Media Release: Tuesday 16 April 2013

Concerns Lodged with Office of Auditor General

Concerns around the inadequacy of information and statutory consultation with respect to the Regional Council’s Ruataniwha dam project have been formally lodged with the Auditor General’s office by Transparent Hawke’s Bay.

Spokesperson Pauline Elliott says the project was initiated, and is being advanced, without adequate disclosure to, or consultation with, Hawke’s Bay ratepayers as to the full costs, investment and ownership structures, and financial risks involved.

“In its Draft Long Term Plan 2012-2022, the Regional Council failed to describe the total scheme in sufficient detail, as required by the Local Government Act, and did not provide adequate information on costs associated with the project. Of the 81 submission received at that time, more than 75% were either opposed or stated that more information was needed in order to make any useful comment.

“Cost estimates for the dam itself increased by $60m after public submissions closed, and no mention was made of even greater on-farm costs; the strongly implied intention by the Regional Council to retain 51% equity in ownership is now fudged, and perhaps impossible to secure; other cost factors, such as stricter environmental mitigation measures, and dependencies have not been disclosed.

“In September 2012, the Regional Council released a discussion document “Tukituki Choices”. Again, there was no financial information included and the Council’s own financial feasibility study with BNZ Advisory, had not been completed. While the public were invited to make written comments, these were not formal submissions and there was no public hearing where Council assumptions could be challenged.

“On an issue of such major significance to Hawke’s Bay, at no time has there has been an opportunity for the public to make informed submissions based on comprehensive information.

Transparent Hawke’s Bay is asking for a period of not less than three months to enable proper consultation to occur before the project is submitted, without public mandate, to the Minister for Environment.
ENDS

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