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Water retailers up $10 million

Water retailers up $10 million

Auckland’s bulk water and sewage services supplier, Watercare Services Ltd, has agreed to a $10 million price adjustment according to its council-owned governing body.

This will be achieved by a price reduction to its customers until June 30.

Watercare’s customers are retailer providers like Metrowater that, in turn, supply water and wastewater (sewage) services to residents.

Six local authorities collectively own Watercare and the Shareholders’ Representative Group (SRG) was established to represent their interests.

Auckland City Councillor Dr Bruce Hucker is chairperson of the Watercare SRG and today congratulated Watercare’s board and management for the improved efficiencies that have led to the adjustment.

“Tight management has led to a good trading result this year,” Dr Hucker said. “This is good news for shareholding councils and water retailers. I hope this will have a positive flow-on effect for residential customers.”

While the company is announcing a $10 million price adjustment, Dr Hucker says the end result could be even better for its customers. The final amount will be confirmed when retail providers receive the price adjustments at the end of the financial year (June 30 2004).

Watercare Board chairperson Graeme Hawkins has also announced an extension to Watercare’s pricing plan and a reduction in prices. The extension sees the price of bulk water and wastewater services for 2006 and 2007 set at inflation minus three per cent.

This means that from 1 July 2004 until 1 July 2007, bulk water and wastewater prices are likely to decrease if the inflation rate remains at current levels.


Note to editors: Water services provided by Watercare are divided into drinking water (the water which comes into homes and workplaces or is used for fighting fires) and wastewater (also know as sewage - the ‘dirty’ water which leaves homes or workplaces). Watercare supplies water and wastewater (sewage) services to retail providers Metrowater, United Water, Manukau Water, Eco Water, North Shore City and Rodney District Council. These providers, in turn, supply residents. (North Shore City only receives water services from Watercare). Watercare treats about 290,000 cubic metres of wastewater daily. The Shareholders Representative Group (SRG) includes representatives of the six local bodies that own Watercare (the city councils of Auckland, Waitakere, North Shore and Manukau and the district councils of Papakura and Rodney).

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