Wairarapa-Tararua Waters
Tararua’s water services are joining with Masterton, Carterton, and South Wairarapa District Councils to form a regional water company, owned by the four councils. This means your drinking water, wastewater, and stormwater services will be managed together at a regional level, helping to make them safer, more reliable, and more sustainable for the long term. The company will handle day-to-day operations, while the councils continue to oversee performance and make sure your community’s interests are looked after.
Fast Facts!
- The new water company, owned by the four councils, will be responsible for drinking, waste and stormwater services - i.e. Three Waters.
- Community consultation supported a new regional company model – with South Wairarapa submitters 88% in favour; Tararua submitters 65%; Carterton submitters 70% and Masterton submitters at 60%.
- The new water company will have approximately 25,000 connections across the four districts.
- Responsibilities for water services will transfer from the four partner councils to the new company on or before 1 July 2027. This will include associated revenue, expenditure, assets and liabilities.
- The four partner councils are required by legislation to implement their Water Services Delivery Plans and have committed to work with iwi to do so.
- Rangitāne and Ngāti Kahungunu are mana whenua/iwi across Wairarapa and Tararua.
- The board of the WSCCO will have a flexible membership of five to seven members
Local Water Done Well and the Tararua District
Following community consultation, planning, and council approvals throughout 2025, the four councils agreed the joint approach is the best way to deliver safe, reliable, and sustainable drinking water, wastewater, and stormwater services for around 25,000 connections across the region.
The new company will be legally established by 1 July 2026 and take over day-to-day water services from 1 July 2027, with the councils as shareholders and local oversight, including representation from iwi, to ensure community interests are protected. Comprehensive planning and financial modelling have been completed to ensure the services remain affordable and sustainable over the long term.
Community Consultation
From 14 March - 22 April 2025, Tararua District Council consulted with the community on options for the future of water services. This included looking at the impacts on water users, the costs of delivering services, and the pros and cons of working together with neighbouring councils.
Two options were presented: continuing with a council-by-council approach, or forming a new regional water company with the Wairarapa councils. Feedback from the consultation showed clear support for the regional model, with 65% of Tararua submitters preferring this option.
This community feedback played an important role in the Council’s decision to join the Wairarapa–Tararua regional water company, helping shape a solution aimed at providing safe, reliable, and sustainable water services for the district into the future.
Visit our consultation page below to read more about what we consulted on and what was decided.
Timeline - Water Services Organisation establishment and transition plan
Decision to join a CCO
| Key milestone | Timing |
|---|---|
| Tararua District Council voted to progress with a joint water services model alongside Masterton, Carterton, and South Wairarapa District Councils | 11 June 2025 |
| Tararua District Council formally resolved to join the proposed Wairarapa Tararua Council Controlled Organisation (CCO) | 20 August 2025 |
| Councillors unanimously approved the Constitution and Shareholders’ Agreement for Wairarapa Tararua Water Limited, which will become the Water Services Organisation (WSO) for South Wairarapa, Carterton, Masterton and Tararua. | 24 September 2025 |
| The four Wairarapa Tararua Councils had their Water Services Delivery Plans approved by the Department of Internal Affairs (DIA). | 4 November 2025 |
Stage 1: Legal establishment
| Key milestone | Estimated timing |
|---|---|
| Appoint Stakeholder's Forum | November 2025 |
| Plan operational incorporation | December 2025 |
| Complete initial Director recruitment | March 2026 |
| Complete legal incorporation | March 2026 |
Stage 2: Operational transition
| Key milestone | Estimated timing |
|---|---|
| Statement of Expectations prepared, and Water Services Strategy finalised | September 2026 |
| Complete remaining Director recruitment, and CEO and leadership team recruitment | Mid/late 2026 |
| Finalise transfer Agreements for each Council (assets, debt, services) | December 2026 |
| Complete Council staff change process and transfer | December 2026 |
| Development of systems requirements, insurance arrangements, treasury and funding agreements in place with LGFA | December 2026 |
| Transfer assets, contracts, responsibilities, services following Board confirmation of readiness for go live | June 2027 |
Key documents
Wait+T and MW LWDW Groups Milestones November-December 2024
Wai+T - Joint Arrangement Report
Wai+T - LWSW Councillor MCA Update - August 2024
Wai+T - LWDW Public Workshop Presentation - October 2024
Wai+T - Wairarapa 3xCouncils Model Output Summary - 24 September 2024
Wai+T - Townsend Consulting Water Services Delivery Plan Options - August 2024
Wai+T - Castalia Review of Wai+T Water Sector Evaluation Criteria - 11 October 2024
MW - Local Water Reform Update to Mayoral Forum - 3 December 2024
MW - GHD - 3W Summary Report - 27 July 2024
MW - GHD - 3W High Level Financial Model Scenarios
MW - Manawatu-Whanganui Water Down Well Analysis - 8 November 2024
MW Local Water Done Well Mayoral Forum Update - 2 September 2024
Wai+T and MW - Crown Infrastructure Parnters - Structural Options Overview - October 2024
Wairarapa-Tararua Commitment Agreement - 20 August 2025
Tararua District Council Water Services Delivery Plan Covering Report - 15 August 2025
Tararua District Council - Activity Management Plan
Carterton District Council - Activity Management Plan
South Wairarapa District Council - Activity Management Plan
Report Summaries for Local Water Done Well - 11 December 2024
Presentations
Frequently Asked Questions (FAQs)
Why are we doing this?
Local Water Done Well is the Government’s plan to improve how drinking water, wastewater and stormwater services are managed across New Zealand.
It replaces the previous Three Waters reforms and is designed to fix long-standing issues such as ageing pipes, under-investment, and the rising cost of maintaining water infrastructure.
The goal is to make sure water services are safe, reliable, environmentally sustainable, and affordable for communities, both now and in the future.
Under Local Water Done Well, water services will also need to meet new rules and standards. These are similar to the regulations already in place for other essential services like electricity and telecommunications, helping ensure fair pricing, good performance, and environmental protection.
Changes are being planned because many of New Zealand’s water services are under pressure. Pipes, treatment plants and other infrastructure are ageing, and there hasn’t been enough investment over many years to keep up with demand and maintenance.
The new laws and rules are designed to make sure this long-overdue work can be properly funded. They aim to catch up on essential upgrades and put water services on a more sustainable financial footing, so communities can rely on safe and affordable water services into the future.
Both the Labour and National led Governments have successively required councils to restructure the delivery of water services.
Labour mandated centralisation of services; National has allowed local Government to determine how this might best work.
The Councils are expected to reform and meet the requirements of financial sustainability while achieving quality standards compliance.
Under the changes, all councils must create a Water Services Delivery Plan. This plan shows how they will continue to provide drinking water, wastewater and stormwater services that meet new national standards, while also being affordable and sustainable over the long term.
Councils also had to decide how water services would be delivered in the future. In the Wairarapa–Tararua area, the councils have chosen to work together by setting up a new regional water company. This company will be jointly owned by the councils.
The Government has encouraged councils to take a regional approach to water services, rather than each council working on its own. Creating a shared, council-owned water company for the Wairarapa–Tararua region follows this approach and is intended to deliver better outcomes for communities.
A Water Services Delivery Plan (WSDP) is a required plan that shows how a council will provide safe and reliable drinking water, wastewater and stormwater services over the next 10 years.
It sets out how these services will meet national standards and how they will be paid for in a way that is financially sustainable. The plan is reviewed by the Department of Internal Affairs to make sure there is a clear and realistic approach to delivering water services into the future.
A key requirement of the plan is showing that water services will be financially sustainable by 30 June 2028.
Each council had to formally approve its plan, and the Chief Executive had to confirm that it meets legal requirements and that the information provided is accurate.
Yes. All district and city councils across New Zealand have prepared and submitted their Water Services Delivery Plans to the Department of Internal Affairs for review. This also includes unitary authorities, but not regional councils.
The Department of Internal Affairs has now finished assessing all the plans, and the results are available on its website.
A Council-controlled organisation, or CCO, is a separate organisation set up by a council, or a group of councils, to deliver a specific service.
While the council (or councils) owns the CCO and holds it accountable, the organisation operates independently. It has its own board and management team to run day-to-day operations and make decisions, while still working within the expectations set by its council owners.
Our local info - where are we at?
In early 2025, the four councils – Masterton, Carterton, South Wairarapa and Tararua – asked their communities for feedback on how water services should be delivered in the future.
Two options were consulted on:
- setting up a new Wairarapa–Tararua water services organisation, or
- continuing with a similar approach to how services are delivered now.
Community feedback clearly supported the Wairarapa–Tararua regional option. Across the four districts, between 60% and 88% of submitters preferred this approach.
Based on this feedback, the four councils agreed to establish a new regional Wairarapa–Tararua water company. This company will be a council-controlled organisation (CCO) owned by the councils.
Tararua District Council's share is $1.25 million of the total $5 million establishment costs of the CCO. This will be capitalised, borrowed, and transferred to the CCO at go-live.
No. Setting up a council-controlled organisation is not a step towards privatisation.
The new water company will be fully owned by the four councils. Current water reform laws also prevent water services from being privatised – water organisations can only be owned by councils or by trustees of a consumer trust.
The Wairarapa–Tararua water organisation will remain in public ownership and accountable to the communities it serves.
Yes, the cost of water services is expected to increase. However, this would have happened regardless of how water services were delivered. Across New Zealand, water infrastructure is becoming more expensive to build, maintain and upgrade, and there has been under-investment over many years.
By working together at a regional level, councils can achieve benefits that wouldn’t be possible on their own. These include stronger buying power, better access to funding, more efficient operations, and shared expertise.
Over time, this approach is expected to provide better value for money and support a more reliable and sustainable water system for our communities, as well as create new regional employment opportunities.
No, pricing will remain separate (ring-fenced) for each district for nine years, then subject to review.
Any change would require unanimous decision by all councils.
Councils have committed to the new WSO to be up and running by 1 July 2027 or earlier if possible. Until that time, its business as usual.
A new board of directors will run the Wairarapa–Tararua water company. The board will be appointed by a group made up of representatives from the four councils and two local iwi (Rangitāne and Ngāti Kahungunu).
The board will hire a CEO to manage the day-to-day operations of the company. The councils will also provide the company with a Statement of Expectations, a formal document that sets out what the councils expect the company to achieve and how it should operate.
The council will no longer manage water services day-to-day as it does now. Instead, each partner council will be involved in overseeing and monitoring the water company’s performance.
The council’s role is changing from directly delivering services and owning water assets, to being a shareholder in a company that operates the services and owns the assets. This means the council still has influence and accountability, just in a different way.
By 30 June 2026, Tararua’s water services are expected to have around $212 million in assets (like pipes, treatment plants, and other infrastructure) and $66 million in debt.
When the new water company (CCO) is set up, all of Tararua’s existing water-related debt will transfer to the company. This debt will stay ring-fenced to Tararua, meaning it only affects Tararua water pricing. The $1.25 million cost to establish the company will also be included in this debt.
Debt transfers will happen gradually as current council loans and obligations mature, keeping the process manageable and linked to the communities that generated the debt.
By working together at a regional level, the new water company is expected to deliver around 12% in savings over 20 years compared with if each council ran its water services on its own.
These savings come from things like shared expertise, more efficient operations, and better buying power.
Tararua has approximately 5,300 water connections.
Yes! Your water will continue to flow from your tap, and wastewater and stormwater will still go where they should.
Keeping water services running smoothly is the top priority during this change. For most people, the only noticeable difference will be that your water bill will come from the new water company instead of the council once the company is up and running.
Simply put, no. The new organisation will be responsible for the water services you receive, so that is who you pay too. The company will provide information closer to July 2027 about how you will be able to pay your bill.
Everyone in Tararua with a water connection will be part of the new water company, so there isn’t an opt-out option. TDC asked the community for feedback before making the decision, and based on what people told us, we agreed this is the best way to keep water services safe, reliable, and sustainable for the whole district.
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