The Tararua District Council has formally resolved to join the proposed Wairarapa Tararua Council-Controlled Organisation (CCO) for water services, marking a critical step in securing the district's water infrastructure future under the Government's Local Water Done Well reform programme.  The decision was debated at an extraordinary Council public meeting on 20 August 2025.

The decision confirms Tararua's commitment to a collaborative regional model with Carterton, South Wairarapa, and Masterton District Councils – with all four councils agreeing to put forward a joint Water Services Delivery Plan to the Secretary for Local Government, in the Department of Internal Affairs.

The council-controlled organisation or Water Service Organisation, if approved, would be responsible for delivering drinking water, wastewater, and stormwater services across the four districts, managing approximately 25,000 connections.

Mayor Tracey Collis noted that the decision reflects both pragmatic necessity and strategic foresight for the district's future.  Many models have been developed over the past two years, the final adopted joint model has been reworked since consultation with figures now required to include forecast inflation, adding nearly 28% to the future cost. There have also been other assumption changes such as higher interest, meaning by Year 10 (2034) an average connection cost will increase from $3,734 (including GST not inflated) to an estimated $3,949, ($4,956 including inflation).

“There are no affordable options to deliver everything to everyone.  Council has looked at all options over the past three years, including the option selected, to handover direct ownership and operations to a specialist water organisation that can focus on providing services in the most cost-effective manner possible,” Mayor Collis explains.

"This decision comes after extensive technical assessments that clearly demonstrated the financial risk of maintaining compliant water services as a standalone entity. By joining forces with our neighbouring Wairarapa councils, who share many similarities as small East Coast communities, we can address our long-term infrastructure needs while maintaining a level of local control over our water services."

Councils will be shareholders in the new water services organisation and will be able to influence and control aspects of how the new organisation will deliver water services to the wider area.

The Council's resolution follows community consultation earlier this year, where 65 percent of Tararua submitters favoured the regional model. Comprehensive planning has been completed, including worst-case scenario modelling, hydraulic studies, and full infrastructure inspections.

The urgency of this decision cannot be overstated. With less than two weeks remaining to submit a compliant Water Services Delivery Plan to the Department of Internal Affairs, due by 3 September 2025, and the risk of costly government intervention if councils fail to act, the regional CCO represents the best available option for maintaining broader local management versus externally-imposed solutions at ratepayer expense.

"While this isn't a silver bullet for all our water challenges, it provides us with increased access to finance, operational efficiencies through scale, and the ability to meet new regulatory standards that would be fundamentally unaffordable for our district alone," the Mayor states.

The new entity is expected to take over water service responsibilities by 1 July 2027, including assets, liabilities, revenue, and expenditure. Governance arrangements will ensure local accountability with Iwi Community.

The Department of Internal Affairs has completed an early review suggesting the four councils are on target to comply with sustainability requirements. The four councils have also written to Central Government highlighting affordability challenges common to smaller communities across New Zealand.

"We'll continue working with our iwi partners, Rangitāne o Tamaki Nui-ā-Rua  and Ngāti Kahungunu ki Tāmaki nui-a-Rua. They are actively involved as partners and we value their strong relationship with the natural world. Water matters across the whenua (land) of Tararua and Wairarapa.

In the new year, council will be looking to establish this organisation in a way that will work for our region. This proactive approach ensures we maintain local control while building a more resilient and sustainable water services future for our communities," Mayor Tracey added.