This page currently provides information on LWDW, but will progress into a consultation page for you to provide feedback.

What 's Local Water Done Well (LWDW)?

LWDW is a new system of government oversight, regulation, and requirements for water services.

The core expectations and legislative requirements of the LWDW Policy are that:

• Councils will develop a 'water services delivery plan' to transition to a new water services delivery model that can meet regulatory requirements by August 2025.
• There will be increased regulation in relation to water quality and infrastructure investment.
• Financial sustainability of a water service delivery model is required, based on sufficient revenue, ringfencing to fund investment and funding for growth.

LWDW demonstrates the importance of local decision making for communities and provides councils with a framework to determine how their water services will be delivered in the future.

What's happened so far?

LWDW is being implemented in three legislative stages:

1. The Water Services Acts Repeal Act became law in February 2024. It repealed the previous Government’s water services legislation and restored continued council ownership and control of water services.
2. The Local Government (Water Services Preliminary Arrangements) Act was enacted on 2 September 2024. It establishes the Local Water Done Well framework and the preliminary arrangements for the new water services system. The Act requires that all Councils submit their Water Services Delivery Plan by 3 September 2025 and give effect to the approved Plan.
3. The third piece of legislation (the Local Government Water Services Bill) is expected to be introduced in December 2024 and enacted mid-2025. It will establish the enduring settings for the new water system including the economic and regulatory oversight functions. This will enable choice around optimal water service delivery structure, method, and funding arrangements.

The combined legislation will set minimum requirements for service delivery models that include:

• New economic environmental and water quality regulations.
• A new planning and accountability framework.
• Financial sustainability objectives.
• New statutory objectives consistent for all water providers.
• Restrictions against privatisation.

What is Council doing?

Council is required under the legislation to consider options and determine a preferred water service delivery model. Options include:

• An internal business unit or division
• A single council-controlled organization (CCO)
• A joint CCO (including or excluding stormwater)
• A mixed council/consumer trust-owned organisation
• A consumer trust-owned organisation

6 November 2024

Council decided to continue to work towards a joint arrangement delivery model for water services together with other councils in the Wellington region.

Investment coordination is considered particularly important for the connected metro water networks of Upper Hutt, Hutt City, Wellington, and Porirua, where water supply and wastewater treatment are shared across boundaries.

If a CCO is established, Council would become a shareholder of that organisation. This would necessitate the revenues, assets and expenses and debt for water services being separated or ringfenced from other Council services. The entity would operate separately and collect revenue directly from connected and serviceable properties.

Regardless of the service delivery model chosen, all local government water services providers will have to meet clear minimum requirements set out in legislation, which includes meeting regulatory standards and financial sustainability requirements. There will be additional requirements for water organisations to ensure they are operated and governed effectively.

11 December 2024

Councillors voted unanimously to consult with the community on options for water delivery services as part of the Government’s Local Water Done Well (LWDW) legislation.

Elected members approved options for a new regional water services council-controlled organisation (WSCCO).

The WSCCO would be in partnership with Wellington City, Hutt City, Porirua City, and Greater Wellington Regional (GWRC) councils.

The other option is to continue with existing arrangements where Council-owned water assets and services are contracted out.

While a regional CCO is Council’s preferred choice, community consultation on the options is expected to begin in March 2025 in conjunction with the Annual Plan consultation.

Meanwhile, Council will continue to explore whether stormwater services and assets require a different approach and potential options for delivering this.

Under LWDW, the responsibility for stormwater management must stay with councils, regardless of where or how the service is delivered.

Following consultation, all councils will be required to submit a Water Services Delivery Plan (WSDP) to the Department of Internal Affairs (DIA) for approval by September 2025.

The WSDP will show how water services will be delivered and meet the new water quality and infrastructure standards. A key legislated requirement is for the plan to be financially sustainable.

More information

For further Government information on LWDW click here.

For more background information on LWDW click here.

Media release: Regional CCO preferred option for water services