A water plan for North Canterbury has been given the green light. 

The Department of Internal Affairs has signed off on a proposal by the Hurunui and Kaikōura district councils to form a joint water services council controlled organisation (CCO). 

Kaikōura District Council chief executive Will Doughty said he was pleased the plan was among the first 10 water services delivery plans to be approved. 

‘‘To get it approved is really great. There was a fair bit of work to get a plan together which met the legislative requirements, so it is pleasing to know the Government has some confidence in what we’ve put forward.’’ 

The two councils agreed to form a joint CCO earlier this year, after considering different options alongside the Waimakariri District Council, which has formed an in-house water services business unit.

Mr Doughty said there will be cost increases for Kaikōura households due to economic regulation, ensuring water services are sustainable and funding depreciation, which Kaikōura was not doing. 

‘‘We have combined with the (depreciation) model used by Hurunui to try and smooth the impact, but there will be no getting away from the cost of water going up.’’ 

Hurunui District Council chief executive Hamish Dobbie said the work now begins the implement the plan, including writing a constitution and forming a board of directors. 

He said the two councils will hold a joint hui after the election, ‘‘so we can sit down and make sure they are comfortable with what we are doing’’. 

The new CCO needs to be up and running by July 1 next year and will be responsible for supplying water services to more than 11,000 connections or properties across the two districts. 

But Mr Dobbie said the new CCO could always do with more scale and the door remains open to Waimakariri and other councils to join. 

‘‘One of the issues for us is scale, as we are still not big. You get more advantage if you get bigger. 

‘‘We have always worked closely with Waimakariri and we will continue to investigate opportunities to work together.’’ 

In the meantime, it is business as usual, with the two councils continuing to provide drinking water, stormwater and wastewater services. 

‘‘If people turn on their taps they can still expect safe, reliable drinking water 24/7,’’ Mr Dobbie said.

The water services delivery plan outlines how both councils will work together to deliver water services for their communities under a dedicated CCO. 

It sets out the investment required over the next 10 years to meet service levels, regulatory standards, and growth needs, and how this will be funded. 

Councils will have until June 30, 2028, to demonstrate they are financially sustainable. 

-LDR is local body journalism co-funded by RNZ and NZ On Air.

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