The third and final council has committed to moving forward with a new jointly-owned entity to deliver water services across the south as a deadline for water reforms looms.

At a meeting on Monday (July 14), Gore District Council voted to join, in principle, the Central Otago and Clutha District councils in forming a council-controlled organisation to do the job.

The proposed entity would now be included in Water Services Delivery Plans to be submitted by councils to Wellington at the start of September.

In a statement on Tuesday, Central Otago District mayor Tamah Alley welcomed Gore’s decision, saying it was a testament to the significant amount of work over a relatively short time to ensure elected members and communities had what they needed to make informed decisions.

“We know that together we (councils) are stronger and can deliver better long-term outcomes for our communities,” she said.

“There’s still work to be done, though, to understand what a group of three councils looks like and get a compliant Water Services Delivery Plan submitted by the deadline.”

Gore District mayor Ben Bell said in the statement central government’s Local Water Done Well legislation presented councils nationwide with one of the most important decisions they would make in years.

“The future of water services delivery is intergenerational, and decisions made by councillors today will have a long-term impact on their communities.”

Gore District was facing an estimated $500M in projected infrastructure investment over the next 30 years, an expenditure that the community simply could not afford, the mayor said.

“In this instance, bigger is better in terms of economies of scale and financial sustainability.

“By working with like-minded councils, we can provide a water services delivery model that balances regional efficiency with local accountability,” he said.

The statement noted the three southern councils’ support for the joint Council Controlled Organisation (CCO) was subject to further analysis of the advantages and disadvantages of a three-council model, after Waitaki’s departure from the arrangement, dubbed ‘Southern Water Done Well’.

Earlier last week, in something of a u-turn decision, Waitaki District Council voted to exit the group in favour of an in-house business unit instead.

Local Water Done Well is the coalition government’s plan to address the country’s long-standing water infrastructure challenges.

Minister of Local Government Simon Watts confirmed in a letter to councils there would be no extension to his September 3 deadline for councils to submit their Water Service Delivery Plans.

The council’s respective plans needed to show how they would deliver water services that met new quality and infrastructure standards in a financially sustainable way.