Water and wastewater price changes to come in on July 1

Watercare is increasing the price of its water and wastewater services by an average of 2.5 percent, the company announced today.

Watercare chief financial officer Brian Monk said the average household’s combined water and wastewater charges would increase by about $1.75 a month from July 1, 2015.

Mr Monk said the adjustment is necessary due to the increased costs of service delivery and the need to invest in infrastructure to cater for Auckland’s growing population.

“We are planning to spend $4.7 billion over the next 10 years on new water and wastewater infrastructure. These projects are essential to ensure Aucklanders enjoy a safe and reliable water supply.

“Auckland’s population is predicted to grow by one million people in the next 30 years so the city absolutely needs this investment.”

Mr Monk said growth-related infrastructure is funded by a combination of service charges, infrastructure growth charges and borrowing.

Water prices will increase from $1.375 to $1.409 (including GST) per 1000 litres for all customers.

Watercare does not receive any funding from property rates paid to the Auckland Council, Mr Monk said.

“All the money we receive from customers goes into operating, maintaining and expanding our infrastructure. We do not receive any additional funding from Auckland Council or the government.”

Watercare does not pay a dividend to the Auckland Council.

REGIONALLY-SIGNIFICANT PROJECTS
1. Hunua 4 Watermain Project
Cost: $350 million
Status: Under construction
Watercare is constructing a new watermain, called Hunua 4, to cater for population growth and to increase the security of the water supply to the Auckland region. The pipe will run for 28 kilometres from Manukau to Epsom, providing water to homes and businesses along the way. Ultimately, it will extend through to reservoirs at the top of Khyber Pass in the city. Hunua 4 will enable Watercare to take other pipes out of service for maintenance as needed, which reduces risk to the water supply.
2. Central Interceptor
Cost: $950 million
Status: Under investigation. Main construction programme to commence in 2018.
Watercare is constructing a new wastewater tunnel, called the Central Interceptor, to replace ageing assets, cater for population growth, and reduce overflows. The tunnel will run for 13 kilometres from Western Springs to the Mangere Wastewater Treatment Plant, replacing the Hillsborough tunnel and Manukau siphon. Geotechnical investigations are underway and the results will influence the final design of the Central Interceptor.

3. North Harbour 2 Watermain
Cost: $240 million
Status: Advance works underway. Main construction programme to commence in 2018.
Watercare is constructing a new watermain, called North Harbour 2 Watermain, to cater for population growth and to increase the security of the water supply to west and north Auckland. The pipe will run for 33 kilometres from Titirangi, across Greenhithe Bridge, to Albany. Preliminary work has begun with Watercare currently working with Auckland Transport to install a section of the pipe on Fred Taylor Drive, Westgate. This cooperative approach to infrastructure projects minimises disruption and cost.

ENDS

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