, and more.
The model the Waikato District Council is consulting on is an asset-owning CCO where the CCO owns the plants, pipes and equipment (which must remain in public ownership).
The board will make important decisions about important water infrastructure projects, and each year, the CCO must report on its performance. New government regulations ensure the CCO meets standards for finances, water quality and other measures.
Other councils can join, but no other types of organisations can buy into the CCO, and it can’t be privatised, so water management stays with the councils.
The council says it has had success with CCOs before, like Hamilton Airport and Co-Lab, and has worked well with Hamilton City on various projects. Both councils will have an equal vote in decisions, ensuring fair representation even if more councils join later.
Residents can have their say on water services as part of the Long-Term Plan consultation process in April.
