Water Services Entities Act 2022

1: Title
This Act is the Water Services Entities Act 2022.
2: Commencement
15 December 2022
1: The following provisions come into force on the day after the date of Royal assent:
a: sections 3 4 5(a), (b), (c), and (f), 6 to 10
b: subparts 1 to 3 6 8
c: sections 121 122
d: sections 132 to 137 section 206 clause 8
e: section 210 section 206 section 210(1)(a)
f: section 218
g: section 223 Local Government Act 2002
h: section 234 Taumata Arowai–the Water Services Regulator Act 2020
i: sections 236 237 Water Services Act 2021
i: te Mana o te Wai; and
ii: consultation on, and accounting for and banking of, cost-recovery levies):
j: Schedule 1 Commencement of Water Services Entities Amendment Act 2023
1A: The following provisions come into force on the day after the date of Royal assent of the Water Services Entities Amendment Act 2023
a: section 27
b: section 93 section 484(1)(a)
c: section 97 section 210(1)(a)
d: section 117(4)
e: sections 123 to 128
f: section 129
g: section 131(2A)
h: subpart 2A
i: section 206 Commencement of Water Services Legislation Act 2023
1B: The following provisions come into force on the day after the date of Royal assent of the Water Services Legislation Act 2023
a: sections 472 476
i: an Order in Council made under section 6A
ii: regulations made under section 484(1)(a)
iii: a Government policy statement issued under clause 8
iv: a direction for shared services given under clause 8A
b: section 484(1)(a), (2), (3), (4), (5), and (8)
c: section 486 1 July 2024
2: The rest of this Act comes into force on 1 July 2024.
3: Section 2(1) heading inserted 23 August 2023 section 4(1) Water Services Entities Amendment Act 2023 Section 2(1A) heading inserted 23 August 2023 section 4(2) Water Services Entities Amendment Act 2023 Section 2(1A) inserted 23 August 2023 section 4(2) Water Services Entities Amendment Act 2023 Section 2(1A)(b) amended 31 August 2023 section 4(1) Water Services Legislation Act 2023 Section 2(1B) heading inserted 31 August 2023 section 4(2) Water Services Legislation Act 2023 Section 2(1B) inserted 31 August 2023 section 4(2) Water Services Legislation Act 2023 Section 2(2) heading inserted 23 August 2023 section 4(2) Water Services Entities Amendment Act 2023 Section 2(2) replaced 23 August 2023 section 4(2) Water Services Entities Amendment Act 2023 Section 2(3) repealed 23 August 2023 section 4(2) Water Services Entities Amendment Act 2023
1: Preliminary provisions
3: Purpose
1: The purpose of this Act is to enable long-term, sustainable improvements in the safety, quality, resilience, accessibility, affordability, efficiency, and performance of—
a: water services; and
b: water services infrastructure.
2: This Act seeks to achieve that purpose by—
a: establishing 10
aa: ensuring that this Act applies to a water services entity, and its service area, only on and after that entity’s operational establishment date ( see section 6A
b: providing for their service delivery areas and for their governance, reporting, and accountability arrangements (for example, shared services arrangements, community priority statements, a funding agency, and protected transactions)
c: providing for their objectives, operating principles, and duties, functions, and powers ( see sections 12 to 14
d: requiring them to give effect to the principles of te Tiriti o Waitangi Treaty of Waitangi see section 4
da: providing a locally led process enabling them to merge if their regional representative groups decide to do so ( see section 19A
e: providing for monitoring and oversight arrangements:
f: ensuring water services infrastructure is retained in public ownership:
g: ensuring water services infrastructure is not operated for the purpose of generating profit for shareholders. Section 3(2)(a) amended 23 August 2023 section 5(1) Water Services Entities Amendment Act 2023 Section 3(2)(aa) inserted 23 August 2023 section 5(2) Water Services Entities Amendment Act 2023 Section 3(2)(b) amended 23 August 2023 section 5(3) Water Services Entities Amendment Act 2023 Section 3(2)(da) inserted 23 August 2023 section 5(4) Water Services Entities Amendment Act 2023
4: Te Tiriti o Waitangi/the Treaty of Waitangi and Te Mana o Te Wai
Duties to give effect
1: All persons performing or exercising duties, functions, or powers under this Act—
a: must give effect to the principles of te Tiriti o Waitangi Treaty of Waitangi
b: must give effect to Te Mana o te Wai, to the extent that Te Mana o te Wai applies to those duties, functions, or powers. Interaction with other provisions on te Tiriti/the Treaty
2: Subsection (1)(a) is not limited by subsection (1)(b) or section 5
3: This section is subject to section 9
5: Provisions on Te Tiriti o Waitangi/the Treaty of Waitangi
In order to recognise and respect the Crown’s responsibility to give effect to the principles of te Tiriti o Waitangi Treaty of Waitangi
a: in section 4(1)(a) Tiriti o Waitangi Treaty of Waitangi
b: in section 4(1)(b)
ba: in section 13(d)
c: in section 14
i: partnering and engaging early and meaningfully with Māori; and
ii: giving effect to Treaty settlement obligations to the extent that the obligations apply to the performance or exercise of the duties, functions, or powers of the entity:
d: in section 27
e: in sections 38 59
i: the principles of te Tiriti o Waitangi Treaty of Waitangi
ii: perspectives of mana whenua, mātauranga, tikanga, and te ao Māori:
f: in section 76
i: ensure that the water services entity maintains systems and processes to ensure that, for the purpose of carrying out its functions, it has the capacity and capability to—
A: give effect to the principles of te Tiriti o Waitangi Treaty of Waitangi
B: engage with, and understand perspectives of, mana whenua; and
ii: maintain systems and processes for the continuing education of all board members to gain knowledge of, and experience and expertise in relation to, the principles of te Tiriti o Waitangi Treaty of Waitangi
g: in section 144
h: in section 161(1)(ia)
i: in section 484(2)
j: in clauses 37 81 Part 1
k: in clause 82
l: in clause 83
m: in clause 28 Schedule 2A
n: in clause 29
o: in clause 8 Section 5(ba) inserted 31 August 2023 section 5(1) Water Services Legislation Act 2023 Section 5(h) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023 Section 5(i) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023 Section 5(j) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023 Section 5(k) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023 Section 5(l) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023 Section 5(m) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023 Section 5(n) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023 Section 5(o) inserted 31 August 2023 section 5(2) Water Services Legislation Act 2023
6: Interpretation
1: In this Act, unless the context otherwise requires,— administering body section 2(1) alternative operator clause 2
a: 1 or more individuals who are users of the supply:
b: an entity incorporated by and owned solely by 1 or more users of the supply board no fewer board appointment committee section 38 board member
a: means a member of the board appointed under section 59
b: for the purposes of sections 124 to 128 section 123 building building code building consent building work section 7(1) chairperson
a: of a regional representative group, means—
i: its chairperson ( see section 41
ii: if section 42(2)(c)
b: of a regional advisory panel, means—
i: its chairperson ( see section 55
ii: if section 56(2)(c) claimant group Treaty of Waitangi Act 1975 Commission
a: means the Commerce Commission established by section 8
b: in Schedule 4 section 28 see clause 1 committee
a: in relation to a regional advisory panel, a committee or subcommittee appointed under the constitution; and
b: in relation to a regional representative group, a committee or subcommittee appointed under the constitution (including the board appointment committee); and
c: in relation to a board, a committee or subcommittee appointed under the constitution company section 2(1) compliance officer section 367 compliance requirement
a: a direction issued under this Act by a compliance officer in accordance with section 374
b: an order issued under this Act by the Director of Compliance and Enforcement or a court in accordance with section 372
c: a trade waste permit in accordance with section 266
d: a controlled drinking water catchment management plan in accordance with section 235
e: stormwater network rules in accordance with section 261
f: rules relating to specified classes of work in certain places in accordance with section 283
g: an offence provision or an infringement offence provision in or under this Act in accordance with sections 419 to 427
h: a set of powers under this Act relating to a water supply network (in accordance with section 403 sections 405 406 section 283 constitution
a: the entity’s first constitution as provided for in section 96
b: if the regional representative group has amended the entity’s first constitution or adopted a new constitution under section 97 98 consumer
a: means a person who acquires, consumes, or is provided with water services by a water services entity; and
b: includes a person who owns property that is not connected to water services infrastructure department deputy chairperson
a: of a regional representative group, means—
i: its deputy chairperson ( see section 41
ii: if section 42(2)(c)
b: of a regional advisory panel, means—
i: its deputy chairperson ( see section 55
ii: if section 56(2)(d) determination Director of Compliance and Enforcement Director section 362 drinking water section 6 drinking water safety plan section 30 employee
a: includes the chief executive of the entity other than for the process of determining terms and conditions under section 121
b: for the purposes of sections 124 to 128 section 123 environmental contribution section 11(1) establishment date section 6A(4) or (5) establishment period
a: starting on the date on which the water services entity is established under section 11 Water Services Entities Amendment Act 2023
b: ending on the water services entity’s establishment date (as defined in this section) farmland financial year funding and pricing plan section 154 generally accepted accounting practice section 8 green water services infrastructure
a: means a natural or semi-natural area, feature, or process that mimics natural areas, features, or processes that are planned or managed to provide water services; and
b: includes an engineered system that is an area, feature, or process that complies with paragraph (a) Government policy statement section 132 home
a: means a place occupied as a dwelling house; and
b: includes any garden, yard, garage, outhouse, or other appurtenance of a dwelling house level crossing section 4(1) local authority section 5 long-term plan section 5(1) mana whenua mana whenua panel member see section 53 mana whenua representative section 33 Maori customary land section 4 Maori freehold land section 4 Maori land section 4 Maori land with more than 10 owners Maori reservation section 4 marae Minister ministerial appointee subpart 2 ministerial body subpart 2 monitor section 174 natural person act section 25 officer of Parliament Ombudsmen Act 1975 operator
a: means the person who operates the drinking water supply, wastewater network, or stormwater network or supervises its operation or aspects of its operation; and
b: includes—
i: a water services entity, a public stormwater network owner or operator, and a private stormwater network owner or operator:
ii: an organisation or individual involved in the operation of the drinking water supply, wastewater network, or stormwater network if the organisation or individual is authorised to be involved in its operation in accordance with any agreement or arrangement, including any shared services agreement or subsidiary arrangement overland flow path public conservation land Conservation Act 1987 rating information database section 27 regional advisory panel regional advisory panel member
a: a territorial authority panel member; or
b: a mana whenua panel member regional council section 5(1) regional planning committee section 11(1) regional representative regional representative group section 27 regulations section 484 section 485 reserve section 2(1) resource consent section 11(1) road
a: means a road as defined in section 315(1)
b: includes—
i: a road under the jurisdiction of a local authority:
ii: a public footpath:
iii: a State highway within the meaning of section 2(1)
c: does not include—
i: public conservation land:
ii: a private road as defined in section 315(1)
iii: a motorway within the meaning of section 2(1)
iv: any roadway laid out by order of the Maori Land Court under sections 315 to 327 section 320 service area Schedule 2 sitework section 7(1) small mixed-use rural water supply
a: 85% or more of the total volume of water supplied by the supply is for agricultural or horticultural purposes; and
b: 1,000 or fewer homes (not being homes on farmland) rely on the supply for drinking water and other domestic household purposes specified serious risk
a: illness, injury, or death:
b: public health:
c: the natural or a built environment:
d: water services infrastructure:
e: sites of cultural significance stormwater network
a: means the infrastructure owned or operated by, or processes used by, a water services entity to collect, treat, drain, store, reuse, or discharge stormwater in an urban area; and
b: includes—
i: an overland flow path (as defined in this section):
ii: green water services infrastructure that delivers stormwater water services (as defined in this section):
iii: watercourses that are part of, or related to, the infrastructure described in paragraph (a); but
c: does not include a transport stormwater system subsidiary
a: means a company or body corporate in which 1 or more water services entities—
i: control the composition of the board of the company or body corporate; or
ii: are in a position to exercise, or control the exercise of, more than half the maximum number of votes that can be exercised at a meeting of the company or body corporate; or
iii: hold more than half of the issued shares of the company or body corporate, other than shares that carry no right to participate beyond a specified amount in a distribution of either profits or capital; or
iv: are entitled to receive more than half of every dividend paid on shares issued by the company or body corporate, other than shares that carry no right to participate beyond a specified amount in a distribution of either profits or capital; and
b: includes a company in which—
i: 2 or more water services entities hold shares; and
ii: the combined shareholding produces 1 or more of the circumstances described in paragraph (a) Te Mana o te Wai
a: has the meaning set out in the National Policy Statement for Freshwater Management issued in 2020 under section 52 see also sections 4 5 14
b: applies, for the purposes of this Act, to water (as that term is defined in this section) Te Mana o te Wai statement for water services section 143 territorial authority section 5 territorial authority owners Schedule 2 territorial authority panel member see section 52 territorial authority representative section 32 trade waste
a: means any waste that is—
i: produced for an industrial or trade purpose, or a related purpose; and
ii: discharged into a wastewater network; but
b: does not include any class of waste or material that has been specified not to be trade waste by a trade waste plan under section 269(2) trade waste carrier trade waste permit section 266 trade waste premises
a: an industrial or a trade purpose; or
b: the storage, transfer, treatment, or discharge of trade waste trading subsidiary transport corridor manager
a: the New Zealand Transport Agency established under section 93
b: KiwiRail Limited:
c: Auckland Transport established under section 38
d: any local authority that has, in relation to a road as defined in section 315(1) transport stormwater system
a: means the infrastructure owned or operated by, or processes used by, a transport corridor manager to collect, treat, drain, store, reuse, or discharge stormwater relating to a transport corridor; and
b: includes—
i: an overland flow path (as defined in this section):
ii: green water services infrastructure that delivers stormwater services (as defined in this section) Treaty of Waitangi claim section 6 Treaty settlement Act
a: an Act listed in Schedule 3
b: any other Act that provides redress for Treaty of Waitangi claims, including Acts that provide collective redress or participation arrangements for claimant groups whose claims are, or are to be, settled by another Act Treaty settlement deed
a: that is signed for and on behalf of the Crown by 1 or more Ministers of the Crown and by representatives of a claimant group; and
b: that is in settlement of the Treaty of Waitangi claims of the members of that group, or in express anticipation, or on account, of that settlement Treaty settlement obligations
a: Treaty settlement Acts:
b: Treaty settlement deeds urban area
a: means an area identified in a district plan or a proposed district plan as being primarily zoned, or intended to be for, residential, industrial, commercial and mixed use, or settlement activities, together with adjoining special-purpose and open-space and recreation zones, however described; but
b: does not include any other area zoned primarily for rural activities, however described utility operator section 4 variable volumetric charge wastewater network water
a: has the same meaning as in section 11(1)
b: includes water in any form while in any pipe, tank, or cistern water body
a: has the same meaning as in section 11(1)
b: includes water—
i: in, or in any part of, a river, lake, stream, pond, wetland, or aquifer; and
ii: that is located within the coastal marine area (as that term is defined in that section 11(1) watercourse water services water services debt water services entity entity section 11 water services infrastructure
a: means infrastructure owned or operated by a water services entity for the purposes of the delivery of water services; and
b: includes—
i: a water supply network:
ii: a wastewater network:
iii: a stormwater network; and
c: for the purposes of section 118 Schedule 4 water supply
a: drinking water supply as defined in section 9
b: firefighting water supplies as defined in section 6
c: a small mixed-use rural water supply water supply network
a: means the infrastructure owned or operated by, or processes used by, for, or on behalf of
b: includes—
i: the point of supply:
ii: any end-point treatment device:
iii: any backflow prevention device.
2: For the purposes of Part 10 applicant Section 6(1) administering body inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) alternative operator inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) board amended 31 August 2023 section 6(1) Water Services Legislation Act 2023 Section 6(1) building inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) company inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) compliance officer inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) compliance requirement inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) consumer inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) determination inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) Director of Compliance and Enforcement inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) drinking water safety plan inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) environmental contribution inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) establishment date inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) establishment period inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) farmland inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) home inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) level crossing inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) long-term plan inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) Maori customary land inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) Maori freehold land inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) Maori land inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) Maori land with more than 10 owners inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) Maori reservation inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) marae inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) officer of Parliament inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) operator inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) public conservation land inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) rating information database inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) regional council inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) regional planning committee inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) regional spatial strategy repealed 23 December 2023 section 6 Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023 Section 6(1) regional spatial strategy repealed 23 December 2023 section 6 Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023 Section 6(1) regulations amended 31 August 2023 section 6(2) Water Services Legislation Act 2023 Section 6(1) reserve inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) resource consent inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) road inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) sitework inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) small mixed-use rural water supply inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) specified serious risk inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) stormwater network inserted 31 August 2023 section 6(3) Water Services Legislation Act 2023 Section 6(1) stormwater network inserted 31 August 2023 section 6(4) Water Services Legislation Act 2023 Section 6(1) subsidiary inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) Te Mana o te Wai replaced 23 December 2023 section 6 Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023 Section 6(1) trade waste inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) trade waste carrier inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) trade waste permit inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) trade waste premises inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) trading subsidiary inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) transport corridor manager inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) transport stormwater system inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) urban area inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) utility operator inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) variable volumetric charge inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) water inserted 23 August 2023 section 6(2) Water Services Entities Amendment Act 2023 Section 6(1) water amended 31 August 2023 section 6(6) Water Services Legislation Act 2023 Section 6(1) water body inserted 23 August 2023 section 6(2) Water Services Entities Amendment Act 2023 Section 6(1) water body amended 31 August 2023 section 6(7)(a) Water Services Legislation Act 2023 Section 6(1) water body amended 31 August 2023 section 6(7)(b) Water Services Legislation Act 2023 Section 6(1) watercourse inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) water services debt inserted 31 August 2023 section 6(10) Water Services Legislation Act 2023 Section 6(1) water supply replaced 31 August 2023 section 6(8) Water Services Legislation Act 2023 Section 6(1) water supply network amended 31 August 2023 section 6(9) Water Services Legislation Act 2023 Section 6(2) inserted 31 August 2023 section 6(11) Water Services Legislation Act 2023
6A: Act applies to water services entity, and its service area, only on and after that entity’s establishment date
General rule
1: This Act, and secondary legislation made under this Act, apply to a water services entity, and its service area, only on and after that entity’s establishment date.
2: Before the entity’s establishment date, local government organisations provide water services in their districts (to the extent that they are part of the entity’s service area) under the law in force immediately before 1 July 2024. Exception
3: However, subsections (1) and (2) do not affect or limit the operation, during a water service’s entity’s establishment period, of the following:
a: this section:
b: Schedule 1
c: Schedule 1AA
d: Schedule 1AA
e: Schedule 1 Establishment date
4: The Northland and Auckland Water Services Entity’s establishment date
5: Any other water services entity’s establishment date
a: 1 July 2024:
b: 1 October 2024:
c: 1 January 2025:
d: 1 April 2025:
e: 1 July 2025:
f: 1 October 2025:
g: 1 January 2026:
h: 1 April 2026:
i: 1 July 2026. Order in Council setting establishment date
6: The power under this section to set an establishment date for an entity is capable of being exercised more than once to amend, revoke, or replace an Order in Council made in a previous exercise of the power, but only so long as each re-exercise of the power—
a: takes effect before the previous establishment date; and
b: is recommended due to exceptional circumstances (for example, an emergency) arising only after the previous exercise of the power.
7: Within 6 months of this section’s commencement, the Minister must recommend, and the Governor-General in Council must make, 1 or more Orders in Council—
a: made under this section; and
b: setting establishment dates for all the water services entities whose establishment dates are to be set by Order in Council.
8: Before recommending an Order in Council setting a water services entity’s establishment date, the Minister must engage in accordance with section 472
9: An Order in Council made under this section may contain, or be amended so that it contains, establishment dates for all or any of the water services entities whose establishment dates are set by Order in Council.
10: An Order made under this section is secondary legislation ( see Part 3 Merger of water services entities
11: However, for a water services entity whose establishment is provided for by an Order in Council made under clause 24(1)
a: the rest of this Act, and secondary legislation made under the rest of this Act, applies to that water services entity, and its service area, only on and after the date on which the provisions of that order establishing that water services entity have effect; and
b: subsections (1) to (10), and the transitional provisions specified in subsection (3)(b) to (e), of this section do not apply to the entity.
12: However, subsection (11) does not limit the application of section 19A Schedule 2A
a: that is proposed to be part of a requested merger; and
b: to which section 19A Schedule 2A The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 6A inserted 23 August 2023 section 7 Water Services Entities Amendment Act 2023 Section 6A(8) amended 31 August 2023 section 7 Water Services Legislation Act 2023
7: Transitional, savings, and related provisions
The transitional, savings, and related provisions set out in Schedule 1
8: Act binds the Crown
This Act binds the Crown.
9: Treaty settlement obligations prevail
If a provision of this Act is inconsistent with a Treaty settlement obligation, the Treaty settlement obligation prevails.
10: Rights or interests in water preserved
Purpose
1: The purpose of this section is to achieve both of the following outcomes:
a: any rights or interests in water are preserved, consistent with assurances—
i: given by the Crown to the Supreme Court in 2012; and
ii: recorded in New Zealand Māori Council v Attorney-General
b: this Act, and duties, functions, and powers under this Act, operate effectively. Act does not create, transfer, extinguish, or limit rights or interests
2: No legislation in or made under this Act—
a: creates or transfers any proprietary right or interest in water:
b: extinguishes or limits any customary right or interest (for example, one founded on, or arising from, aboriginal title or customary law) any iwi or hapū may have in water. Nothing in section affects duties, functions, and powers under Act
3: Nothing in this section affects, or affects the lawfulness or validity of the performance or exercise by any person of, any duty, function, or power under this Act. 2010 No 24 s 90(1)(a) 2014 No 74 s 15(5)(a) 2017 No 7 s 46(1), (2)(b)
2: Water services entities
1: Establishment of water services entities
11: Water services entities established
Entities established
1: This section (as inserted by the Water Services Entities Amendment Act 2023 Parts 1 to 10 of Schedule 2 When each water services entity established
2: Each water services entity is established on the date on which the appointment of the entity’s establishment board under clause 3 When new entity resulting from merger established
3: However, a water services entity whose establishment is provided for by an Order in Council made under clause 24(1) Changing entity’s name, mergers, and local government reorganisation
4: This section does not limit—
a: section 484(1)(g)
b: clause 24(1)
c: section 25(4) Section 11 replaced 23 August 2023 section 8 Water Services Entities Amendment Act 2023 Section 11(4)(a) amended 31 August 2023 section 8 Water Services Legislation Act 2023
12: Objectives of water services entities
The objectives of each water services entity are to—
a: own and operate water services infrastructure, and deliver water services, in an efficient and financially sustainable manner:
b: protect and promote public health:
c: protect and promote the environment:
d: support and enable planning processes, growth, and housing and urban development:
e: operate in accordance with best commercial and business practices:
f: act in the best interests of present and future consumers and communities:
g: deliver water services in a sustainable and resilient manner that seeks to—
i: mitigate the effects of climate change and natural hazards; and
ii: support and enable climate change adaptation. 2020 No 52 s 8
13: Functions of water services entities
The functions of each water services entity are—
a: to provide safe, reliable, and efficient water services in its area; and
b: to enter into shared services arrangements related to all or any activities specified in section 137A(5) section 137A
c: to own or operate water services infrastructure; and
d: to partner and engage with its territorial authority owners; and
e: to partner and engage with mana whenua in its service area; and
f: to engage with consumers and communities in its service area; and
g: to engage and co-operate with other water services entities on matters relating to the provision of water services that cross service area boundaries; and
h: to provide advice, information, funding, and support to its regional representative group (and any regional advisory panel) to enable the regional representative group (and any regional advisory panel) to perform or exercise its duties, functions, and powers in accordance with this Act and the water services entity’s constitution; and
i: to charge for services that a water services entity provides to consumers in accordance with section 326
j: to administer regulatory requirements (for example, rules or plans) relating to water services that a water services entity is responsible for; and
k: to collaborate with other agencies, organisations, and individuals in the water services sector; and
l: to collaborate with, and provide assistance or advice to, overseas agencies and organisations, as required, but only if doing so would not adversely affect the water services entity in carrying out its other functions and meeting its objectives; and
m: to build, maintain, and support the capability of the water services sector; and
n: to facilitate, promote, and support research, education, and training relating to water services; and
o: to provide guidance, advice, and information on matters relating to water services; and
p: to mitigate the effects of climate change and natural hazards, and support and enable climate change adaptation; and
q: to identify hazards relating to water services, assess risks relating to those hazards, and manage, control, monitor, or eliminate those risks; and
r: to ensure that communities have access to drinking water if existing suppliers are facing significant problems; and
s: to own or operate 1 or more subsidiaries (including those subsidiaries that trade with other persons) if the only functions the subsidiary performs are functions specified in paragraphs (a) to (t); and
t: to perform or exercise the duties, functions, or powers conferred or imposed on it by this Act or any other legislation; and
u: any functions that are incidental and related to, or consequential on, its functions set out in paragraphs (a) to (t). Section 13 replaced 31 August 2023 section 9 Water Services Legislation Act 2023
14: Operating principles
The operating principles of a water services entity for the purposes of section 75
a: developing and sharing capability and technical expertise with other water services entities and throughout the water services sector; and
b: being innovative in the design and delivery of water services and water services infrastructure; and
c: having regard in the delivery of water services to—
i: green water services infrastructure (as defined in section 6
ii: water-sensitive design; and
d: in their employment, and in their procurement (including by way of contractual arrangements, joint arrangements, or joint water services entity arrangements),—
i: having regard to the areas where services are delivered to consumers and communities; and
ii: ensuring there is capability in, and an understanding of the local cultural or environmental factors in, those areas; and
e: taking a whole-of-catchment approach to the delivery of water services, and to the identification and management of risks and hazards relating to water services; and
f: being open and transparent, including in relation to—
i: the calculation and setting of prices; and
ii: determining levels of service delivery to consumers and communities; and
iii: reporting on the performance of the water services entity; and
g: partnering and engaging early and meaningfully with Māori, including to inform how the water services entity can—
i: give effect to Te Mana o te Wai; and
ii: understand, support, and enable the exercise of mātauranga Māori, tikanga Māori, and kaitiakitanga; and
h: giving effect to Treaty settlement obligations to the extent that the obligations apply to the performance or exercise of the duties, functions, or powers of the entity; and
i: partnering and engaging early and meaningfully with territorial authorities and their communities; and
j: co-operating with, and supporting, other water services entities, infrastructure providers, local authorities, and the transport sector.
15: Status of water services entities
Body corporate and separate legal entity
1: A water services entity—
a: is a body corporate; and
b: is accordingly a legal entity separate from the entity’s board members, the entity’s employees, the Crown, the entity’s regional representative group and any regional advisory panel for that group, and the entity’s territorial authority owners; and
c: continues in existence until it is dissolved by an Act. Co-owned in shares by territorial authority owners
2: A water services entity is co-owned—
a: by the territorial authorities in its service area; and
b: in shares allocated and reallocated under section 16
3: Shares allocated or reallocated to, and held by, a territorial authority owner cannot, for any reason, be sold, or otherwise transferred ( see also section 171
4: Subsection (3) overrides any legislation to the contrary. Not company, council organisation, council-controlled organisation, etc
5: Despite subsections (1) to (4), a water services entity is not—
a: a company
b: a council organisation or a council-controlled organisation as those terms are defined in section 6
c: a local government organisation as defined in section 124 2004 No 115 s 15 Section 15(5)(a) amended 31 August 2023 section 10 Water Services Legislation Act 2023
16: Shares in water services entities
1: Shares in a water services entity are, on each relevant date, allocated or reallocated to each territorial authority owner based on the population of its district or part district.
2: The allocation or reallocation is as follows:
a: if that population is not more than 50,000 people, 1 share:
b: if that population is more than 50,000 people,—
i: 1 share for every 50,000 people in that district or part district; and
ii: 1 share for a group of fewer than 50,000 people, additional to those 1 or more multiples of 50,000 people, in that district or part district.
3: In this section,— population Data and Statistics Act 2022 relevant date
a: 1 July 2026
b: the date immediately after a 5-year period that started on—
i: 1 July 2026
ii: a fifth anniversary of the establishment date (as so defined); or
c: a date on which a territorial authority owner, or its district, is created, adjusted, altered, or abolished in or under the Local Government Act 2002
i: territorial authority owners named in Parts 1 to 10
ii: their districts or part districts specified in those Parts; or
ca: a date on which a merger proposal ( see section 19A Parts 1 to 10
d: a date on which a divestment proposal (as defined in clause 1 Parts 1 to 10
4: The monitor must notify every allocation or reallocation, as soon as practicable, to the Minister, the water services entity, and every territorial authority owner.
5: The monitor must also make every allocation or reallocation publicly available, as soon as practicable, by publishing a copy on an Internet site maintained by, or on behalf of, the department in a format that is readily accessible. Section 16(3) relevant date amended 23 August 2023 section 10(1) Water Services Entities Amendment Act 2023 Section 16(3) relevant date amended 23 August 2023 section 10(2) Water Services Entities Amendment Act 2023 Section 16(3) relevant date amended 23 August 2023 section 10(3) Water Services Entities Amendment Act 2023 Section 16(3) relevant date inserted 23 August 2023 section 10(4) Water Services Entities Amendment Act 2023 Section 16(3) relevant date amended 23 August 2023 section 10(3) Water Services Entities Amendment Act 2023
17: Core things water services entities can do
A water services entity may do anything that is authorised by this Act. 2004 No 115 s 16
18: Other things water services entities can do
1: A water services entity may do anything that a natural person of full age and capacity may do.
2: Subsection (1) applies except as provided in this Act or another Act or rule of law.
3: A water services entity—
a: may establish, own (in whole or in part), or operate a subsidiary only if the subsidiary complies with the requirements specified in Schedule 5
b: may not enter into a partnership with another person or persons.
4: In this section, partnership sections 8 9 2004 No 115 s 17 Section 18(3) inserted 31 August 2023 section 11 Water Services Legislation Act 2023 Section 18(4) inserted 31 August 2023 section 11 Water Services Legislation Act 2023
19: Acts must be for purpose of functions
A water services entity may do an act under section 17 18 2004 No 115 s 18
1A: Merger of water services entities
Subpart 1A inserted 23 August 2023 section 11 Water Services Entities Amendment Act 2023
19A: Merger of water services entities
Water services entities may merge in accordance with Schedule 2A Section 19A inserted 23 August 2023 section 11 Water Services Entities Amendment Act 2023
2: Validity of acts
20: Acts in breach of statute are invalid
1: An act of a water services entity is invalid, unless section 21
a: an act that is contrary to, or outside the authority of, an Act; or
b: an act that is done otherwise than for the purpose of performing the entity’s functions.
2: Subsection (1) does not limit any discretion of a court to grant relief in respect of a minor or technical breach. 2004 No 115 s 19
21: Some natural person acts protected
1: Section 20
a: of an express restriction in an Act that makes the act contrary to, or outside the authority of, the Act; or
b: that the act is done otherwise than for the purpose of performing the entity’s functions.
2: A person who relies on subsection (1) has the onus of proving that they did not have, and ought not reasonably to have had, the knowledge referred to in that subsection.
3: A water services entity must report, in its annual report, each transaction that the entity has performed in the year to which the report relates that was invalid under section 20
4: This section does not affect any person’s other remedies (for example, remedies in contract) under the general law. 2004 No 115 s 20
22: Limits on protection of natural person acts
Section 21
a: section 86
b: the board of a water services entity bringing an action against a board member who voted for or otherwise authorised the act for breach of their individual duties as a board member; or
c: a board member who voted for or otherwise authorised the act being removed from office for breach of the individual duties of board members or the collective duties of the board; or
d: an application, in accordance with the law, for judicial review; or
e: section 111 2004 No 115 s 21
23: Acts that are not in best interests of water services entity
It is irrelevant to the validity of an act that the act is not, or would not be, in the best interests of a water services entity. 2004 No 115 s 22
24: Dealings between water services entities and other persons
1: A water services entity may not assert against a person dealing with the entity that—
a: a person held out by the water services entity to be a board member, an employee, or an agent of the entity (as the case may be)—
i: has not been duly appointed in that capacity or has ceased to be appointed in that capacity; or
ii: does not have the authority to exercise a power which, given the nature of the entity, a person appointed to that capacity customarily has authority to exercise; or
iii: does not have the authority to exercise a power that the entity holds them out as having; or
b: a document issued on behalf of the water services entity by a board member, an employee, or an agent of the entity with actual or usual authority to issue the document is not valid or genuine.
2: However, a water services entity may assert any of those matters if the person dealing with the entity had, or ought reasonably to have had, knowledge of the matter.
3: Nothing in this section affects a person’s right to apply, in accordance with the law, for judicial review. 2004 No 115 s 23
25: Interpretation for sections 15 to 24
In sections 15 to 24 act do
a: to do an act; and
b: to have a capacity; and
c: to have or exercise a power, right, or privilege natural person act
a: means an act that a natural person of full age and capacity can do (whether or not the act is something that is also authorised by an Act); and
b: includes entry into a contract for, or relating to,—
i: acquisition of financial products or borrowing:
ii: the purchase, leasing, or sale of, or other dealings with, property:
iii: the employment, or engagement of the services, of a person person dealing
a: means the other party to the transaction, if the act of the water services entity is a transaction; and
b: includes a person who has acquired property, rights, or interests from a water services entity. 2004 No 115 s 24
3: Minister’s role
26: Minister’s role
The role of the Minister is to oversee and manage the Crown’s interests in, and relationship with, the water services entities, and—
a: to issue a Government policy statement on water services under section 132
b: to appoint a Crown review team to perform functions under section 180
c: to appoint a Crown observer to perform functions under section 182
d: to appoint a Crown manager to perform functions under section 184
e: to perform or exercise any other duties, functions, or powers the Minister has, in respect of the entities, under legislation.
4: Regional representative groups
Establishment, role, and decision making of regional representative group
27: Establishment and membership of regional representative group
1: This section establishes a regional representative group for each water services entity.
2: Each regional representative group consists of the number of regional representatives that is provided for in the constitution ( see section 93(a)(i)
3: Each entity’s regional representative group must include an equal number of—
a: territorial authority representatives; and
b: mana whenua representatives.
4: Each entity’s regional representative group must include at least 1 representative from each territorial authority owner in the entity’s service area. Section 27(2) replaced 23 August 2023 section 12(1) Water Services Entities Amendment Act 2023 Section 27(4) inserted 23 August 2023 section 12(2) Water Services Entities Amendment Act 2023
28: Role of regional representative group
The role of a water services entity’s regional representative group is—
a: appointing and removing the entity’s board members under this Part; and
b: participating in the process of setting the entity’s strategic direction and performance expectations under subpart 5
c: reviewing the performance of the entity under section 142
d: approving the appointment and remuneration policy prepared by its board appointment committee under section 40
e: performing or exercising any other duties, functions, or powers it has under legislation.
29: Collective duty of regional representative group
The regional representative group of a water services entity must perform or exercise its duties, functions, and powers under legislation—
a: wholly or mostly for the benefit of all consumers and communities in the entity’s service area; and
b: taking into account the diversity of the consumers and communities, and the diversity of the consumers’ and communities’ interests, in that area; and
c: taking into account the interests of future as well as current consumers and communities in that area. 2002 No 84 s 14
30: Decision making by regional representative group
Decisions made by a regional representative group of a water services entity must be made—
a: by consensus if consensus can be reached by regional representatives taking all reasonably practicable steps to reach consensus in accordance with a procedure, and within a time frame, specified in the constitution; and
b: in any other case, by 75% of the regional representatives present and voting.
31: Group may regulate its own procedure if none specified
A regional representative group of a water services entity may regulate its own procedure for a matter if this Act and the constitution do not specify a procedure for the matter. Appointment of regional representatives
32: Method of appointing territorial authority representatives to regional representative group
1: The territorial authority owners of a water services entity must appoint territorial authority representatives to the regional representative group of the water services entity in accordance with section 27(2) and (3)
2: The territorial authority owners must appoint only persons who are—
a: elected members or chief executives of a territorial authority owner of the water services entity; or
b: senior managers of a territorial authority owner that, in the collective opinion of the territorial authority owners, have the appropriate knowledge, skills, and experience to assist the regional representative group in performing its role ( see section 28
33: Method of appointing mana whenua representatives to regional representative group
Mana whenua whose rohe or takiwā is within the service area of a water services entity must appoint mana whenua representatives to the regional representative group of the water services entity in accordance with section 27(2) and (3)
34: Requirements before appointment as regional representative
1: Before a person is appointed as a regional representative, the person must—
a: consent in writing to the appointment; and
b: certify that they are not disqualified from being a regional representative ( see section 99
c: disclose the nature and extent (including monetary value, if quantifiable) of all interests that the person has at that time, or is likely to have, in matters relating to the water services entity (if the person is, or is to be, interested, as defined in section 102
2: A disclosure under subsection (1)(c) must be made,—
a: in the case of a proposed appointment as a territorial authority representative, to the entity’s territorial authority owners:
b: in the case of a proposed appointment as a mana whenua representative, to the mana whenua whose rohe or takiwā is within the entity’s service area.
3: As soon as practicable after becoming aware of a failure to comply with subsection (1)(c), the regional representative group must notify the monitor. 2004 No 115 s 31
35: Validity of regional representatives’ acts
The acts of a person as a regional representative, chairperson, or deputy chairperson of the regional representative group are valid even though—
a: a defect existed in the appointment of the person; or
b: the person is or was disqualified from being a regional representative; or
c: the occasion for the person acting, or for their appointment, had not arisen or had ended. 2004 No 115 s 34
36: Validity of appointments
1: The appointment of a person as a regional representative, chairperson, or deputy chairperson of a regional representative group is not invalid only because a defect existed in the appointment of the person.
2: This section does not apply to a defect in the qualifications for appointment of a regional representative, chairperson, or deputy chairperson (if any). 2004 No 115 s 35(1), (2)(a)
37: Resignation of regional representatives
1: A territorial authority representative may resign from office by written notice to the entity’s territorial authority owners signed by the territorial authority representative.
2: A mana whenua representative may resign from office by written notice to the mana whenua whose rohe or takiwā is within the entity’s service area signed by the mana whenua representative.
3: A resignation under subsection (1) or (2) is effective—
a: on receipt of the notice by the territorial owners or mana whenua (as applicable); or
b: at any later time specified in the notice. 2004 No 115 s 44 Board appointment committee
38: Regional representative group must appoint board appointment committee
1: Each regional representative group must appoint a board appointment committee.
2: The regional representative group must appoint members to the board appointment committee who, collectively, have knowledge of, and experience and expertise in relation to,—
a: performance monitoring and governance; and
b: network infrastructure industries (for example, water services network infrastructure industries); and
c: the principles of te Tiriti o Waitangi Treaty of Waitangi
d: public health; and
e: the environment; and
f: perspectives of mana whenua, mātauranga, tikanga, and te ao Māori; and
g: perspectives of consumers and communities; and
h: perspectives of local government.
3: The regional representative group must not appoint a person as a member of the board appointment committee unless,—
a: before appointment, the person discloses to the regional representative group the details of any interest the person may have if they were a member of that committee; and
b: the person is a regional representative.
39: Functions of board appointment committee
The functions of the board appointment committee are—
a: to appoint and remove members of the board of a water services entity; and
b: to prepare and maintain an appointment and remuneration policy for the board; and
c: to perform or exercise any of the regional representative group’s functions and powers that are delegated to the committee in relation to appointing and removing board members.
40: Board appointment committee must prepare board appointment and remuneration policy
1: The board appointment committee must prepare and maintain an appointment and remuneration policy that provides for—
a: the collective or individual experience, qualifications, skills, or expertise required of members of the water services entity’s board in addition to those required by section 65(2)
b: a remuneration and expenses framework for members of the entity’s board.
2: The regional representative group must—
a: review the policy prepared by the board appointment committee; and
b: if satisfied with the policy, approve it.
3: The regional representative group must, at least once every 3 years, review the policy, and approve any amendments to it the group considers necessary or desirable.
4: The regional representative group must copy to the board of the water services entity every policy, or amended policy, as soon as practicable after it is approved under this section.
5: The board of the water services entity must make every policy, or amended policy, publicly available as soon as practicable after it is approved under this section by publishing a copy on an Internet site maintained by, or on behalf of, the entity in a format that is readily accessible. Chairperson and deputy chairperson
41: Appointment of chairperson and deputy chairperson
1: Each regional representative group must elect or appoint, in accordance with the constitution ( see section 93(a)(x)
a: 1 of its regional representatives as chairperson of the group; and
b: 1 of its regional representatives as deputy chairperson of the group.
2: However, this section does not apply if the constitution provides that the group has co-chairpersons and deputy co-chairpersons, in accordance with section 42
42: Co-chairpersons and deputy co-chairpersons
1: The constitution may provide that a regional representative group must elect or appoint, in accordance with the constitution ( see section 93(a)(x)
a: 2 of its regional representatives as co-chairpersons of the group; and
b: 2 of its regional representatives as deputy co-chairpersons of the group.
2: If the constitution provides for, and requires, a regional representative group to elect or appoint co-chairpersons and deputy co-chairpersons of the group,—
a: 1 co-chairperson and 1 deputy co-chairperson must be elected or appointed by the group’s territorial authority representatives; and
b: 1 co-chairperson and 1 deputy co-chairperson must be elected or appointed by the group’s mana whenua representatives; and
c: references in legislation, other than this section, to the group’s chairperson are taken to be references to both of its co-chairpersons; and
d: references in legislation, other than this section, to the group’s deputy chairperson are taken to be references to both of its deputy co-chairpersons. Disputes
43: Disputes between regional representatives
1: This section applies if a dispute arises between regional representatives on a matter that they are required under this Act to work together on, jointly develop, or agree.
2: The regional representatives—
a: may by agreement undertake a binding process of dispute resolution; but
b: if they do not reach agreement on a binding process, must undertake a non-binding process of dispute resolution.
3: Whether the regional representatives choose a binding process or a non-binding process, each regional representative must—
a: jointly appoint an arbitrator or a mediator; and
b: meet that regional representative’s own costs of the process (so they are not met by the represented territorial authority or mana whenua).
4: If the dispute remains unresolved after a non-binding process has been undertaken, the regional representatives may individually or jointly seek the assistance of the Minister.
5: The Minister, with a view to assisting the regional representatives to resolve the dispute, may—
a: appoint, and meet the costs of, a Crown facilitator:
b: direct the regional representatives to use a particular alternative dispute resolution process for that purpose. 1991 No 69 s 58S Obligation for regional representative group to hold at least 2 public meetings each financial year
44: Regional representative group must hold at least 2 public meetings each financial year
1: The regional representative group of a water services entity must hold at least 2 meetings during each financial year that are open to members of the public (the group public meetings
2: The group must—
a: give public notice of the details of a group public meeting at least 1 month before the meeting; and
b: allocate a reasonable amount of time for members of the public attending a group public meeting to address the group in relation to the subject matter of the meeting.
3: Part 7 see section 45 Official information
45: Application of Local Government Official Information and Meetings Act 1987 to regional representative group
1: Part 7
2: This section does not limit—
a: section 44 Part 7
b: section 46 Part 7
c: section 57 Part 7
d: section 62(6) Part 7
e: section 63 Parts 1 to 6 Obligation for entity’s shareholders to hold at least 1 public meeting each financial year
46: Shareholders must hold at least 1 public meeting each financial year
1: The territorial authority owners of a water services entity that are shareholders of the entity ( see sections 15 16 shareholders’ public meeting
2: The territorial authority owners must—
a: give public notice of the details of the shareholders’ public meeting at least 1 month before the meeting; and
b: allocate a reasonable amount of time for members of the public attending a shareholders’ public meeting to address the shareholders in relation to the subject matter of the meeting.
3: Part 7 see section 45
5: Regional advisory panels
Establishment, role, and decision making of regional advisory panels
47: Establishment and membership of regional advisory panels
1: The constitution of a water services entity may establish 1 or more regional advisory panels.
2: Each regional advisory panel must include an equal number of—
a: territorial authority panel members; and
b: mana whenua panel members.
48: Role of regional advisory panel
1: The role of a regional advisory panel is to provide advice to a regional representative group about that group’s performance or exercise of, or about how the panel considers that group should perform or exercise, its duties, functions, or powers ( see section 28
a: in the service area of the water services entity; and
b: for which the panel is responsible under the constitution ( see section 93(g)(ii)
2: For example, a regional advisory panel’s role includes providing advice by way of input under—
a: section 138(5)
b: clause 9(2)
c: clause 15(2)
d: clause 21(2)
49: Collective duty of regional advisory panel
A regional advisory panel for a regional representative group of a water services entity must, in performing or exercising its duties, functions, and powers under legislation, take into account—
a: that the panel should, whenever reasonably practicable, perform or exercise them wholly or mostly for the benefit of all consumers and communities in the entity’s service area; and
b: the diversity of the consumers and communities, and the diversity of the consumers’ and communities’ interests, in that area; and
c: the interests of present and future consumers and communities in that area. 2002 No 84 s 14
50: Decision making by regional advisory panel
Decisions made by a regional advisory panel for a regional representative group of a water services entity must be made—
a: by consensus if consensus can be reached by regional advisory panel members taking all reasonably practicable steps to reach consensus in accordance with a procedure, and within a time frame, specified in the constitution; and
b: in any other case, by 75% of the regional advisory panel members present and voting.
51: Panel may regulate its own procedure if none specified
A regional advisory panel for a regional representative group of a water services entity may regulate its own procedure for a matter if this Act and the constitution do not specify a procedure for the matter. Appointment of regional advisory panel members
52: Method of appointing territorial authority panel members
The territorial authority owners of a water services entity may appoint territorial authority panel members to a regional advisory panel in accordance with section 47(2)
53: Method of appointing mana whenua panel members
Mana whenua whose rohe or takiwā is within the service area of a water services entity may appoint mana whenua representatives to a regional advisory panel in accordance with section 47(2)
54: Requirements before appointment as regional advisory panel member
1: Before a person is appointed as a regional advisory panel member, the person must—
a: consent in writing to the appointment; and
b: certify that they are not disqualified from being a regional representative ( see section 99
c: disclose the nature and extent (including monetary value, if quantifiable) of all interests that the person has at that time, or is likely to have, in matters relating to the water services entity (if the person is, or is to be, interested, as defined in section 102
2: A disclosure under subsection (1)(c) must be made,—
a: in the case of a proposed appointment as a territorial authority panel member, to the entity’s territorial authority owners:
b: in the case of a proposed appointment as a mana whenua panel member, to the mana whenua whose rohe or takiwā is within the entity’s service area.
3: As soon as practicable after becoming aware of a failure to comply with subsection (1)(c), the regional advisory panel must notify the monitor. 2004 No 115 s 31 Chairperson and deputy chairperson
55: Appointment of chairperson and deputy chairperson
1: Each regional advisory panel must elect or appoint, in accordance with the constitution ( see section 93(g)(x)
a: 1 of its regional advisory panel members as chairperson of the panel; and
b: 1 of its regional advisory panel members as deputy chairperson of the panel.
2: However, this section does not apply if the constitution provides for the panel to have co-chairpersons and deputy co-chairpersons, in accordance with section 56
56: Co-chairpersons and deputy co-chairpersons
1: The constitution may provide that a regional advisory panel must elect or appoint, in accordance with the constitution ( see section 93(g)(x)
a: 2 of its regional advisory panel members as co-chairpersons of the panel; and
b: 2 of its regional advisory panel members as deputy co-chairpersons of the panel.
2: If the constitution provides for, and requires, a regional advisory panel to elect or appoint co-chairpersons and deputy co-chairpersons of the panel,—
a: 1 co-chairperson and 1 deputy co-chairperson must be elected or appointed by the panel’s territorial authority panel members; and
b: 1 co-chairperson and 1 deputy co-chairperson must be elected or appointed by the panel’s mana whenua panel members; and
c: references in legislation, other than this section, to the panel’s chairperson are taken to be references to both of its co-chairpersons; and
d: references in legislation, other than this section, to the panel’s deputy chairperson are taken to be references to both of its deputy co-chairpersons. Official information
57: Application of Local Government Official Information and Meetings Act 1987 to regional advisory panel
1: Part 7
2: This section does not limit—
a: section 45 Part 7
b: section 62(6) Part 7
c: section 63 Parts 1 to 6
6: Boards of water services entities
Role, membership, and accountability
58: Board’s role
1: The board is the governing body of a water services entity, with the authority, in the entity’s name, to exercise the powers and perform the functions of the entity.
2: All decisions relating to the operation of a water services entity must be made by, or under the authority of, the board in accordance with this Act. 2004 No 115 s 25
59: Membership of board
1: The board of a water services entity consists of no fewer than 6, and no more than 10, members.
2: The board appointment committee must appoint board members who, collectively, have knowledge of, and experience and expertise in relation to,—
a: performance monitoring and governance; and
b: network infrastructure industries (for example, water services network infrastructure industries); and
c: the principles of te Tiriti o Waitangi Treaty of Waitangi
d: public health; and
e: the environment; and
f: perspectives of mana whenua, mātauranga, tikanga, and te ao Māori; and
g: perspectives of consumers and communities; and
h: perspectives of local government.
60: Chairperson and deputy chairperson
The board of a water services entity must have a chairperson and a deputy chairperson appointed by the regional representative group, or by its board appointment committee, in accordance with the constitution.
61: Accountability of board members to regional representative group
1: Board members must comply with—
a: the board’s collective duties ( see sections 75 76
b: their individual duties as board members ( see sections 77 to 81
2: Board members of an entity are accountable to the entity’s regional representative group for performing their duties as board members. 2004 No 115 s 26 Obligation to hold specified meetings in public
62: Board must hold 2 public meetings each financial year
1: The board of a water services entity must hold at least 2 meetings during each financial year that are open to members of the public (the public board meetings
2: At least 1 of the public board meetings must be held after 1 July each year for the purpose of considering the entity’s performance under its statement of intent in the previous financial year.
3: The board must—
a: give public notice of the details of the public meeting at least 1 month before the meeting; and
b: allocate a reasonable amount of time for members of the public attending a public board meeting to address the board in relation to the subject matter of the meeting.
4: To the extent consistent with the requirements of this section, a public board meeting is subject to the rules and requirements that normally apply to the meetings of the board.
5: This section prevails in the event of any conflict between this section and the rules and requirements that normally apply to meetings of the board.
6: Part 7 Official information
63: Application of Local Government Official Information and Meetings Act 1987 to water services entity
1: Parts 1 to 6
2: This section does not limit—
a: section 45 Part 7
b: section 57 Part 7
c: section 62(6) Part 7 Appointment, removal, and conditions of board members
64: Method of appointing board members
1: Board members are appointed by a board appointment committee.
2: The appointment must be made by written notice to the board member (with a copy to the water services entity).
3: The notice must—
a: state the date on which the appointment takes effect, which must not be earlier than the date on which the board member receives the notice; and
b: state the term of the appointment. 2004 No 115 s 28(2)
65: Criteria for appointments by board appointment committee
1: A board appointment committee must appoint board members under section 64 section 40
2: The board appointment committee may only appoint a person who, in the committee’s opinion, has the appropriate knowledge, skills, and experience to assist the water services entity to achieve its objectives and perform its functions.
3: In making an appointment, the board appointment committee must take into account the desirability of promoting diversity in the membership of the board. 2004 No 115 s 29
66: Requirements before appointment as board member
1: Before a person is appointed as a board member of a water services entity, the person must—
a: consent in writing to the appointment; and
b: certify that they are not disqualified from being a board member ( see section 99
c: disclose to the chairperson of the entity’s regional representative group the nature and extent (including monetary value, if quantifiable) of all interests that the person has at that time, or is likely to have, in matters relating to the entity (if the person is, or is to be, interested, as defined in section 102
2: The board of a water services entity must notify the chairperson of the entity’s regional representative group of a failure to comply with subsection (1)(c) as soon as practicable after becoming aware of the failure. 2004 No 115 s 31
67: Term of office of board members
1: A board member holds office for 5 years or any shorter period stated in the notice of appointment.
2: A board member may be reappointed.
3: A board member continues in office despite the expiry of their term of office until—
a: the board member is reappointed; or
b: the board member’s successor is appointed; or
c: the board appointment committee informs the board member by written notice (with a copy to the water services entity) that the board member is not to be reappointed and no successor is to be appointed at that time.
4: This section is subject to section 74 2004 No 115 s 32
68: Validity of board members’ acts
The acts of a person as a member, chairperson, or deputy chairperson of the board are valid even if—
a: a defect existed in the appointment of the person; or
b: the person is or was disqualified from being a board member; or
c: the occasion for the person acting, or for their appointment, had not arisen or had ended. 2004 No 115 s 34
69: Validity of appointments of board members
1: The appointment of a person as a member, chairperson, or deputy chairperson of the board is not invalid only because a defect existed in the appointment of the person.
2: This section does not apply to a defect in the qualifications for appointment of a member, chairperson, or deputy chairperson (if any). 2004 No 115 s 35(1), (2)(a)
70: Removal of board members
1: The board appointment committee may, at any time for just cause, remove a board member from office.
2: The removal must be made by written notice to the board member (with a copy to the water services entity).
3: The notice must state—
a: the date on which the removal takes effect which must not be earlier than the date on which the board member receives the notice; and
b: the reasons for the removal.
4: In this section, just cause 2004 No 115 ss 37 39(1)–(3) 40
71: Process for removal
The board appointment committee may remove a board member with as little formality and technicality, and as much expedition, as is permitted by—
a: the principles of natural justice; and
b: a proper consideration of the matter. 2004 No 115 s 41(a), (b)
72: No compensation for board member’s loss of office
A board member is not entitled to any compensation or other payment or benefit relating to them ceasing, for any reason, to hold office as a board member. 2004 No 115 s 43
73: Resignation of board members
1: A board member may resign from office by giving written notice to the board appointment committee (with a copy to the water services entity) signed by the board member.
2: The resignation is effective on receipt of the notice by the board appointment committee or at any later time specified in the notice. 2004 No 115 s 44
74: Board members ceasing to hold office
A board member ceases to hold office if the board member—
a: resigns in accordance with section 73
b: is removed from office in accordance with section 70
c: becomes disqualified from being a member under section 99(2) 2004 No 115 s 45 Collective duties of board
75: Board must act consistently with objectives, functions, operating principles, and statement of intent
The board of a water services entity must ensure that the entity acts in a manner consistent with its objectives, functions, operating principles, and current statement of intent. 2004 No 115 s 49
76: Collective duties relating to te Tiriti o Waitangi/the Treaty of Waitangi
The board of a water services entity must—
a: ensure that the entity maintains systems and processes to ensure that, for the purpose of carrying out its functions, the entity has the capacity and capability to—
i: give effect to the principles of te Tiriti o Waitangi Treaty of Waitangi
ii: engage with, and understand perspectives of, mana whenua; and
b: maintain systems and processes for the continuing education of all board members to gain knowledge of, and experience and expertise in relation to, the principles of te Tiriti o Waitangi Treaty of Waitangi Individual duties of board members
77: Duty of board members to comply with relevant legislation
A board member of a water services entity must not contravene, or cause the contravention of, or agree to the entity contravening, this Act or the Water Services Act 2021 2004 No 115 s 53
78: Duty of board members to act with honesty and integrity
A board member of a water services entity must, when acting as a board member, act with honesty and integrity. 2004 No 115 s 54
79: Duty of board members to act in good faith and not at expense of water services entity’s interests
1: A board member of a water services entity must, when acting as a board member, act in good faith and not pursue their own interests at the expense of the entity’s interests.
2: A board member of a water services entity commits an offence if the board member performs or exercises a duty, function, or power of a board member of the entity—
a: in 1 or both of the following ways:
i: other than in good faith:
ii: knowingly pursuing their own interests at the expense of the entity’s interests; and
b: knowing that their performance or exercise of the duty, function, or power will, or is likely to, cause the entity serious loss.
3: A person convicted of an offence against subsection (2) is liable to imprisonment for a term not exceeding 5 years or to a fine not exceeding $200,000. 1993 No 105 ss 138A 373(4) 2004 No 115 s 55
80: Duty of board members to act with reasonable care, diligence, and skill
A board member of a water services entity must, when acting as a board member, exercise the care, diligence, and skill that a reasonable person would exercise in the same circumstances, taking into account (without limitation)—
a: the nature of the entity; and
b: the nature of the action. 2004 No 115 s 56
81: Duty not to disclose information
A board member of a water services entity who has information in their capacity as a board member that would not otherwise be available to them must not disclose that information to any person or make use of, or act on, that information, except—
a: in the performance of the entity’s functions; or
b: as required or permitted by law; or
c: in complying with the requirements for board members to disclose interests. 2004 No 115 s 57(1) Effect of non-compliance with duties
82: Accountability for collective board duties
1: The duties of the board and board members of a water services entity under sections 75 76 collective duties
2: If a board does not comply with any of its collective duties, the board appointment committee may remove all or any of the board members from office.
3: However, subsection (2) does not apply to a board member if—
a: the board member did not know, and could not reasonably be expected to know, that the duty was to be or was being breached; or
b: the board member took all reasonable steps in the circumstances to prevent the duty being breached.
4: The taking of reasonable steps does not require a board member to apply to a court for an order under section 86
5: This section and section 83 2004 No 115 s 58(1)–(4), (7)
83: Board member’s liability for breach of collective duty
1: A board member of a water services entity is not liable for a breach of a collective duty under this Act.
2: However, subsection (1) does not limit section 82(2)
3: Subsection (1) does not affect—
a: anything else for which the board member may be liable under any other Act or rule of law arising from the act or omission that constitutes the breach; or
b: the right to apply for a court order under section 86 2004 No 115 s 58(5), (6), (8)
84: Accountability of board members for individual duties
1: The duties of the board members of a water services entity under sections 77 to 81 individual duties
2: If a board member does not comply with their individual duties, that board member may be removed from office (subject to any requirements in sections 70 71
3: A water services entity may bring an action against a board member for breach of any individual duty.
4: This section and section 85 2004 No 115 s 59(1)–(3), (5)
85: Board member’s liability for breach of individual duty
1: A board member of a water services entity is not liable for a breach of an individual duty under this Act except as provided in section 84(2) and (3)
2: Subsection (1)—
a: does not affect anything else for which the board member may be liable under any other Act or rule of law arising from the act or omission that constitutes the breach; or
b: the right to apply for a court order under section 86 2004 No 115 s 59(4), (6)
86: Court actions requiring or restraining board or board members
1: The Minister or a regional representative may apply to a court for an order—
a: restraining the board or a board member of a water services entity from engaging in conduct that would contravene any requirement under this Act; and
b: granting any consequential relief.
2: The court may make an order on the application subject to the following rules:
a: an order may be made only if it is just and equitable to do so:
b: no order may be made in respect of conduct that has been completed.
3: The court may, at any time before the final determination of an application under this section, make as an interim order any order that it is empowered to make as a final order.
4: This section is subject to section 117 2004 No 115 s 60(1), (3)–(5) Delegation
87: Board’s ability to delegate
1: The board of a water services entity may delegate any of the functions or powers of the entity or the board, either generally or specifically, to any of the following persons by resolution and written notice to the person or persons:
a: a board member:
b: the chief executive or any employee of the entity:
c: a committee of the board:
d: any class of persons comprising any of the persons listed in paragraphs (a) to (c).
2: Subsection (1) does not apply to any functions or powers specified in this Act as not being capable of delegation.
3: The board must not delegate the general power of delegation. 2004 No 115 s 73
88: Powers of delegate
1: A delegate to whom any functions or powers of a water services entity or its board are delegated—
a: may, unless the delegation provides otherwise, perform the function or exercise the power in the same manner, subject to the same restrictions, and with the same effect as if the delegate were the entity or the board; and
b: may delegate the function or power only—
i: with the prior written consent of the board; and
ii: subject to the same restrictions, and with the same effect, as if the subdelegate were the delegate.
2: A delegate who purports to perform a function or exercise a power under a delegation—
a: is, in the absence of proof to the contrary, presumed to do so in accordance with the terms of that delegation; and
b: must produce evidence of their authority to do so, if reasonably requested to do so. 2004 No 115 s 74
89: Effect of delegation on water services entity or board
No delegation in accordance with this Act—
a: affects or prevents the performance of any function or the exercise of any power by a water services entity or its board; or
b: affects the responsibility of the board for the actions of any delegate acting under the delegation; or
c: is affected by any change in the membership of the board, or of any committee or class of persons, or by any change in a chief executive or other employee. 2004 No 115 s 75
90: Revocations of delegations
1: A delegation under section 87
a: resolution of the board and written notice to the delegate; or
b: any other method provided for in the delegation.
2: A delegation under section 88(1)(b) 2004 No 115 s 76 Board procedure
91: Board may regulate its own procedure if none specified
The board may regulate its own procedure for a matter if this Act and the constitution do not specify a procedure for the matter.
7: Constitutions of water services entities
92: Entity must have constitution
Each water services entity must have a constitution that complies with the requirements of this Act.
93: What constitution must contain
The constitution of a water services entity must provide for the following matters: Composition of regional representative group
a: the composition of the regional representative group, including—
i: the group’s number (which must be a whole number and an even number) of regional representatives ( see section 27(2) to (4)
ii: the procedures for the appointment of territorial authority representatives to the group ( see section 32
iii: the procedures for the appointment of mana whenua representatives to the group ( see section 33
iv: the requirements before appointment to the group, including disclosure of interests ( see section 34
v: the procedures for the appointment of regional representatives to the board appointment committee ( see section 38
vi: the composition of any other committees; and
vii: the term of office of regional representatives; and
viii: how a person ceases to be a regional representative; and
ix: the process and grounds for removing regional representatives; and
x: how the group’s chairperson and deputy chairperson are elected or appointed or, if the constitution provides that the group has co-chairpersons and deputy co-chairpersons, how they are elected or appointed ( see sections 41 42 Procedures for regional representative group
b: how the group will perform or exercise its functions, powers, and duties:
c: procedures to enable or support effective decision making by the group:
d: arrangements and requirements for meetings of the group and of committees (including the board appointment committee) of the group, including—
i: the intervals between meetings; and
ii: the information that must be presented at meetings; and
iii: when minutes are required to be kept; and
iv: the manner of calling meetings; and
v: the time within which, and manner in which, notices of meetings (including public meetings) and notices of motion must be notified; and
vi: the quorum and procedure for meetings, including decision-making procedures:
e: if the constitution provides for the group to have co-chairpersons and deputy co-chairpersons ( see section 42
i: the procedure, for a regional representative to disclose details of an interest, required for the purposes of section 104(4)(c)
ii: the procedure, for the board to notify a failure by a board member to comply with section 103 107(1) section 108(1)(b)
iii: the procedure, for giving a permission for 1 or more regional representatives, or regional representatives with a specified class of interest, to do anything otherwise prohibited by section 107 section 109(5)
f: procedures and time frames for making decisions by consensus ( see section 30 Composition of regional advisory panel
g: the composition of a regional advisory panel, including—
i: the total number of regional advisory panel members ( see section 47(2)
ii: the particular geographic area for which the panel is responsible ( see section 48
iii: the procedures for the appointment of territorial authority panel members to the panel ( see section 52
iv: the procedures for the appointment of mana whenua panel members to the panel ( see section 53
v: the requirements before appointment as a regional advisory panel member, including disclosure of interests ( see section 54
vi: the composition of any committees; and
vii: the term of office of regional advisory panel members; and
viii: how a person ceases to be a regional advisory panel member; and
ix: the process and grounds for removing regional advisory panel members; and
x: how the panel’s chairperson and deputy chairperson are elected or appointed or, if the constitution provides that the panel has co-chairpersons and deputy co-chairpersons, how they are elected or appointed ( see sections 55 56 Procedures for regional advisory panel
h: arrangements and requirements for meetings of a regional advisory panel and of committees of the panel, including—
i: the intervals between meetings; and
ii: the information that must be presented at meetings; and
iii: when minutes are required to be kept; and
iv: the manner of calling meetings; and
v: the time within which, and manner in which, notices of meetings (including public meetings) and notices of motion must be notified; and
vi: the quorum and procedure for meetings, including decision-making procedures:
i: if the constitution provides for the panel to have co-chairpersons and deputy co-chairpersons ( see section 56
i: the procedure, for a regional advisory panel member to disclose details of an interest, required for the purposes of section 105(4)(c)
ii: the procedure, for giving a permission for 1 or more regional advisory panel members, or regional advisory panel members with a specified class of interest, to do anything otherwise prohibited by section 107 section 109(8)
j: procedures and time frames for making decisions by consensus ( see section 50 Procedures for performing duty to provide funding for specified remuneration, expenses, or costs
k: procedures for the entity to perform its duty under section 116(1)
i: remuneration for, and reasonable expenses of,—
A: regional representatives:
B: regional advisory panel members:
ii: reasonable administrative costs of each meeting of that group or panel:
iii: reasonable costs of that group or panel performing or exercising its duties, functions, or powers under this Act or the constitution:
iv: reasonable costs related to that group or panel establishing or operating committees:
v: reasonable costs of territorial authority owners and mana whenua related to participating in appointment procedures for that group or panel:
vi: reasonable costs for that group or panel obtaining advice to enable it to perform or exercise effectively its duties, functions, or powers under this Act or the constitution:
vii: reasonable costs of training, or capacity building, for that group or panel:
viii: other reasonable costs related to that group or panel performing or exercising its duties, functions, or powers under this Act or the constitution:
ix: any unforeseen costs incurred with the prior approval of the board of the entity:
l: procedures for the entity to perform its duty under section 116(2)
i: support and enable mana whenua to provide Te Mana o te Wai statements for water services; and
ii: monitor any plan of the entity, or actions that the entity takes, as part of the entity’s response to a Te Mana o te Wai statement for water services: Composition of board
m: the composition of the board, including—
i: the procedures for the appointment of board members by the board appointment committee ( see sections 64 65
ii: the requirements before appointment to the board, including disclosure of interests ( see section 66
iii: the term of office of board members ( see section 67
iv: how a person ceases to be a board member ( see section 74
v: how the chairperson and deputy chairperson of the board will be appointed and their term of office: Procedures for board
n: the procedures for the board, including—
i: the intervals between meetings; and
ii: the information that must be presented at meetings; and
iii: when minutes are required to be kept; and
iv: the manner of calling meetings; and
v: the time within which, and manner in which, notices of meetings (including public meetings) and notices of motion must be notified; and
vi: the quorum and procedure for meetings:
o: decision-making procedures, including any requirements relating to voting or consensus decision making: Procedures for dispute resolution
p: procedures for dispute resolution (in addition to those in section 43(4) and (5)
i: disputes within a regional representative group (that is, between regional representatives); and
ii: disputes between the regional representative group and the board; and
iii: disputes between parties that are able to appoint regional representatives and that are disputes about appointment processes: Procedures for reviewing, amending, or replacing the constitution
q: procedures for reviewing, amending, or replacing the constitution ( see sections 97 98 Section 93(a)(i) amended 23 August 2023 section 13 Water Services Entities Amendment Act 2023
94: Constitution may contain other matters not inconsistent with Act
1: The constitution of a water services entity may provide for any other matters that are not inconsistent with this Act or any other legislation.
2: In particular, the constitution may provide for—
a: collective or individual experience, expertise, qualifications, or skills required of a regional representative group, its committees, or its regional representatives (in addition to those required by section 38(2)
b: collective or individual experience, expertise, qualifications, or skills required of any regional advisory panel, its committees, or its members:
c: collective experience, qualifications, skills or expertise required of the board (in addition to those required by section 59(2)
d: additional reporting and monitoring requirements imposed on the board by the regional representative group, over and above requirements in the statement of strategic and performance expectations, statement of intent, annual report, asset management plan, funding and pricing plan, and infrastructure strategy:
e: reviews, done by the regional representative group, of the board’s performance, including the intervals between those reviews.
3: Subsection (2) does not limit subsection (1).
95: Effect of constitution
1: A constitution of a water services entity has no effect to the extent that it contravenes, or is inconsistent with, this Act or any other legislation.
2: The constitution cannot—
a: delegate or transfer duties, functions, or powers imposed or conferred by this Act:
b: confer decision-making rights weighted by shares held by a territorial authority owner for any matter:
c: confer on a territorial authority owner (in its capacity as a holder of shares in a water services entity, or any other capacity), a regional representative group, or a regional representative any right, title, or interest (legal or equitable) in the assets, security, debts, or liabilities of a water services entity ( see also sections 15(3) 171(1)(a)
d: confer a power of direction contrary to section 117
3: The constitution is binding, in accordance with its terms, as between—
a: the regional representative group, its regional representatives, and its committees; and
b: the regional representative group, and the territorial authority owners and mana whenua who, under this Act ( see sections 32 33
c: any regional advisory panel, its members, and its committees; and
d: the board, its members, and its committees.
4: Subsection (2) is subject to the rest of this Act (for example, to the board’s ability under sections 87 to 90
96: First constitution of water services entity
1: The first constitution of a water services entity is the model constitution for the entity set out in regulations.
2: But, when that model constitution is first amended or replaced under section 97 98
a: that model constitution as so amended or replaced must set out all provisions of the entity’s constitution (including any unchanged from that model constitution); and
b: the regulations setting out the model constitution for the entity are revoked.
97: Process for amending or replacing constitution
1: A regional representative group may propose to amend the water services entity’s constitution or adopt a new constitution for the entity in the manner provided in this section.
2: A proposed amendment to the entity’s constitution or a proposed new constitution for the entity must be approved by the Minister before it is effective.
3: A draft constitution, or a proposed amendment to the entity’s constitution, must be—
a: in writing; and
b: approved at a general meeting of the group by a resolution passed by a 75% majority of all of the group’s regional representatives; and
c: otherwise proposed in accordance with the constitution.
4: The regional representative group must ensure that written notice of the draft constitution or proposed amendment is—
a: provided to the Minister; and
b: published, for at least 20 working days, on an Internet site maintained by, or on behalf of, the entity in a format that is readily accessible.
5: The Minister may, after that 20-working-day period, approve or reject the amendment or proposed new constitution.
6: If the Minister approves the amendment or proposed new constitution, the amendment or replacement constitution is effective—
a: on the day immediately after the date of that approval; or
b: on a later date that is specified in the amendment or replacement, and that is in accordance with the terms of the resolution of the group under subsection (3)(b).
7: A proposed amendment to the entity’s constitution or a proposed new constitution for the entity has no effect if rejected by the Minister.
8: The constitution as amended or replaced under this section is secondary legislation ( see Part 3
9: For that Act, the regional representative group is, despite the Minister’s approval, taken to be the maker of the constitution.
10: This section applies, without limitation, to an amendment or new constitution increasing the number of regional representatives ( see section 484(5) section 98(1) The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in accordance with the Legislation (Publication) Regulations 2021 LA19 s 74(1)(aa) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 97(10) amended 31 August 2023 section 12 Water Services Legislation Act 2023
98: Minor or technical amendments
1: A regional representative group may, in the manner provided by the constitution, amend the water services entity’s constitution under this section if the amendment—
a: has no more than a minor effect; or
b: corrects errors or makes similar technical alterations.
2: The regional representative group must, in accordance with the constitution, ensure that written notice of the amendment is sent to the monitor.
3: If no objection from the monitor is received within 20 working days after the date on which the notice is served (or any longer period specified in the entity’s constitution), the regional representative group may make the amendment.
4: If the group makes the amendment, the amendment is effective—
a: on the day immediately after the date on which the group makes the amendment; or
b: on a later date that is specified in the amendment.
5: The constitution as amended under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in accordance with the Legislation (Publication) Regulations 2021 LA19 s 74(1)(aa) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act.
8: General provisions relating to regional representatives, regional advisory panel members, and board members
Qualifications
99: Qualifications of regional representatives, regional advisory panel members, and board members
1: A natural person who is not disqualified by this section may be a regional representative, a regional advisory panel member, or a board member of a water services entity.
2: The following persons are disqualified from being a regional representative, regional advisory panel member, or board member:
a: a person who is an undischarged bankrupt:
b: a person who is prohibited from being a director or promoter of, or being concerned or taking part in the management of, an incorporated or unincorporated body under the Companies Act 1993 Financial Markets Conduct Act 2013 Takeovers Act 1993
c: a person who is subject to a property order under the Protection of Personal and Property Rights Act 1988
d: a person in respect of whom a personal order has been made under the Protection of Personal and Property Rights Act 1988
i: competence to manage their own affairs in relation to their property; or
ii: capacity to make or to communicate decisions relating to any particular aspect or aspects of their personal care and welfare:
e: a person who has been convicted of an offence punishable by imprisonment for a term of 2 years or more, or who has been sentenced to imprisonment for any other offence, unless that person has obtained a pardon, served the sentence, or otherwise suffered the penalty imposed on the person:
f: a member of Parliament.
3: The following persons are also disqualified from being a board member:
a: a regional representative:
b: a regional advisory panel member:
c: a member—
i: of a territorial authority; and
ii: elected under section 19B 19C 2004 No 115 s 30 Reliance on information and advice
100: When regional representatives, regional advisory panel members, and board members may rely on certain information and advice
1: A regional representative, regional advisory panel member, or board member of a water services entity may, when acting as a regional representative, regional advisory panel member, or board member, rely on reports, statements, financial data, and other information prepared or supplied, and on professional or expert advice given, by any of the following persons:
a: an employee of a water services entity whom the regional representative, regional advisory panel member, or board member believes on reasonable grounds to be reliable and competent in relation to the matters concerned:
b: a professional adviser or expert in relation to matters that the regional representative, regional advisory panel member, or board member believes on reasonable grounds to be within the person’s professional or expert competence:
c: any other regional representative, regional advisory panel member, or board member or a committee on which the regional representative, regional advisory panel member, or board member did not serve in relation to matters within the designated authority of the regional representative, regional advisory panel member, board member, or committee (as applicable).
2: This section applies to a regional representative, regional advisory panel member, or board member only if they—
a: act in good faith; and
b: make proper inquiry if the need for inquiry is indicated by the circumstances; and
c: have no knowledge that the reliance is unwarranted. 2004 No 115 s 61(1), (3) Conflict of interest disclosure rules
101: Water services entity must keep interest registers for entity, regional representative group, and regional advisory panel
A water services entity must keep a separate interest register for each of the following:
a: interests of board members:
b: interests of regional representatives:
c: interests of regional advisory panel members.
102: When person is interested
1: A person is interested
a: may derive a financial benefit from the matter; or
b: is the spouse, civil union partner, de facto partner, child, or parent of a person who may derive a financial benefit from the matter; or
c: may have a financial interest in a person to whom the matter relates; or
d: is a partner, director, officer, board member, or trustee of a person who may have a financial interest in a person to whom the matter relates; or
e: is otherwise directly or indirectly interested in the matter.
2: However, a person is not interested in a matter—
a: because the person receives an indemnity, insurance cover, remuneration, or other benefits authorised under this Act or another Act; or
b: if their interest is so remote or insignificant that it cannot reasonably be regarded as likely to influence them in carrying out their responsibilities under this Act or another Act; or
c: only because they have past or current involvement in the relevant sector, industry, or practice.
3: In this section, matter
a: in relation to a board member,—
i: a water services entity’s performance of its functions or exercise of its powers; or
ii: an arrangement, agreement, or contract made or entered into, or proposed to be entered into, by the entity:
b: in relation to a regional representative,—
i: a regional representative group’s performance of its functions or exercise of its powers; or
ii: a board appointment committee’s performance of its functions or exercise of its powers:
c: in relation to a regional advisory panel member, a regional advisory panel’s performance of its functions or exercise of its powers. 2004 No 115 s 62
103: Obligation of board member to disclose interest
1: A board member who is interested in a matter relating to a water services entity must disclose details of the interest in accordance with subsection (4) as soon as practicable after the board member becomes aware that they are interested.
2: A general notice of an interest in a matter relating to a water services entity, or in a matter that may in future relate to the entity, that is disclosed in accordance with subsection (4) is a standing disclosure of that interest for the purposes of this section.
3: A standing disclosure ceases to have effect if the nature of the interest materially alters or the extent of the interest materially increases.
4: A board member must disclose details of an interest in the interests register kept by the water services entity, and to—
a: the chairperson of the board or, if there is no chairperson or if the chairperson is unavailable or interested, the deputy chairperson of the board; or
b: the regional representative group, if there is neither a chairperson nor a deputy chairperson of the board, or if both the chairperson and the deputy chairperson of the board are unavailable or interested. 2004 No 115 ss 63 64
104: Obligation of regional representative to disclose interest
1: A regional representative who is interested in a matter relating to an entity’s regional representative group must disclose details of the interest in accordance with subsection (4) as soon as practicable after the member becomes aware that they are interested.
2: A general notice of an interest in a matter relating to a regional representative group, or in a matter that may in future relate to the group, that is disclosed in accordance with subsection (4) is a standing disclosure of that interest for the purposes of this section.
3: A standing disclosure ceases to have effect if the nature of the interest materially alters or the extent of the interest materially increases.
4: A regional representative must disclose details of an interest in the interests register kept by the water services entity, and—
a: to the chairperson of the regional representative group or, if there is no chairperson or if the chairperson is unavailable or interested, the deputy chairperson of the group; or
b: to the monitor, if there is neither a chairperson nor a deputy chairperson of the regional representative group, or if both the chairperson and the deputy chairperson of the group are unavailable or interested; or
c: in accordance with the procedure specified for the purposes of this paragraph in the constitution if it provides for the group to have co-chairpersons and deputy co-chairpersons ( see sections 42 93(e) 2004 No 115 ss 63 64
105: Obligation of regional advisory panel member to disclose interest
1: A regional advisory panel member who is interested in a matter relating to a regional advisory panel for an entity’s regional representative group must disclose details of the interest in accordance with subsection (4) as soon as practicable after the member becomes aware that they are interested.
2: A general notice of an interest in a matter relating to a regional advisory panel, or in a matter that may in future relate to the panel, that is disclosed in accordance with subsection (4) is a standing disclosure of that interest for the purposes of this section.
3: A standing disclosure ceases to have effect if the nature of the interest materially alters or the extent of the interest materially increases.
4: A regional advisory panel member must disclose details of an interest in the interests register kept by the water services entity, and—
a: to the chairperson of the regional advisory panel or, if there is no chairperson or if the chairperson is unavailable or interested, the deputy chairperson of the panel; or
b: to the monitor, if there is neither a chairperson nor a deputy chairperson of the regional advisory panel, or if both the chairperson and the deputy chairperson of the panel are unavailable or interested; or
c: in accordance with the procedure specified for the purposes of this paragraph in the constitution if it provides for the panel to have co-chairpersons and deputy co-chairpersons ( see sections 56 93(i) 2004 No 115 ss 63 64
106: What must be disclosed
The details that must be disclosed under sections 103 104 105
a: the nature of the interest and the monetary value of the interest (if the monetary value can be quantified); or
b: the nature and extent of the interest (if the monetary value cannot be quantified). 2004 No 115 s 65
107: Consequences of being interested in matter
Board member
1: A board member who is interested in a matter relating to a water services entity—
a: must not vote or take part in any discussion or decision of the board or otherwise participate in any activity of the entity that relates to the matter; and
b: must not sign any document relating to the entry into a transaction or the initiation of the matter; and
c: is to be disregarded for the purpose of forming a quorum for that part of a meeting of the board during which a discussion or decision relating to the matter occurs or is made. Regional representative
2: A regional representative who is interested in a matter relating to a regional representative group—
a: must not vote or take part in any discussion or decision of the group or otherwise participate in any activity of the group that relates to the matter; and
b: is to be disregarded for the purpose of forming a quorum for that part of a meeting of the group during which a discussion or decision relating to the matter occurs or is made. Regional advisory panel member
3: A regional advisory panel member who is interested in a matter relating to a regional advisory panel—
a: must not vote or take part in any discussion or decision of the panel or otherwise participate in any activity of the panel that relates to the matter; and
b: is to be disregarded for the purpose of forming a quorum for that part of a meeting of the panel during which a discussion or decision relating to the matter occurs or is made. 2004 No 115 s 66
108: Consequences of failing to disclose interest
Board
1: As soon as practicable after becoming aware of a failure by a board member to comply with section 103 107(1)
a: to the chairperson of the regional representative group (if the constitution does not provide for the group to have co-chairpersons and deputy co-chairpersons); or
b: in accordance with the procedure specified for the purposes of this paragraph in the constitution if it provides for the group to have co-chairpersons and deputy co-chairpersons ( see sections 42 93(e) Regional representative group
2: The regional representative group must notify the monitor of a failure by a regional representative to comply with section 104 107(2) Regional advisory panel
3: The regional advisory panel must notify the monitor of a failure by a regional advisory panel member to comply with section 105 107(3) Validity of act or matter
4: A failure to comply with section 103 104 105 107
5: However, subsection (4) does not limit the right of any person to apply, in accordance with law, for judicial review. 2004 No 115 s 67
109: Permission to act despite being interested in matter
Board
1: The chairperson of the board may, by prior written notice to the board, permit 1 or more board members, or board members with a specified class of interest, to do anything otherwise prohibited by section 107
2: The deputy chairperson (if any) of the board may give a permission if there is no chairperson, or if the chairperson is unavailable or interested. Regional representative group
3: The chairperson of a regional representative group may, by prior written notice to the regional representative group, permit 1 or more regional representatives, or regional representatives with a specified class of interest, to do anything otherwise prohibited by section 107
4: The deputy chairperson of a regional representative group may give a permission if there is no chairperson, or if the chairperson is unavailable or interested.
5: Despite subsections (3) and (4), if the constitution provides for the group to have co-chairpersons and deputy co-chairpersons ( see section 42 see section 93(e) Regional advisory panel
6: The chairperson of a regional advisory panel may, by prior written notice to the regional advisory panel, permit 1 or more regional advisory panel members, or regional advisory panel members with a specified class of interest, to do anything otherwise prohibited by section 107
7: The deputy chairperson of a regional advisory panel may give a permission if there is no chairperson, or if the chairperson is unavailable or interested.
8: Despite subsections (6) and (7), if the constitution provides for the panel to have co-chairpersons and deputy co-chairpersons ( see section 55 see section 93(i) Permission
9: A permission may state conditions that the board member, regional representative, or regional advisory panel member must comply with.
10: A permission may be amended or revoked in the same way as it may be given. 2004 No 115 s 68(1)–(5)
110: Permission must be disclosed in annual report
The water services entity must disclose an interest to which a permission under section 109 2004 No 115 s 68(6)
111: Entity may avoid certain acts done in breach of conflict of interest rules
1: A water services entity may avoid a natural person act done by the entity in respect of which a board member was in breach of section 107
2: However, the act of a board member—
a: may be avoided only within 3 months of the affected act being notified—
i: to the chairperson of the regional representative group, under section 108(1)(a)
ii: under section 108(1)(b)
b: cannot be avoided if the entity receives fair value in respect of the act.
3: An act in which a board member is interested can be avoided on the ground of the board member’s interest only in accordance with this section. 2004 No 115 s 69
112: What is fair value
1: A water services entity is presumed to receive fair value in respect of an act that is done by the entity in the ordinary course of its business and on usual terms and conditions.
2: Whether a water services entity receives fair value in respect of an act must be determined on the basis of the information known to the entity and to the interested board member at the time the act is done. 2004 No 115 s 70
113: Onus of proving fair value
1: A person who is seeking to prevent an act from being avoided, and who knew, or ought reasonably to have known, of the board member’s interest at the time the act was done, has the onus of establishing fair value.
2: In any other case, a water services entity has the onus of establishing that it did not receive fair value. 2004 No 115 s 71
114: Effect of avoidance on third parties
The avoidance of an act under section 111
a: from a person other than the water services entity; and
b: for valuable consideration; and
c: without knowledge of the circumstances of the act under which the person referred to in paragraph (a) acquired the property from the entity. 2004 No 115 s 72 Vacancies in membership
115: Vacancies in membership of board, regional representative group, or regional advisory panel
1: The powers and functions of a water services entity are not affected by any vacancy in the membership of—
a: its board; or
b: its regional representative group; or
c: a regional advisory panel for that group.
2: The powers and functions of a water services entity’s regional representative group are not affected by any vacancy in the membership of—
a: the entity’s board; or
b: the regional representative group; or
c: a regional advisory panel for that group.
3: The powers and functions of a regional advisory panel for the regional representative group of a water services entity are not affected by any vacancy in the membership of—
a: the regional advisory panel; or
b: the regional representative group; or
c: the entity’s board. 2004 No 115 s 77 Duties to provide funding and information
116: Duties to provide funding and information
Duty to provide funding for remuneration, expenses, or costs
1: A water services entity must provide funding, in accordance with the procedures specified in its constitution ( see section 93(k) section 93(k) Duty to provide funding for Te Mana o te Wai statements for water services
2: A water services entity must provide funding, in accordance with the procedures specified in its constitution ( see section 93(l)
a: support and enable mana whenua to provide Te Mana o te Wai statements for water services; and
b: monitor any plan of the entity, or actions that the entity takes, as part of the entity’s response to a Te Mana o te Wai statement for water services. Duty to provide information
3: A water services entity must provide information that the entity holds if that information is required—
a: by any territorial authority owner, any mana whenua in the service area, the entity’s regional representative group, or a regional advisory panel for that group; and
b: to help the territorial authority owner, mana whenua, group, or panel perform or exercise its duties, functions, or powers under this Act.
4: But personal information within the meaning of the Privacy Act 2020
3: Operation of water services entities
Independence of water services entities
117: Safeguarding independence of water services entities
1: The Minister, a territorial authority owner, a regional representative, or a regional representative group cannot direct a water services entity or a board member or an employee of a water services entity—
a: in relation to the performance or exercise of a duty, function, or power under this Act; or
b: to require the performance or non-performance of a particular act, or the bringing about of a particular result, in respect of a particular person or persons.
2: This section applies to all Government policy statements and statements of strategic and performance expectations issued under this Act.
3: This section also prevents a constitution of a water services entity from conferring a power of direction that would contravene this section.
4: However, nothing in this section affects the following:
a: the giving of a direction under section 137A
b: the performance or exercise of a territorial authority’s regulatory duties, functions, or powers under legislation other than this Act. 2004 No 115 s 113 Section 117(4) replaced 23 August 2023 section 14 Water Services Entities Amendment Act 2023 Obligation to maintain ownership and control of water services and significant assets
118: Obligation to maintain water services
1: A water services entity must continue to provide water services and maintain its capacity to perform or exercise its duties, functions, or powers under this Act.
2: In order to perform or exercise its duties, functions, or powers under this Act, a water services entity must not do any of the following:
a: use water services infrastructure as security for any purpose:
b: divest its ownership or other interest in any water services except in accordance with Part 8 Schedule 4
c: lose control of, sell, or otherwise dispose of, the significant infrastructure necessary for providing water services in its service area except—
i: in accordance with Part 8 Schedule 4
ii: if, in doing so, the entity retains its capacity to perform or exercise its duties, functions, or powers:
d: transfer any of its significant infrastructure to a subsidiary that the water services entity owns or operates.
3: In this section,— significant infrastructure
a: water services infrastructure that—
i: is owned or operated by a water services entity for the purposes of the delivery of water services to consumers or communities in any part of the entity’s service area; and
ii: a water services entity needs to retain to—
A: maintain its capacity to achieve its objectives; or
B: perform or exercise its duties, functions, or powers; or
C: promote an outcome that the entity has identified as important to the current or future well-being of consumers or communities in the entity’s service area; and
b: infrastructure that is identified by the water services entity as being material to its operations and that is included in the entity’s current statement of intent. 2002 No 84 s 130(2), (3)(a), (b), (c) Section 118(2)(b) amended 31 August 2023 section 13(1) Water Services Legislation Act 2023 Section 118(2)(c)(i) amended 31 August 2023 section 13(1) Water Services Legislation Act 2023 Section 118(2)(d) inserted 31 August 2023 section 13(2) Water Services Legislation Act 2023 Contracting out of water services
119: Contracts relating to provision of water services
1: Despite section 118 or anything in the Infrastructure Funding and Financing Act 2020
2: If a water services entity enters into a contract under subsection (1) with any person (including a subsidiary that it owns or operates)
a: continue to be legally responsible for providing the water services; and
b: maintain ownership of the infrastructure and assets relating to the water services; and
c: retain control over—
i: the pricing of water services; and
ii: developing policy related to the delivery of water services.
3: This section does not prevent a water services entity from entering into a contract with 1 or more other water services entities if the purpose of the contract relates solely to water services. 2002 No 84 s 136 Section 119(1) amended 31 August 2023 section 14(1) Water Services Legislation Act 2023 Section 119(2) amended 31 August 2023 section 14(2) Water Services Legislation Act 2023
120: Joint arrangements for purpose of providing water services
1: Nothing in section 118 Infrastructure Funding and Financing Act 2020
2: Before a water services entity enters into a joint arrangement or joint water services entity arrangement, it must have engaged
a: the territorial authority owners in whose district services will be delivered, or other arrangements made, as part of the arrangement; and
b: the consumers and communities, and mana whenua, in the entity’s service area; and
c: any other interested persons that the board considers appropriate.
2A: In conducting the engagement, the board of the water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476
3: If a water services entity enters into a joint arrangement under subsection (1), it must—
a: continue to be legally responsible for providing the water services; and
b: retain control over—
i: the pricing of water services; and
ii: developing policy related to water services; and
c: after the end of the joint arrangement, retain ownership of all the infrastructure associated with the water services, whether or not the infrastructure was—
i: provided by the water services entity at the beginning of the joint arrangement; or
ii: developed or purchased during the joint arrangement; and
d: not sell or transfer ownership of any existing infrastructure associated with the water services, unless the water services entity reasonably believes that the sale is—
i: incidental to the joint arrangement; and
ii: desirable for the success of the joint arrangement.
4: In this section,— concession or other franchise agreement joint arrangement joint water services entity arrangement 2002 No 84 ss 136 137 Section 120(1) amended 31 August 2023 section 15(1) Water Services Legislation Act 2023 Section 120(2) amended 31 August 2023 section 15(2) Water Services Legislation Act 2023 Section 120(2A) inserted 31 August 2023 section 15(3) Water Services Legislation Act 2023 Employees of water services entities
121: Employment of chief executive
1: A chief executive of a water services entity is appointed by the entity’s board.
2: The terms and conditions of employment of a chief executive must be agreed between the board and the chief executive.
3: When considering the terms and conditions of a chief executive, the board must have regard to all of the following (among any other relevant factors):
a: the legal, commercial, and operational context of the entity:
b: the person’s knowledge, skills, experience, and performance:
c: the public interest in prudent stewardship of public resources:
d: relevant market information.
4: A failure to comply with this section does not invalidate the acts of a chief executive of a water services entity. 2004 No 115 s 117
122: Water services entity to be good employer
1: A water services entity must, if it employs employees,—
a: operate a personnel policy that complies with the principle of being a good employer; and
b: make the policy (including the equal employment opportunities programme) available to its employees; and
c: ensure its compliance with the policy (including its equal employment opportunities programme) and report in its annual report on the extent of its compliance.
2: For the purposes of this section, a good employer
a: good and safe working conditions; and
b: an equal employment opportunities programme; and
c: the impartial selection of suitably qualified persons for appointment; and
d: recognition of—
i: the aims and aspirations of Māori; and
ii: the employment requirements of Māori; and
iii: the need for involvement of Māori as employees of the entity; and
e: opportunities for enhancing the abilities of individual employees; and
f: recognition of the aims and aspirations, employment requirements, and cultural differences of ethnic or minority groups; and
g: recognition of the employment requirements of women; and
h: recognition of the employment requirements of persons with disabilities; and
i: recognition of the importance of achieving pay equity between female and male employees; and
j: recognition of the importance of decisions about remuneration being free from bias including, but not limited to, gender bias.
3: For the purposes of this section, an equal employment opportunities programme 2004 No 115 s 118 Protections from liability
123: Definitions for protections from liability
In sections 124 to 128 board member
a: means a member of the board appointed under section 59
b: includes a board member who is a board member at any time after the commencement of this section but who ceases to be a board member effect insurance employee
a: includes the chief executive of the entity other than for the process of determining terms and conditions under section 121
b: includes a person who is an employee at any time after the commencement of this section but who ceases to be an employee entity’s functions excluded act or omission indemnify indemnity 2004 No 115 s 126
124: Protections for board members and employees from liabilities of water services entity
A board member or an employee of a water services entity is not liable for any liability of the entity by reason only of being a board member or an employee. 2004 No 115 s 120
125: Immunity from civil liability
1: A board member of a water services entity is not liable, in respect of an excluded act or omission,—
a: to the entity, unless the excluded act or omission is also a breach of an individual duty under any of sections 77 to 81
b: to any other person.
2: An employee of a water services entity is not liable to any person in respect of an excluded act or omission.
3: Nothing in this section affects—
a: the making of an order under section 86
b: the liability of any person that is not a civil liability:
c: the right of any person to apply, in accordance with the law, for judicial review. 2004 No 115 s 121
126: Indemnities in relation to excluded act or omission
A water services entity may only indemnify a board member or an employee in respect of an excluded act or omission (including costs incurred in defending or settling any claim or proceeding relating to that excluded act or omission). 2004 No 115 s 122
127: Insurance for liability of board member or employee
A water services entity may effect insurance cover for a board member or an employee of the entity in relation to their acts or omissions, except an act or omission that is—
a: in bad faith; or
b: not in the performance or intended performance of the entity’s functions. 2004 No 115 s 123
128: Breach of indemnity and insurance limits
1: A board member or an employee who is indemnified or insured by a water services entity in breach of this Act must repay to the entity the cost of providing or effecting that indemnity or insurance cover, to the extent that the indemnity or insurance cover exceeds that which could have been provided or effected under this Act.
2: The water services entity may recover the amount as a debt due in a court of competent jurisdiction. 2004 No 115 s 125 Dealings with third parties by water services entities
129: Method of contracting
1: A contract or other enforceable obligation may be entered into by a water services entity as provided in this section.
2: An obligation that, if entered into by an individual, is required to be by deed may be entered into on behalf of a water services entity in writing, signed under the name of the entity, by 2 or more of its board members.
3: An obligation that, if entered into by an individual, is required to be in writing may be entered into on behalf of a water services entity in writing by a person acting under the entity’s express or implied authority.
4: An obligation that, if entered into by an individual, is not required to be in writing may be entered into on behalf of a water services entity in writing or orally by a person acting under the entity’s express or implied authority.
5: This section applies to a contract or other obligation—
a: whether or not that obligation was entered into in New Zealand; and
b: whether or not the law governing that obligation is the law of New Zealand. 2004 No 115 s 127
130: Address for service and location of head office
1: The address for service in respect of a water services entity is the address of the head office of the entity.
2: The head office of a water services entity must be located within its service area. 2004 No 115 s 130
4: Financial and accountability matters
1: Outline of Part
131: Outline of Part (financial and accountability matters)
Planning, performance, and reporting continuous, and integrated with engagement
1: Subparts 2 to 5 see sections 472 to 475 Government policy statement on water services
2: Subpart 2
a: states the Government’s overall direction and priorities for water services; and
b: informs and guides agencies involved in, and the activities necessary or desirable for, water services. Directions for shared services
2A: Subpart 2A Statement of strategic and performance expectations
3: Subpart 3
a: states the regional representative group’s objectives and priorities for water services in the entity’s service area; and
b: informs and guides the decisions and actions of the board of the entity. Te Mana o te Wai statement for water services
4: Subpart 4 see sections 472 to 475 Community priority statements for water services
4A: Subpart 4A
a: about a water body in the service area of a water services entity; and
b: by an eligible person ( see section 145AB
c: to the entity’s regional representative group; and
d: by any current deadline for community priority statements that has been set by the group and notified to the public ( see section 145AC
e: to state to the group the person’s views about, and priorities for, how water services provided by, or other activities of, the entity do or could affect or relate to the water body. Reporting obligations
5: Subpart 5 see sections 472 to 475
a: a statement of intent:
b: an asset management plan:
c: a funding and pricing plan:
d: an infrastructure plan:
e: an annual report. Financial management and independence, accounting, and borrowing
6: Subpart 6
7: Subpart 7
8: Subpart 8 Funding Agency and protected transactions
9: Subpart 9
10: Subpart 10 Status of outline
11: This outline is only a guide to this Part’s general scheme and effect. Section 131(1) amended 31 August 2023 section 16 Water Services Legislation Act 2023 Section 131(2A) heading inserted 23 August 2023 section 15(1) Water Services Entities Amendment Act 2023 Section 131(2A) inserted 23 August 2023 section 15(1) Water Services Entities Amendment Act 2023 Section 131(4) amended 31 August 2023 section 16 Water Services Legislation Act 2023 Section 131(4A) heading inserted 23 August 2023 section 15(2) Water Services Entities Amendment Act 2023 Section 131(4A) inserted 23 August 2023 section 15(2) Water Services Entities Amendment Act 2023 Section 131(5) amended 31 August 2023 section 16 Water Services Legislation Act 2023 Section 131(9) heading replaced 23 August 2023 section 15(3) Water Services Entities Amendment Act 2023 Section 131(9) replaced 23 August 2023 section 15(3) Water Services Entities Amendment Act 2023 Section 131(10) inserted 23 August 2023 section 15(3) Water Services Entities Amendment Act 2023 Section 131(11) heading inserted 23 August 2023 section 15(3) Water Services Entities Amendment Act 2023 Section 131(11) inserted 23 August 2023 section 15(3) Water Services Entities Amendment Act 2023
2: Government policy statement on water services
132: Minister may issue Government policy statement on water services
1: The Minister may issue a Government policy statement on water services.
2: The Minister must review a Government policy statement no later than 3 years after the date on which it is issued and later at intervals of no more than 3 years after the most recent review.
3: A Government policy statement may be issued under subsection (1) if—
a: the Government policy statement is consistent with the objectives of water services entities under section 12
b: the Minister has complied with section 134(b)
4: A Government policy statement issued under this section is secondary legislation ( see Part 3 2019 No 50 s 22 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in accordance with the Legislation (Publication) Regulations 2021 LA19 s 74(1)(aa) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act.
133: Purpose and content of Government policy statement
1: The purpose of a Government policy statement is to—
a: state the Government’s overall direction and priorities for water services; and
b: inform and guide agencies involved in, and the activities necessary or desirable for, water services.
2: A Government policy statement must include the following:
a: the Government’s overall direction for water services, which must include a multi-decade outlook:
b: the Government’s priorities for water services:
c: how the Government expects other agencies to support that direction and those priorities:
d: the Government’s expectations in relation to Māori interests, partnering with mana whenua, and giving effect to Te Mana o te Wai:
e: how the Government expects water services entities to take into account the well-being of consumers and communities.
3: A Government policy statement may also include—
a: the Government’s expectations in relation to the contribution of water services entities to the outcomes sought by the Government in the following areas:
i: public health:
ii: the environment:
iii: planning processes, growth, and housing and urban development:
iv: climate change mitigation and adaptation:
v: water security:
vi: resilience to natural hazards:
vii: local procurement, employment, joint arrangements, and joint water services entity arrangements:
viii: geographic averaging of residential water supply and residential wastewater service prices across each water services entity’s service area:
ix: redressing historical service inequities:
x: overall direction and priorities for charging arrangements for water services:
b: any other matters the Minister considers relevant.
4: Subsection (3)(a)(viii) applies only to a Government policy statement issued on and after 1 July 2029.
5: Subsection (3)(a)(x) and this subsection are repealed on 1 July 2029. 2019 No 50 s 23 2029-07-01 Water Services Entities Act 2022 Subsections (3)(a)(x) and (5) repealed on 1 July 2029; see s 133(5) Section 133(3)(a)(viii) inserted 31 August 2023 section 17(1) Water Services Legislation Act 2023 Section 133(3)(a)(ix) inserted 31 August 2023 section 17(1) Water Services Legislation Act 2023 Section 133(3)(a)(x) inserted 31 August 2023 section 17(1) Water Services Legislation Act 2023 Section 133(4) inserted 31 August 2023 section 17(2) Water Services Legislation Act 2023 Section 133(5) inserted 31 August 2023 section 17(2) Water Services Legislation Act 2023
134: Preparation or review of Government policy statement
1: When preparing or reviewing a Government policy statement, the Minister must—
a: be satisfied that it promotes a water services system that contributes to the current and future well-being of New Zealanders; and
b: engage
i: the water services entities; and
ii: the regional representative group of each water services entity; and
iii: Taumata Arowai–the Water Services Regulator; and
iv: other persons, and representative groups of persons, who have an interest in water services in New Zealand.
2: In conducting the engagement, the Minister must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 2019 No 50 s 24 Section 134(1)(b) amended 31 August 2023 section 18(1) Water Services Legislation Act 2023 Section 134(2) inserted 31 August 2023 section 18(2) Water Services Legislation Act 2023
135: Water services entities to give effect to Government policy statement
A water services entity must give effect to any Government policy statement (as that term is defined in section 6 2019 No 50 s 26
136: Amending Government policy statement
1: The Minister may amend a Government policy statement at any time.
2: Sections 134 137
a: apply with the necessary modifications to an amendment to the Government policy statement; but
b: do not apply if the amendment to the Government policy statement is not significant. 2019 No 50 s 29
137: Obligation to publish and present Government policy statement
1: As soon as practicable after issuing a Government policy statement, the Minister must—
a: present a copy to the House of Representatives; and
b: arrange for a copy to be given to each water services entity.
2: The department must make the Government policy statement publicly available as soon as practicable after it is issued by publishing a copy on an Internet site maintained by, or on behalf of, the department in a format that is readily accessible. 2019 No 50 s 28
2A: Directions for shared services
Subpart 2A inserted 23 August 2023 section 16 Water Services Entities Amendment Act 2023
137A: Directions for shared services
Purposes for which direction may be given
1: The Minister may direct water services entities to comply with specified requirements to share services provided to those entities and that are requirements for all or any of the following purposes:
a: to improve (directly or indirectly) the provision of water services:
b: to develop expertise and capability:
c: to ensure business continuity:
d: to manage risks to the water services entities’ financial position, the Government’s financial position, or both. Entities to which direction may be given
2: The direction may be given only to 2 or more entities each of which is—
a: a water services entity; or
b: a subsidiary of a water services entity. Requirements for direction
3: The direction must not be inconsistent with the operating principles of water services entities set out in section 14
4: The direction may direct 2 or more entities to which it may be given about how to give effect to it, but only in respect of any 1 or more specified periods—
a: after it comes into force; and
b: before 1 July 2026.
5: The direction must be limited to all or any of the following activities:
a: debt funding and management (for example, through the Water Services Entities Funding Agency):
b: information and communication technology, and digital infrastructure procurement and management:
c: other procurement, and supply chain management:
d: risk management and insurance:
e: workforce development and employment relations.
6: However, a direction to which subsection (5)(a) applies may only be given (despite subsection (1)) jointly by the Minister and the Minister of Finance.
7: A direction given under this section must include the reasons why it is given and a statement of its purposes. Commencement
8: A direction given under this section comes into force on the commencement date stated in it (which must be not earlier than the day after the date on which it is given). Direction is secondary legislation
9: Directions given under this section are secondary legislation ( see Part 3 2004 No 115 s 107 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in accordance with the Legislation (Publication) Regulations 2021 LA19 s 74(1)(aa) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 137A inserted 23 August 2023 section 16 Water Services Entities Amendment Act 2023
137B: Process for giving directions under section 137A
Engagement
1: The Minister must, before giving a direction under section 137A section 472
a: the water services entities; and
b: the regional representative group of each water services entity; and
c: Taumata Arowai–the Water Services Regulator; and
d: the Commission; and
e: other persons, and representative groups of persons, who have an interest in water services in New Zealand.
2: The Minister must, in giving a direction under section 137A
a: the input or feedback provided through the engagement in accordance with section 472
b: whether and how the proposed direction should respond to any issues or concerns raised by that input or feedback.
3: Subsection (2) does not limit or affect section 476 Notification
4: The Minister must, as soon as practicable after giving a direction under section 137A
a: has been given; and
b: will come into force on the commencement date stated in it. Shared services directions related to debt finding and management
5: However, for a direction to which section 137A(5)(a) sections 472 to 476 Exception for amendments or replacements with limited effect
6: Subsections (1) and (4) do not apply to any amendment or replacement of the direction ( see section 48 2004 No 115 s 108 Section 137B inserted 23 August 2023 section 16 Water Services Entities Amendment Act 2023 Section 137B(1) amended 31 August 2023 section 19(1) Water Services Legislation Act 2023 Section 137B(2)(a) amended 31 August 2023 section 19(1) Water Services Legislation Act 2023 Section 137B(3) amended 31 August 2023 section 19(2) Water Services Legislation Act 2023 Section 137B(5) amended 31 August 2023 section 19(3) Water Services Legislation Act 2023
137C: Obligation to give effect to direction
1: This section applies to an entity to which a direction under section 137A
2: The entity must give effect to the direction when performing its functions. 2004 No 115 s 110 Section 137C inserted 23 August 2023 section 16 Water Services Entities Amendment Act 2023
137D: Certain arrangements or agreements exempt from specified sections of Commerce Act 1986
Any arrangement or agreement is exempt from sections 27 30 30C 36 36A
a: entered into by parties that are or include 1 or more entities to which a direction under section 137A
b: entered into by those 1 or more entities in order to give effect to the direction when performing their functions (in accordance with section 137C Section 137D inserted 23 August 2023 section 16 Water Services Entities Amendment Act 2023
3: Regional representative group’s statement of strategic and performance expectations
138: Regional representative group must issue and review, and may replace, statement of strategic and performance expectations
1: The regional representative group of a water services entity must issue a statement of strategic and performance expectations for the entity.
2: The regional representative group must, at least once during every year after the year in which a statement of strategic and performance expectations is issued, review the statement.
3: The regional representative group may, following a review, issue a new statement of strategic and performance expectations that replaces the statement of strategic and performance expectations that was reviewed, in which case, the reviewed statement expires when it is replaced.
4: A statement of strategic and performance expectations must relate to at least 10 financial years.
5: Before issuing a statement or new statement, the regional representative group must seek, and consider, input from any regional advisory panel for the group—
a: on the statement or new statement; and
b: in respect of, or otherwise affecting, a particular geographic area for which the panel is responsible under the constitution ( see section 93(g)(ii)
139: Purpose and content of statement of strategic and performance expectations
1: The purpose of a statement of strategic and performance expectations for a water services entity is to—
a: state the regional representative group’s objectives and priorities for water services in the entity’s service area; and
b: inform and guide the decisions and actions of the board of the entity.
2: A statement of strategic and performance expectations for a water services entity must—
a: include the following matters:
i: the regional representative group’s expectations and strategic priorities for the entity:
ii: the outcomes the group expects to be achieved through the delivery of water services by the entity:
iii: how the group expects the water services entity to respond to any advice—
A: provided to the group by a regional advisory panel; and
B: about how the entity should perform or exercise its duties, functions, or powers in a particular geographic area ( see section 48
iv: how the group expects the water services entity to meet its objectives, perform or exercise its duties, functions, and powers, and comply with its operating principles:
v: how the group expects the water services entity to give effect to Te Mana o te Wai, to the extent that Te Mana o te Wai applies to the entity’s duties, functions, and powers; and
b: require the entity to give effect to the objective under section 12(a)
c: consider the needs and concerns of consumers and communities, as articulated in the latest consumer engagement stocktake under section 475
3: A matter under subsection (2)(a) must not be inconsistent with the direction and priorities for water services in the Government policy statement (if any) issued under section 132 Section 139(2)(c) amended 31 August 2023 section 20 Water Services Legislation Act 2023
140: Water services entity to give effect to statement of strategic and performance expectations
The board of a water services entity must give effect to the statement of strategic and performance expectations for the entity when performing its functions. 2019 No 50 s 26
141: Obligation to publish statement of strategic and performance expectations
1: The regional representative group of a water services entity must provide a copy of a statement of strategic and performance expectations to the board of the entity as soon as practicable after issuing it.
2: The board must make the statement of strategic and performance expectations publicly available as soon as practicable after it is issued by publishing a copy on an Internet site maintained by, or on behalf of, the entity in a format that is readily accessible.
142: Obligation of regional representative group to review board performance
The regional representative group of a water services entity must annually review the performance of the board in giving effect to the statement of strategic and performance expectations.
4: Te Mana o te Wai statements for water services
143: Mana whenua may provide Te Mana o te Wai statements for water services
1: A Te Mana o te Wai statement for water services may be provided to a water services entity by mana whenua—
a: whose rohe or takiwā includes a water body in the service area; or
b: whose interests in the service area are recognised in a Treaty settlement Act.
2: A Te Mana o te Wai statement for water services provided under subsection (1) may—
a: be provided by an individual iwi or hapū, or by a group of iwi or hapū:
b: relate to 1 water body, or to multiple water bodies.
3: Mana whenua who have provided a Te Mana o te Wai statement for water services under subsection (1)—
a: may review the statement at any time; and
b: following a review, may provide a new statement that replaces the statement that was reviewed, in which case the reviewed statement expires when it is replaced.
4: A statement provided under subsection (1) or (3)(b) expires after 10 years.
144: Water services entity must respond to Te Mana o te Wai statement for water services
1: As soon as practicable after receiving a Te Mana o te Wai statement for water services under section 143
a: acknowledge receipt of the statement; and
b: engage with the mana whenua who provided the statement
1A: In conducting the engagement, the board of the water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476
2: A response to a Te Mana o te Wai statement for water services must include a plan that sets out how the water services entity intends (consistent with, and without limiting, section 4(1)(b) Section 144(1)(b) amended 31 August 2023 section 21(1) Water Services Legislation Act 2023 Section 144(1A) inserted 31 August 2023 section 21(2) Water Services Legislation Act 2023
145: Obligation to publish response to Te Mana o te Wai statement for water services
The board of a water services entity must make its response to a Te Mana o te Wai statement for water services publicly available by publishing a copy on an Internet site maintained by, or on behalf of, the entity in a format that is readily accessible—
a: as soon as practicable after issuing the response; and
b: in any event, within 2 years after receiving the statement to which it relates.
4A: Community priority statements for water services
Subpart 4A inserted 23 August 2023 section 17 Water Services Entities Amendment Act 2023
145A: Making of statement
A community priority statement for water services may be made—
a: about a water body in the service area of a water services entity; and
b: by a person who is an eligible person ( see section 145AB
c: to the entity’s regional representative group; and
d: by any current deadline for community priority statements that has been set by the group and notified to the public ( see section 145AC
e: to state to the group the person’s views about, and priorities for, how water services provided by, or other activities of, the entity do or could affect or relate to the water body. Section 145A inserted 23 August 2023 section 17 Water Services Entities Amendment Act 2023
145AB: Who is eligible person
Meaning of eligible person
1: An eligible person section 145A(b)
a: has a connection with the entity’s service area ( see
b: has an interest in how water services are provided in that service area, or in how other activities of the entity do or could affect or relate to the water body, or in both. When person has connection with entity’s service area
2: A person has a connection with the entity’s service area
a: an individual who ordinarily resides in that service area; or
b: a corporation sole or a body corporate (including, without limitation, a local authority that is a body corporate with perpetual succession under section 12(1)
c: an unincorporated body, or any other person of any kind,—
i: whose main place of activities is in that service area; and
ii: whose purpose is, or includes, for any reason, any matter related to a water body in that service area; or
d: a corporation sole, a body corporate, any unincorporated body, or any other person of any kind,—
i: whose registered office, or whose main place of activities, is not in that service area; and
ii: who is a regional, national, or international organisation, of any kind, that carries out all or any of its activities in any place or places in New Zealand; and
iii: whose purpose is, or includes, for any reason, any matter related to a water body in that service area. Section 145AB inserted 23 August 2023 section 17 Water Services Entities Amendment Act 2023
145AC: Regional representative group may set, and notify publicly, current deadline for statements
1: A water services entity’s regional representative group may set, and notify publicly, a current deadline for community priority statements.
2: In setting a current deadline for community priority statements, the group must consider when it may next have regard to those statements ( see section 145C(3) and (4)
a: in preparing, issuing, or reviewing the group’s statement of strategic and performance expectations under section 139
b: as part of any comments the group makes on the water services entity’s planning and reporting documents under subpart 5
3: A current deadline for community priority statements is notified publicly for the purposes of this section if the deadline is published—
a: on an Internet site maintained by, or on behalf of, the entity; and
b: in any other ways that the group thinks are reasonable in the circumstances. Section 145AC inserted 23 August 2023 section 17 Water Services Entities Amendment Act 2023
145B: Other requirements for making statement
1: A community priority statement for water services must be made in writing.
2: A community priority statement for water services must state—
a: the person’s interest in how water services are provided in the entity’s service area, or in how other activities of the entity do or could affect or relate to the water body, or in both; and
b: the person’s views about, and priorities for, how water services provided by, or other activities of, the entity do or could affect or relate to the water body.
3: A community priority statement must be made by any current deadline for community priority statements that has been set by the regional representative group and notified to the public ( see section 145AC
4: However, a community priority statement made after any current deadline of that kind must be treated as having been received before the next current deadline of that kind (if any). Section 145B inserted 23 August 2023 section 17 Water Services Entities Amendment Act 2023
145C: What regional representative group must or may do in response to statement
1: This section applies to a water services entity’s regional representative group to which a community priority statement for water services is made.
2: The group must forward the statement to a consumer forum established by the water services entity under section 474
3: The group may consider the statement in preparing, issuing, or reviewing the group’s statement of strategic and performance expectations under section 139
4: The group may consider the statement as part of any comments the group makes on the water services entity’s planning and reporting documents under subpart 5 Section 145C inserted 23 August 2023 section 17 Water Services Entities Amendment Act 2023 Section 145C(2) amended 31 August 2023 section 22 Water Services Legislation Act 2023
5: Reporting obligations
Forecasting assumptions and risks
146: Forecasting assumptions and risks to be identified
1: This section applies to a reporting obligations document that must—
a: be prepared under this subpart; and
b: include forecast financial statements.
2: The document must identify clearly—
a: all significant forecasting assumptions and risks underlying the financial estimates:
b: in particular the following assumptions on which the financial estimates are based:
i: the entity’s assumptions about the life cycle of significant assets; and
ii: the entity’s assumptions about sources of funds for the future replacement of significant assets:
c: for significant forecasting assumptions and risks that involve a high level of uncertainty,—
i: the fact of that uncertainty; and
ii: an estimate of the potential effects of that uncertainty on the estimates provided in the document. 2002 No 84 Schedule 10 cl 17 Planning: statement of intent
147: Purpose of statement of intent
The purpose of a statement of intent is to promote the public accountability of a water services entity by—
a: setting out the entity’s strategic intentions; and
b: providing a base against which the water services entity’s actual performance can later be assessed. 2004 No 115 s 138
148: Board must prepare statement of intent
1: The board of a water services entity must provide to the regional representative group a statement of intent that complies with this section and section 149
2: The board must provide a statement of intent annually.
3: A statement of intent must—
a: relate to at least the following 10 financial years; and
b: be prepared in accordance with Part 1
4: A statement of intent must contain a report from the Auditor-General on—
a: whether the statement gives effect to its purpose stated in section 147
b: whether the statement provides a reasonable basis for long-term integrated planning and accountability; and
c: the reasonableness of assumptions, and information, underlying the forecast information provided in the statement; and
d: whether required disclosures have been made.
4A: However, subsection (4) does not apply to a statement of intent modified in accordance with clause 6
a: has no more than a minor effect; or
b: corrects errors or makes similar technical alterations.
5: A statement of intent must also describe the significant longer-term issues, risks, and challenges that the entity may face over a 30-year period, consistent with the entity’s infrastructure strategy adopted under section 157
6: A statement of intent must include the information in section 149(2)(f) and (3)(a) and (c)
a: in detail for each of the first 3 financial years covered by the statement; and
b: in outline for each of the later financial years covered by the statement.
7: Section 148(4A) inserted 31 August 2023 section 23 Water Services Legislation Act 2023 Section 148(7) repealed 23 December 2023 section 6 Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023
149: Content of statement of intent
Strategic elements
1: A statement of intent for a water services entity must, for the period to which it relates, set out—
a: how the entity intends to meet its objectives, perform or exercise its duties, functions, and powers, and comply with its operating principles; and
b: the outcomes the board expects to achieve through the delivery of water services; and
c: how the entity intends to give effect to—
i: the expectations, strategic priorities, and outcomes outlined in the statement of strategic and performance expectations for the entity; and
ii: the direction and priorities in the Government policy statement; and
d: how the statement relates to engagement requirements and will respond to or reflect the results of engagement; and
e: an explanation of how the proposals in the statement are linked to the matters raised in, and the findings from, consumer engagement stocktakes. Operational elements
2: A statement of intent for a water services entity must, for the period to which it relates, set out—
a: the nature and scope of the activities the entity proposes to undertake; and
b: significant work that the entity proposes to undertake; and
c: any actions the entity intends to take in a particular geographic area (consistent with the statement of strategic and performance expectations) in response to advice provided (to the entity’s regional representative group) by a regional advisory panel; and
d: any actions the entity intends to take (consistent with its plan under section 144(2)
e: how the entity proposes to approach consumer and community engagement; and
f: a forecast statement of service delivery performance for water supply, wastewater, and stormwater services, including non-financial performance measures and targets about the quality of the services to be delivered. Financial elements
3: A statement of intent must also include—
a: the forecast financial statements for each financial year in the period to which the statement of intent relates; and
b: the forecast financial statements
c: a forecast of expenditure to be applied to—
i: meet additional demand for water supply, wastewater, and stormwater services; and
ii: improve the level of the service delivery performance; and
iii: replace existing assets.
4: For the purposes of this section, budgeted expenditure applied for 2 or all of the purposes in subsection (3) may be treated as if it were applied solely in relation to the primary purpose of the expenditure. Section 149(3)(b) amended 31 August 2023 section 24 Water Services Legislation Act 2023
150: Board must publish statement of intent
The board of a water services entity must, as soon as practicable after providing a statement of intent to the entity’s regional representative group,—
a: provide the statement to the entity’s territorial authority owners; and
b: make the statement publicly available by publishing a copy on an Internet site maintained by, or on behalf of, the entity in a format that is readily accessible. Planning: asset management plan
151: Board must prepare asset management plan
1: The board of a water services entity must provide an asset management plan to the entity’s regional representative group at least once in every 3-year period.
2: The asset management plan must—
a: cover a period of not less than 10 consecutive financial years; and
b: comply with section 152
c: be prepared in accordance with Part 2
152: Content of asset management plan
1: An asset management plan for a water services entity must, for the period to which it relates, set out—
a: the investment priorities for the infrastructure assets of the entity; and
b: how the entity will—
i: operate, maintain, and renew its infrastructure assets; and
ii: provide new infrastructure assets; and
c: how the plan meets the proposed activities and intention of the entity set out in its statement of intent; and
d: any actions the entity intends to take in a particular geographic area (consistent with its statement of intent) in response to advice provided (to the entity’s regional representative group) by a regional advisory panel; and
e: how the plan relates to any actions the entity intends to take (consistent with its plan under section 144(2)
2: Section 152(2) repealed 23 December 2023 section 6 Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023
153: Obligation to publish asset management plan
As soon as practicable after an asset management plan is provided to the regional representative group, the chief executive of a water services entity must publish the asset management plan on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible. Section 153 replaced 31 August 2023 section 25 Water Services Legislation Act 2023 Planning: funding and pricing plan
154: Board must prepare funding and pricing plan
1: The board of a water services entity must provide a funding and pricing plan to the entity’s regional representative group at least once in every 3-year period.
2: The funding and pricing plan must—
a: cover a period of not less than 10 consecutive financial years; and
b: comply with section 155
c: be prepared in accordance with Part 3
3: Section 154(3) repealed 23 December 2023 section 6 Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023
155: Content of funding and pricing plan
1: A funding and pricing plan for a water services entity must, for the period to which it relates, set out—
a: the sources of, and the entity’s intended approach to, funding, revenue, and pricing; and
b: the water services entity’s intended approach to—
i: pricing its services and charging consumers; and
ii: complying with the charging principles specified in section 336
c: a financial strategy for all of the consecutive financial years covered by the funding and pricing plan; and
d: the water infrastructure contribution policy of the water services entity.
2: A financial strategy must—
a: include a statement of the factors that are expected to have a significant impact on the water services entity during the consecutive financial years covered by the strategy, including—
i: the expected changes in population and the use of land in the entity’s service area, and the capital costs and operating costs of providing for those changes; and
ii: any actions the entity intends to take in a particular geographic area (consistent with its statement of intent) in response to advice provided (to the entity’s regional representative group) by a regional advisory panel; and
iii: the expected capital expenditure and operating expenditure on network infrastructure that is required to maintain existing levels of service currently provided by the entity; and
iv: other significant factors affecting the entity’s ability to maintain existing levels of service and to meet additional demands for services; and
b: specify the entity’s policy on the giving of security for its borrowing; and
c: specify the entity’s objectives for holding and managing financial investments and equity securities and its quantified targets for returns on those investments and equity securities. 2002 No 84 s 101A(1), (3)(a), (c), (d) Section 155(1)(b) replaced 31 August 2023 section 26(1) Water Services Legislation Act 2023 Section 155(1)(d) inserted 31 August 2023 section 26(2) Water Services Legislation Act 2023
156: Obligation to publish funding and pricing plan
As soon as practicable after a funding and pricing plan is provided to the regional representative group, the chief executive of a water services entity must publish the funding and pricing plan on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible. Section 156 replaced 31 August 2023 section 27 Water Services Legislation Act 2023 Planning: infrastructure strategy
157: Board must prepare and adopt infrastructure strategy
1: The board of a water services entity must provide an infrastructure strategy to the entity’s regional representative group at least once in every 3-year period.
2: The purpose of an infrastructure strategy is to identify—
a: significant infrastructure issues for the water services entity over the period covered by the strategy; and
b: the main options for managing those issues and the implications of those options.
3: The strategy must—
a: cover a period of at least 30 consecutive financial years; and
b: comply with section 158
c: be prepared in accordance with Part 4
158: Content of infrastructure strategy
1: An infrastructure strategy must identify—
a: significant infrastructure issues for the water services entity over the period covered by the strategy; and
b: the main options for managing those issues and the implications of those options.
2: An infrastructure strategy must also, for the period to which it relates, outline how the water services entity intends to operate, maintain, and renew its existing infrastructure assets and provide for new infrastructure over the period covered by the strategy.
3: An infrastructure strategy must also set out any actions the entity intends to take in a particular geographic area (consistent with its statement of intent) in response to advice provided (to the entity’s regional representative group) by a regional advisory panel.
4: An infrastructure strategy must outline how the water services entity intends to manage its infrastructure assets, taking into account the need to—
a: renew or replace existing assets; and
b: respond to growth or decline in the demand for services reliant on those assets; and
c: allow for planned increases or decreases in levels of service provided through those assets; and
d: maintain or improve public health and environmental outcomes, or mitigate adverse effects on them; and
e: provide for the resilience of infrastructure assets by identifying and managing risks relating to natural hazards and by making appropriate financial provision for those risks.
5: An infrastructure strategy must outline the most likely scenario for the management of the water services entity’s infrastructure assets over the period of the strategy and, in that context, must—
a: show indicative estimates of the projected capital expenditure and operating expenditure associated with the management of those assets—
i: in each of the first 10 years covered by the strategy; and
ii: in each later period of 5 years covered by the strategy; and
b: identify—
i: the significant decisions about capital expenditure the entity expects it will be required to make; and
ii: when the entity expects those decisions will be required; and
c: include the following assumptions on which the scenario is based:
i: the entity’s assumptions about the life cycle of significant infrastructure assets:
ii: the entity’s assumptions about growth or decline in the demand for relevant services:
iii: the entity’s assumptions about increases or decreases in relevant levels of service; and
d: if assumptions referred to in paragraph (c) involve a high level of uncertainty,—
i: identify the nature of that uncertainty; and
ii: include an outline of the potential effects of that uncertainty.
6: An infrastructure strategy must also, for the period to which it relates, outline how the water services entity intends (consistent with, and without limiting, section 4(1)(b)
7: An infrastructure strategy must also contain a report from the Auditor-General on—
a: whether the strategy gives effect to its purpose stated in section 157
b: the quality of the information and assumptions underlying the forecast information provided in the strategy.
7A: However, subsection (7) does not apply to an infrastructure strategy modified in accordance with clause 24
a: has no more than a minor effect; or
b: corrects errors or makes similar technical alterations.
8: An infrastructure strategy for a water services entity must also identify and explain any significant connections with, or interdependencies between, the matters included in—
a: that infrastructure strategy; and
b: the infrastructure strategies prepared and adopted (under section 101B
9: 2002 No 84 s 101B Section 158(7A) inserted 31 August 2023 section 28 Water Services Legislation Act 2023 Section 158(9) repealed 23 December 2023 section 6 Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023
159: Obligation to publish infrastructure strategy
As soon as practicable after an infrastructure strategy is provided to the regional representative group, the chief executive of a water services entity must publish the infrastructure strategy on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible. Section 159 replaced 31 August 2023 section 29 Water Services Legislation Act 2023 Reporting: annual report
160: Obligation to prepare and publish annual report
1: A water services entity must,—
a: as soon as practicable after the end of, and within 4 months after, each financial year, prepare a report (with the contents required by section 161
b: provide the report to its regional representative group no later than 15 working days after receiving the audit report provided under section 165
2: A water services entity must publish a copy of its annual report on an Internet site maintained by, or on behalf of, the entity—
a: as soon as practicable after it has been provided to the regional representative group; and
b: in any event, no later than 20 working days after receiving the audit report.
3: When publishing the annual report, the entity must also consider whether to take additional or specific steps to ensure it is appropriately available to interested people. 2004 No 115 s 150(1)
161: Form and content of annual report
1: An annual report of a water services entity must contain the following information and reports in respect of the financial year to which it relates:
a: information on operations that complies with subsection (2):
b: a statement of service delivery performance in accordance with section 162
c: the annual financial statements for the entity in accordance with section 163
d: a statement of responsibility in accordance with section 164
e: an audit report in accordance with section 165
f: information on compliance with its obligation to be a good employer, including its equal employment opportunities programme ( see section 122
g: information required by section 166
h: information on responses the board has made to Te Mana o te Wai statements for water services during that financial year ( see section 144
i: information on any action that the entity has taken (consistent with its plan under section 144(2) see section 144
ia: information on actions a water services entity has taken to give effect to te Tiriti o Waitangi/the Treaty of Waitangi with reference to each of the matters listed in section 5
j: information required by section 21(3)
k: information required by section 110
ka: information on how the Director of Compliance and Enforcement of the water services entity has exercised their compliance and enforcement powers under this Act in the previous financial year:
l: any matters that relate to or affect the entity’s operations that the entity is otherwise required, or has undertaken, or wishes to report on in its annual report.
2: The annual report must provide the information that is necessary to enable an informed assessment to be made of the entity’s operations for that financial year, including—
a: an assessment of the entity’s progress in relation to—
i: the strategic elements as set out in the most recent statement of intent ( see section 149(1)
ii: the most recent asset management plan; and
iii: the most recent funding and pricing plan; and
b: an assessment of whether the entity is complying with its operating principles set out in section 14
3: The annual report must also set out any actions the entity has taken in a particular geographic area (consistent with its statement of intent) in response to advice provided (to the entity’s regional representative group) by a regional advisory panel.
4: The annual report must present information about entity progress and performance in a clear manner that is accessible to, and easy to comprehend by, consumers and communities. 2004 No 115 s 151(1)(a)–(e), (g)–(k), (2) Section 161(1)(ia) inserted 31 August 2023 section 30(1) Water Services Legislation Act 2023 Section 161(1)(ka) inserted 31 August 2023 section 30(2) Water Services Legislation Act 2023
162: Form and content of statement of service delivery performance
1: A statement of service delivery performance must, in relation to a water services entity and a financial year, contain the following information:
a: a comparison of the actual performance achieved with the forecast statement of service delivery performance in the statement of intent ( see section 149(2)(f)
b: whether any intended changes to the level of service delivery have been achieved:
c: the reasons for any significant variation between the level of service delivery achieved and the intended level of service delivery:
d: whether proposed activities, work, and actions have been undertaken or taken as set out in the statement of intent ( see section 149(2)(a), (b), and (d)
e: the reasons for any significant variation between proposed activities, work, and actions, and actual activities, work, and actions undertaken or taken:
f: the actual revenue, capital expenditure, and operating expenditure for water supply, wastewater, and stormwater services, compared to the revenue, capital expenditure, and operating expenditure budgeted for those services in the statement of intent:
g: information on consumer engagement stocktakes, including any relevant metrics, and a progress update on how the entity has been addressing and responding to consumer and community concerns.
2: For the purposes of subsection (1)(f), the statement must separately provide for actual and budgeted expenditure applied to—
a: meet additional demand for the water supply, wastewater, and stormwater services:
b: improve the level of service delivery performance:
c: replace existing assets.
3: For the purposes of this section, actual or budgeted expenditure for 2 or all of the purposes in subsection (2) may be treated as if it were made solely in relation to the primary purpose of the expenditure. 2004 No 115 s 153
163: Annual financial statements
1: As soon as practicable after the end of each financial year, a water services entity must prepare financial statements in relation to the entity for that financial year.
2: The financial statements must—
a: include any information or explanations needed to fairly reflect the financial operations and financial position; and
b: include the forecast financial statements prepared at the start of the financial year for comparison with the actual financial statements. 2004 No 115 s 154
164: Statement of responsibility
The statement of responsibility must—
a: contain a statement of the signatories’ responsibility for the preparation of the financial statements and statement of performance and for the judgments in them; and
b: contain a statement of the signatories’ responsibility for establishing and maintaining a system of internal control designed to provide reasonable assurance as to the integrity and reliability of financial reporting; and
c: contain a statement of the signatories’ responsibility for establishing and maintaining a system of internal control designed to provide reasonable assurance as to the integrity and reliability of performance reporting; and
d: contain a statement that, in the opinion of the signatories, the financial statements and statement of performance for the financial year fairly reflect the financial position and operations of the water services entity; and
e: be dated and signed—
i: by 2 board members on behalf of the board; and
ii: by the chief executive. 2004 No 115 s 155
165: Audit report
1: A water services entity must forward to the Auditor-General—
a: the entity’s annual financial statements and statement of service delivery performance; and
b: any other information that the Auditor-General has agreed, or is required, to audit.
2: The Auditor-General must, within 4 months
a: audit the statements and information referred to in subsection (1); and
b: provide an audit report on those statements and that information to the water services entity.
3: The audit report must indicate whether those statements and that information—
a:
b: comply with generally accepted accounting practice; and
c: are free from material misstatement. 2004 No 115 s 156(1), (2) Section 165(2) amended 31 August 2023 section 31(1) Water Services Legislation Act 2023 Section 165(3)(a) repealed 31 August 2023 section 31(2) Water Services Legislation Act 2023
166: Disclosure of payments in respect of board members and employees
1: The annual report must include, in respect of the water services entity,—
a: a report on the remuneration that, in the financial year to which the report relates, was received by, or was payable to, the chief executive and each board member of the water services entity; and
b: a report on the number of employees who were employed by the entity—
i: on the last day of the financial year to which the report relates; and
ii: on the last day of the immediately preceding financial year; and
c: the amount of any severance payments made in the financial year to any person who vacated office as the chief executive; and
d: the number of employees of the entity to whom, in the financial year, severance payments were made and the amount of each severance payment (if any); and
e: the details of any indemnity provided by the entity during the financial year to the chief executive, any board member, or any employee; and
f: the details of any insurance cover effected by the entity during the financial year in respect of the liability or the costs of the chief executive, any board member, or any employee.
2: The report under subsection (1)(a) must include, in relation to the chief executive and each board member, the total annual remuneration (including the value of any non-financial benefits) that was paid to the person, or was payable to the person, in their capacity as a chief executive or as a board member of the entity during the financial year.
3: The report must state, as at the last day of the financial year,—
a: the number of full-time employees; and
b: the full-time equivalent number of all other employees; and
c: the number of employees receiving total annual remuneration of less than $100,000; and
d: the number of employees receiving total annual remuneration of $100,000 or more, expressed in bands of $10,000.
4: If the number of employees in any band to which subsection (3)(d) applies is 5 or fewer, the number for that band must be combined with the next-highest band and the statement in the report in relation to that subsection must be adjusted accordingly.
5: In this section,— board member chief executive employee severance payment
a: any final payment of salary; or
b: any holiday pay; or
c: any superannuation contributions total annual remuneration 2002 No 84 Schedule 10 cls 32 32A 33 2004 No 115 s 152
167: Information to be prepared in accordance with generally accepted accounting practice
All information that is required by any provision of this subpart to be included in a statement of intent, a funding and pricing plan, an asset management plan, an infrastructure strategy, or an annual report must be prepared in accordance with generally accepted accounting practice if that information is of a form or nature for which generally accepted accounting practice has developed standards. 2002 No 84 s 111
168: Insurance of assets
An annual report must state, as at the end of the financial year,—
a: the total value of all assets of the water services entity that are covered by insurance contracts and the maximum amount to which they are insured; and
b: the total value of all assets of the water services entity that are covered by financial risk sharing arrangements and the maximum amount available to the water services entity under those arrangements; and
c: the total value of all assets of the water services entity that are self-insured and the value of any fund maintained by the water services entity for that purpose. 2002 No 84 Schedule 10 cl 31A
6: Other provisions for financial management and independence
Major transactions
169: Major transactions
1: A water services entity must not enter into a major transaction unless the transaction is approved by, or contingent on approval by, a special resolution.
2: In this section,— assets major transaction
a: the acquisition of, or an agreement to acquire, whether contingent or not, assets the value of which is more than 25% of the value of the entity’s assets before the acquisition; or
b: the disposition of, or an agreement to dispose of, whether contingent or not, assets of the entity the value of which is more than 25% of the value of the entity’s assets before the disposition; or
c: a transaction that has or is likely to have the effect of the entity acquiring rights or interests or incurring obligations or liabilities, including contingent liabilities, the value of which is more than 25% of the value of the entity’s assets before the transaction special resolution
a: presented to all the entity’s regional representative group’s regional representatives in writing before that group’s meeting in which the resolution will be voted on; and
b: approved by a majority of 75% of those representatives voting on the resolution.
3: In assessing the value of any contingent liability for the purposes of paragraph (c) of the definition of major transaction in subsection (2), the entity’s board members—
a: must have regard to all circumstances that the board members know, or ought to know, affect, or may affect, the value of the contingent liability; and
b: may rely on estimates of the contingent liability that are reasonable in the circumstances; and
c: may take account of—
i: the likelihood of the contingency occurring; and
ii: any claim the entity is entitled to make and can reasonably expect to be met to reduce or extinguish the contingent liability.
4: This section does not affect or limit section 118 Schedule 4 1993 No 105 s 129 Bank accounts
170: Bank accounts of water services entities
1: A water services entity must ensure that all money received by the entity is paid, as soon as practicable after it is received, into 1 or more bank accounts that are established, maintained, and operated by the entity at 1 or more of the following:
a: a registered bank or registered building society that satisfies a relevant credit-rating test specified in a notice in the Gazette
b: a registered bank or registered building society that meets the conditions of any relevant approval given by the Minister of Finance by notice in the Gazette
c: a bank outside New Zealand that meets the conditions of any relevant approval given by the Minister of Finance by notice in the Gazette
2: A water services entity must ensure that it does not establish, maintain, or operate a bank account other than as provided for in subsection (1).
3: A water services entity must properly authorise the withdrawal or payment of money from a bank account of the entity.
4: There is a period of grace if a bank account ceases to qualify under subsection (1) and,—
a: during that period, the water services entity may continue to pay money into the bank account; but
b: by the end of the period, the water services entity must have closed the account and paid all the money in the account into another bank account that qualifies under subsection (1).
5: The period of grace ends on the earlier of—
a: the date that is 2 months after the bank account ceases to qualify under subsection (1); and
b: the date that is specified by the Minister of Finance and notified to the water services entity. 2004 No 115 s 158 Financial independence
171: Financial independence
1: A territorial authority owner (in its capacity as a holder of shares in a water services entity, or any other capacity), a regional representative group, or a regional representative—
a: has no right, title, or interest (legal or equitable) in the assets, security, debts, or liabilities of a water services entity (and the constitution cannot confer any such right, title, or interest— see also sections 15(3) 95(2)(c)
b: must not receive any equity return, directly or indirectly, from a water services entity; and
c: must not give a water services entity any financial support or capital; and
d: must not lend money or provide credit to a water services entity; and
e: must not give any person any guarantee, indemnity, or security in relation to the performance of any obligation by a water services entity.
2: However, nothing in subsection (1) or (3) limits or affects—
a: the allocation or reallocation of shares under sections 15(2) 16
b: the holding of those shares by the relevant territorial authority owner; or
c: voting under Schedule 4
3: In this section,— equity return
a: profits of the entity; or
b: distributions from the entity; or
c: any benefit derived, directly or indirectly, from a water services entity that represents, is calculated by reference to, or is determined by,—
i: a share in or proportion of the entity’s capital; or
ii: the entity’s surplus or residual economic value (after satisfying prior contractual claims); or
iii: the entity’s profitability or any other indicator of its success give financial support or capital
a: in the ordinary course of the territorial authority owner’s, or the water services entity’s, performance of its lawful responsibilities; and
b: on terms and conditions generally available to other parties of equivalent creditworthiness lend money or provide credit
a: includes, without limiting the generality of that expression,—
i: to defer payment for any goods or services supplied or works constructed for any person, organisation, or government; and
ii: to enter into hire purchase agreements or agreements that are of the same or a substantially similar nature; and
iii: to enter into finance lease arrangements or arrangements that are of the same or a substantially similar nature; and
iv: to subscribe for any debt securities or uncalled capital; but
b: does not include to sell or supply goods or services on credit—
i: in the ordinary course of the territorial authority owner’s, or the water services entity’s, performance of its lawful responsibilities; and
ii: on terms and conditions generally available to other parties of equivalent creditworthiness security section 6 2010 No 116 Schedule 2 cl 6 2020 No 47 s 114
7: Accounting records
172: Board must ensure that proper accounting records are kept
1: The board of a water services entity must cause accounting records to be kept that—
a: correctly record and explain the transactions of the entity; and
b: will, at any time, enable the financial position of the entity to be determined with reasonable accuracy; and
c: will enable the board members of the entity to ensure that the financial statements of the entity comply with sections 163 167
d: will enable the financial statements of the water services entity to be readily and properly audited.
2: The accounting records must be in written form or in a manner in which they are easily accessible and convertible into written form. 2004 No 115 s 168
8: Borrowing
173: Borrowing in foreign currency
A water services entity may borrow or enter into incidental arrangements within or outside New Zealand in currency other than New Zealand currency.
9: Water Services Entities Funding Agency
Subpart 9 inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023 Preliminary provisions Heading inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173A: Purpose
1: The purpose of this subpart is to facilitate the operation of the Funding Agency.
2: To achieve that purpose, this subpart—
a: exempts the Funding Agency from certain regulatory or taxation criteria that would otherwise apply to it; and
b: applies to the Funding Agency certain regulatory or taxation criteria that would otherwise not apply to it; and
c: authorises water services entities to deal with the Funding Agency in a manner in which they would otherwise not be authorised to do so; and
d: authorises or requires water services entities, in certain situations, to act in a manner in which they would otherwise not be authorised or required to act. 2011 No 77 s 3 Section 173A inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173B: Definitions
In this subpart, unless the context otherwise requires,— borrowing section 173K Funding Agency
a: registered under Part 2
b: approved for the purposes of this subpart by the Minister by notice in the Gazette incidental arrangement section 173K loan section 173K Minister section 2(1) protected transaction section 173K 2011 No 77 s 4 Section 173B inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173C: Application
This subpart applies to the Funding Agency only while the Funding Agency is a subsidiary of 1 or more water services entities. 2011 No 77 s 5 Section 173C inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023 Application of Non-bank Deposit Takers Act 2013 Heading inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173D: Funding Agency not non-bank deposit taker
The Funding Agency is not an NBDT (a non-bank deposit taker) for the purposes of the Non-bank Deposit Takers Act 2013 2011 No 77 s 7 Section 173D inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023 Application of Financial Markets Conduct Act 2013 Heading inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173E: Financial Markets Conduct Act 2013 applies to Funding Agency as if it were local authority
The Financial Markets Conduct Act 2013 2011 No 77 s 8 Section 173E inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023 Prohibitions and restrictions relating to subsidiaries Heading inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173F: Exemptions from prohibitions and restrictions applying to subsidiaries
1: This section applies to a water services entity only while the Funding Agency is a subsidiary of 1 or more water services entities ( see section 173C
2: A water services entity may give a guarantee, an indemnity, or a security in respect of the performance of any obligation by the Funding Agency.
3: A water services entity may lend money, or provide any other financial accommodation, to the Funding Agency on terms and conditions that are more favourable to the Funding Agency than those that would apply if the water services entity were borrowing the money or obtaining the financial accommodation.
4: Subsection (5) applies if the water services entity gives a guarantee, an indemnity, or a security, or lends money or provides any other financial accommodation, under subsection (2) or (3) while the Funding Agency is a subsidiary of a water services entity and, subsequently, the Funding Agency ceases to be a subsidiary of a water services entity.
5: The guarantee, indemnity, security, loan, or other financial accommodation continues subject to its terms, and the obligations and rights of the water services entity in respect of the guarantee, indemnity, security, loan, or other financial accommodation continue to apply, despite the Funding Agency no longer being a subsidiary of a water services entity. 2011 No 77 s 9 Section 173F inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023 Additional requirements for water services entity’s funding and pricing plan Heading inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173G: Additional requirements to be specified in water services entity’s funding and pricing plan
1: This section applies to a water services entity if it has prepared and provided to its regional representative group a funding and pricing plan and it gives a guarantee in relation to either or both of the following:
a: any indebtedness of the Funding Agency:
b: another water services entity’s indebtedness to the Funding Agency.
2: The water services entity must specify in its funding and pricing plan its policy on the giving of any securities that secure obligations under the guarantee. 2011 No 77 s 10 Section 173G inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023 Protected transactions Heading inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173H: Certain kinds of arrangements and transactions to be treated as protected transactions
1: This section applies to arrangements of any of the following kinds:
a: a guarantee by a water services entity of any indebtedness owed by another water services entity to the Funding Agency:
b: a guarantee by a water services entity of any indebtedness of the Funding Agency:
c: a commitment by a water services entity to contribute equity to the Funding Agency:
d: a commitment by a water services entity to lend money to the Funding Agency.
2: Those arrangements are to be treated as protected transactions for the purposes of sections 173L to 173O
3: This section does not limit the generality of sections 173L to 173O 2011 No 77 s 12 Section 173H inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023 Crown relationship with Funding Agency Heading inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173I: Crown may lend money to Funding Agency
1: The Minister, on behalf of the Crown, may lend money to the Funding Agency if—
a: the Minister considers that it is necessary or expedient in the public interest to do so; and
b: the money is lent on commercial terms.
2: The Minister may lend money under subsection (1) without further appropriation than this section. 2011 No 77 s 15(1) Section 173I inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173J: No Crown guarantee for debts of Funding Agency
1: No debt of the Funding Agency is guaranteed by the Crown.
2: If the Funding Agency enters into any loan agreement or incidental arrangement, the agreement or arrangement must include a statement that the loan or liability under the agreement or arrangement is not guaranteed by the Crown.
3: However, subsections (1) and (2) do not apply if the Crown is liable (for example, the Crown is liable to pay a debt) under a guarantee or an indemnity given by the Minister, on behalf of the Crown, under section 65ZD 2011 No 77 s 16(1), (2) Section 173J inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
10: Protected transactions
Subpart 10 inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173K: Definitions
In this subpart, unless the context otherwise requires,— borrowing
a: means the incurring by any means of debt to raise money; and
b: includes the incurring of debt—
i: under any contract or arrangement for hire purchase, deferred payment, instalment payment, sale and lease-back or buy-back, financial lease, loan, overdraft, or other arrangement for obtaining debt finance; or
ii: by the drawing, acceptance, making, endorsement, issue, or sale of bills of exchange, promissory notes, and other negotiable instruments and debt securities; or
iii: by the use, for any purpose, of funds received or invested by a water services entity for any other purpose if the water services entity has resolved to repay, with or without interest, the funds used; but
c: does not include debt incurred in connection with the hire purchase of goods, the deferred purchase of goods or services, or the giving of credit for the purchase of goods or services if—
i: the period for which the indebtedness is outstanding is less than 91 days and the indebtedness is not incurred again promptly after payment; or
ii: the goods or services are obtained in the ordinary course of the water services entity’s performance of its lawful responsibilities, on terms and conditions available generally to parties of equivalent creditworthiness, for amounts not exceeding in aggregate an amount—
A: determined by resolution of the water services entity as not being so significant as to require specific authorisation; or
B: recorded for the purposes of this subparagraph in the then current borrowing management policy of the water services entity charge incidental arrangement
a: a contract or an arrangement for the management, reduction, sharing, limiting, assumption, offset, or hedging of financial risks and liabilities in relation to any investment or investments or any loan or loans or other incidental arrangement, whether or not that contract or arrangement involves—
i: the expenditure, borrowing, or lending of money; or
ii: a water services entity undertaking to make payments in exchange for another person undertaking to make payments to the water services entity; or
iii: the creation or acquisition or disposal of any property or right; or
b: a contract or an arrangement with any bank, financial institution, or other person providing for any person to act as underwriter, broker, indemnifier, guarantor, accommodation party, manager, dealer, trustee, registrar, or paying, fiscal, or other agent for, or in connection with, any loan or investment; or
c: the creation of a charge loan protected transaction section 173H sections 173L to 173O
a: any deed, agreement, right, or obligation constituting, relating to, or for the purpose of any borrowing or incidental arrangement:
b: any charge, guarantee, or security for the payment of any amount (including any loan) payable in relation to, or for the purpose of any borrowing or incidental arrangement:
c: any conveyance or transfer of any property in relation to, or for the purpose of any borrowing or incidental arrangement. 2002 No 84 s 112 Section 173K inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173L: Protected transactions
1: Every protected transaction entered into, or purportedly entered into, by or on behalf of a water services entity is valid and enforceable despite—
a: the water services entity failing to comply with any provision of this Act in any respect; or
b: the entry into, or performance of, the protected transaction being outside the capacity, rights, or powers of the water services entity; or
c: a person held out by the water services entity as being a member of the establishment board, member of the board, or an employee, agent, or attorney, of the water services entity—
i: not having been validly appointed as such; or
ii: not having the authority to exercise any power or to do anything either that the person is held out as having or that a person appointed to such a position would customarily have; or
d: a document issued, or purporting to be issued, on behalf of the water services entity by a person with actual or customary authority, or held out as having such authority, to issue the document not being valid or not being genuine.
2: However, nothing in this subpart overrides section 118 2002 No 84 s 117 Section 173L inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173M: Certificate of compliance
1: This section applies to a certificate—
a: signed, or purporting to be signed, by the chief executive of a water services entity; and
b: to the effect that the water services entity has complied with this Act in connection with a protected transaction.
2: The certificate is conclusive proof for all purposes that the water services entity has so complied. 2002 No 84 s 118 Section 173M inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173N: Good faith in relation to protected transactions
1: Sections 173L 173M
2: A person may not rely on section 173L 173M
3: For the purpose of subsections (1) and (2),—
a: a person is not regarded as acting in bad faith by reason only of the fact that, in relation to any protected transaction, the person knew or ought to have known of the existence of any of the states of affairs referred to in paragraphs (a) to (d) of section 173L(1)
b: a person must be presumed to have acted in good faith unless the contrary is proved. 2002 No 84 s 119 Section 173N inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
173O: Savings provision in respect of power of court
Nothing in sections 173K to 173N 2002 No 84 s 120 Section 173O inserted 23 August 2023 section 18 Water Services Entities Amendment Act 2023
5: Monitoring
1: Monitor
Appointment and role of monitor
174: Appointment and role of monitor
1: The Minister must appoint a department to be the monitor.
2: The role of the monitor is—
a: to act as a steward to provide oversight of the water services system from a whole of government perspective; and
b: to assist the Minister to carry out the Minister’s role (which is described in section 26
c: to perform or exercise any or all of the following functions or powers:
i: administering appropriations:
ii: administering legislation:
iii: tendering advice to Ministers:
iv: any other functions or powers in this Act or another Act that may, or must, be performed by the monitor.
3: The monitor may exercise all powers that are—
a: conferred on the monitor by this Act; or
b: reasonably necessary for performing the monitor’s functions and duties. 2021 No 31 s 80 Monitor’s information-gathering power
175: Monitor’s power to request information
1: The monitor may, by notice in writing, require a water services entity, or any other relevant person, to provide it with information the monitor considers necessary to carry out its role under section 174
2: The entity or other relevant person must provide the information—
a: by the date specified in the notice; or
b: by any other date the monitor has agreed to.
3: For the purposes of this section, relevant person Section 175(3) inserted 31 August 2023 section 32 Water Services Legislation Act 2023
176: Good reason for refusing to supply requested information
1: A request for information made under section 175
a: the withholding of the information is necessary to protect the privacy of a living natural person; or
b: the supply of the information would limit the ability of the water services entity, or of any of its employees or board members, to perform or exercise duties, functions, or powers under this Act in relation to a particular matter.
2: A reason in subsection (1)(a) applies only if it is not outweighed by the monitor’s need to have the information in order to exercise or perform its duties, functions, or powers under this Act.
3: The information cannot be withheld other than for the reasons in subsection (1), and cannot be withheld at all if it could not properly be withheld under the Local Government Official Information and Meetings Act 1987 2004 No 115 s 134
177: Civil proceedings relating to non-compliance with information request
1: The monitor may apply to the High Court for an order if an entity, or other relevant person, does not comply with section 175
2: If the court is satisfied that the entity, or other relevant person, has not complied with section 175
a: an order directing the entity, or other relevant person, to comply with section 175
b: an order imposing a civil pecuniary penalty not exceeding $50,000.
3: In addition to the orders referred to in subsection (2), the court may make any other order that it considers appropriate in the circumstances, including an order directing the entity, or other relevant person, to pay to the monitor the reasonable costs of the proceedings. 2021 No 36 s 143
178: Content of notice
1: A notice under section 175
a: the information required by the monitor; and
b: the form in which the water services entity, or other relevant person, must provide the information; and
c: the date by which the water services entity, or other relevant person, must provide the information.
2: The notice may require a water services entity, or other relevant person, to provide information—
a: by instalments on specified dates:
b: by instalments at specified intervals. 2002 No 84 s 257(3), (5)
2: Minister’s powers to intervene
179: Meaning of problem for purposes of subpart
In this subpart, problem
a: a matter or circumstance relating to the management or governance of the entity that detracts from, or is likely to detract from, its ability to give effect to its purpose; and
b: a significant or persistent failure by the entity—
i: to perform 1 or more of its functions or duties under this Act; or
ii: to give effect to a Government policy statement issued by the Minister under section 132
c: the consequences of a state of emergency (within the meaning of section 4
d: a failure by the entity to demonstrate prudent management of its revenues, expenses, assets, liabilities, investments, or general financial dealings; and
e: a potential problem that relates to a matter, circumstance, or failure specified in paragraph (a), (b), or (d). Crown review team
180: Minister may appoint Crown review team
1: The Minister may appoint a Crown review team to perform functions under this section if—
a: the water services entity has received a notice under section 175
b: the Minister believes on reasonable grounds that a problem relating to the water services entity or the entity’s regional representative group may exist and—
i: the water services entity or the entity’s regional representative group is unable or unwilling to effectively address the problem; or
ii: a ministerial body currently or previously appointed in relation to the water services entity or the entity’s regional representative group has recommended the appointment; or
c: the Minister has received a written request to do so from the water services entity, the entity’s regional representative group, or all or any of the entity’s territorial authority owners, and the Minister believes on reasonable grounds that a problem relating to the entity or the entity’s regional representative group may exist.
2: Before appointing a Crown review team, the Minister must give notice of the proposed appointment in accordance with section 190
3: Before the Crown review team begins its review, the Minister must give notice of the appointment in accordance with section 191
4: A Crown review team must, to the extent authorised by its terms of reference,—
a: investigate and report on the nature and extent of the problem or failure to provide information; and
b: make recommendations to the water services entity and the Minister on how the water services entity or the entity’s regional representative group could address the problem (if any); and
c: make recommendations to the Minister on whether the Minister should take further action in relation to the water services entity or the entity’s regional representative group, including whether the Minister should appoint any other ministerial body in relation to the entity or the entity’s regional representative group; and
d: ensure, as far as practicable, that the existing organisational capability of the water services entity or the entity’s regional representative group is not diminished.
5: To the extent authorised by its terms of reference, a Crown review team may also investigate, and report on, any related matter recommended by a ministerial body currently or previously appointed in relation to the water services entity or the entity’s regional representative group.
6: A water services entity or the entity’s regional representative group must—
a: co-operate with a Crown review team so that it may comply with its terms of reference; and
b: comply with any reasonable request of the Crown review team to provide any relevant information that the water services entity or the entity’s regional representative group holds.
7: A Crown review team must produce a final report that complies with section 193 2002 No 84 s 258
181: Appointment of Crown review team
1: A Crown review team comprises 1 or more members.
2: If a Crown review team comprises 2 or more members, the Minister must appoint 1 member as the chairperson.
3: The Minister must appoint each member by notice in writing.
4: Each notice of appointment must include—
a: the terms of reference of the Crown review team, including—
i: an outline of the reason it has been appointed to perform functions under section 180
ii: the extent of its authority; and
b: the start and end dates of each member’s appointment; and
c: the start and end dates of the review period. 2002 No 84 s 258A Crown observer
182: Minister may appoint Crown observer
1: The Minister may appoint a Crown observer to perform functions under this section if—
a: the Minister believes, on reasonable grounds, that a problem relating to a water services entity or the entity’s regional representative group exists and—
i: the appointment of a Crown observer is necessary to enable, or better enable, the water services entity or the entity’s regional representative group to effectively address the problem; or
ii: the appointment of a Crown observer is necessary to enable, or better enable, the Minister to monitor the water services entity’s or the entity’s regional representative group’s progress in addressing the problem; or
iii: a ministerial body currently or previously appointed in relation to the water services entity or the entity’s regional representative group has recommended the appointment; or
b: the Minister has received a written request to do so from the water services entity, the entity’s regional representative group, or all or any of the entity’s territorial authority owners, and the Minister believes, on reasonable grounds, that a problem relating to the entity or the entity’s regional representative group exists.
2: Before appointing a Crown observer, the Minister must give notice of the proposed appointment in accordance with section 190
3: Before the Crown observer begins their observation period, the Minister must give notice of the appointment in accordance with section 191
4: A Crown observer must, to the extent authorised by the Crown observer’s terms of reference,—
a: assist the water services entity or the entity’s regional representative group to address the problem; and
b: monitor the water services entity’s or the entity’s regional representative group’s progress in relation to the problem; and
c: make recommendations to the Minister on whether the Minister should take further action in relation to the water services entity or the entity’s regional representative group, including whether the Minister should appoint any other ministerial body in relation to the entity or the entity’s regional representative group; and
d: ensure, as far as practicable, that the existing organisational capability of the water services entity or the entity’s regional representative group is not diminished; and
e: assist the water services entity or the entity’s regional representative group with, and monitor progress on, any related matter as recommended by a ministerial body currently or previously appointed in relation to the entity or the entity’s regional representative group.
5: A water services entity or the entity’s regional representative group must—
a: co-operate with a Crown observer so that it may comply with its terms of reference; and
b: comply with any reasonable request of the Crown observer to provide any relevant information that the water services entity or the entity’s regional representative group holds.
6: A Crown observer must produce a final report that complies with section 193 2002 No 84 s 258B
183: Appointment of Crown observer
1: The Minister must appoint a Crown observer by notice in writing.
2: Each notice of appointment must include—
a: the terms of reference of the Crown observer, including—
i: an outline of the problem that the Crown observer has been appointed to observe; and
ii: the extent of the Crown observer’s authority; and
b: the start and end dates of the Crown observer’s appointment; and
c: the start and end dates of the observation period. 2002 No 84 s 258C Crown manager
184: Minister may appoint Crown manager
1: The Minister may appoint a Crown manager to perform functions under this section if—
a: the Minister believes, on reasonable grounds, that a problem relating to the water services entity or the entity’s regional representative group exists and—
i: the nature and extent of the problem is such that the water services entity or the entity’s regional representative group is unlikely to effectively address the problem without the appointment of a Crown manager; or
ii: the water services entity or the entity’s regional representative group has not, without good reason, adequately implemented a recommendation of any other ministerial body in relation to the problem; or
iii: a ministerial body currently or previously appointed in relation to the water services entity or the entity’s regional representative group has recommended the appointment; or
b: the Minister has received a written request to do so from the water services entity, the entity’s regional representative group, or all or any of the entity’s territorial authority owners, and the Minister believes, on reasonable grounds, that a problem relating to the entity or the entity’s regional representative group exists.
2: Before appointing a Crown manager, the Minister must give notice of the proposed appointment in accordance with section 190
3: Before the Crown manager begins their management period, the Minister must give notice of the appointment in accordance with section 191
4: A Crown manager must, to the extent authorised by their terms of reference,—
a: direct the water services entity, or the board of the water services entity, or the entity’s regional representative group to act to address the problem; and
b: make recommendations to the Minister on whether the Minister should take further action in relation to the water services entity or the entity’s regional representative group, including whether the Minister should appoint any other ministerial body in relation to the entity or the entity’s regional representative group; and
c: ensure, as far as practicable, that the existing organisational capability of the water services entity or the entity’s regional representative group is not diminished; and
d: direct the water services entity or the entity’s regional representative group on any related matter as recommended by a ministerial body currently or previously appointed in relation to the entity or the entity’s regional representative group.
5: A Crown manager may work together with, or apart from, the board of a water services entity, or the entity’s regional representative group.
6: A water services entity or the entity’s regional representative group must—
a: co-operate with a Crown manager so that it may comply with its terms of reference; and
b: comply with the directions of a Crown manager; and
c: comply with any reasonable request of a Crown manager to provide any relevant information that the water services entity or the entity’s regional representative group holds.
7: A Crown manager must produce a final report that complies with section 193 2002 No 84 s 258D
185: Appointment of Crown manager
1: The Minister must appoint a Crown manager by notice in writing.
2: Each notice of appointment must include—
a: the terms of reference of the Crown manager, including—
i: an outline of the problem it has been appointed to manage; and
ii: the extent of the Crown manager’s authority; and
b: the start and end dates of the Crown manager’s appointment; and
c: the start and end dates of the management period. 2002 No 84 s 258E
3: General provisions applying to Minister’s powers to intervene
186: Application
This subpart applies in relation to any appointment the Minister makes under subpart 2
187: Minister may consult
The Minister may consult any person, organisation, or group—
a: when determining what action, if any, to take under subpart 2
b: when appointing a ministerial body:
c: when formulating the terms of reference for a ministerial body. 2002 No 84 s 258N
188: Minister must publish list of matters
1: The Minister must publish a list of matters relevant to determining what action, if any, the Minister will take under subpart 2
2: Without limiting subsection (1), the list must include the following matters:
a: guiding principles that the Minister is likely to adopt when making decisions under this Part:
b: matters or circumstances relating to the management or governance of a water services entity that the Minister considers are likely to detract from the ability of the entity to give effect to its objectives or undertake its functions:
c: the types and sources of information that the Minister is likely to consider when making decisions under this Part.
3: The Minister must review the list no later than 5 years after the date on which it is published and later at intervals of no more than 5 years after the most recent review.
4: The Minister must republish the list after each review.
5: Before publishing or republishing a list, the Minister—
a: must consult Local Government New Zealand; and
b: may consult any other person, organisation, or group.
6: In this section, publish republish Gazette 2002 No 84 s 258O
189: Minister must have regard to published list
1: The Minister must, when determining what action, if any, to take under subpart 2 section 188
2: However, the Minister may act under subpart 2 2002 No 84 s 258P
190: Notice of proposed appointment of ministerial body
1: Before appointing a ministerial body to perform functions under this subpart in relation to a water services entity, the Minister must—
a: give the entity and the entity’s regional representative group notice that the Minister intends to make the appointment; and
b: state—
i: the reasons for the proposed appointment; and
ii: the proposed terms of reference; and
c: give the entity an opportunity to satisfy the Minister of the following matters, as applicable, by a date specified in the notice, which must be no earlier than 10 working days after the date on which the Minister gives the notice to the entity:
i: that the reasons for the Minister to make the appointment do not exist:
ii: that the water services entity is acting effectively to address the problem (if any) or the reasons for the proposed appointment:
iii: that, for any other reason, the Minister should not make the appointment:
iv: that the Minister should appoint a different ministerial body.
2: The Minister must notify a water services entity, in writing, if the Minister decides not to appoint a ministerial body.
3: This section does not apply if—
a: the water services entity has requested the Minister to make the appointment; or
b: the problem in relation to which the Minister intends to make the appointment relates to the consequences of a state of emergency and the Minister believes, on reasonable grounds, that the public health or safety of the people within the water services entity’s service area is, or is likely to be, endangered. 2002 No 84 s 258Q
191: Notice of appointment of ministerial body
1: A notice of appointment of a ministerial body under section 180(3) 182(3) 184(3)
a: be in writing; and
b: be given as soon as is reasonably practicable after the Minister makes the appointment; and
c: be sent to the relevant water services entity and the entity’s regional representative group; and
d: be published in the Gazette
e: be publicly notified.
2: A notice of appointment must include—
a: a statement that the Minister has appointed a ministerial body in relation to the relevant water services entity; and
b: the type of ministerial body appointed; and
c: the terms of reference; and
d: the start and end dates of the ministerial body’s appointment; and
e: the name of each member of the ministerial body; and
f: if applicable, the name of the chairperson of the ministerial body.
3: The Minister must notify any change in the membership of a ministerial body by notice in the Gazette
4: In this section, publicly notify
a: a notice on an Internet site maintained by, or on behalf of, the monitor; and
b: any other notice that the Minister thinks desirable in the circumstances. 2002 No 84 ss 258S 258T
192: Information to Minister
A ministerial body must inform the Minister about—
a: the steps it is taking to address the problem; and
b: the progress of those steps. 2020 No 47 s 128(1)
193: Final report of ministerial body
1: A final report produced by a ministerial body under section 180(7) 182(6) 184(7)
a: a narrative description of the activities of the ministerial body in relation to its terms of reference; and
b: in respect of the problem in relation to which the ministerial body was appointed, an assessment of progress in addressing the problem; and
c: any final recommendations of the ministerial body to all or any of the Minister, the water services entity, and the entity’s regional representative group; and
d: without limiting paragraph (c), any final recommendations of the ministerial body to the Minister on whether the Minister should take further action in relation to the water services entity or the entity’s regional representative group, including whether the Minister should appoint any other ministerial body in relation to the entity or the entity’s regional representative group; and
e: any other matter required by the ministerial body’s terms of reference.
2: The Minister must, as soon as practicable,—
a: give a copy of the report to the relevant water services entity and the entity’s regional representative group; and
b: make the report publicly available, excluding any information that it is necessary to withhold for any of the reasons stated in section 6 7 2002 No 84 s 258U
194: Remuneration and expenses of ministerial appointees
1: A ministerial appointee is entitled—
a: to receive remuneration for services as a member of a ministerial body as determined by the Minister in accordance with the fees framework; and
b: to be reimbursed for actual and reasonable travelling and other expenses incurred in providing the services as a member in accordance with the fees framework.
2: In this section, fees framework 2002 No 84 s 258V
195: Recovery of expenses from water services entity
1: A water services entity owes, as a debt to the Crown, any expenses that the Crown incurs for the appointment of a Crown manager in relation to the entity, including the payment of remuneration and expenses to the Crown manager.
2: Any expenses that the Crown incurs for the appointment of a Crown observer or a Crown review team in relation to a water services entity, including the payment of remuneration and expenses to the Crown observer or any member of the Crown review team, may be recovered by the Crown from the entity if—
a: the Minister decides that it is reasonable to do so in the circumstances; and
b: the terms of reference authorise the recovery. 2002 No 84 s 258W
196: Minister may terminate appointment of ministerial body or ministerial appointee
1: The Minister may terminate the appointment of a ministerial body or ministerial appointee at any time by notice in writing.
2: The Minister must give notice of the termination of a ministerial body—
a: in writing to the water services entity and the entity’s regional representative group; and
b: by notice in the Gazette
c: by public notice.
3: The Minister must give notice of the termination of the appointment of a ministerial appointee in writing to the appointee, the water services entity, and the entity’s regional representative group.
4: No compensation is payable to a ministerial appointee as a result of the appointee’s termination. 2002 No 84 s 258X
197: Protection from liability for ministerial appointees
1: A ministerial appointee is not liable for any act done or omitted to be done by the appointee in good faith in the performance or intended performance of the appointee’s functions, responsibilities, and duties, or the exercise of the appointee’s powers as a ministerial appointee.
2: The protection from liability in subsection (1) includes protection in relation to acts done or omitted to be done by a Crown manager when directing a water services entity to act. 2002 No 84 s 258Y
198: Disclosure of information held by water services entity
1: For the purposes of this Part, information held by a water services entity may be disclosed to the Minister or a ministerial body despite anything to the contrary in the Official Information Act 1982 Local Government Official Information and Meetings Act 1987 Privacy Act 2020
2: However, the Minister, the ministerial body, or a ministerial appointee must not publish or disclose the information to any other person except in accordance with those Acts. 2002 No 84 s 258Z
199: Decisions and directions of Crown manager remain in force
On and from the expiry of the term of a Crown manager appointed in relation to a water services entity,—
a: a direction given to the water services entity by the Crown manager ceases to have effect; and
b: despite paragraph (a), any decision made by the water services entity giving effect to the direction continues in force unless and until the board of the entity revokes or amends the decision. 2002 No 84 s 258ZA(1), (2), (3)
5A: Relationship agreements
Part 5A inserted 31 August 2023 section 33 Water Services Legislation Act 2023
199A: Requirement to enter into relationship agreement
1: A water services entity and each of the following must enter into a relationship agreement under this section:
a: a territorial authority owner:
b: a regional council whose boundary is inside, or overlaps with, the water services entity’s service area:
c: a transport corridor manager that owns or operates a transport stormwater system.
2: The relationship agreement may be entered into by a water services entity with—
a: any 1 of the parties listed in subsection (1); or
b: any 2 or more of the parties listed in subsection (1).
3: A relationship agreement is binding on the parties concerned.
4: A relationship agreement under this section remains in force until the agreement is replaced by another agreement.
5: Nothing in this section precludes a water services entity from entering a relationship agreement with any other party relating to the provision of water services (for example, an iwi or hapū). Section 199A inserted 31 August 2023 section 33 Water Services Legislation Act 2023
199B: Contents of relationship agreement
1: A relationship agreement must—
a: be in writing; and
b: identify the parties to the agreement; and
c: set out—
i: the general principles governing the relationship between the parties (for example, acting in good faith); and
ii: how the parties will work together in relation to the performance or exercise of any statutory functions, powers, or duties (for example, stormwater management, spatial and land use planning, emergency management, and Treaty settlement obligations); and
iii: how the parties will engage with each other, and work together, in relation to the provision of, and planning for, water services; and
iv: how the parties will engage with each other, and work together, in relation to areas where they have shared interests; and
v: any information sharing between the parties; and
vi: how the parties will report on compliance with the relationship agreement.
2: The relationship agreement may provide for any other matters that the parties consider appropriate.
3: A relationship agreement must not limit any compliance or enforcement powers or obligations that the parties to the agreement have in relation to each other and has no effect to the extent that it does so. Section 199B inserted 31 August 2023 section 33 Water Services Legislation Act 2023
199C: Further requirements relating to relationship agreements between water services entities and local authorities
1: A relationship agreement between a water services entity and a territorial authority required by section 199A(1)
a: how the territorial authority is to work with the water services entity when the territorial authority is performing or exercising its functions, duties, or powers under the Building Act 2004
b: how the water services entity will engage with the territorial authority on the water services entity’s assessment of water services required by section 244
2: A relationship agreement between a water services entity and a territorial authority or regional council required by section 199A(1)
a: the preparation by the territorial authority of standards, policy statements, or plans required by the Natural and Built Environment Act 2023
b: resource consents issued under Part 6
c: when the territorial authority is performing or exercising its functions, duties, or powers under Part 10 Section 199C inserted 31 August 2023 section 33 Water Services Legislation Act 2023
199D: Disputes between parties to relationship agreement
1: This section applies if a dispute arises between parties to a relationship agreement on a matter they are required under the agreement to work together on, jointly develop, or agree.
2: The parties—
a: may by agreement undertake a binding process or non-binding process of dispute resolution; but
b: if they do not reach agreement on a non-binding process, or the dispute remains unresolved after a non-binding process has been undertaken, must undertake a binding process of dispute resolution.
3: If the parties undertake a binding process, the parties must refer the dispute to arbitration under the Arbitration Act 1996 Section 199D inserted 31 August 2023 section 33 Water Services Legislation Act 2023
199E: Review of relationship agreement
A relationship agreement must be reviewed within 5 years of the date on which the agreement is made and at least once every 5 years after a previous review. Section 199E inserted 31 August 2023 section 33 Water Services Legislation Act 2023
199F: Parties to relationship agreement may enter into service-level agreement
1: The parties to a relationship agreement may choose to enter into a service-level agreement relating to the provision of a service to which the relationship agreement applies.
2: A service-level agreement must—
a: identify the parties to the agreement; and
b: specify the services to which the agreement applies and does not apply; and
c: set out the parties’ respective roles and responsibilities for the management, operation, or maintenance of the services to which the agreement applies and how those responsibilities will be allocated; and
d: set out information relating to how the services will be funded. Section 199F inserted 31 August 2023 section 33 Water Services Legislation Act 2023
6: Provisions relating to water services infrastructure
Part 6 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
1: Water services infrastructure on, over, or under land
Subpart 1 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
200: Power to carry out work in relation to water services infrastructure on, over, or under land
1: A water services entity may carry out the following work that it considers necessary or desirable for the provision of water services:
a: constructing or placing water services infrastructure on, over, or under land or under a building on land:
b: managing, controlling, monitoring, or eliminating any risks relating to water services infrastructure:
c: operating, inspecting, maintaining, altering, renewing, or replacing any water services infrastructure on, over, or under land or under a building on land:
d: doing work relating to an overland flow path or watercourse.
2: A water services entity may exercise the power to carry out work specified in subsection (1)(a) only—
a: with the prior written consent of, and in accordance with any reasonable conditions imposed by, the owner of the land; or
b: if it has complied with section 203
3: A water services entity must exercise the power to carry out work specified in subsection (1)(b), (c), or (d) in accordance with any reasonable conditions imposed by the owner of the land or by an order made under section 204
4: A condition referred to in subsection (3) may not limit or override any new or existing legally binding agreement between the owner of the land and the water services entity relating to water services.
5: Nothing in subsection (1)(a) applies in respect of—
a: land owned by the Crown; or
b: land held or administered under the Conservation Act 1987 Schedule 1
6: Despite subsection (5)(b), subsection (1)(a) applies to land administered by a local authority under the Reserves Act 1977 2001 No 103 s 135 Section 200 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
201: Notice required before carrying out work on, over, or under land
1: Before a water services entity proceeds to carry out any work under section 200(1)
a: its intention to enter the land and carry out the work:
b: any change to the date or time of a proposed entry.
2: A notice under subsection (1) must—
a: be in writing; and
b: be given at least 30 working days before the proposed work is to start; and
c: specify—
i: the location of the proposed entry; and
ii: the date and time of the proposed entry; and
iii: the nature of the work to be carried out and the reasons for it; and
iv: the length of time that an officer, employee, or agent of the water services entity expects to be on the land or in the building.
3: This section applies subject to sections 207 to 210 Section 201 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
202: Water services entity to be notified of conditions of work
1: Not later than 10 working days after receiving notice of a water services entity’s intention to carry out work under section 200(1)(b) or (c)
2: If the owner of the land fails to comply with subsection (1), any conditions imposed do not apply, and the water services entity may start the work. 2001 No 103 ss 137 138 Section 202 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
203: Process if consent to carry out work under section 200(1)(a) refused or granted subject to unreasonable conditions
1: This section applies if an owner of land has received a notice under section 201 section 200(1)(a)
a: has not granted consent to the work being carried out within 30 working days of receiving the notice from the water services entity under section 201
b: has notified the water services entity that the owner consents to the work being carried out subject to conditions but the water services entity considers those conditions to be unreasonable.
2: The water services entity must—
a: appoint a day for a hearing in relation to the matter; and
b: give the owner reasonable notice of the day, time, and place of hearing so as to enable the owner to attend the hearing; and
c: hold a meeting on the day appointed, and may, after hearing any matters raised by the owner, if present, determine—
i: to abandon the works proposed; or
ii: to proceed with the works proposed, with or without any alterations that the water services entity thinks fit.
3: A person who is aggrieved by a determination of the water services entity under subsection (2)(c)(ii) to proceed with the proposed works (with or without alterations) may appeal to the District Court under section 229
4: Pending the decision of the court on the appeal, the water services entity must not proceed with the proposed works. 2002 No 84 Schedule 12 cl 1(d), (e), (2), (3) Section 203 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
204: Application to District Court if consent to carry out work under section 200(1)(b) to (d) refused or granted subject to unreasonable conditions
1: This section applies if an owner of land has received a notice under section 201 section 200(1)(b) to (d)
a: has not granted consent to the work being carried out within 30 working days of receiving the notice from the water services entity under section 201
b: has notified the water services entity that the owner consents to the work being carried out subject to conditions but the water services entity considers those conditions to be unreasonable.
2: The water services entity may apply to the District Court for an order under this section authorising it to carry out the work.
3: The water services entity must give the owner of the land at least 10 working days’ notice of its intention to apply to the District Court under this section.
4: The District Court may, if satisfied that the requirements in subsection (5) have been met, make an order authorising the water services entity to—
a: enter the land at reasonable times, with or without any person who is, or anything that is, reasonably necessary for the purposes of carrying out the work:
b: carry out the work.
5: The requirements are that—
a: carrying out the work is necessary or desirable for the provision of water services; and
b: the water services entity has taken reasonable steps to obtain the consent of the owner of the land; and
c: in relation to the construction or placement of the water services infrastructure, the water services entity has given adequate consideration to alternative routes.
6: An order made under subsection (4) must specify—
a: how and when entry may be made; and
b: the specific powers that may be exercised; and
c: any other conditions (including conditions relating to the payment of compensation under the Public Works Act 1981
7: Before making an order under subsection (4), the District Court must have regard to the particulars of any applicable resource consent or building consent. 2001 No 103 ss 121 122 Section 204 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
205: Service of order
Before exercising any powers authorised by an order made under section 204 2001 No 103 s 123 Section 205 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
206: Requirement to produce evidence of authority and identity
An officer, employee, or agent of a water services entity acting under an order made under section 204
a: on initial entry; and
b: after the initial entry, on request. 2001 No 103 s 124 Section 206 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
206A: Report on engagement
Section 206A repealed 31 August 2023 section 34 Water Services Legislation Act 2023 Specific requirements for carrying out work in relation to water services infrastructure on or under Maori land Heading replaced 31 August 2023 section 34 Water Services Legislation Act 2023
207: Specific requirements for carrying out work under section 200(1) in relation to land on which marae or urupā is situated or that is Maori reservation
1: This section applies if a water services entity wishes to carry out any work described in section 200(1)
a: land on which a marae or an urupā is situated:
b: land that is a Maori reservation.
2: The water services entity may enter the land and carry out the work only if—
a: it has been granted consent by the owners of the land to carry out the work; and
b: at least 30 working days before commencing the work, it has given notice to the owners and any occupier of the land of its intention to enter the land and carry out the work.
3: Section 201(2)
4: This section applies subject to section 208 Section 207 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
208: Specific requirements for carrying out work under section 200(1)(a) in relation to Maori land with more than 10 owners
1: This section applies if a water services entity wishes to carry out—
a: work described in section 200(1)(a)
b: work described in any of section 200(1)(b) to (d)
i: that is Maori land with more than 10 owners; and
ii: in respect of which section 207(1)
2: The water services entity may enter the land and carry out the work only if—
a: it has been granted consent by the owners of the land; and
b: at least 30 working days before commencing the work, it has done one of the following:
i: given written notice of its intention to enter the land and carry out the work to the trustees of the principal marae of the hapū associated with the land:
ii: published a notice on an Internet site maintained by, or on behalf of, the Maori Land Court or in the Maori Land Court Pānui (or both) relating to its intention to enter the land and carry out the work:
iii: served notice on the Registrar of the Maori Land Court in accordance with section 181
3: If, for the purposes of subsection (2)(a), consent is required to enter the land, decisions relating to that consent must be made in accordance with Parts 9 10 Section 208 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
209: Specific requirements for carrying out work under section 200(1)(b) to (d) in relation to Maori land with more than 10 owners
1: This section applies if a water services entity wishes to carry out any work described in any of section 200(1)(b) to (d)
a: that is Maori land with more than 10 owners; and
b: in respect of which section 207
2: The water services entity may enter the land and carry out the work only if, at least 30 working days before commencing the work, it has done one of the following:
a: obtained the consent of the owners of the land:
b: given written notice of its intention to enter the land and carry out the work to the trustees of the principal marae of the hapū associated with the land:
c: published a notice on an Internet site maintained by, or on behalf of, the Maori Land Court or in the Maori Land Court Pānui (or both) relating to its intention to enter the land and carry out the work:
d: served notice on the Registrar of the Maori Land Court in accordance with section 181 Section 209 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
210: Notice required before carrying out work on or under reserve vested in post-settlement governance entity
1: This section applies if a water services entity wishes to carry out work described in section 200(1)
a: vested in a post-settlement governance entity under a Treaty settlement Act; and
b: managed by an administering body that is a local authority.
2: Before commencing the work, the water services entity must give notice of its intention to enter the land and carry out the work to the post-settlement governance entity and the administering body.
3: Section 201(2)
4: The requirement to give notice under subsection (2) applies in addition to the obligations of a water services entity set out in section 200(2) and (3) Section 210 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
2: Water services infrastructure on or under roads
Subpart 2 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Amendments to Crown Organisations (Criminal Liability) Act 2002 Heading repealed 31 August 2023 section 34 Water Services Legislation Act 2023
211: Power to carry out work in relation to water services infrastructure on or under roads
1: A water services entity may carry out the following work that it considers necessary for the provision of water services:
a: constructing, placing, operating, inspecting, maintaining, altering, renewing, or replacing water services infrastructure on, along, over, across, or under any road:
b: removing any obstruction or blockage relating to water services infrastructure, or clearing any flora that constitutes a risk to water services infrastructure on, along, over, across, or under any road:
c: for the purposes of paragraphs (a) and (b),—
i: working in any road:
ii: altering the position of, or altering, repairing, or removing, any gas, electricity, or telecommunications infrastructure or any part of that infrastructure on, along, over, across, or under any road.
2: A water services entity must exercise the powers specified in subsection (1) in accordance with any reasonable conditions imposed by the road owner, other person who has jurisdiction over the road, or utility operator whose infrastructure is likely to be affected by the work. 2001 No 103 s 135 2024-07-01 Crown Organisations (Criminal Liability) Act 2002 Sections 211–214 replaced on 31 August 2023; closed off in Editorial diary Section 211 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
212: Notice required before carrying out work on or under road
1: Before a water services entity proceeds to carry out any work under section 211(1)
2: A notice under subsection (1) must—
a: be in writing; and
b: be given at least 15 working days before the proposed work is to start; and
c: specify—
i: the location of the proposed work; and
ii: the date and time when the proposed work is to start; and
iii: the nature of the work to be carried out and the reasons for it; and
iv: the length of time the water services entity expects the work to continue. 2001 No 103 s 136 Section 212 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
213: Water services entity to be notified of conditions
1: Not later than 15 working days after receiving notice of a water services entity’s intention to carry out work under section 211(1) section 211(2)
2: If a person fails to comply with subsection (1), any conditions imposed do not apply, and the water services entity may start the work. 2001 No 103 ss 137 138 Section 213 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
3: Level crossings
Subpart 3 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
214: Rights of entry in respect of level crossings
1: This section applies if a water services entity—
a: wishes to enter a level crossing for the purpose of constructing or maintaining any works on, along, over, across, or under the level crossing; and
b: has been unable to negotiate an agreement for entry after taking all reasonable steps to do so.
2: The water services entity may, after giving the owner or occupier of the level crossing not less than 15 working days’ notice of its intention to enter the level crossing, apply to the District Court for an order under this section to enter the level crossing and carry out the work.
3: The District Court may, if satisfied that the requirements in subsection (4) have been met, make an order authorising the water services entity to—
a: enter the level crossing at reasonable times, with or without any person who is, or anything that is, reasonably necessary for the purposes of carrying out the work:
b: carry out the work.
4: The requirements are that—
a: carrying out the work is necessary or desirable for the provision of water services; and
b: the water services entity has taken all reasonable steps to negotiate an agreement for entry onto the land; and
c: in relation to the construction or placement of the water services infrastructure, no practical alternative route exists.
5: An order made under subsection (3)—
a: may authorise the water services entity to—
i: enter and re-enter the level crossing at reasonable times, with or without the assistants, aircraft, boats, vehicles, appliances, machinery, and equipment that are reasonably necessary for the construction or maintenance of any works:
ii: perform the work that may be reasonably necessary to construct or maintain any works:
b: must specify—
i: how and when entry may be made; and
ii: the specific powers that may be exercised; and
iii: any other conditions (including conditions relating to the payment of compensation) that the District Court thinks fit to impose. 1992 No 122 s 31 1992 No 124 s 32 Section 214 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Amendments to Goods and Services Tax Act 1985 Heading repealed 31 August 2023 section 34 Water Services Legislation Act 2023
215: Service of order
Before exercising any powers authorised by an order made under section 214(3) 2001 No 103 s 123 2022-12-15 Goods and Services Tax Act 1985 Section 218 comes into force on day after the day of Royal assent (see section 2(1)(f)) 2024-07-01 Goods and Services Tax Act 1985 Section 216 replaced on 31 August 2023; closed off in Editorial Diary Section 215 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
216: Requirement to produce evidence of authority and identity
An officer, employee, or agent of a water services entity acting under an order made under section 214(3)
a: on initial entry; and
b: after the initial entry, on request. 2001 No 103 s 124 Section 216 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
4: Further provisions relating to water services infrastructure
Subpart 4 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Immediate action in emergency Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
217: Power to take immediate action in case of emergency or specified serious risk
1: This section applies if—
a: an emergency has been declared under the Water Services Act 2021 Civil Defence Emergency Management Act 2002 Hazardous Substances and New Organisms Act 1996 Biosecurity Act 1993
b: an officer, employee, or agent of a water services entity believes, on reasonable grounds, that a specified serious risk exists.
2: An officer, employee, or agent of a water services entity—
a: may take immediate action to carry out any work described in—
i: section 200(1)(a) 207(1)
ii: section 200(1)(b) or (c) 211(1)
b: must give the information required by section 201(2)(c) 212(2)(c)
3: An officer, employee, or agent of the water services entity, while exercising powers under this section in respect of the land or road, must—
a: carry evidence of their authority and identity; and
b: produce the evidence on request. Section 217 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Compensation Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
218: Compensation
1: The exercise of a power set out in section 200(1) Part 5
2: The amount of the compensation may be agreed between the water services entity and the person concerned or, failing agreement, be determined in the manner provided for by the Public Works Act 1981 2001 No 103 s 154 2002 No 84 s 181(6) Section 218 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Protection and maintenance of water services infrastructure Heading replaced 31 August 2023 section 34 Water Services Legislation Act 2023
219: Protection of water services infrastructure on, over, or under land, road, or level crossing not owned by water services entity
1: This section applies to any water services infrastructure that—
a: is on, over, or under land that is not owned by a water services entity; or
b: is on, along, over, across, or under any road or level crossing that is not owned by a water services entity.
2: The water services infrastructure is to be treated as being lawfully fixed or installed, and continues to be lawfully fixed or installed, until the water services entity decides otherwise.
3: No person other than the water services entity has an interest in any water services infrastructure by reason only of having an interest in the land. 2001 No 103 s 155 2024-07-01 Income Tax Act 2007 Sections 219–221 replaced on 31 August 2023; closed off in Editorial Diary Section 219 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
220: Management and maintenance of water services infrastructure
1: A water services entity must manage and maintain the water services infrastructure in its service area (including meeting the costs of doing so).
2: A water services entity is responsible for managing and maintaining all overland flow paths and watercourses in an urban area other than a stormwater network that is owned or operated by a public stormwater network owner or operator (for example, a transport corridor manager) within the meaning of section 253
3: An owner or occupier of land on, over, or under which any existing water services infrastructure is constructed or placed is not required to maintain the infrastructure.
4: However, if the owner or occupier has—
a: impaired or altered a stormwater network (including, without limitation, any overland flow path or watercourse) on their land in breach of a stormwater network rule made under section 261
i: carry out remedial work to eliminate the impairment or reinstate the stormwater network; or
ii: meet the reasonable costs that the water services entity incurs in carrying out remedial work to eliminate the impairment or reinstate the stormwater network to the state it was in before its impairment or alteration; or
b: otherwise breached a stormwater network rule made under section 261
5: Nothing in this Act requires the owner or occupier to eliminate an impairment or alteration to a stormwater network on their land that is caused by—
a: an act or omission of another person in respect of other land; or
b: a breach of any rules made under this Act by another person in respect of other land; or
c: a natural disaster.
6: The owner of a road or level crossing on, along, over, across, or under which any existing water services infrastructure is constructed or placed is not required to maintain the infrastructure.
7: Nothing in subsections (1) to (5) limits or overrides any new or existing legally binding agreement that provides for the owner or occupier to be responsible for any management or maintenance. 1992 No 122 s 22A Section 220 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
221: Remedial work must meet certain requirements
1: Remedial work carried out under section 220
a: be carried out as soon as is reasonably practicable; and
b: comply with any relevant restrictions, requirements, conditions, standards, authorisations, or prohibitions in a stormwater network rule.
2: If an owner or occupier of land carries out work to eliminate an impairment to, or to reinstate, a stormwater network on their land under section 220(4)(a)(i)
a: the relevant water services entity must carry out the remedial work needed to comply with subsection (1)(b) as soon as is reasonably practicable; and
b: the owner or occupier must meet the reasonable costs that the water services entity incurs in carrying out that remedial work. 2023 No 1 s 76(2)(a) Section 221 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Moving water services infrastructure Heading replaced 31 August 2023 section 34 Water Services Legislation Act 2023
222: Owner or occupier of land may require water services infrastructure to be moved
1: This section applies in relation to any land or buildings on, over, or under which water services infrastructure has been constructed or placed.
2: The owner or occupier of the land or buildings may, at the owner or occupier’s own expense, move the water services infrastructure and re-lay, reconstruct, or replace the water services infrastructure, subject to—
a: the work being lawfully carried out; and
b: compliance with any reasonable conditions imposed by the water services entity.
3: However, no water services infrastructure may be moved, re-laid, reconstructed, or replaced under subsection (2) without the consent of the water services entity, which must not be unreasonably withheld.
4: Before the owner or occupier of the land carries out work under this section, the owner or occupier must notify the water services entity of their intention to carry out the work.
5: A notice under subsection (4) must—
a: be in writing; and
b: be given at least 30 working days before the proposed work is to start; and
c: specify the current location of the water services infrastructure and the proposed location to which it is to be moved.
6: A water services entity that receives a notice under subsection (4) must, before the date on which the proposed work is to start, provide a written response to the notice—
a: advising whether it consents to the work; and
b: stating any reasonable conditions it wishes to specify for the work. 1992 No 122 s 35 1992 No 124 s 36 2022-12-15 Local Government Act 2002 Section 223 comes into force day after the date of Royal assent (see section 2(1)(g)). Section 222 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
223: Road owner may require water services infrastructure to be moved
1: This section applies in relation to any water services infrastructure constructed or placed on, along, over, across, or under any road.
2: The road owner or other person who has jurisdiction over the road may, by notice, require the water services entity to move or otherwise alter the position of the water services infrastructure.
3: A notice under subsection (2) must—
a: be in writing; and
b: be given at least 15 working days before the work is required to start; and
c: specify the current location or position of the water services infrastructure and the proposed location to which it is to be moved.
4: A water services entity that receives a notice under subsection (2) may—
a: carry out the work; or
b: authorise the road owner or other person who has jurisdiction over the road (or a person acting on their behalf) to carry out the work.
5: The reasonable cost of all work required to be done under this section must be paid by the person who gave the notice under subsection (2).
6: If there is a dispute about costs of any work carried out under this section (including a dispute about liability for payment of those costs), the dispute must be determined—
a: by agreement between the parties; or
b: failing that agreement, by arbitration under the Arbitration Act 1996 1992 No 122 s 33 Section 223 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Information and approval Heading replaced 31 August 2023 section 34 Water Services Legislation Act 2023
224: Requirement to provide information about location of water services infrastructure
1: A water services entity must inform each local authority and building consent authority in its service area about the location of any water services infrastructure that the water services entity owns or operates in its service area.
2: The information must include a map showing the location of the infrastructure.
3: A person may request a copy of the map from the water services entity.
4: If a request for a copy of the map is made, the water services entity must provide the copy within 15 working days of receiving the request.
5: The water services entity must update the information provided under this section annually. 2024-07-01 Local Government Official Information and Meetings Act 1987 Sections 224–226 replaced on 31 August 2023; closed off in Editorial Diary Section 224 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
225: Requirement to obtain approval before carrying out building work over or near water services infrastructure
1: This section applies to a person who proposes to carry out building work over or near water services infrastructure.
2: The person must apply to the relevant water services entity for approval to carry out the building work at least 30 days before the proposed building work is to start.
3: An application under subsection (2) must—
a: be in the form approved by the chief executive of the water services entity for the purpose; and
b: be accompanied by the application fee (if any) set by the chief executive of the water services entity.
4: The water services entity must, within 30 working days of receiving an application, notify the applicant, the relevant local authority, and the relevant building consent authority of its decision in writing.
5: The water services entity may—
a: approve the application subject to any conditions relating to the carrying out of the building work that it considers necessary to protect or provide for the operation and maintenance of the water services infrastructure, including (without limitation) the relocation of the water services infrastructure if practical to do so:
b: decline the application if it reasonably considers that no other practical alternative is available.
6: The water services entity may recover the reasonable costs of any work carried out by or on or behalf of the water services entity to modify or shift water services infrastructure to provide for the building work. Section 225 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Miscellaneous Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
226: Prohibition on charging for access to certain water services infrastructure
1: A water services entity is not required to pay rent to the Crown in relation to any land in a harbour on, over, or under which water services infrastructure has been constructed or placed.
2: A water services entity is not required to pay rent to a road owner, any other person who has jurisdiction over a road, or a utility operator in relation to any road on, along, over, across, or under which water services infrastructure has been constructed or placed. 2009 No 32 s 59 Section 226 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Amendment to Ombudsmen Act 1975 Heading repealed 31 August 2023 section 34 Water Services Legislation Act 2023
227: Requirements for easements over certain land
1: This section applies if a water services entity is seeking to create an easement on the record of title in relation to land on which a marae or an urupā is situated or that is a Maori reservation.
2: Sections 315 to 326 2024-07-01 Ombudsmen Act 1975 Sections 227 & 228 replaced on 31 August 2023; closed off in Editorial Diary. Section 227 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
228: Land that may be needed for settlement of Treaty of Waitangi claims
1: This section applies if a water services entity intends to purchase any Crown-owned land that is not subject to a Treaty settlement deed for the purposes of constructing or placing water services infrastructure.
2: Before purchasing the land, the water services entity must consult the Minister for Treaty of Waitangi Negotiations for the purpose of considering the Crown’s obligation to provide redress by way of Crown-owned land for any future settlements of Treaty of Waitangi claims. Section 228 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
5: Appeals
Subpart 5 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Amendment to Public Audit Act 2001 Heading repealed 31 August 2023 section 34 Water Services Legislation Act 2023
229: Appeal to District Court
Appeal by water services entity
1: A water services entity may appeal to the District Court against all or any of the conditions on carrying out work imposed—
a: by an owner of land under section 200(3)
b: by a road owner, other person who has jurisdiction over the road, or a utility operator under section 211(2) Appeal by owner or occupier of land
2: An owner or occupier of land may appeal to the District Court against—
a: a determination made by a water services entity under section 203(3)
b: a refusal of a water services entity to consent to the owner or occupier moving water services infrastructure under section 222
c: all or any of the conditions on carrying out work imposed by a water services entity under section 225(5) Provisions relating to appeal
3: An appeal under this section must be made by giving notice of appeal—
a: not later than 15 working days after the date of notification of the determination, refusal, or conditions imposed (as the case may be); or
b: within any further time that the District Court may allow.
4: The District Court may, in relation to an appeal made under subsection (1), do 1 or more of the following:
a: confirm, modify, or cancel all or any of the conditions imposed:
b: impose new conditions.
5: The District Court may, in relation to an appeal made under subsection (2)(a) or (b), confirm or reverse the determination or decision.
6: The District Court may, in relation to an appeal made under subsection (2)(c),—
a: confirm, modify, or cancel all or any of the conditions imposed:
b: impose new conditions. 2001 No 103 s 141 2024-07-01 Public Audit Act 2001 Section 229 replaced on 31 August 2023; closed off in Editorial Diary. Section 229 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
230: Appeals to High Court
1: A person may appeal to the High Court on a question of law only in relation to—
a: an order made by the District Court under section 204
b: a decision of the District Court made under section 229
2: An appeal must be made by giving notice of appeal—
a: not later than 20 working days after the date on which the order was made or notice of the decision was communicated to the appellant; or
b: within any further time that the High Court allows.
3: However, nothing in this section affects the right of any person to apply for judicial review. 2021 No 36 s 95 Section 230 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Amendment to Public Records Act 2005 Heading repealed 31 August 2023 section 34 Water Services Legislation Act 2023
231: Appeals to Court of Appeal or Supreme Court
1: A party to an appeal under section 230
2: The Court of Appeal or the Supreme Court hearing an appeal under this section has the same power to adjudicate on the appeal as the High Court had.
3: Subsection (1) is subject to section 75 2021 No 36 s 96 2024-07-01 Public Records Act 2005 Sections 231 & 232 replaced on 31 August 2023; closed off in Editorial Diary. Section 231 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
232: Appeal to Maori Land Court
1: A water services entity may appeal to the Maori Land Court against a refusal to grant consent for the water services entity to carry out any work described in section 200(1)
2: An appeal must be made by giving notice of appeal—
a: not later than 15 working days after the date on which the notice of the decision was communicated to the water services entity; or
b: within any further time that the Maori Land Court allows.
3: The Maori Land Court may confirm or set aside the decision. Section 232 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Amendments to Taumata Arowai–the Water Services Regulator Act 2020 Heading repealed 31 August 2023 section 34 Water Services Legislation Act 2023
233: Appeal to Maori Appellate Court
1: A person may appeal to the Maori Appellate Court on a question of law only in relation to a decision of the Maori Land Court made under section 232
2: An appeal must be made by giving notice of appeal—
a: not later than 20 working days after the date on which the order was made or notice of the decision was communicated to the appellant; or
b: within any further time that the Maori Appellate Court allows.
3: However, nothing in this section affects the right of any person to apply for judicial review. 2022-12-15 Taumata Arowai–the Water Services Regulator Act 2020 Section 234 comes into force the day after the date of Royal assent (see section 2(1)(h)) Section 233 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
7: Controlled drinking water catchments
Part 7 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
234: Board may designate controlled drinking water catchment areas
1: The board of a water services entity may, by notice, designate the following to be a controlled drinking water catchment area
a: a geographic area that surrounds surface water:
b: a groundwater catchment from which drinking water is abstracted.
2: A designation under subsection (1) may be made only if—
a: the water services entity owns or has long-term control of the land to which the designation relates; or
b: the owner of the land to which the designation relates agrees to the designation.
3: A notice made under subsection (1) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 •	notify it in the Gazette •	publish it on an Internet site maintained by, or on behalf of, the water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 234 replaced 31 August 2023 section 34 Water Services Legislation Act 2023 Amendments to Water Services Act 2021 Heading repealed 31 August 2023 section 34 Water Services Legislation Act 2023
235: Board may issue controlled drinking water catchment management plan
1: The board of a water services entity may, by notice, issue a controlled drinking water catchment management plan in relation to 1 or more controlled drinking water catchment areas for the purposes of managing, controlling, monitoring, or eliminating risks or hazards to a source of drinking water in the area.
2: A plan issued under subsection (1)—
a: must identify the controlled drinking water catchment area (or areas) to which the plan applies; and
b: may set out prohibitions, restrictions, or requirements relating to—
i: access to the area:
ii: activities that may be undertaken in the area, including the use of water in the area; and
c: may set out prohibitions or restrictions relating to contamination of water in the area; and
d: may specify activities that are allowed, or subject to restrictions or prohibitions, in a controlled catchment management area under a permit issued by the chief executive of the water services entity.
3: If the controlled drinking water catchment management plan relates to land that is not owned by, or under the long-term control of, the water services entity, the owner of the land must agree for the plan to apply to the land.
4: Despite subsection (3), if the plan applies to 2 or more controlled drinking water catchment areas and an owner of land in the catchment area does not agree for the plan to apply to their land, the plan applies only in respect of land in the catchment areas whose owners have agreed for the plan to apply.
5: The board of the water services entity must review its controlled drinking water catchment management plan in accordance with section 477
6: A notice made under subsection (1) is secondary legislation ( see Part 3 2022-12-15 Water Services Act 2021 236 and 237 come into force 1 day after Royal assent (see section 2(1)(i)) The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 •	notify it in the Gazette •	publish it on an Internet site maintained by, or on behalf of, the water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 235 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
236: Chief executive of water services entity may issue permit relating to activities in controlled drinking water catchment area
1: The chief executive of a water services entity may issue permits containing prohibitions, restrictions, or requirements in relation to activities in a controlled drinking water catchment area.
2: A permit must give effect to any relevant requirements relating to permits set out in a controlled drinking water catchment management plan issued under section 235 Section 236 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
237: Engagement on controlled drinking water catchment management plan
1: The board of a water services entity must, when developing (or considering changes to) a controlled drinking water catchment management plan, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 237 replaced 31 August 2023 section 34 Water Services Legislation Act 2023
8: Small mixed-use rural water supplies
Part 8 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
238: Requirement to prepare rural supply plan for small mixed-use rural water supplies
1: A water services entity must prepare a rural supply plan for each small mixed-use rural water supply in its service area.
2: The chief executive of a water services entity must publish a rural supply plan prepared under this section on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible. Section 238 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
239: Purpose of rural supply plan
The purpose of a rural supply plan is to—
a: set out the roles and responsibilities relating to the small mixed-use rural water supply; and
b: provide transparency to consumers about how the water services entity will operate the supply; and
c: provide the water services entity with a means to engage with consumers about supply arrangements. Section 239 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
240: Contents of rural supply plan
A rural supply plan must, in relation to a small mixed-use rural water supply,—
a: define the geographic area of the supply; and
b: set out how the water services entity will operate the supply with users of the supply, including the arrangements where the infrastructure relating to the supply is on land owned by its users; and
c: set out any details relating to ongoing maintenance or upgrade of the supply arrangements; and
d: set out any committee or other arrangements for making decisions about the operation of the supply by the water services entity and representatives of users of the supply; and
e: set out the roles and responsibilities under the drinking water safety plan for the supply. Section 240 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
241: Engagement on rural supply plans
1: The board of a water services entity must, when developing (or considering changes to) its rural supply plan, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 241 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
242: Duties of chief executive of water services entity relating to rural supply plan
The chief executive of a water services entity must—
a: give effect to the rural supply plan when the chief executive performs or exercises any relevant function or power of the chief executive; and
b: take the rural supply plan into account when making or reviewing its asset management plan, funding and pricing plan, or infrastructure strategy. 2021 No 36 s 136(7) Section 242 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
243: Review of rural supply plan
The board of a water services entity must review a rural supply plan at least every 3 years. 2021 No 36 s 136(2) Section 243 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
9: Service provider and water services assessment obligations
Part 9 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
1: Water services assessments
Subpart 1 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
244: Access to water services must be assessed
1: The board of a water services entity must inform itself about the access that each community and population within the territorial authority district boundaries in its service area has to water services by undertaking an assessment of those services under this section (a water services assessment
2: A water services assessment must—
a: identify each community and population within territorial authority district boundaries that receives the services; and
b: describe the characteristics of those communities and populations and the nature of the services that they currently receive; and
c: assess the extent to which those communities and populations are currently receiving, and will continue to receive, sufficient services, including a consideration of—
i: their current access; and
ii: any reasonably foreseeable risks to their future access; and
iii: their current and estimated future demands for the services; and
d: describe the safety and quality of drinking water currently being supplied to the communities and the populations within territorial authority district boundaries in its service area, using information collected and made available by Taumata Arowai and any other organisations that the water services entity considers relevant; and
e: assess the adequacy of water services available to communities and populations within territorial authority district boundaries within its service area from a public health perspective and in light of—
i: the health risks to those communities and populations arising from any absence of, or deficiency in, those services; and
ii: the quality of those services currently available to those communities and populations; and
iii: the current and estimated future demands for any of those services; and
iv: the actual or potential consequences of stormwater and sewage discharges within its service area; and
f: identify and assess any other public health risks and any environmental risks relating to the services supplied to communities and populations within territorial authority district boundaries; and
g: take account of—
i: the diversity of the communities and populations within the water services entity’s service area, their current and future interests, and the likely impact on their well-being; and
ii: the equity of provision of water services, including (without limitation) for Māori; and
h: specify the assumptions regarding current and estimated future demands for water services and how they compare with the relevant assumptions specified in the water services entity’s asset management plan; and
i: based on the water services assessment under paragraphs (b) to (h),—
i: assess the consequences if the communities or the populations within territorial authority district boundaries of its service area lose access to the services in the future, or are provided with services that are deficient in any way, including the implications for their public health; and
ii: consider communities or populations that might have deficient water services or no services; and
iii: outline a plan that provides for the ongoing access of those communities and populations to the services; and
iv: have regard to the water services entity’s asset management plan and infrastructure strategy.
3: A water services assessment,—
a: in relation to water supply, does not include assessments in relation to domestic self-suppliers:
b: in relation to wastewater, does not include assessments in relation to properties with on-site wastewater services arrangements (for example, septic tanks). 2002 No 84 ss 124 125 128(2) Section 244 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
245: When water services assessments must be conducted
1: The board of a water services entity—
a: must conduct its first water services assessment before 1 July 2029:
b: must, after it completes its first water services assessment, conduct a water services assessment at least once every 3 years (which may be carried out when other assessments are carried out or at different times):
c: may conduct a water services assessment at an earlier date (if the water services entity is made aware of concerns about the access that a community or population within territorial authority district boundaries has to drinking water, wastewater services, or stormwater services).
2: The board must provide the means for any person to alert the water services entity at any time of concerns about access to drinking water, wastewater services, and stormwater services for a community or population within territorial authority district boundaries in its service area. 2002 No 84 s 125 Section 245 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
246: Additional considerations for water services assessments
1: The board of a water services entity—
a: must invite interested persons in the service area of the water services entity, and the water services entity’s consumer forum, to participate in the water services assessment; and
b: must take the water services assessment into account in its asset management plans, funding and pricing plans, and stormwater management plans.
2: In complying with subsection (1), the board of a water services entity must—
a: comply with section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476
3: For the purposes of this section and sections 244 245
a: water services assessment
i: assessing a service for the first time; and
ii: reviewing and updating an existing assessment:
b: the scope of each water services assessment must include—
i: communities and the population within territorial authority district boundaries that receive drinking water, wastewater services, and stormwater services from the water services entity or other service provider; and
ii: communities and populations within territorial authority district boundaries in its service area that do not receive water supply services from the water services entity; and
iii: all types of water supply arrangements, including communities and populations (and households within those communities and populations) that do not receive water supply services supplied by network reticulation:
c: water services entities need not consider within a water services assessment water supply services that are owned or operated by the Crown:
d: a water services assessment may be carried out by the water services entity or undertaken on its behalf (whether in whole or in part) by another appropriate organisation, including—
i: an iwi or Māori organisation:
ii: a relevant territorial authority or regional council. 2002 No 84 ss 14(1)(c) 125 Section 246 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
247: Regional representative group review of proposed water services assessments
Before finalising a water services assessment, the board of a water services entity must—
a: provide its regional representative group with a copy of the proposed water services assessment; and
b: give the group 2 months to review and comment on the proposed water services assessment; and
c: take into account the group’s comments (if any) before finalising the water services assessment. Section 247 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
248: Requirements following water services assessments
1: On completion of a water services assessment, the chief executive of a water services entity must—
a: make the water services assessment available to the public on an Internet site maintained by, or on behalf of, the water services entity; and
b: provide Taumata Arowai with a copy of the water services assessment in electronic form.
2: The chief executive must also notify Taumata Arowai about—
a: any drinking water suppliers that are, or appear to be, failing to meet their statutory obligations or are at risk of doing so; and
b: any other matters of concern arising from the water services assessment, including risks to communities within the water services entity’s service area affected by the water services assessment that relate to—
i: any absence of, or deficiency in, a water supply service; or
ii: a drinking water supplier that is at risk of ceasing to provide a service. 2002 No 84 s 126 Section 248 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
249: Duty to ensure communities have access to drinking water if existing supplier faces significant problems
1: Subsection (2) applies if—
a: a water services entity’s or Taumata Arowai’s assessment of drinking water is that the supplier (not being the water services entity) is facing a significant problem or potential problem with its drinking water, and the water services entity has notified Taumata Arowai of those concerns and discussed them with Taumata Arowai; or
b: Taumata Arowai requires the water services entity to take action under subsection (2).
2: If this subsection applies, a water services entity must—
a: work collaboratively with the supplier, the consumers of the supply, and Taumata Arowai to identify, as the circumstances allow and within a time frame determined by Taumata Arowai, 1 or more of the following:
i: an immediate solution to the problem:
ii: a temporary solution to the problem:
iii: a long-term, permanent solution to the problem; and
b: ensure that drinking water is provided to the affected consumers on a temporary or permanent basis if—
i: the supplier is unable to continue to provide a service that meets the statutory requirements; and
ii: an alternative solution is not readily available, or cannot be agreed by the parties involved within the time frame determined by Taumata Arowai.
3: For the purposes of this section, a significant problem or potential problem
a: a drinking water supplier has persistently failed to comply with legislative requirements; or
b: there is a serious risk to public health relating to the drinking water provided by a drinking water supplier; or
c: a drinking water supplier has ceased to supply drinking water or is, in Taumata Arowai’s opinion, at significant risk of ceasing to supply drinking water.
4: If a water services entity is obliged to ensure access to drinking water, the water services entity may consider a range of options to fulfil its obligation, including—
a: taking over the management and operations of the drinking water supplier, on a temporary or permanent basis:
b: ensuring that drinking water continues to be provided through alternative supply arrangements.
5: However, nothing in subsection (4) obliges the water services entity to provide the supply via a reticulated network.
6: If a water services entity takes over the management and operations of a drinking water supplier on a permanent basis, the water services entity, Taumata Arowai, the former supplier, and (if relevant) the affected consumers must work together to determine how to deal with—
a: any assets and liabilities of the former supplier; and
b: any legal or other issues that may affect the water services entity’s ability to manage and operate the supplier, such as access to the land on, or beneath which, assets are situated; and
c: how the water services entity might be compensated for the costs incurred in taking over the responsibilities of the former supplier.
7: A water services entity may charge for any drinking water that is provided to affected consumers, and may recover its costs from the previous supplier but, when making decisions about future charges and funding arrangements, the water services entity must—
a: take reasonable steps to ascertain and consider the financial circumstances facing the affected consumers; and
b: consider the range of funding sources provided for in its funding and pricing plan; and
c: on request, demonstrate that it has considered those factors.
8: See also subpart 12 2002 No 84 s 127 Section 249 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Fire hydrant provisions Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
250: Fire hydrants
1: A water services entity must, in every part of the service area in which it supplies water,—
a: fix fire hydrants in the main pipes of the water supply network at the most convenient places for extinguishing any fire as the water services entity determines—
i: in consultation with the relevant territorial authority; and
ii: with the approval of Fire and Emergency New Zealand; and
b: keep those fire hydrants in effective working order.
2: Fire hydrants must be fixed at the distances from each other that the water services entity decides with the approval of Fire and Emergency New Zealand.
3: The water services entity must put near each fire hydrant a conspicuous notice or mark of a kind approved by Fire and Emergency New Zealand showing the location of the hydrant, and that notice may, if the water services entity thinks fit, be put on any building.
4: If the water services entity is dissatisfied with any decision of Fire and Emergency New Zealand under this section, it may, within 1 month after receiving notice of the decision, appeal against that decision to the District Court.
5: The decision of the District Court in determination of the appeal under this section is final. 1974 No 66 s 647 Section 250 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
251: Pipes to be kept charged with water
1: A water services entity must at all times keep charged with water the pipes to which fire hydrants are affixed to by the water services entity under section 250
2: Subsection (1) does not apply—
a: in the case of an unusual drought, an accident, or an interruption or restriction of the water supply:
b: during any necessary repairs, renewals, connections, or inspections of the pipes:
c: in the case of a state of emergency declared under the Civil Defence Emergency Management Act 2002
d: in the case of a drinking water emergency declared under section 59
3: Subject to the overall requirements of any controller while a state of emergency exists under the Civil Defence Emergency Management Act 2002 1974 No 66 s 648 Section 251 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
2: Stormwater provisions
Subpart 2 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
252: Purpose of subpart
The purpose of this subpart is to—
a: provide that a water services entity is responsible for managing—
i: stormwater in the urban areas in its service area; and
ii: the effects of stormwater in those areas; and
b: provide a framework to—
i: deliver strategic and long-term outcomes for the management of stormwater in urban areas; and
ii: enable engagement with the framework; and
c: provide, alongside relationship agreements and service-level agreements under Part 5A
d: require water services entities to provide comprehensive risk management of stormwater in urban areas; and
e: provide Taumata Arowai with oversight of the stormwater management of water services entities. Section 252 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
253: Interpretation
In this subpart, unless the context otherwise requires,— private stormwater network
a: means the infrastructure owned or operated by, or processes used by, a private stormwater network owner or operator to collect, treat, drain, store, reuse, or discharge stormwater in an urban area that connects or discharges to a stormwater network of a water services entity; and
b: includes—
i: an overland flow path:
ii: green water services infrastructure that delivers stormwater water services private stormwater network owner or operator
a: owns or operates a private stormwater network in an urban area that connects or discharges to a stormwater network of a water services entity; and
b: is not a public stormwater network owner or operator public entity
a: a local authority, council-controlled organisation, or subsidiary of a council-controlled organisation:
b: a department:
c: the New Zealand Defence Force:
d: a transport corridor manager:
e: a person who operates a stormwater network, or any aspect of a stormwater network, for, or on behalf of, an organisation specified in paragraphs (a) to (c) public stormwater network
a: means the infrastructure owned or operated by, or processes used by, a public stormwater network owner or operator to collect, treat, drain, store, reuse, or discharge stormwater in an urban area that connects or discharges to a stormwater network of a water services entity; and
b: includes—
i: an overland flow path:
ii: green water services infrastructure that delivers stormwater water services public stormwater network owner or operator Section 253 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Stormwater management strategies Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
254: Stormwater management strategies
1: The board of a water services entity must have a stormwater management strategy, that includes—
a: a stormwater management plan for all stormwater networks in its service area; and
b: a stormwater risk management plan for all the stormwater networks in its service area, including networks owned or operated by a water services entity, a public entity, or a private stormwater network owner or operator; and
c: any stormwater network rules that apply to the stormwater networks in its service area, including—
i: networks owned or operated by a water services entity; and
ii: networks owned or operated by a public entity; and
iii: networks owned or operated by a private stormwater network owner or operator.
2: Before issuing or amending its stormwater management strategy, the board of the water services entity must—
a: provide its proposed or revised stormwater management strategy to Taumata Arowai; and
b: develop its final stormwater management strategy in a manner that gives effect to any comments that Taumata Arowai makes on the proposed or revised stormwater management strategy; and
c: provide its final stormwater management strategy to Taumata Arowai on or before 1 July 2028; and
d: give effect to its final stormwater management strategy; and
e: take its final stormwater management strategy into account when making or reviewing its—
i: asset management plan:
ii: infrastructure strategy:
iii: funding and pricing plan.
3: The chief executive of the water services entity must publish the final stormwater management strategy on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible.
4: The territorial authorities, regional councils, and transport corridor managers involved in or affected by the stormwater management strategy must work with the water services entity to develop the strategy.
5: The board of a water services entity must—
a: review its stormwater management strategy at least once every 5 years:
b: provide Taumata Arowai with its updated stormwater management strategy as soon as practicable following the review. Section 254 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
255: Engagement on stormwater management strategy
1: The board of a water services entity must, when proposing or reviewing its stormwater management strategy, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 255 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Stormwater management plans Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
256: Stormwater management plans
The board of a water services entity must prepare a stormwater management plan for all stormwater networks in its service area. 2021 No 36 s 139(1) Section 256 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
257: Purpose of stormwater management plans
The purpose of a stormwater management plan is to provide a water services entity with—
a: a long-term strategic framework for managing its stormwater networks; and
b: comprehensive information about its stormwater networks and any regulatory requirements that apply to them; and
c: a means to engage with others on the management of its stormwater networks. Section 257 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
258: Contents of stormwater management plans
1: A stormwater management plan must— Outcomes
a: state the outcomes that the water services entity is intending to achieve and the means to monitor progress against those outcomes; and Information
b: identify the geographical zones (on a catchment-level basis) and set out the areas that each stormwater network serves; and
c: provide the relevant details of each stormwater network in the service area of the water services entity, including maps of each stormwater network; and
d: provide the relevant details of each stormwater network that relates to a transport corridor; and
e: specify any statutory requirements that relate to the stormwater networks (for example, stormwater environmental performance standards or conditions in resource consents); and
f: provide the relevant details about any wastewater networks that are part of, or related to, a stormwater network; and
g: provide the relevant details of any community that a stormwater network of the water services entity serves (including, without limitation, areas of urban development or growth); and Te Mana o te Wai
h: state how the stormwater management plan relates to any actions the water services entity is to take (consistent with its plan under section 144(2) Roles and responsibilities
i: identify the roles and responsibilities relating to managing stormwater networks in the water services entity’s service area (for example, local authorities or private stormwater network owners or operators).
2: A stormwater management plan may—
a: include any other matters that the water services entity considers appropriate:
b: relate to 1 stormwater network or to multiple stormwater networks. Section 258 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Stormwater network risk management plans Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
259: Stormwater network risk management plans
The board of a water services entity must prepare a stormwater network risk management plan for all stormwater networks in its service area, including all stormwater networks of—
a: every private stormwater network owner or operator:
b: every public stormwater network owner or operator. Section 259 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
260: Contents of stormwater network risk management plan
A stormwater network risk management plan must—
a: identify any hazards that relate to a stormwater network, including (without limitation) emerging or potential hazards; and
b: assess any risks that are associated with those hazards; and
c: identify how those risks are to be managed, controlled, monitored, or eliminated. Section 260 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Stormwater network rules Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
261: Board may make stormwater network rules
1: The board of a water services entity may make stormwater network rules that do all or any of the following:
a: set restrictions, requirements, conditions, standards, authorisations, or prohibitions relating to—
i: discharges to a stormwater network:
ii: the volume of stormwater in a stormwater network:
iii: risks and hazards identified in a stormwater network risk management plan relating to—
A: activities in the service area of a water services entity:
B: overland flow paths and watercourses in the service area of an entity:
b: set notification requirements (for example, notification of hazards or risks relating to a stormwater network).
2: Rules made under this section must specify the geographic area in the water services entity’s service area to which the rules apply.
3: Rules made under this section relating to works on or near, or relating to the maintenance of, overland flow paths of the stormwater network may not conflict with or restrict the rights and obligations of road owners under section 222 223 Telecommunications Act 2001 Electricity Act 1992 Gas Act 1992
4: Rules made under this section must not be inconsistent with—
a: the national planning framework or a plan made under the Natural and Built Environment Act 2023
b: any relevant regional spatial strategy made for a region under the Spatial Planning Act 2023
5: Rules made under this section may not require an owner or occupier of land to eliminate an impairment of a stormwater network (including, without limitation, any overland flow path or watercourse) on their land that is caused by—
a: an act or omission of another person in respect of other land; or
b: a breach of a rule made under this Act by another person in respect of other land; or
c: a natural disaster.
6: Stormwater network rules are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 •	notify it in the Gazette •	publish it on an Internet site maintained by, or on behalf of, the water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 261 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
262: Stormwater network rules may apply to various networks
Stormwater network rules may apply to a part, or the whole, of 1 or more of the following:
a: the stormwater networks of the water services entity:
b: subject to paragraph (d), the networks of a public stormwater network owner or operator:
c: the networks of a private stormwater network owner or operator:
d: the networks of a transport corridor manager that has agreed to the stormwater network rules in writing. Section 262 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
263: Stormwater management of overland flow paths and watercourses
1: If a stormwater network risk management plan identifies a hazard or risk relating to an overland flow path or a watercourse on land that is not owned by a water services entity, the water services entity must work collaboratively with the owner or occupier of the land to implement a solution to ensure the risk is managed, controlled, monitored, or eliminated.
2: If a collaborative approach cannot be agreed with the owner or occupier of the land under subsection (1) in a reasonable time frame, or the owner or occupier of the land is unable to implement a solution to address the risk identified in the stormwater network risk management plan, the water services entity must implement a solution to ensure the risk is managed, controlled, monitored, or eliminated.
3: Despite anything in subsection (1) or (2), any obligations imposed by a stormwater network rule made under section 261(1)(a)
4: However, nothing in this section overrides the responsibility of a water services entity under section 220 Section 263 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Stormwater environmental performance standards Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
264: Requirement to give effect to stormwater environmental performance standards
If the board of a water services entity makes stormwater network rules under section 261 section 139A of the Water Services Act 2021 2002 No 84 s 146(2) Section 264 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
3: Trade waste provisions
Subpart 3 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Trade waste permits Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
265: Certain persons may apply for trade waste permits
1: A person may apply to the chief executive of a water services entity for a trade waste permit if the person—
a: owns or occupies trade waste premises in the water services entity’s service area; or
b: is a trade waste carrier that carries out work in the water services entity’s service area.
2: The application must be made in the manner and in the form that the chief executive of the water services entity specifies. Section 265 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
266: Chief executive of water services entity may issue trade waste permit
1: The chief executive of a water services entity may issue a trade waste permit only to a person who may apply for a trade waste permit.
2: The chief executive may specify any requirements, conditions, and limits in a trade waste permit that the chief executive considers appropriate for the person to comply with in the circumstances, including (without limitation) 1 or more of the following:
a: requirements relating to the storage, handling, treatment, or discharge of trade waste:
b: notification requirements (for example, notification requirements relating to unintended or accidental discharge of trade waste, whether into a wastewater network, a stormwater network, or the environment):
c: volumetric requirements, conditions, or limits:
d: contaminant requirements, conditions, or limits:
e: treatment requirements or conditions:
f: measurement or monitoring requirements:
g: laboratory testing requirements:
h: qualification, training, or supervision requirements:
i: unique identifiers (for example, a code that enables an entity to identify particular trade waste premises or a vehicle used to transport trade waste):
j: record-keeping, audit, and inspection requirements.
3: A trade waste permit must give effect to any relevant wastewater environmental performance standard made under section 138 Section 266 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
267: Persons may discharge trade waste into wastewater networks only if complying with trade waste permits
A person may discharge trade waste into a wastewater network only if the person complies with every requirement, condition, and limit specified in the relevant trade waste permit. Section 267 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Trade waste plans Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
268: Board must have trade waste plan
1: The board of a water services entity must—
a: have a trade waste plan that sets out the approach that the water services entity is to take to regulate—
i: trade waste in its service area; and
ii: the discharge of trade waste into its wastewater networks; and
b: consider any relevant building code made under the Building Act 2004
2: The purpose of the trade waste plan is to provide transparency in relation to the matters specified in section 269
3: A trade waste plan made under this Act is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 •	notify it in the Gazette •	publish it on an Internet site maintained by, or on behalf of, the water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 268 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
269: Contents of trade waste plans
1: A trade waste plan must specify—
a: which activities will be allowed under a permit; and
b: which activities will be subject to restrictions under a permit; and
c: any activities that will be prohibited under a permit; and
d: the water services entity’s intended approach—
i: to issuing permits for trade waste over a 5-year period, including the approach to classes of trade waste, trade waste premises, and trade waste carriers:
ii: to determining the requirements, conditions, and limits that are to apply to different classes of trade waste under trade waste permits:
iii: to determining the qualification, training, and supervision requirements that are to apply to persons who are granted trade waste permits:
iv: to determining the considerations that are to apply when the water services entity sets fees or charges in relation to trade waste permits.
2: A trade waste plan may specify the classes of waste or material that are not trade waste.
3: A person who holds a trade waste permit may, at any time, request a review of, and ask for changes to, the trade waste permit. 2021 No 36 s 136(6) Section 269 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
270: Engagement on trade waste plans
1: The board of a water services entity must, when developing (or considering changes to) its trade waste plan, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 270 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
271: Chief executive of water services entity must give effect to trade waste plans
The chief executive of a water services entity must give effect to the trade waste plan of the water services entity when the chief executive performs or exercises any relevant function or power of the chief executive. 2021 No 36 s 136(7) Section 271 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
272: Review of trade waste plan
The board of a water services entity must review its trade waste plan in accordance with section 477 2021 No 36 s 136(2), (3) Section 272 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
4: Water supply and wastewater services rules
Subpart 4 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
273: Board may make water supply and wastewater services rules
1: The board of a water services entity may make rules relating to water supply and wastewater services, including (without limitation) rules—
a: concerning the use of water supplied to consumers by a water services entity (for example, restrictions on the amount of water that is used or the purpose for which it is used):
b: concerning the disposal of materials or substances into, or discharging to, a wastewater network:
c: concerning equipment or devices relating to water supply or wastewater networks (for example, a backflow prevention device):
d: requiring consumers to notify the water services entity of any significant risk to its water supply or wastewater services (for example, faults, hazards, or any significant change in normal usage).
2: The rules may—
a: apply to 1 or more consumers or classes of consumers:
b: be different for each consumer or class of consumers.
3: The rules must—
a: specify the geographic area or areas to which the rules apply; and
b: be published as an appendix to the water services entity’s service agreement.
4: As soon as practicable after making the rules, the board must take reasonable steps to notify the water services entity’s consumers about how the rules apply to them (for example, whether there is a drought for which water restrictions apply).
5: Rules made under subsection (1) with respect to wastewater do not apply to a person who holds a trade waste permit.
6: Rules made under subsection (1) are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 • notify it in the Gazette • publish it on an Internet site maintained by, or on behalf of, the water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 273 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
274: Requirements for water supply and wastewater services rules
Water supply and wastewater services rules made under section 273
a: must give effect to any relevant wastewater environmental performance standard made under section 138
b: must not be inconsistent with any of the following:
i: section 25
ii: compliance rules made under section 49
iii: codes or determinations set or made by the Commission; and
c: must not cause a building to become an insanitary building within the meaning of section 123 Section 274 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
275: Engagement on water supply and wastewater services rules
1: The board of a water services entity must, when developing (or considering changes to) water supply and wastewater services rules, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 275 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
276: Review of rules made under section 273
The board of a water services entity must review the rules that it makes under section 273 section 477 Section 276 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
5: Service agreements
Subpart 5 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
277: Water services entity must have service agreement with person liable to pay charges
1: A water services entity must have a service agreement with each person who is liable to pay charges under section 326 327
2: Each service agreement—
a: must include the matters specified in section 278
b: must specify any other terms and conditions of the water services to be provided:
c: must comply with the requirements specified in sections 279 280
d: may be different for different areas, services, or classes of bill payers:
e: continues to apply until amended or replaced (at which point the amended or replacement agreement applies).
3: Service agreements made under subsection (1) with respect to—
a: water supply do not apply to bill payers who have entered into a commercial bulk supply agreement with the water services entity:
b: wastewater do not apply to a person who holds a trade waste permit.
4: Service agreements made under subsection (1) apply to consumers—
a: on and after the date on which they are published in accordance with section 280(2)
b: on or after the date on which services are supplied and liability for charges commences. Section 277 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
278: Matters that must be specified in service agreements
1: Each service agreement—
a: must specify—
i: the bill payers, or classes of bill payers, to whom the agreement applies; and
ii: how the water services entity is to communicate with its bill payers; and
iii: the applicable billing and charging processes to be used (including, without limitation, how charges are determined and bills may be paid); and
iv: how the water services entity is to notify its bill payers of any proposed or actual changes to the agreement; and
b: must, in the case of agreements that concern water supply services or wastewater services, specify—
i: how the water services entity is to notify its bill payers of any issues or faults; and
ii: how the water services entity is to access the properties of its consumers (for example, the means of notification and the times for reading meters); and
c: may specify any other matters that the water services entity considers appropriate.
2: Nothing in subsection (1) constitutes a term for the purposes of section 46K(1)(c) Section 278 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
279: Engagement on service agreements
1: Before entering into, amending, or replacing a service agreement, the board of a water services entity must—
a: provide a draft of the agreement (or amendment) to its consumer forum, consumer dispute resolution scheme, and the Commission; and
b: provide bill payers, consumers, and communities in the service area of the water services entity with an opportunity to provide feedback on any of those documents by complying with section 280
c: provide the parties specified in paragraphs (a) and (b) with at least 20 working days to review and comment on the draft of the agreement (or amendment); and
d: have regard to any feedback received from the parties specified in paragraphs (a) and (b); and
e: notify its bill payers of any changes that are made; and
f: comply with section 472
g: be guided and informed by the principles set out in section 473
h: prepare and publish a report on the engagement in accordance with section 476
2: Subsection (1) does not apply if—
a: a proposed change to the agreement is minor or technical:
b: the water services entity is amending the agreement to give effect to changes required under section 281 Section 279 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
280: Publication requirements
1: A water services entity to which section 279
a: service agreements:
b: amendments to service agreements:
c: replacement service agreements.
2: After the documents are finalised, the chief executive of the water services entity must publish the documents on an Internet site maintained by, or on behalf of, the water services entity. 2021 No 36 s 205 Section 280 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
281: Other requirements
1: If the provider of the consumer dispute resolution scheme recommends changes to a water services entity’s service agreement, which it may do at any time, the water services entity must consider the recommendation.
2: The board of a water services entity must review the water services entity’s service agreement in accordance with section 477
3: The Commission may review a water services entity’s service agreement at any time.
4: If the Commission reviews and requires changes to the terms and conditions of a water services entity’s service agreement, the water services entity must make those changes.
5: A service agreement may not include anything that is inconsistent with any codes or determinations made by the Commission. Section 281 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
282: Application of certain legislation
The following legislation, to the extent that it is relevant, applies to service agreements:
a: the Contract and Commercial Law Act 2017
i: sections 21 to 32
ii: sections 35 36 to 49
iii: sections 54 to 57
iv: sections 341 to 344
b: the Fair Trading Act 1986 Section 282 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
6: Rules regulating specified classes of work
Subpart 6 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
283: Board may regulate specified classes of work in certain places
1: The board of a water services entity may make rules that regulate, restrict, or prohibit the undertaking of specified classes of work near, under, or above a water supply system, a wastewater network, or a stormwater network.
2: The rules may—
a: specify the class or classes of work that are subject to the rules:
b: specify the application process that a person must follow to apply for approval to undertake a specified class of work:
c: regulate the way in which the specified class or classes of work may be undertaken:
d: restrict the extent to which the specified class or classes of work may be undertaken:
e: prohibit the undertaking of the class or classes of work.
3: Rules made under this section may not conflict with or restrict the rights and obligations of land owners or road owners under section 222 223 Telecommunications Act 2001 Electricity Act 1992 Gas Act 1992
4: As soon as practicable after making rules, the board must take reasonable steps to notify any person undertaking a specified class of work in the service area of the water services entity.
5: Rules made under subsection (1) are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 •	notify it in the Gazette •	publish it on an Internet site maintained by, or on behalf of, water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 283 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
284: Engagement on rules that regulate specified classes of work
1: The board of a water services entity must, when developing (or considering changes to) rules that regulate specified classes of work, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 284 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
285: Review of rules that regulate specified classes of work
The board of a water services entity must review its rules that regulate specified classes of work in accordance with section 477 Section 285 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
10: Water services infrastructure connections and development code
Part 10 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
286: Overview of Part
1: This Part sets out the approval process by which a person may apply—
a: to be connected to, or disconnected from, water services infrastructure or stormwater services; or
b: to make structural changes that would affect water services infrastructure or stormwater services; or
c: to make changes to the management of the effects of stormwater as part of a development that would affect water services infrastructure.
2: The approval process consists of the following 3 stages:
a: stage 1 provides for approval of concept plans:
b: stage 2 provides for approval of engineering plans:
c: stage 3 provides for approval sign-off. Section 286 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
287: Application of 3-stage approval process
1: The 3-stage approval process set out in this Part applies to a person who wishes to—
a: connect or disconnect a pipe or infrastructure to or from water services infrastructure or stormwater services:
b: make structural changes to premises that would affect the flow rate through an existing connection to water services infrastructure or stormwater services (for example, when a house is replaced with an apartment block or an existing dwelling increases its ground floor area by more than 25 m 2
c: make changes to the management of the effects of stormwater as part of a development that would affect water services infrastructure.
2: This section does not apply if—
a: a land owner or a road owner—
i: is moving works under section 222
ii: is requiring works to be moved under section 223
b: a land owner—
i: is moving works under section 222
ii: is not adding any additional connections to the existing water services infrastructure or stormwater services:
c: another utility operator is acting in accordance with a statutory authorisation to move works. Section 287 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
288: Applications may be concurrent
1: A person may make an application for any stage or stages of the 3-stage approval process at the same time.
2: If, in relation to a given connection or disconnection approval, a person makes applications for more than 1 stage of the approval, a water services entity may consider and approve the stages set out in the applications concurrently.
3: When considering a multistage application, a water services entity and the relevant consent authority may take into account the scale and complexity of the relevant development at any stage or stages of the 3-stage approval process. Section 288 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
289: Applications may be amended
1: A stage 1, 2, or 3 application may be amended while it is being assessed but, if a proposed amendment is received, the water services entity may take up to a further 10 working days to process the amendment.
2: A stage 1, 2, or 3 application may be amended after it is granted but the same process to grant the approval must be undertaken to process the amendment. Section 289 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
290: Obligation to publish water services infrastructure plan
A water services entity must—
a: publish a plan of its water services infrastructure that shows the location of the connection points and pipes in the infrastructure on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible; and
b: update the plan as soon as practicable after any changes in the location of the connection points or pipes. Section 290 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
291: Form of approvals
If a water services entity decides to grant a stage 1 or 2 approval, it may provide written approval in accordance with the applicable provisions of the Natural and Built Environment Act 2023 Section 291 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Development code Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
292: Development code
1: The board of a water services entity must prepare a development code and obtain approval for it from the Commission, in accordance with sections 293 to 296 299
2: Each development code is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 •	notify it in the Gazette •	publish it on an Internet site maintained by, or on behalf of, the water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 292 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
293: Contents of development code
The board of a water services entity must ensure that—
a: the draft development code includes, in the first part, a statement of development principles including (without limitation) principles designed to ensure that—
i: the water services entity is supportive of development within their area; and
ii: the water services entity supports, enables, and is responsive to planning processes and growth, additional housing, and urban development; but
iii: the water services entity does not act in a way that is inconsistent with any long-term plan, plan made under the Natural and Built Environment Act 2023 Spatial Planning Act 2023
b: the draft development code includes, in the second part, provisions in respect of the following water services infrastructure connection or disconnection matters:
i: specifying application forms:
ii: specifying the information that needs to be provided by applicants for the infrastructure connection process:
iii: specifying the criteria for granting extensions to how long approvals are valid for and any further conditions on which an extension may be granted:
iv: specifying applicable engineering design standards:
v: specifying who is considered to be a suitably qualified person to carry out certain types of work relating to the infrastructure connection or disconnection:
vi: specifying how disputes in relation to infrastructure connections or disconnections are to be resolved independently, and in a manner that is timely, practicable, and cost-effective for the parties:
vii: specifying when a network capacity assessment is or is not required:
viii: specifying the circumstances in which a water services entity must be given written approval for an activity, or to an application for a resource consent, under the Natural and Built Environment Act 2023
ix: specifying the criteria for approving an application to vest infrastructure in the water services entity:
x: providing for any other matter that relates to the infrastructure connection or disconnection process provided for in this Act:
xi: providing a process for—
A: prioritising water services connections (in accordance with the sequencing of the stages 1, 2, and 3 processes, as set out in sections 301 to 320
B: estimating when water services connection or disconnection requirements will be implemented:
xii: prescribing the fees for applying for—
A: a stage 1 approval of concept plans:
B: a stage 2 approval of engineering plans:
C: a stage 3 approval sign-off:
D: a multistage approval (which may be different for different combinations of stages). Section 293 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
294: Process for preparing Part 1 of draft development code
1: This section applies to the preparation by the board of each water services entity of a draft Part 1 of the entity’s development code.
2: The board must prepare a draft Part 1 of the water services entity’s development code dealing with the matters in section 293(a)(i) to (iii)
3: The board must ensure that the draft Part 1 of the code is consistent with the draft Part 1 of the draft codes of other water services entities but, if the draft Part 1 is inconsistent with the draft parts prepared by the other water services entities in any material respect, indicate the reasons for the inconsistency.
4: The board of each water services entity that prepares a draft Part 1 of its development code must send it to—
a: the board of other water services entities; and
b: the Commission.
5: The board of the water services entity, after receiving feedback, may then revise the draft Part 1 of the entity’s development code and send it to the Commission for approval. Section 294 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
295: Approval of Part 1 of draft development code
1: This section applies in relation to a draft Part 1 of a development code received by the Commission under section 294(5)
2: The Commission must consider if the purpose set out in section 3(1) section 293(a)(i) to (iii)
3: The Commission must approve the draft Part 1 of the code if the Commission is satisfied that the purpose set out in section 3(1) section 293(a)(i) to (iii)
4: If the Commission considers that the draft Part 1 does not comply with section 293(a)(i) to (iii) section 3(1)
a: amend the code to remedy the deficiency; and
b: resubmit it to the Commission for approval, in accordance with any timetable set by the Commission. Section 295 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
296: Preparing and approving Part 2 of development code
1: This section applies in relation to the preparation by the board of a water services entity, and the approval, of a draft Part 2 of the entity’s development code.
2: After the draft Part 1 of its development code is approved by the Commission, the board of a water services entity must prepare a draft Part 2 of the entity’s development code that—
a: complies with section 293(b)(i) to (xii)
b: gives effect to the principles set out in Part 1 of the development code (as approved by the Commission).
3: The board of the water services entity must then ensure that—
a: there is engagement on the draft Part 2 of the entity’s development code in accordance with section 299
b: a copy of the draft Part 2 of the development code is sent to the Commission.
4: The board of the water services entity, after receiving feedback, may then revise the draft Part 2 of the entity’s development code and send it to the Commission.
5: The Commission must consider if the draft Part 2 of the code received under subsection (4) gives effect to the principles set out in Part 1 of the entity’s development code and complies with section 293(b)(i) to (xii)
6: If the draft Part 2 of the development code gives effect to those principles and complies with section 293(b)(i) to (xii)
7: If the Commission considers that the draft Part does not comply with section 293(b)(i) to (xii)
a: amend the code to remedy the deficiency; and
b: resubmit it to the Commission for approval, in accordance with any timetable set by the Commission. Section 296 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
297: Compliance with development code
Each water services entity must comply with its own development code. Section 297 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
298: Amendment of development codes
1: If the board of a water services entity wishes to amend Part 1 of the entity’s development code, sections 292 293 to 295
2: If the board of a water services entity wishes to amend Part 2 of the entity’s development code, sections 292 293 296 Section 298 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
299: Engagement on development code
1: The board of a water services entity must, when developing (or considering changes to) a development code, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 299 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
300: Review of development code
The chief executive of a water services entity must review the entity’s development code in accordance with section 477 Section 300 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Process for stage 1 approval of concept plans Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
301: Stage 1 approval of concept plans: application of sections 302 to 307
Sections 302 to 307 Section 301 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
302: Stage 1 approval of concept plans: information required for applications
1: When making an application for a stage 1 approval of concept plans, the applicant must provide—
a: all of the information that the water services entity’s development code requires for stage 1 applications; and
b: any other information that the water services entity considers relevant.
2: When assessing an application, a water services entity may, in addition to the information provided in the application, consider any other information that it considers relevant.
3: If an application is incomplete, the water services entity may decline the application. Section 302 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
303: Stage 1 approval of concept plans: timing of approval of applications
1: A water services entity must, within 20 working days of receiving an application for a stage 1 approval of concept plans, give the applicant,—
a: in the case of an approval, its decision in writing; and
b: in the case of an initial decision to approve the application with conditions or an initial decision to decline the application, its initial decision in writing along with—
i: the reasons for its initial decision; and
ii: a reasonable time frame (determined in consultation with the applicant) within which the applicant may amend the application or provide further information before a final decision is made.
2: A water services entity must, within 10 working days of receiving an amended application or further information,—
a: consider the amendments or further information; and
b: give the applicant its final decision in writing. Section 303 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
304: Stage 1 approval of concept plans: approvals may be subject to conditions
A water services entity may approve an application for a stage 1 approval of concept plans subject to any conditions it considers appropriate. Section 304 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
305: Stage 1 approval of concept plans: grounds for declining applications
If a water services entity receives an application for a stage 1 approval of concept plans, it may decline the application if—
a: the water services infrastructure that is to be connected to or disconnected from lacks the capacity to handle the likely increase in demand for water services; or
b: the water services entity determines that a more efficient way to connect to or disconnect from the water services infrastructure exists than the one proposed in the application; or
c: there are circumstances specified in the water services entity’s development code that warrant declining the application. Section 305 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
306: Stage 1 approval of concept plans: period of validity for approval
1: A stage 1 approval of concept plans is valid for 1 year.
2: However, a stage 1 approval of concept plans may be valid for a period longer than 1 year if—
a: the water services entity that granted the approval grants an extension; or
b: the applicant and the water services entity agree to a longer specified period.
3: An extension may be granted—
a: in accordance with any requirements specified in the water services entity’s development code; and
b: subject to any conditions the water services entity considers appropriate; and
c: for a specified period.
4: A water services entity may not specify a date for the end of a specified period that—
a: exceeds the expiry date of any applicable resource consent or building consent; or
b: is more than 5 years after the date on which the extension is granted.
5: In this section, specified period
a: begins with the date on which the extension is granted; and
b: ends with the date specified in the extension. Section 306 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Process for stage 2 approval of engineering plans Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
307: Stage 2 approval of engineering plans: application of sections 308 to 312
Sections 308 to 312
a: the water services entity’s development code requires a person to apply for a stage 2 approval of engineering plans; and
b: the person applies to be connected to or disconnected from the water services infrastructure. Section 307 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
308: Stage 2 approval of engineering plans: information required for applications
1: When making an application for a stage 2 approval of engineering plans, the applicant must provide all of the information that the water services entity’s development code requires for stage 2 applications, including (without limitation)—
a: all information specified in the development code; and
b: an engineering plan that is prepared—
i: in accordance with any engineering design standards specified in the development code; or
ii: by a suitably qualified person specified in the development code; and
c: any other information that the water services entity considers relevant.
2: When assessing an application, a water services entity may, in addition to the information provided in the application, consider any other information that it considers relevant.
3: If an application is incomplete, the water services entity may decline the application. Section 308 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
309: Stage 2 approval of engineering plans: timing of approval of applications
1: A water services entity must, within 30 working days of receiving an application for a stage 2 approval of engineering plans, give the applicant,—
a: in the case of an approval, its decision in writing; and
b: in the case of an initial decision to approve the application with conditions or an initial decision to decline the application, its initial decision in writing along with—
i: the reasons for its initial decision; and
ii: a reasonable time frame (determined in consultation with the applicant) within which the applicant may amend the application or provide further information before a final decision is made.
2: A water services entity must, within 10 working days of receiving an amended application or further information,—
a: consider the amendments or further information; and
b: give the applicant its final decision in writing. Section 309 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
310: Stage 2 approval of engineering plans: approvals may be subject to conditions
A water services entity may approve an application for a stage 2 approval of engineering plans subject to any conditions it considers appropriate. Section 310 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
311: Stage 2 approval of engineering plans: grounds for declining applications
If a water services entity receives an application for a stage 2 approval of engineering plans, it may decline the application if,—
a: for an engineering plan prepared in accordance with any engineering design standards specified in the water services entity’s development code, the water services entity determines that the engineering plan—
i: does not comply with those standards; or
ii: does not comply with any of the conditions of the stage 1 approval:
b: for an engineering plan prepared by a qualified person specified in the water services entity’s development code, the water services entity determines that—
i: a more efficient way to connect to the water services infrastructure exists than the one proposed in the engineering plan; or
ii: the engineering plan does not comply with any conditions of the stage 1 approval:
c: there are circumstances specified in the development code that warrant declining the application. Section 311 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
312: Stage 2 approval of engineering plans: period of validity for approval
1: A stage 2 approval of engineering plans is valid for 5 years, unless the water services entity that granted the approval grants an extension.
2: An extension may be granted—
a: in accordance with any requirements specified in the water services entity’s development code; and
b: subject to any conditions the water services entity considers appropriate; and
c: for a specified period.
3: A water services entity may not specify a date for the end of a specified period that—
a: exceeds the expiry date of any applicable resource consent or building consent; or
b: is more than 5 years after the date on which the extension is granted.
4: In this section, specified period
a: begins with the date on which the extension is granted; and
b: ends with the date specified in the extension. Section 312 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Process for stage 3 approval sign-off Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
313: Stage 3 approval sign-off: application of sections 314 to 320
Sections 314 to 320
a: the water services entity’s development code requires a person to apply for a stage 3 approval sign-off to connect to or disconnect from a water services network; and
b: a water services entity grants or has granted the person—
i: a stage 2 approval; or
ii: a stage 1 approval in those cases in which a stage 2 approval is not required. Section 313 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
314: Stage 3 approval sign-off: information required for applications
1: When making an application for a stage 3 approval sign-off, the applicant must provide all of the information that the water services entity’s development code requires for stage 3 applications, including (without limitation)—
a: all information specified in the development code; and
b: evidence that work undertaken complies with any relevant requirements and conditions of the approval process; and
c: any other information that the water services entity considers relevant.
2: When assessing an application, a water services entity may, in addition to the information provided in the application, consider any other information that it considers relevant, including (without limitation) any information it may gather when undertaking site visits to inspect the work undertaken.
3: If an application is incomplete, the water services entity may decline the application. Section 314 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
315: Stage 3 approval sign-off: timing of approval of applications
1: A water services entity must, within 30 working days of receiving an application for a stage 3 approval sign-off, give the applicant,—
a: in the case of an approval, its decision in writing; and
b: in the case of an approval with conditions or an initial decision to decline the application, its decision in writing along with—
i: the reasons for its decision; and
ii: a reasonable time frame (determined in consultation with the applicant) within which the applicant may amend the application or provide further information before a final decision is made.
2: A water services entity must, within 10 working days of receiving an amended application or further information,—
a: consider the amendments or further information; and
b: give the applicant its final decision in writing. Section 315 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
316: Stage 3 approval sign-off may be subject to conditions
A water services entity may approve an application for a stage 3 approval sign-off subject to any conditions it considers appropriate. Section 316 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
317: Stage 3 approval sign-off: approval to connect or disconnect
1: If a water services entity approves an application for a stage 3 approval sign-off, the water services entity must issue to the applicant an approval that shows that the required work has been completed in accordance with any approvals granted under stage 1 or stage 2.
2: An approval issued under subsection (1) must—
a: contain the information required to be provided in the approval in the water services entity’s development code and include (without limitation) the date on which the water services entity’s approved agent is to connect (or disconnect) the applicant’s property to (or from) the water services infrastructure; and
b: be issued at least 10 working days before the date for connecting to or disconnecting from the applicant’s property to the water services infrastructure. Section 317 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
318: Stage 3 approval sign-off: certificates of connection or disconnection
1: As as soon as practicable after the connection or disconnection is completed, the water services entities must issue a certificate of completion to the applicant.
2: A certificate issued under subsection (1) must contain the information required to be provided in the certificate by the water services entity’s development code. Section 318 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
319: Stage 3 approval sign-off: grounds for declining applications
If a water services entity receives an application for a stage 3 approval sign-off, it may decline the application if satisfied that the work undertaken—
a: does not comply with any requirement or condition of stage 1 approval (where stage 1 approval is required):
b: does not comply with any requirement or condition of stage 2 approval (where stage 2 approval is required). Section 319 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
320: Stage 3 approval sign-off: period of validity for approval
1: A stage 3 approval sign-off is valid for 3 years unless the water services entity that granted the approval grants an extension.
2: An extension may be granted—
a: in accordance with any requirements specified in the water services entity’s development code; and
b: subject to any conditions the water services entity considers appropriate; and
c: for a specified period.
3: A water services entity may not specify a date for the end of a specified period that—
a: exceeds the expiry date of any applicable resource consent or building consent; or
b: is more than 8 years after the date on which the extension is granted.
4: In this section, specified period
a: begins with the date on which the extension is granted; and
b: ends with the date specified in the extension. Section 320 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Continuing conditions Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
321: Registration of continuing conditions approval notices
1: A water services entity may grant approval subject to conditions that the owner and subsequent owners are required to comply with on a continuing basis.
2: If a water services entity decides to grant approval subject to a condition that the owner and subsequent owners are required to comply with on a continuing basis, the water services entity—
a: must, for the purposes of section 584
i: the applicant:
ii: the Registrar-General of Land to be lodged for registration under section 589A
iii: the relevant territorial authority:
b: may (in any case other than a subdivision consent) include a condition requiring that a covenant be entered into, in favour of the water services entity, in respect of the performance of any condition of the approval.
3: For the purposes of section 584
4: The approval notice must be signed by a person that the water services entity has authorised to sign approval notices.
5: At any time after the approval notice is issued,—
a: the owner may apply to the water services entity to vary or cancel any condition specified in the approval notice:
b: the water services entity may review any condition specified in the approval notice and vary or cancel the condition.
6: The approval notice is to be treated as—
a: an instrument creating an interest in the land within the meaning of section 51
b: a covenant running with the land when registered under the Land Transfer Act 2017 section 103
7: If a registered approval notice has been varied or cancelled or has expired, the Registrar-General of Land may make an entry in the register (and on any relevant instrument of title) noting the variation, cancellation, or expiration if satisfied that it has occurred.
8: An approval notice in respect of Maori land must be lodged with the Registrar of the Maori Land Court and entered into Maori land records that the Maori Land Court holds. 1991 No 69 s 221 Section 321 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Vesting Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
322: Vesting water services infrastructure in water services entity
1: A person may apply to a water services entity to vest water services infrastructure in the water services entity.
2: The water services entity may approve the application if—
a: the water services infrastructure meets the criteria specified in the development code for vesting water services infrastructure in the water services entity; and
b: the water services entity—
i: has granted stage 3 approval or issued a certificate of completion in respect of the water services infrastructure; or
ii: considers that special circumstances exist and has reached an agreement with the person specifying the terms and conditions for vesting the water services infrastructure in the water services entity.
3: If the application is approved, the water services entity must—
a: issue a certificate to the applicant and the Registrar-General of Land that documents the vesting; and
b: ensure that the relevant records are amended to show that the water services infrastructure is vested in the water services entity.
4: If the application is approved, the Registrar-General of Land must amend the relevant records of title to show that the water services infrastructure is vested in the water services entity.
5: In this section, person Section 322 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
11: Charging
Part 11 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Rates rebate scheme Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
323: Charging information needed by territorial authorities
1: By 1 August of each year, each water services entity must give the relevant territorial authority all charging information from the water services entity’s records that is reasonably required by the territorial authority in order to calculate entitlements to rebates under the Rates Rebate Act 1973
2: For the purposes of this section, charging information 2020 No 47 s 41 Section 323 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Sharing rating information Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
324: Rating information needed by water services entity
1: This section applies in relation to a rating information database that a local authority keeps and maintains under section 27
2: The local authority must give a water services entity information in the rating information database that the water services entity reasonably needs to charge its consumers, if the water services entity—
a: requests the information; and
b: provides water services to consumers in the area of the local authority.
3: The local authority must provide the rating information—
a: as soon as is reasonably practicable after receiving a request from the water services entity; and
b: on a reasonable cost basis. 2020 No 47 s 41 Section 324 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
325: Rating information that may not be withheld
1: This section applies to a local authority that—
a: has removed particulars from its rating information database under section 28C(3)
b: has not restored the particulars under section 28C(4)
2: The local authority—
a: must provide, if requested by a water services entity, information that the local authority holds but has been removed from the database; and
b: may not withhold any particulars that remain removed from its rating information database under section 28C(3) Section 325 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Liability for water services charges Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
326: Liability for water services charges in respect of property
1: This section applies to any person who—
a: owns property, other than Maori land, in the service area of a water services entity; or
b: occupies property in the service area of a water services entity under a lease that—
i: is for a term (including renewals) exceeding 10 years; and
ii: is registered under section 91
iii: provides that the lessee must be entered in the rating information database and the district valuation roll as the ratepayer in respect of the unit; or
iv: occupies public conservation land or Crown land in accordance with a lease, licence, permit, easement, or other similar authority.
2: The person is liable to pay water services charges (other than trade waste charges) for the water services that the water services entity provides in respect of the property.
3: The occupier is liable to pay trade waste charges in respect of a property—
a: that has a trade waste permit; or
b: for which an application for a trade waste permit has been lodged.
4: However, this section does not apply to Maori land in the water services entity’s service area (for which section 327 Section 326 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
327: Liability for water services charges in respect of Maori land
1: This section applies to Maori land in the service area of a water services entity.
2: If Maori land is owned legally and beneficially by 1 or 2 owners, the owner or owners are liable to pay water services charges, other than trade waste charges, for the water services that the water services entity provides for the Maori land.
3: If Maori land in multiple ownership is leased, the lessee is liable to pay water services charges (other than trade waste charges) for the water services that the water services entity provides for the Maori land unless the lease provides for the lessor to be liable to pay the water services charges.
4: If Maori land in multiple ownership is occupied through an arrangement other than a lease, the occupier is liable to pay water services charges (other than trade waste charges) for the water services that the water services entity provides for the Maori land unless the arrangement provides for the owners or trustees to be liable to pay the water services charges.
5: If Maori land in multiple ownership is subject to an occupation order made by the Maori Land Court under section 328
6: If subsection (3), (4), or (5) does not apply, the following persons are liable to pay the water services charges (other than trade waste charges):
a: for Maori land owned by more than 2 persons who are not trustees, the owners:
b: for Maori land vested in trustees, the trustees.
7: If an area is divided from Maori land, the person actually using the area is liable to pay the water services charges (other than trade waste charges) for water services that the water services entity provides for the area.
8: In this section,— lease trustee Part 13 2002 No 6 s 92 Section 327 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
328: Limitation on trustee liability
1: If trustees are liable to pay water services charges in respect of Maori land under section 327
a: the charges must be paid out of income derived from the land and received by the trustees for the beneficial owners of the land; and
b: the trustees are liable for charges only to the extent of the money derived from the land and received by the trustees on behalf of the beneficial owner or owners.
2: Trustees seeking to rely on subsection (1)(b) must, on request by a water services entity, provide copies of any annual financial statements provided to the beneficial owners by the trustees. 2002 No 6 s 93 Section 328 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
329: Water services charges and fees to constitute debt
1: Any water services charge or fee that has become payable to a water services entity is—
a: a water services debt due to the water services entity; and
b: recoverable as a debt by the water services entity in any court of competent jurisdiction.
2: Until the charge or fee is paid in full, it remains a debt due to the water services entity. 2014 No 32 s 211 Section 329 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
330: Penalty for failure to pay water services charges and fees
1: If, after the expiry of the time provided for by or under this Act or by subsection (2), all or any part of a water services debt remains unpaid to a water services entity, the unpaid debt increases at a penalty rate determined by—
a: the Commission in the service quality code; or
b: the calculation method that the Commission has specified in the service quality code.
2: If a time for payment is not provided for by the Commission in the service quality code, the debt must be paid within 20 working days after the written demand for payment from the water services entity is received by the person responsible for payment.
3: When the water services entity notifies a person of the incurring of a water services debt, it must also notify that person of the consequences of non-payment under this section.
4: This section applies only in respect of water services debts that first arise after the commencement of this Act. 2014 No 32 s 215 Section 330 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
331: Waiver or refund of debt
The chief executive of a water services entity may, in relation to a debt due under section 329
a: waive all or any part of a debt:
b: refund all or any part of any payment of the debt. Section 331 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
332: Waiver of penalty
1: The chief executive of a water services entity may waive the payment of all or any part of the penalty added to a debt under section 330
a: the person’s liability to pay the debt:
b: the amount of the debt.
2: The chief executive of the water services entity may also waive the payment of all or any part of the penalty if the chief executive is satisfied that there is some other good reason for waiving payment.
3: In any action for the recovery of a water services debt, the court may waive the payment of all or any part of the penalty added to the debt under section 330
a: the person’s liability to pay the debt:
b: the amount of the debt. 2014 No 32 s 216 Section 332 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
333: Disputes do not suspend obligations to pay charges, fees, or penalties
A dispute between a person and the chief executive of a water services entity about the person’s liability to pay a charge, fee, or penalty under this Act does not suspend—
a: the obligation of the person to pay the charge, fee, or penalty; or
b: the right of the chief executive to receive and recover the charge, fee, or penalty. 2014 No 32 s 213 Section 333 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
334: Charging for volumetric use of water supply or wastewater services
1: A water services entity may charge a consumer for the consumer’s volumetric use of water supply or wastewater services ( these water services
2: If a water services entity does so, it must,—
a: in the case of a consumer who is to be charged for the first time for these water services, determine the consumer’s volumetric use during the period—
i: beginning on the date on which the water meter for the consumer starts operating; and
ii: ending on the date of the first meter reading:
b: in the case of a consumer who has had a water meter installed but did not previously pay a charge for volumetric use, determine the consumer’s volumetric use during the period—
i: beginning on the date on which the water services entity provides these water services to the consumer; and
ii: ending on the date of the first meter reading:
c: in the case of any other consumer, determine the consumer’s volumetric use since the latest meter reading for which the water services entity charged the consumer.
3: Despite anything in subsection (2), a water services entity may—
a: estimate the consumer’s volumetric use once between each determination and charge the consumer for the estimated use:
b: charge a consumer for any unpaid volumetric use since the consumer was last billed, including any use that occurred before the water services entity was established. Section 334 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Framework for setting water services charges Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
335: Board may set certain charges
1: The board of a water services entity may set water services charges for all or any of the following:
a: water supply services:
b: wastewater services, including trade waste services:
c: stormwater services:
d: the initial connection to 1 or more of the services specified in paragraphs (a) to (c):
e: a contribution to the capital costs of infrastructure to service—
i: the additional demand on the network:
ii: increased demand for 1 or more of the services specified in paragraphs (a) to (c):
f: meeting the costs that the water services entity incurs in performing and exercising its duties, functions, and powers under this Act.
2: The board of a water services entity may determine how a charge is set or how it may be paid or collected, and may (by way of example and without limitation of the board’s discretion)—
a: charge a fixed or variable fee:
b: require a deposit and then further payment:
c: require full payment at the outset:
d: charge on the basis of an hourly rate or any other rate or method of charging.
3: A charge set under this section must be set in accordance with the funding and pricing plan of the water services entity. 2004 No 72 s 281A(2) Section 335 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
336: Charging principles
1: The board of a water services entity must consider the following principles when setting charges or requiring water infrastructure contributions under section 335
a: charges should reflect the costs of service provision, including (without limitation) by—
i: promoting the efficient use of resources:
ii: charging different groups of consumers differently only if—
A: those groups receive different levels or types of services; or
B: the cost of providing services to those groups is different; and
b: charges should be simple, transparent, and easy for consumers to understand; and
c: charges should be consistent with the input methodologies and determinations that the Commission issues or makes.
2: However, the board may consider any other matters it considers appropriate when setting charges or requiring water infrastructure contributions under section 335
3: Despite subsection (1), the board may set lower charges (including no charges) for particular consumers to remedy inequities in the provision of services, including (without limitation) differences in water infrastructure contributions made before 1 July 2029.
4: When the board is assessing the application of the principle specified in subsection (1)(a)(ii)(B), the prices for the different groups of consumers are geographically averaged over different areas, the costs being compared must be the average costs for the smaller of the areas being compared. Example
If trying to compare a commercial charge that is averaged at a territorial authority district level with a residential charge that is averaged at a service area level, the correct comparison is with the residential costs for the same territorial authority district, not the service area.
5: Subsection (1) does not override section 339
6: Nothing in this section limits the power in section 340
7: This section applies only on the earlier of the following:
a: a date appointed by the Governor-General by Order in Council:
b: 1 July 2029.
8: An Order in Council made under subsection (7)(a) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 336 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
337: Obligation to publish tariff lists
1: The board of a water services entity—
a: must publish a tariff list setting out the water services charges that apply to its annual billing period (at least once a year) on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible; and
b: must update the tariff list as soon as practicable after the board makes any changes to it.
2: However, the board is not required to comply with subsection (1) in respect of charges that the board considers to be customised or otherwise unusual.
3: For the purposes of this section, tariff list section 335 Section 337 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
338: Boards must adopt discount policies
1: The board of a water services entity must adopt a policy for discounting charges.
2: The board of a water services entity must—
a: publish the discount policy that applies to its annual billing period (at least once a year) on an Internet site maintained by, or on behalf of, the water services entity; and
b: update the published discount policy as soon as practicable after the board makes any changes to it.
3: The discount policy must not apply to water infrastructure contributions. Section 338 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
339: Chief executive of water services entity may discount charges
1: The chief executive of a water services entity may do 1 or both of the following:
a: discount any charges; and
b: offer a discount to any class of consumers or individual consumers that takes measures to reduce the burden on water services.
2: A discount given under this section must be consistent with the policy for discounting charges adopted under section 338 Section 339 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Geographical averaging Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
340: Charges for water services may be averaged geographically
1: The board of a water services entity may—
a: charge geographically averaged prices for water services:
b: geographically average prices at different scales for different service types and different classes of consumers.
2: However, the board of a water services entity may decide not to charge a geographically averaged price if—
a: communities receive—
i: a higher level of service than is generally provided elsewhere within those boundaries; or
ii: a lower level of service than is generally provided elsewhere within those boundaries; or
b: a levy is in place within those boundaries under the Infrastructure Funding and Financing Act 2020
c: a water services entity has taken over a failed drinking water supplier; or
d: a water supply charge has a volumetric component and the difference in charges is only a difference in that component.
3: If the board of a water services entity decides to charge a geographically averaged price,—
a: the board must include the price, and the method for determining it, in the funding and pricing plan of the water services entity:
b: the Commission may not override the decision.
4: This section does not apply to water infrastructure contributions. 2001 No 103 s 201 Section 340 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Changing contracted prices Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
341: Chief executive of water services entity may enter into negotiations to change certain provisions in certain contracts
1: The chief executive of a water services entity may enter into negotiations to change the pricing and charging provisions in a contract that—
a: relates to the supply of water services by the water services entity; and
b: is transferred from a local government organisation to the water services entity.
2: In complying with subsection (1), the chief executive must—
a: provide the other parties to the contract with written notice of the proposed changes, including the reasons for them; and
b: discuss the proposed changes with those parties along with any alternative changes that the parties may put forward; and
c: consider any relevant matters or concerns the parties raise or put forward regarding the proposed changes or alternatives.
3: If the chief executive and the other parties fail to vary the contract before 1 July 2029, the contract expires. Section 341 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Charging unconnected properties Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
342: Liability for certain charges in respect of properties not connected to water supply or wastewater networks
1: This section applies to a person who owns property that—
a: is within 100 metres of a water supply or wastewater network that has sufficient capacity to service the property; and
b: is not, but can be, connected to that supply or network; and
c: is not Maori land; and
d: is not non-rateable land specified in Part 1
2: The person is liable to pay charges for water supply and wastewater services if the board of the relevant water services entity sets charges for those services in relation to property that is not connected to its water supply or wastewater network.
3: However, if the property is non-rateable land specified in Part 2
4: For the purposes of this section, a person who owns property Section 342 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Stormwater charging Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
343: Requirements for charges for stormwater services
1: A water services entity must calculate the total recoverable cost of delivering its stormwater services in its service area during the financial year in accordance with any relevant input methodologies for price-quality regulation that the Commission has determined.
2: The board of a water services entity must determine the apportionment of the recoverable cost of stormwater services on the basis of—
a: the capital value of the property (which may be adjusted by a suitable valuation index to take account of the different 3-yearly valuation cycles in different territorial authorities); and
b: whether the property is—
i: served by a stormwater network or is within 100 metres of a stormwater network that can serve the property; or
ii: within a particular geographical zone of the water services entity’s service area that is specified in a water services entity’s stormwater management plan under section 258(1)(b)
3: The chief executive of a water services entity must—
a: publish the water services entity’s stormwater services recoverable cost calculations and recoverable cost apportionment determinations on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible; and
b: review the calculations and determinations in accordance with section 477
4: This section applies on and after the earliest of the following:
a: the date on which the Commission has put in place the relevant input methodologies:
b: a date appointed by the Governor-General by Order in Council:
c: 1 July 2026.
5: An Order in Council made under subsection (4)(b) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 343 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
344: Liability for stormwater services charges
1: This section applies to a person who owns property that—
a: is not Maori land that receives water supply or wastewater services; and
b: is not non-rateable land specified in Part 1
2: A person to whom this section applies is liable to pay charges for stormwater services if the board of the relevant water services entity sets charges for those services in relation to property that is in its service area.
3: The board must set the charges on the basis provided for in section 343(2)
4: However, if the property is non-rateable land specified in Part 2
5: For the purposes of this section, a person who owns property Section 344 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
345: Water services entity not liable for rates in certain cases
A water services entity is not liable to pay rates to any local authority in respect of—
a: any pipes that it owns and that run through property that it does not own; or
b: any assets that it owns and that are located on property that it does not own. Section 345 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Water infrastructure contributions Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
346: Basis on which water infrastructure contributions may be required
1: The purposes of water infrastructure contributions are to enable a water services entity—
a: to recover a fair, equitable, and proportionate portion of the total cost of capital expenditure necessary to service an additional or increased demand on water services infrastructure over the long term from persons who are—
i: undertaking development; or
ii: placing increased commercial demand on water services; and
b: to meet the water services entity’s obligations under section 220(2) 263
2: The board of a water services entity may require water infrastructure contributions in relation to developments or increased commercial demand if the effect of the developments or increased demand is expected to require new or additional assets or assets of increased capacity and, as a consequence, a water services entity incurs, or expects to incur, capital expenditure to provide for those assets.
3: This section does not prevent the board of a water services entity from setting water infrastructure contributions that are to be used to pay, in full or in part, for capital expenditure already incurred by the water services entity, or a local government organisation before the water services entity’s establishment date, in anticipation of development or increased commercial demand.
4: All water infrastructure contributions must be consistent with the policy adopted under section 349
5: In subsection (2), effect Section 346 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
347: Principles for setting water infrastructure contributions or policies
1: When the board of a water services entity adopts a water infrastructure contributions policy under section 349 section 346
a: water infrastructure contributions should be required only if the effects or cumulative effects of developments or increased commercial demand have created or will create a requirement for the water services entity to provide new or additional assets or assets of increased capacity:
b: water infrastructure contributions should be determined in a manner that has regard to the capacity life of the assets or groups of assets for which they are intended to be used and in a way that avoids over-recovery of costs allocated to water infrastructure contributions funding:
c: cost allocations used to establish water infrastructure contributions should be determined according to, and be proportional to, the persons who are to benefit from the assets to be provided (including the community as a whole) and the persons who create the need for those assets:
d: water infrastructure contributions should be used only for the benefit of the area or the part of the area that is identified in the water infrastructure contributions policy in which the water infrastructure contributions are required:
e: water services entities should make sufficient information available to demonstrate what water infrastructure contributions are being used for and why they are being used:
f: when calculating and requiring water infrastructure contributions, water services entities should group together certain developments by geographic area or categories of land use, provided that the grouping is done in a manner that balances practical and administrative efficiencies with considerations of fairness and equity.
2: Water infrastructure contributions must be consistent with the input methodology or methodologies and determinations that the Commission issues or makes. Section 347 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
348: Board may discount water infrastructure contributions in certain circumstances
1: The board of a water services entity may discount water infrastructure contributions (including by charging no contributions) for a person who—
a: owns the property related to the development of the infrastructure; and
b: has put in place measures that mitigate, or will mitigate, additional demand on water supply, wastewater networks, and stormwater networks.
2: Subsection (1) applies despite anything in section 336 Section 348 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
349: Board must adopt water infrastructure contributions policy
1: The board of a water services entity must adopt a water infrastructure contributions policy.
2: A water infrastructure contributions policy must include—
a: the total cost of capital expenditure that the water services entity expects to incur to meet the increased demand for water services and the basis of these estimates; and
b: the proportion of the total cost to be funded by the water infrastructure contributions policy; and
c: a schedule of the water infrastructure contributions that apply to new developments and increases in commercial demand; and
d: a summary of the methodology applied by the water services entity to determine those contributions in line with the principles specified in section 347
e: a statement of the discounts available for demand mitigation measures.
3: The board of a water services entity must include the policy in its funding and pricing plan. Section 349 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
350: Review of water infrastructure contributions policy
The board of a water services entity must review its water infrastructure contributions policy in accordance with section 477 Section 350 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
351: Crown exempt from water infrastructure contributions
1: The Crown is exempt from paying any water infrastructure contributions.
2: However, this section does not apply to Kāinga Ora. Section 351 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
352: When water services entity may charge for water infrastructure contributions
1: A water services entity may charge a person who owns property in its service area for water infrastructure contributions required under section 346
a: the person is granted—
i: a resource consent under the Natural and Built Environment Act 2023
ii: a building consent under the Building Act 2004
b: the person’s property is connected to a water service:
c: an increase in commercial demand for water services occurs:
d: a stage 1, 2, or 3 approval is granted under Part 10
2: A water services entity may only charge a person who owns property for a water infrastructure contribution if the contribution is consistent with a policy adopted under section 349
3: For the purposes of subsection (2), a water infrastructure contribution must be consistent with the content of the water infrastructure contributions policy adopted under section 349
4: A person who owns property and a water services entity may agree that—
a: any unpaid water infrastructure contributions may be paid off in quarterly or annual instalments over an agreed period (not exceeding 50 years):
b: the water services entity may charge an agreed rate of interest on any unpaid balance.
5: A water services entity may refuse to connect a property to water services if the person who owns property has not—
a: paid their water infrastructure contribution; or
b: agreed to an instalment plan.
6: A water services entity may charge an agreed rate of interest on the unpaid balance with the rate agreed with the person who owns property when the agreement is put in place.
7: A water services entity must register any unpaid balance against the relevant land under the Land Transfer Act 2017
8: If the property subject to the agreement is sold, the new owner of the property is liable to pay the unpaid water infrastructure contributions in accordance with the agreement reached under subsection (4).
9: For the purposes of this section, a person who owns property Section 352 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
353: Review of decisions to charge water infrastructure contributions
A person who is charged for a water infrastructure contribution may apply under section 457 section 356 Section 353 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
354: Refund of water infrastructure contributions
1: A person who has paid all or part of a water infrastructure contribution is entitled to a refund of the payment from the water services entity if—
a: the water services entity does not use the water infrastructure contribution for the purpose for which it was charged; or
b: the relevant resource consent or building consent lapses; or
c: the development will not proceed.
2: Despite anything in subsection (1), a water services entity may retain any portion of a water infrastructure contribution that is equivalent in value to the costs incurred by the water services entity in relation to a development that does not proceed. Section 354 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Objections to water infrastructure contributions Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
355: Right to object to assessed amount of water infrastructure contribution
1: A person may object, on any ground set out in section 356 section 352
a: a notice given to the person for that purpose by the water services entity; or
b: if notice has not been given, such other formal advice of the requirement that the water services entity has given to the person.
2: The right of objection conferred by subsection (1) applies irrespective of whether an internal review of the requirement for a water infrastructure contribution has been applied for under section 457
3: The right of objection conferred by this section does not apply to challenges to the content of a water infrastructure contributions policy prepared in accordance with section 349 Section 355 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
356: Scope of water infrastructure contribution objections
1: An objection under section 355
a: a water services entity has—
i: failed to properly take into account features of the objector’s development or increased commercial demand that, on their own or cumulatively with those of other developments or increased commercial demand from other properties, would substantially reduce the impact of the development or increased demand on requirements for assets in the water services entity’s service area or parts of that service area; or
ii: required a water infrastructure contribution for assets not required by, or related to, the objector’s development or increased commercial demand, whether on its own or cumulatively with other developments or increased commercial demand from other properties; or
iii: already required a water infrastructure contribution for the same purpose in respect of the same development or increased commercial demand; or
iv: incorrectly applied its water infrastructure contributions policy to the objector’s development or increased commercial demand:
b: the objector will fund or otherwise provide for the same assets for which the water infrastructure contribution had been required.
2: However, an objection may not be made on the ground outlined in subsection (1)(a)(iii) if the water services entity has required an additional water infrastructure contribution to reflect an increase in the scale or intensity of the development or further increase in commercial demand since the original contribution was required. Section 356 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
357: Procedure for water infrastructure contribution objections
Sections 199H 199I 199K 199L 199M 199N 199O Schedule 13A section 355
a: a reference to a territorial authority must be read as a reference to a water services entity:
b: a reference to a district must be read as a reference to a service area:
c: a reference to a development contribution must be read as a reference to a water infrastructure contribution:
d: a reference to a development contribution objection must be read as a reference to a water infrastructure contribution objection:
e: a reference to a development contributions policy must be read as a reference to a water infrastructure contributions policy:
f: the right to lodge a development contribution objection under section 199C section 355
g: the notice of the outcome of a reconsideration under section 199B section 448
h: a reference to section 150A must be read as a reference to section 360 Section 357 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
358: Consideration of water infrastructure contribution objection
When considering a water infrastructure contribution objection and any evidence provided in relation to that objection, development contributions commissioners must give due consideration to the following:
a: the grounds on which the water infrastructure contribution objection was made:
b: the purpose and principles of water infrastructure contributions set out in sections 346 347
c: the provisions of the water infrastructure contributions policy under which the water infrastructure contribution that is the subject of the objection was, or is, required:
d: the cumulative effects of the objector’s development or increased commercial demand in combination with the other developments or increased commercial demand in a service area, or parts of a service area, on the requirement to provide the assets that the water infrastructure contribution is to be used for or toward:
e: any other relevant factor associated with the relationship between the objector’s development or increased commercial demand and the water infrastructure contribution to which the objection relates. Section 358 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
359: Interim effect of water infrastructure contribution objection
1: If a water infrastructure contribution objection is lodged, the water services entity may still require the water infrastructure contribution to be made, but must not use it until the objection has been determined.
2: If a water services entity does not require a water infrastructure contribution to be made pending the determination of an objection, the water services entity may withhold granting a service connection under Part 10 Section 359 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
360: Costs of water infrastructure contribution objections
1: If a person objects to a water services entity’s requirement that a water infrastructure contribution be made, the water services entity may recover from the person its actual and reasonable costs in respect of the objection.
2: The costs that the water services entity may recover under this section are the costs incurred by it in respect of—
a: the selection, engagement, and employment of the development contributions commissioners; and
b: the secretarial and administrative support of the objection process; and
c: preparing for, organising, and holding the hearing.
3: A water services entity may, in any particular case and in its absolute discretion, waive or remit the whole or any part of any costs that would otherwise be payable under this section.
4: A water services entity’s actual and reasonable costs in respect of objections are recoverable under section 329 Section 360 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Territorial authorities Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
361: Territorial authorities may no longer use certain contributions
1: Despite anything in the Local Government Act 2002 Natural and Built Environment Act 2023
a: may not require development contributions under the Local Government Act 2002 Natural and Built Environment Act 2023
b: may not use development contributions collected under the Local Government Act 2002 Natural and Built Environment Act 2023
2: Nothing in this section prevents a territorial authority from requiring development contributions or environmental contributions to fund water services infrastructure where applications for a resource consent, building consent, or service connection have been lodged prior to the water services entity’s establishment date. Section 361 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
12: Compliance and enforcement
Part 12 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
1: Director of Compliance and Enforcement
Subpart 1 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
362: Director of Compliance and Enforcement
1: A water services entity must appoint an employee of the water services entity as Director of Compliance and Enforcement for the entity.
2: The Director must not also hold the position of chief executive of the water services entity.
3: The Director—
a: must be appointed for a term not exceeding 5 years; and
b: may be reappointed.
4: The chief executive of the water services entity must—
a: consult the board of the water services entity on the terms and conditions of employment of the Director; and
b: agree terms and conditions of employment with the Director; and
c: give effect to those terms and conditions.
5: To avoid doubt, when performing or exercising a function, duty, or power under this Act or any other Act, the Director—
a: does so as an employee of the water services entity; but
b: must exercise independent judgement if that Act requires the Director to do so (for example, if there is any requirement to act independently of the water services entity or any other person). Section 362 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
363: Director’s functions, duties, and powers
1: The Director of Compliance and Enforcement has the functions, duties, and powers conferred or imposed directly on the Director under this Act.
2: Without limiting subsection (1), the Director’s functions, duties, and powers include the functions, duties, and powers set out in this Part, except any functions, duties, and powers in subpart 11 Section 363 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
364: Director’s duty to act independently
1: The Director of Compliance and Enforcement must act independently when performing or exercising their functions, duties, and powers under this Act or any other Act.
2: The board or the chief executive of a water services entity may not give directions to the Director in relation to the performance or exercise of the Director’s functions, duties, or powers. Section 364 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
2: Compliance and enforcement strategy
Subpart 2 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
365: Water services entity must issue compliance and enforcement strategy
1: The board of a water services entity must issue a compliance and enforcement strategy for the water services entity.
2: The purpose of the strategy is to—
a: provide transparency about the water services entity’s intended approach for achieving compliance with this Act or secondary legislation made (or treated as if it were made) under this Act over a 3-year period, and the outcomes sought from that approach:
b: provide a basis on which the water services entity is accountable for the performance and exercise of its functions, duties, and powers set out in this Part.
3: The board—
a: must review the strategy at least every 3 years; and
b: may amend the strategy at any time.
4: The board may, following a review, issue a new compliance and enforcement strategy that replaces the strategy that was reviewed.
5: A compliance and enforcement strategy must relate to at least 3 financial years.
6: When issuing or reviewing the strategy, the board must seek to ensure that the strategy is consistent with the compliance and enforcement strategies of other water services entities and, if the strategy is inconsistent with the compliance and enforcement strategy of any other water services entities in any material respect, indicate the reasons for the inconsistency.
7: As soon as practicable after issuing a compliance and enforcement strategy, the board must publish a copy of the strategy on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible.
8: The Director of Compliance and Enforcement must have regard to the strategy when performing their functions, duties, and powers. Section 365 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
366: Engagement on compliance and enforcement strategy
1: The board of a water services entity must, when developing (or considering any changes to) its compliance and enforcement strategy, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with the requirements set out in section 472
b: be guided and informed by the principles set out in section 473
c: prepare and publish a report on the engagement in accordance with section 476 Section 366 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
3: Compliance and enforcement provisions
Subpart 3 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Compliance officers Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
367: Appointment of compliance officers
1: A water services entity may, by notice in writing, appoint the following as a compliance officer:
a: an employee of the water services entity:
b: any other person who the Director of Compliance and Enforcement is satisfied—
i: is suitably qualified and trained; or
ii: belongs to a class of persons who are suitably qualified and trained to perform or exercise all or any of the functions, duties, and powers of a compliance officer.
2: A compliance officer’s compliance powers are subject to any conditions or limitations specified in the notice of the officer’s appointment (including any conditions imposed at the request of the Director of Compliance and Enforcement).
3: However, the exercise of a compliance power by a compliance officer is not invalid merely because it did not comply with the conditions specified in their notice of appointment. 2015 No 70 s 163 2021 No 36 s 98 Section 367 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
368: Identity cards
1: A water services entity must give each compliance officer an identity card that states the person’s name and appointment as a compliance officer.
2: A compliance officer must, when exercising compliance powers under this Act, produce their identity card for inspection on request.
3: A person who ceases to be a compliance officer must return the identity card to the water services entity as soon as practicable. 2015 No 70 s 164 2021 No 36 s 99 Section 368 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
369: Suspension and ending of appointment of compliance officers
1: A water services entity may suspend or end the appointment of a compliance officer at any time.
2: To avoid doubt, a person’s appointment as a compliance officer ends when the person ceases to be eligible for appointment as a compliance officer. 2015 No 70 s 165 2021 No 36 s 100 Section 369 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
370: Compliance officer subject to Director of Compliance and Enforcement’s directions
1: A compliance officer (whether or not an employee) is subject to directions of the Director of Compliance and Enforcement in the exercise of their compliance powers.
2: A direction under subsection (1) may be of a general nature or may relate to a specified matter or specified class of matter.
3: A failure to comply with a direction under subsection (1) does not invalidate the exercise of a compliance officer’s compliance powers.
4: The board or the chief executive of a water services entity may not give directions to a compliance officer in relation to the exercise of their compliance powers. 2015 No 70 s 166 2021 No 36 s 101 Section 370 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
371: Director of Compliance and Enforcement has powers of compliance officer
The Director of Compliance and Enforcement has all the powers that a compliance officer has under this Act. 2015 No 70 s 167 2021 No 36 s 102 Section 371 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Compliance powers Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
372: Purpose of compliance powers
A compliance officer may exercise a power under this Part only for 1 or more of the following purposes:
a: to ensure that compliance requirements have been, are being, or will be met:
b: to investigate serious risks relating to water services:
c: to respond to specified serious risks:
d: to investigate the commission of offences under this Act:
e: to bring proceedings in relation to any compliance order or offence under this Act. 2021 No 36 s 103 Section 372 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
373: Power to restrict water supply
1: If a compliance officer exercises a power for a purpose specified in section 372(a) or (c)
a: commits an offence against this Act or legislation made under this Act; or
b: fails or refuses to do anything required by this Act or a requirement set under this Act in respect of water services; or
c: fails to comply with any rule or arrangement made under this Act or legislation made under this Act that relates to water services; or
d: fails or refuses to do anything that the person has undertaken or agreed to do in respect of water services supplied to the person’s land or building; or
e: refuses entry to, or obstructs, a compliance officer exercising a power of entry in respect of water services; or
f: fails to pay applicable fees or charges for the delivery of water services.
2: Nothing in subsection (1) limits or affects the duty of a water services entity to provide a sufficient quantity of drinking water under section 25(1) 2002 No 84 s 193 Section 373 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
374: Directions
1: A compliance officer may issue a direction to a person who has a duty or requirement to ensure that compliance requirements have been, are being, or will be met.
2: A person to whom a direction is issued must comply with the direction within any time frame (including immediately) specified in the direction (if any).
3: A direction may be amended or revoked at any time.
4: The amendment or revocation of a direction does not have retrospective effect.
5: A compliance officer must issue a direction under this section in accordance with section 376 2021 No 36 s 104 Section 374 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
375: Compliance officer’s powers in respect of specified serious risk
1: This section applies if a compliance officer believes, on reasonable grounds, that a specified serious risk exists.
2: The compliance officer may—
a: take immediate action, or direct any person to take immediate action, to prevent, reduce, or eliminate the specified serious risk:
b: direct any person to stop, or prohibit any person from starting, anything that the compliance officer believes, on reasonable grounds, is a cause of, or contributes to, the specified serious risk.
3: A person who is directed by a compliance officer under subsection (2) must comply with that direction.
4: A compliance officer must issue a direction under this section in accordance with section 376 2021 No 36 s 105 Section 375 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
376: Requirements for directions
1: A direction issued under section 374 375(2)(b)
a: must be in writing; and
b: must contain contact information for the water services entity and the compliance officer (if applicable); and
c: must state that a person has a right of review under section 457 section 461
d: may be addressed to any person under the person’s legal name or usual business name or style.
2: In this section, contact information
a: the name of the Director of Compliance and Enforcement, and the name of the compliance officer (if applicable); and
b: 1 or more of the following:
i: phone number:
ii: email address:
iii: physical or postal address. 2015 No 70 s 112 2021 No 36 s 125 Section 376 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Power to take and test samples Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
377: Power to take and test samples
1: A compliance officer may, for a purpose specified in section 372
2: However, nothing in subsection (1) authorises a compliance officer to take a sample from a person’s body.
3: A compliance officer must, not later than 10 working days after removing any sample under this section, give the person from whom it was taken an inventory of all samples taken.
4: A sample taken under subsection (1) may only be used to determine whether compliance requirements have been, are being, or will be met. 2015 No 70 s 172 2021 No 36 s 107 Section 377 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Power to obtain information Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
378: Power to obtain information
1: A compliance officer may, for the purpose of performing or exercising their functions or powers,—
a: inspect, at all reasonable times, all records and documents of every description in the possession or control of a person that are required to be kept under this Act; and
b: make copies of, or take extracts from, those records and documents; and
c: direct any person who has possession or control of those records and documents to supply to the compliance officer, in any reasonable manner that the officer specifies, all or any of those records or documents; and
d: take photographs, video recordings, and other visual images; and
e: take audio sound recordings; and
f: make electronic records.
2: The compliance officer must, not later than 10 working days after directing a person to supply documents under this section, give the person an inventory of all documents taken.
3: Subpart 5
4: Nothing in this section limits any other legislation that imposes a prohibition or restriction on the collection of information. 2021 No 36 s 108 Section 378 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
379: Power to require name and address
1: A compliance officer may require a person to provide the person’s name and residential address if—
a: the officer finds the person committing an offence against this Act; or
b: the officer finds the person in circumstances that lead, or has information that leads, the officer to reasonably suspect that the person has committed an offence against this Act.
2: When asking a person to provide their name and residential address, the compliance officer must—
a: tell the person the reason for the requirement to provide their name and residential address; and
b: warn the person that it is an offence to fail to provide their name and residential address, unless the person has a reasonable excuse.
3: If the compliance officer reasonably believes that the name and residential address a person provides are false, the compliance officer may require the person to give evidence of their correctness.
4: Subpart 5
5: Nothing in this section limits any other legislation that imposes a prohibition or restriction on the collection of information. 2015 No 70 s 175 2021 No 36 s 109 Section 379 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
380: Power to question
1: If a compliance officer reasonably believes that a person holds relevant information, the compliance officer may direct that person to answer any question for the purpose of—
a: ensuring that compliance requirements have been, are being, or will be met; or
b: investigating anything the officer believes is a specified serious risk.
2: The person must answer the questions, subject to subsections (3) and (4).
3: Subpart 5
4: Nothing in this section limits any other legislation that imposes a prohibition or restriction on the collection of information. 2021 No 36 s 110 Section 380 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
381: Powers of entry and inspection
1: A compliance officer may exercise a power under subsection (2) for 1 or more of the purposes in section 372(a) to (c)
2: Subject to this section, a compliance officer may, in relation to a place,—
a: enter the place; and
b: inspect the place; and
c: exercise the power set out in section 377
3: Before exercising the power to enter a place, the compliance officer must make reasonable efforts to contact the owner, occupier, or person in charge of the place.
4: A compliance officer must not enter a home, except with the consent of an occupier.
5: A compliance officer must not enter any land on which a marae or an urupā is situated or that is a Maori reservation, except with the consent of an owner.
6: A compliance officer must not enter any Maori land unless, before entering, the compliance officer has given reasonable notice in writing to the owner (or owners) of the land.
7: However, if the land referred to in subsection (6) is owned by more than 10 persons with no clear management structure or is owned by more than 10 persons and not vested in a trustee, the compliance officer must not enter the land unless, before entering, the compliance officer has given reasonable notice in writing to the trustees of the principal marae of the hapū associated with the land.
8: A compliance officer must not enter any land that is a reserve vested in a post-settlement governance entity and managed by an administering body unless, before entering, the compliance officer has given reasonable notice in writing to the post-settlement governance entity and the administering body.
9: A compliance officer must not enter a defence area (within the meaning of section 2(1)
10: Part 4 subparts 2 3 6 8 sections 118 119
11: For the purposes of this section, in relation to circumstances in which consent is required, the person giving consent must be a person who has the capacity to consent. 2021 No 36 s 111 Section 381 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
382: Power to enter place without search warrant
1: A compliance officer may exercise a power under subsection (2) if the officer believes, on reasonable grounds, that the exercise of the power is required in relation to a specified serious risk.
2: A compliance officer may, in relation to a place,—
a: enter the place without a search warrant; and
b: search the place; and
c: exercise any of the powers in sections 374 to 380
3: Before exercising the power to enter a place, the compliance officer must make reasonable efforts to contact the owner, occupier, or person in charge of the place.
4: A compliance officer must not enter a home, except with the consent of an occupier.
5: A compliance officer must not enter any land on which a marae or an urupā is situated or that is a Maori reservation, except with the consent of an owner.
6: A compliance officer must not enter any Maori land unless, before entering, the compliance officer has given reasonable notice in writing to the owner (or owners) of the land.
7: However, if the land referred to in subsection (6) is owned by more than 10 persons with no clear management structure or is owned by more than 10 persons and not vested in a trustee, the compliance officer must not enter the land unless, before entering, the compliance officer has given reasonable notice in writing to the trustees of the principal marae of the hapū associated with the land.
8: A compliance officer must not enter any land that is a reserve vested in a post-settlement governance entity and managed by an administering body unless, before entering, the compliance officer has given reasonable notice in writing to the post-settlement governance entity and the administering body.
9: A compliance officer must not enter a defence area (within the meaning of section 2(1)
10: Part 4 subparts 2 3 6 8 sections 118 119
11: For the purposes of this section, in relation to circumstances in which consent is required, the person giving consent must be a person who has the capacity to consent. 2014 No 32 s 311 2021 No 36 s 112 Section 382 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
383: Notice of entry
1: If a compliance officer enters any place under this Act and is unable, despite reasonable efforts, to find the owner, occupier, or person in charge as required by this Act, the officer must, before leaving the place, leave a written notice stating—
a: the officer’s identity; and
b: the officer’s contact information; and
c: the date and time of entry; and
d: the officer’s reasons for entering.
2: In subsection (1)(b), contact information
a: the name of the officer; and
b: 1 or more of the following:
i: phone number:
ii: email address:
iii: physical or postal address. 2015 No 70 s 171 2021 No 36 s 113 Section 383 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
384: Power of Director of Compliance and Enforcement to authorise making of applications for search warrants
1: The Director of Compliance and Enforcement may authorise a specified person to enter and search a place, vehicle, or other thing for the purpose of ascertaining whether a person has engaged in or is engaging in conduct that contravenes or may contravene any compliance requirement, if satisfied that there are reasonable grounds—
a: to suspect that person has engaged in or is engaging in conduct that constitutes or may constitute a contravention; and
b: to believe that the search will find evidential material in or on any part of the place, vehicle, or thing.
2: A specified person authorised under subsection (1) may enter and search the place, vehicle, or other thing if—
a: the occupier of the place or the person in charge of the vehicle or thing (as the case may be) consents; or
b: the specified person obtains a warrant under subsection (3).
3: An issuing officer may issue a search warrant in relation to a place, vehicle, or thing on an application made in the manner provided by subpart 3
a: to suspect that a person has engaged in or is engaging in conduct that contravenes or may contravene any compliance requirement or drinking water safety plan; and
b: to believe that the search will find evidential material in or on any part of the place, vehicle, or thing.
4: In this section, specified person
a: a compliance officer; or
b: an employee of the water services entity; or
c: any other person who the Director of Compliance and Enforcement is satisfied is suitably qualified and trained.
5: Despite subsection (4), a constable may apply for a warrant to be issued under subsection (3) without an authorisation from the Director of Compliance and Enforcement.
6: The provisions of Part 4 sections 118 119 2015 No 70 s 173 2021 No 36 s 114 Section 384 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
385: Continuation of powers of entry and inspection without search warrants
A compliance officer who, in the course of exercising a power under section 382 section 384 2015 No 70 s 174 2021 No 36 s 115 Section 385 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
386: Conditions of entry, search, and seizure
1: A compliance officer must take all reasonable steps to ensure that any equipment the officer has taken into a place is—
a: free from contamination; and
b: in good working order.
2: Section 110(e) 2014 No 32 s 299 2021 No 36 s 116 Section 386 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
387: Compliance with Building Act 2004
If a compliance officer, in the course of performing functions or exercising powers under this Act, believes that any building or sitework that relates to water services infrastructure does not comply with the Building Act 2004 1956 No 65 s 128A 2021 No 36 s 117 Section 387 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
388: Power to ask for assistance
1: A compliance officer who considers it necessary to do so may ask a person for assistance in performing their functions or exercising their powers (other than exercising a power of entry), under this Act.
2: If the person agrees to assist, they—
a: must act under the supervision of, and as instructed by, the officer; and
b: may accompany the officer into any place that the officer enters. 2014 No 32 s 297 2021 No 36 s 118 Section 388 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
389: Protection of persons acting under authority of Act
1: This section applies to the following persons:
a: an officer, employee, or agent of a water services entity acting under section 217
b: the Director of Compliance and Enforcement:
c: a compliance officer:
d: a person called to assist a compliance officer:
e: a water services entity:
f: a specified person authorised to enter and search a place, vehicle, or thing under section 384
2: The person is protected from civil and criminal liability, however it may arise, for any act that the person does or omits to do in the performance or purported performance of the person’s duties or functions, or the exercise or purported exercise of the person’s powers, under this Act—
a: in good faith; and
b: with reasonable cause.
3: See also section 6 2014 No 32 s 351 2021 No 36 s 119 Section 389 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Compliance orders Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
390: Power to issue compliance order
1: The Director of Compliance and Enforcement may serve a compliance order on any person—
a: requiring that person to stop, or prohibiting that person from starting, anything done or to be done by, or on behalf of, that person that the Director believes, on reasonable grounds,—
i: contravenes, or is likely to contravene, a compliance requirement; or
ii: will or may create a specified serious risk; or
b: requiring that person to do something that the Director believes, on reasonable grounds, will—
i: ensure compliance by, or on behalf of, that person with the compliance requirement; or
ii: prevent, reduce, or eliminate any specified serious risk.
2: A compliance order may be made subject to directions and conditions. 2021 No 36 s 120 Section 390 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
391: Compliance with compliance order
1: A person on whom a compliance order is served must—
a: comply with the order within the period specified in it; and
b: unless the order directs otherwise, pay all the costs and expenses of complying with it.
2: This section is subject to sections 461 to 465 2021 No 36 s 121 Section 391 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
392: Form and content of compliance order
A compliance order must state—
a: the name of the person to whom it relates; and
b: the reasons for the order; and
c: the action required to be taken, stopped, or not to be taken; and
d: the period within which the action must be taken or stopped, being a reasonable period within which to take the action required or to stop the action. 2021 No 36 s 122 Section 392 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
393: Director may vary or cancel order
Except as provided in section 465 2015 No 70 ss 114 124 2021 No 36 s 123 Section 393 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
394: Formal irregularities or defects in order
A compliance order is not invalid merely because of any defect, irregularity, omission, or want of form in the order unless the defect, irregularity, omission, or want of form causes or is likely to cause a miscarriage of justice. 2015 No 70 s 115 2021 No 36 s 124 Section 394 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
395: When Director of Compliance and Enforcement may take remedial action
1: This section applies if a person fails to comply with the whole or any part of a compliance order that is issued to the person.
2: The Director of Compliance and Enforcement may take any remedial action they believe is reasonable to address serious risks to—
a: ensure compliance by, or on behalf of, that person with a compliance requirement; or
b: prevent, reduce, or eliminate a specified serious risk.
3: However, the Director of Compliance and Enforcement may only take action under subsection (2) after giving written notice to the person of—
a: the Director’s intention to take that action; and
b: the person’s liability for the costs of that action. 2015 No 70 s 119 2021 No 36 s 126 Section 395 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
396: Power of Director of Compliance and Enforcement to take other remedial action
1: This section applies if the Director of Compliance and Enforcement reasonably believes that—
a: circumstances exist in which a compliance order can be issued; but
b: a compliance order cannot be issued at a place because, after reasonable steps are taken, the person to whom the order could be issued cannot be found.
2: The Director of Compliance and Enforcement may take any remedial action necessary to—
a: ensure compliance by, or on behalf of, that person with any compliance requirement; or
b: prevent, reduce, or eliminate a specified serious risk. 2015 No 70 s 120 2021 No 36 s 127 Section 396 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
397: Costs of remedial or other action
1: A water services entity may recover as a debt due to the water services entity the reasonable costs of any remedial action taken under—
a: section 395
b: section 396
2: This section is subject to section 398 2015 No 70 s 121 2021 No 36 s 128 Section 397 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
398: Protection of Maori land against execution for debt
1: This section applies in relation to—
a: a judgment for the payment of costs of remedial or other action under section 397
b: a fine imposed for an offence against this Act.
2: The judgment or fine cannot be enforced against a person’s interest in Maori customary land or, subject to section 343
3: Nothing in subsection (2)—
a: limits or affects the operation of any mortgage or charge to which any Maori land is subject:
b: applies to any revenue derived by any person from any interest in land to which that subsection applies, and all such revenue is available for the payment of the person’s debts.
4: For the purposes of this section, the interest of any person in Maori land is to be taken to include—
a: that person’s interest in all timber, flax, and other things (other than industrial crops) so attached to the land as to form part of it as between the heir and the executor of a deceased freeholder at common law; and
b: while the land remains Maori land, that person’s interest in all money that is the proceeds of any alienation of that land, except any money that has been actually received by that person or by any trustee for that person. 1993 No 4 s 342 Section 398 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Water meters Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
399: Chief executive of water services entity may authorise persons to read water meters
1: The chief executive of a water services entity may authorise persons to access the properties of its consumers for the purpose of reading water meters.
2: Before authorising a person under subsection (1), the chief executive must be satisfied that the person—
a: meets the requirements of section 69
b: has received the training needed to access the property appropriately and to read the water meter accurately.
3: The authorisation—
a: must be in writing; and
b: may not be granted to a person who is appointed as a compliance officer under this Act. Section 399 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
400: Authorised persons may access properties under certain conditions
1: A person authorised under section 399
a: for the purpose of checking a water meter or any equipment or device (for example, a backflow prevention device) required by a rule made under section 273
b: in accordance with the process set out in the relevant service agreement.
2: The person exercising the power under subsection (1) must have the appropriate written authorisation and evidence of identity, and must produce them to the person in charge of the property concerned—
a: on first entering the property; and
b: whenever subsequently reasonably required to do so by the person in charge. 2020 No 38 s 626(5) Section 400 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
4: Offences
Subpart 4 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Offence relating to water services infrastructure Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
401: Carrying out building work over or near water services infrastructure without approval
1: A person commits an offence against this section if the person carries out building work over or near water services infrastructure without approval and the work causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $20,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $200,000. Section 401 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Offences relating to water supply network Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
402: Intentionally or recklessly engaging in conduct relating to water supply network that causes specified serious risk
1: A person commits an offence against this section if the person—
a: engages in conduct relating to a water supply network that causes a specified serious risk; and
b: intentionally causes, or is reckless as to, the specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a term of imprisonment not exceeding 2 years or a fine not exceeding $75,000, or both:
b: for a body corporate or an unincorporated body, to a fine not exceeding $1.5 million. Section 402 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
403: Negligently engaging in conduct relating to water supply network that causes specified serious risk
1: A person commits an offence against this section if the person negligently engages in conduct relating to a water supply network that causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $100,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $600,000. Section 403 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Offences relating to wastewater network Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
404: Intentionally or recklessly disposing of materials or substances into wastewater network
1: A person commits an offence against this section if the person—
a: disposes of materials or substances in, or discharges them into, a wastewater network and that disposal or discharge causes a specified serious risk; and
b: intentionally causes, or is reckless as to, the specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a term of imprisonment not exceeding 2 years or a fine not exceeding $75,000, or both:
b: for a body corporate or an unincorporated body, to a fine not exceeding $1.5 million. Section 404 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
405: Negligently disposing of materials or substances into wastewater network
1: A person commits an offence against this section if the person negligently disposes of materials or substances in, or discharges them into, a wastewater network and that disposal or discharge causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $100,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $600,000. Section 405 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
406: Connecting to, disconnecting from, or discharging into wastewater network without authorisation
1: A person commits an offence against this section if the person connects to, disconnects from, or discharges material or substances into a wastewater network without the authorisation of a water services entity.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $100,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $500,000. Section 406 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
407: Intentionally or recklessly engaging in conduct relating to wastewater network that causes specified serious risk
1: A person commits an offence against this section if the person—
a: engages in conduct relating to a wastewater network that causes a specified serious risk; and
b: intentionally causes, or is reckless as to, the specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a term of imprisonment not exceeding 2 years or a fine not exceeding $75,000, or both:
b: for a body corporate or an unincorporated body, to a fine not exceeding $1.5 million. Section 407 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
408: Negligently engaging in conduct relating to wastewater network that causes specified serious risk
1: A person commits an offence against this section if the person negligently engages in conduct relating to a wastewater network that causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $100,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $600,000. Section 408 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
409: Discharging trade waste without trade waste permit
1: A person commits an offence against this section if the person discharges trade waste into a wastewater network without a trade waste permit issued under section 266
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $500,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $3 million. Section 409 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
410: Breach of trade waste permit
1: A person commits an offence against this section if the person breaches a trade waste permit issued under section 266
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $250,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $3 million. Section 410 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Offences relating to stormwater network Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
411: Intentionally or recklessly disposing of or discharging materials or substances into stormwater network causing specified serious risk
1: A person commits an offence against this section if the person—
a: disposes of or discharges materials or substances into a stormwater network and that disposal or discharge causes a specified serious risk; and
b: intentionally causes, or is reckless as to, the serious specified risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $200,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $1.5 million. Section 411 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
412: Negligently disposing of or discharging substances or materials into stormwater network
1: A person commits an offence against this section if the person negligently disposes of or discharges materials or substances into a stormwater network and the disposal or discharge causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $50,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $500,000. Section 412 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
413: Intentionally or recklessly engaging in conduct relating to stormwater network that causes specified serious risk
1: A person commits an offence against this section if the person—
a: engages in conduct relating to a stormwater network that causes a specified serious risk; and
b: intentionally causes, or is reckless as to, the specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a term of imprisonment not exceeding 2 years or a fine not exceeding $75,000, or both:
b: for a body corporate or an unincorporated body, to a fine not exceeding $1.5 million. Section 413 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
414: Connecting to or disconnecting from, or discharging materials or substances into, stormwater network without authorisation
1: A person commits an offence against this section if the person, without authorisation from a water services entity,—
a: connects to or disconnects from a stormwater network; or
b: discharges materials or substances into a stormwater network.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $50,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $500,000. Section 414 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
415: Negligently engaging in conduct relating to stormwater network that causes specified serious risk
1: A person commits an offence against this section if the person negligently engages in conduct relating to a stormwater network that causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $100,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $600,000. Section 415 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Other offences relating to water supply network, wastewater network, and stormwater network Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
416: Discharging into water supply network without authorisation
1: A person commits an offence against this section if the person discharges anything into a water supply network without written authorisation from a water services entity.
2: A person who commits an offence against subsection (1) is liable on conviction,—
a: for an individual, to a fine not exceeding $50,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $500,000. Section 416 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
417: Connecting to or disconnecting from water supply network or supplying water to another person without authorisation
1: A person commits an offence against this section if the person—
a: knowingly connects to or disconnects from, or takes water from, a water supply network without authorisation from a water services entity; or
b: having been supplied with water by a water services entity from a water supply network, knowingly and without authorisation from the water services entity extends their network connection to another property that should be party to a service agreement with the water services entity.
2: A person does not commit an offence against subsection (1)(b) if the activity is authorised by section 48
3: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $50,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $500,000. Section 417 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
418: Carrying out work on or in relation to water supply network, wastewater network, or stormwater network without authorisation
1: A person commits an offence against this section if the person knowingly carries out work on or in relation to a water supply network, wastewater network, or a stormwater network owned or operated by a water services entity without first—
a: notifying the water services entity of their intention to carry out the work; and
b: obtaining written authorisation from the water services entity to carry out the work on any terms or conditions that the water services entity thinks fit.
2: A person does not commit an offence against this section if the work is carried out in accordance with a statutory authorisation.
3: It is a defence to an offence against this section if the work carried out was necessary to avoid an emergency, or to mitigate or remedy the effects of an emergency.
4: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $100,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $500,000.
5: Nothing in this section applies to work carried out on, in relation to, or near any green stormwater infrastructure, overland flow path, or watercourse that is part of, or relates to, a stormwater network. Section 418 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Offence relating to plans, rules, directions, and compliance orders Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
419: Breach of controlled drinking water catchment management plan or permit
1: A person commits an offence against this section if the person—
a: breaches a prohibition, restriction, or requirement set out in a controlled drinking water catchment management plan issued under section 235
b: breaches a prohibition, restriction, or requirement in a permit issued under section 236
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $20,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $100,000. Section 419 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
420: Breach of requirement, condition, authorisation, or prohibition in stormwater network rule
1: A person commits an offence against this section if the person—
a: has a duty under a stormwater network rule made under section 261
b: knowingly fails to comply with that duty and that non-compliance causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $20,000:
b: for a body corporate, to a fine not exceeding $200,000. Section 420 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
421: Failure to comply with rule relating to equipment or device
1: A person commits an offence against this section if the person—
a: has a duty under a rule made under section 273(1)(c)
b: knowingly fails to comply with that duty and that non-compliance causes a serious specified risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $20,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $200,000. Section 421 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
422: Failure to notify water services entity of notifiable risk or hazard
1: A person commits an offence against this section if the person—
a: has a duty to notify a water services entity of a notifiable risk or hazard in a rule made under section 273(1)(c)
b: knowingly fails to comply with that duty and that non-compliance causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $50,000:
b: for a body corporate or unincorporated body, to a fine not exceeding $200,000. Section 422 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
423: Failure to comply with water use restriction or limit
1: A person commits an offence against this section if the person—
a: is subject to a water use restriction or limit set out in rules made under section 273
b: knowingly fails to comply with that restriction or limit and causes a specified serious risk.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $20,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $100,000. Section 423 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
424: Breach of rule relating to undertaking specified classes of work near, under, or above water supply system, wastewater network, or stormwater network
1: A person commits an offence against this section if the person knowingly fails to comply with a rule made under section 283
2: A person does not commit an offence against this section if the work is undertaken in accordance with a statutory authorisation.
3: It is a defence against this section if the defendant proves that—
a: the action or event to which the prosecution relates was necessary for the purposes of preventing, avoiding, or mitigating a specified serious risk; and
b: the conduct of the defendant was reasonable in the circumstances; and
c: the defendant took steps that were reasonable in all the circumstances to mitigate or remedy the effects of the action or event after it occurred.
4: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $20,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $200,000.
5: Nothing in this section applies to work undertaken on, in relation to, or near any green stormwater infrastructure, overland flow path, or watercourse that is part of, or relates to, a stormwater network. Section 424 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
425: Failure to comply with direction issued by compliance officer
1: A person commits an offence against this section if the person fails to comply with a direction issued by a compliance officer under section 374 375(2)(b)
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $75,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $300,000. Section 425 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
426: Failure to comply with compliance order or court order
1: A person commits an offence against this section if the person fails to comply with a compliance order issued under section 390
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $75,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $300,000. Section 426 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Offences relating to tampering with water meters Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
427: Tampering with water meter
1: A person commits an offence against this section if the person, without the prior written authorisation of a water services entity,—
a: alters the index of, or in any other manner tampers with, a water meter; or
b: alters the position of a water meter.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $50,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $200,000. Section 427 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Offences relating to duties associated with administration of Act Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
428: Hindering or obstructing employee or agent of water services entity
1: A person commits an offence against this section if the person intentionally hinders or obstructs an employee or agent of a water services entity who is performing a duty or function, or exercising a power, under this Act.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to imprisonment for a term not exceeding 3 months and a fine not exceeding $10,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $250,000. Section 428 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
429: Threatening or assaulting employee or agent of water services entity
1: A person commits an offence against this section if the person intentionally threatens or assaults an employee or agent of a water services entity who is performing a duty or function, or exercising a power, under this Act.
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to imprisonment for a term not exceeding 3 months and a fine not exceeding $50,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $250,000. Section 429 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
430: Pretending to be compliance officer, employee, or agent of water services entity
1: A person commits an offence against this section if, with intent to deceive, the person pretends to be—
a: an employee or agent of a water services entity; or
b: a person who has been appointed as a compliance officer under section 367
2: A person who commits an offence against this section is liable on conviction,—
a: for an individual, to a fine not exceeding $50,000:
b: for a body corporate or an unincorporated body, to a fine not exceeding $250,000. Section 430 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
5: Infringement offences
Subpart 5 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
431: Interpretation
In this subpart,— infringement fee section 484(1)(f) infringement offence section 484(1)(d)
a: an offence against a provision in subpart 4 section 402 404 407 411 413 417 418 420 421 422 423 424 428 429 430
b: an offence against any secondary legislation made under this Act. 2015 No 70 s 136 2021 No 36 s 149 Section 431 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
432: Infringement offences
1: A person who is alleged to have committed an infringement offence may—
a: be proceeded against by the filing of a charging document under section 14
b: be issued with an infringement notice under section 433
2: Proceedings commenced in the way described in subsection (1)(a) do not require the leave of a District Court Judge or Registrar under section 21(1)(a)
3: See section 21 2015 No 70 s 137 2021 No 36 s 150 Section 432 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
433: When infringement notice may be issued
The Director of Compliance and Enforcement or a compliance officer may issue an infringement notice to a person if they believe on reasonable grounds that the person is committing, or has committed, an infringement offence. 2021 No 36 s 151 Section 433 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
434: How infringement notice may be served
1: The Director of Compliance and Enforcement or a compliance officer may serve an infringement notice on the person alleged to have committed an infringement offence by—
a: delivering it to the person or, if the person refuses to accept it, bringing it to the person’s notice; or
b: leaving it for the person at the person’s last known place of residence with another person who appears to be of or over the age of 14 years; or
c: leaving it for the person at the person’s place of business or work with another person; or
d: sending it to the person by prepaid post addressed to the person’s last known place of residence or place of business or work; or
e: sending it to an electronic address of the person in any case where the person does not have a known place of residence or business in New Zealand.
2: Unless the contrary is shown,—
a: an infringement notice (or a copy of it) sent by prepaid post to a person under subsection (1)(d) is to be treated as having been served on that person on the fifth working day after the date on which it was posted; and
b: an infringement notice sent to a valid electronic address under subsection (1)(e) is to be treated as having been served at the time the electronic communication first entered an information system that is outside the control of the Director of Compliance and Enforcement or the compliance officer.
3: In this section, information system 2021 No 36 s 152 Section 434 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
435: What infringement notice must contain
1: An infringement notice must be in the form prescribed in the regulations and must contain the following particulars:
a: details of the alleged infringement offence that fairly inform a person of the time, place, and nature of the alleged offence:
b: the amount of the infringement fee:
c: the address of the place at which the infringement fee may be paid:
d: how the infringement fee may be paid:
e: the time within which the infringement fee must be paid:
f: a summary of the provisions of section 21(10)
g: a statement that the person served with the notice has a right to request a hearing:
h: a statement of what will happen if the person served with the notice neither pays the infringement fee nor requests a hearing:
i: any other particulars prescribed in the regulations.
2: If an infringement notice has been issued under this section, the procedure under section 21 2015 No 70 s 138 2021 No 36 s 153 Section 435 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
436: Revocation of infringement notice before payment is made
1: The Director of Compliance and Enforcement or a compliance officer may revoke an infringement notice issued under section 433
a: the infringement fee is paid; or
b: an order for payment of a fine is made or deemed to be made by a court under section 21
2: The Director of Compliance and Enforcement or a compliance officer must take reasonable steps to ensure that the person to whom the notice was issued is made aware of the revocation of the notice.
3: The revocation of an infringement notice before the infringement fee is paid is not a bar to any further action as described in section 432(1)(a) or (b) 2015 No 70 s 139 2021 No 36 s 154 Section 436 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
437: Payment of infringement fees
All infringement fees paid for infringement offences must be paid to the water services entity that issued the infringement notice. 2015 No 70 s 140 2021 No 36 s 155 Section 437 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
438: Reminder notices
A reminder notice must be in the form prescribed in the regulations and must include the same particulars, or substantially the same particulars, as the infringement notice. 2021 No 36 s 156 Section 438 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
6: Criminal proceedings
Subpart 6 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
439: Meaning of enforcement action
In this subpart, unless the context otherwise requires, enforcement action
a: the filing of a charging document by the Director of Compliance and Enforcement under section 14
b: the filing of a charging document by a person other than the Director of Compliance and Enforcement under section 14 2015 No 70 s 141 2021 No 36 s 157 Section 439 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
440: Person may notify Director of Compliance and Enforcement of interest in knowing of enforcement action
1: A person may notify the Director of Compliance and Enforcement in the manner determined by the Director that the person has an interest in knowing whether a particular incident, situation, or set of circumstances has been, is, or is to be subject to the taking of enforcement action by the Director or a compliance officer.
2: If the Director of Compliance and Enforcement receives a notification under subsection (1), they must notify the person in writing—
a: whether any enforcement action in respect of the incident, situation, or set of circumstances has been taken; and
b: if enforcement action has not been taken, whether the Director of Compliance and Enforcement of the water services entity or compliance officer intends to take enforcement action in respect of the incident, situation, or set of circumstances. 2015 No 70 s 142 2021 No 36 s 158 Section 440 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
441: Prosecutions by Director of Compliance and Enforcement
Subject to section 442 2015 No 70 s 143 2021 No 36 s 159 Section 441 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
442: Private prosecutions
1: A person other than the Director of Compliance and Enforcement may file a charging document in respect of an offence under this Act if—
a: the Director of Compliance and Enforcement or a compliance officer has not taken, and does not intend to take, enforcement action against any person in respect of the same incident, situation, or set of circumstances; and
b: the person has received notification from the water services entity under section 440(2)
i: has not taken enforcement action or prosecution action against any person in respect of the same incident, situation, or set of circumstances; and
ii: does not intend to take any enforcement action.
2: For the purposes of subsection (1), if enforcement action or prosecution action cannot be taken against any person in respect of the same incident, situation, or set of circumstances because the person is dead, the Director of Compliance and Enforcement or compliance officer must be treated as intending to take enforcement action or prosecution action. 2015 No 70 s 144 2021 No 36 s 160 Section 442 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
443: Continuing or repeated matters
Nothing in this Act prevents the Director of Compliance and Enforcement or another person from taking enforcement action in respect of an incident, situation, or set of circumstances, despite enforcement action having been taken in respect of that incident, situation, or set of circumstances, if the incident, situation, or set of circumstances is continuing or repeated. 2015 No 70 s 145 2021 No 36 s 161 Section 443 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
7: Limitation periods
Subpart 7 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
444: Limitation period for prosecutions brought by Director of Compliance and Enforcement
1: Despite section 25
a: within 12 months after the date on which the incident, situation, or set of circumstances to which the offence relates first became known, or ought reasonably to have become known, to the Director of Compliance and Enforcement:
b: within 6 months after the date on which a coroner completes and signs a certificate of findings under section 94
2: Subsection (1) applies subject to section 446 2015 No 70 s 146 2021 No 36 s 162 Section 444 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
445: Extension of time if Director of Compliance and Enforcement needs longer to decide whether to bring prosecution
1: This section applies if a Director of Compliance and Enforcement considers that they will not be able to file a charging document by the end of the period specified in section 444(1)(a) or (b)
2: The District Court may, on application by the Director of Compliance and Enforcement made before the end of the relevant period specified in section 444(1)(a) or (b)
3: The court must not grant an extension under subsection (2) unless it is satisfied that—
a: the Director of Compliance and Enforcement reasonably requires longer than the relevant specified period to decide whether to file a charging document; and
b: the reason for requiring the longer period is that the investigation of the events and issues surrounding the alleged offence is complex or time-consuming; and
c: it is in the public interest in the circumstances that a charging document is able to be filed after the relevant specified period expires; and
d: filing the charging document after the relevant specified period expires will not unfairly prejudice the proposed defendant in defending the charge.
4: The court must give the following persons an opportunity to be heard:
a: the Director of Compliance and Enforcement:
b: the proposed defendant:
c: any other person who has an interest in whether a charging document should be filed, being a person described in section 440(1) 2015 No 70 s 147 2021 No 36 s 163 Section 445 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
446: Certain proceedings may be brought after end of limitation period if fresh evidence discovered
Despite anything in section 444 445 2015 No 70 s 149 2021 No 36 s 164 Section 446 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
8: Defences for strict liability offences
Subpart 8 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
447: Defences in prosecution for strict liability offence
1: This section applies in a prosecution for an offence against a section of this Act listed in the following table: The following table is small in size and has 2 columns. Column 1 is headed Section. Column 2 is headed Description. Section Description 405 Negligently disposing of materials or substances into wastewater network 406 Connecting to, disconnecting from, or discharging into wastewater network without authorisation 409 Discharging trade waste without trade waste permit 410 Breach of trade waste permit 416 Discharging into water supply network without authorisation 419 Breach of controlled drinking water catchment management plan 425 Failure to comply with direction issued by compliance officer 426 Failure to comply with compliance order or court order 427 Tampering with water meter
2: The defendant has a defence if the defendant proves that—
a: the commission of the offence was due to—
i: the act or omission of another person; or
ii: an accident; or
iii: some other cause outside the defendant’s control; and
b: the defendant took all reasonable precautions and exercised due diligence to avoid the commission of the offence or offences of the same kind.
3: The defendant has a defence if the defendant proves that—
a: the action or event to which the prosecution relates was necessary for the purposes of preventing, avoiding, or mitigating a specified serious risk; and
b: the conduct of the defendant was reasonable in the circumstances; and
c: the defendant took steps that were reasonable in all the circumstances to mitigate or remedy the effects of the action or event after it occurred.
4: For the purposes of this section, the court may take into account all relevant matters, including—
a: the likelihood of the hazard or risk concerned, including a specified serious risk, occurring; and
b: the degree of harm that might result from the hazard or risk; and
c: what the person concerned knows, or ought reasonably to know, about—
i: the hazard or risk; and
ii: ways of eliminating or minimising the risk; and
d: the availability and suitability of ways to eliminate or minimise the risk. 1996 No 30 s 117(2)(a) 2014 No 32 s 251 2021 No 36 s 165 Section 447 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
9: Liability of certain persons
Subpart 9 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
448: Liability of body corporate or unincorporated body
1: This section applies when—
a: a body corporate or an unincorporated body is charged with an offence against this Act; and
b: for the purpose of the prosecution, it is necessary to establish the body corporate’s or unincorporated body’s state of mind.
2: It is sufficient to show that an officer, employee, or agent of the body corporate or unincorporated body, acting within the scope of their actual or apparent authority, had the state of mind. 2014 No 32 s 245 2021 No 36 s 166 Section 448 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
449: Liability of body corporate, unincorporated body, principal, or individual
1: This section applies when—
a: a body corporate or an unincorporated body is charged with an offence against this Act for an action or omission of an officer, employee, or agent:
b: a principal is charged with an offence against this Act for an action or omission of an agent:
c: an individual is charged with an offence against this Act for an action or omission of an employee or agent.
2: The action or omission is treated as also the action or omission of the body corporate, unincorporated body, principal, or individual. 2014 No 32 s 246 2021 No 36 s 167 Section 449 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
450: Defence in prosecution of body corporate, principal, or individual
1: This section applies when a defendant’s liability to prosecution arises under section 449
2: The defendant has a defence if the defendant proves that the defendant took all reasonable steps to prevent the commission of—
a: the particular offence; or
b: all offences of the class committed.
3: However, the defence set out in subsection (2) is available to a defendant only to the extent that it can be proved in relation to the action or omission of the relevant other person referred to in section 449
a: any likely or possible benefit accruing to, or detriment suffered by, the person or body corporate from the action or omission in respect of which the proceedings are brought if the alleged offence had remained undetected; and
b: the purpose or motive of the relevant other person; and
c: the relationship between the defendant and the relevant other person, or between the defendant and any person appearing or likely to benefit from the alleged offence; and
d: if the defendant is a body corporate, whether any person responsible for, or closely associated with, the management of the body corporate appears to have benefited from the action or omission, or would have been likely to benefit if the alleged offence had remained undetected; and
e: whether the defendant had taken all reasonable steps and exercised due diligence to control the activities of the relevant other person to ensure that the action or omission did not occur. 2004 No 32 s 254 Section 450 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
10: Sentencing for offences
Subpart 10 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
451: Application of this subpart
This subpart applies if a court convicts a person (an offender 2015 No 70 s 150 2021 No 36 s 193 Section 451 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
452: Sentencing criteria
1: This section applies when a court is determining how to sentence or otherwise deal with an offender convicted of an offence against this Act.
2: The court must apply the Sentencing Act 2002
a: sections 7 to 10
b: the risk of, and the potential for, illness, injury, or death that could have occurred; and
c: whether death, serious injury, or serious illness occurred or could reasonably have been expected to have occurred; and
d: the risk of, and potential for damage to, the natural or a built environment that could have occurred; and
e: whether the damage to the natural or a built environment occurred or could reasonably have been expected to have occurred; and
f: the compliance record of the person (including, without limitation, any warning, direction, infringement notice, or compliance order issued to the person) to the extent that it shows whether any aggravating factor is present. 2015 No 70 s 151 2021 No 36 s 194 Section 452 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
453: Order for payment of costs in bringing prosecution
1: On the application of the Director of Compliance and Enforcement, the court may order the offender to pay to the chief executive a sum that it thinks just and reasonable towards the costs of the prosecution (including the costs of investigating the offending and any associated costs).
2: If the court makes an order under subsection (1), it must not make an order under section 4
3: If the court makes an order under subsection (1) in respect of a Crown organisation, any costs and fees awarded must be paid from the funds of that organisation. 2015 No 70 s 152 2021 No 36 s 195 Section 453 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
454: Injunctions
If a court finds a person guilty of an offence against this Act, the court may issue an injunction requiring the offender to cease any particular conduct or action that constitutes a contravention of this Act or regulations made under this Act. 2015 No 70 s 157 2021 No 36 s 197 Section 454 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
455: Supervision and training orders
1: The court may make an order requiring an offender to work under supervision for a period that the court specifies in the order.
2: The court may make an order requiring an offender to undertake, or arrange for 1 or more employees to undertake, a specified course of training. 2015 No 70 s 158 2021 No 36 s 198 Section 455 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
456: Restriction or prohibition order
1: The court may make—
a: a restriction order, which specifies the ways in which an offender is restricted in relation to the delivery of water services; or
b: a prohibition order, which prohibits an offender from taking any action in relation to the delivery of water services.
2: The following provisions apply if the offender wants a restriction order or prohibition order to be cancelled:
a: the offender may apply to the court to cancel the order:
b: the application must be served on the Director of Compliance and Enforcement:
c: an employee or agent of the water services entity may appear and be heard to help the court to determine whether to grant the application.
3: The court may—
a: cancel the order from the date stated in the order; or
b: change the order from the date stated in the order; or
c: change a prohibition order to a restriction order; or
d: refuse the application, in which case the court may specify the earliest date on which the offender may make a further application for cancellation.
4: The court must take into account—
a: the nature of the offence of which the offender was convicted; and
b: the steps taken (if any) to remedy the problem that resulted in the order; and
c: the offender’s conduct since the order was made; and
d: the offender’s character; and
e: any other circumstances of the case.
5: If the court changes the order or refuses the application, the offender may again apply for cancellation—
a: once the date that the court specified under subsection (3)(d) has passed; or
b: once there has been a material change in the offender’s circumstances. 2014 No 32 s 273 2021 No 36 s 199 Section 456 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
11: Review and appeals
Subpart 11 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Internal review Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
457: Application for internal review
1: This section applies in relation to the following directions or decisions:
a: any directions issued by a compliance officer appointed by a water services entity:
b: a decision relating to a permit for a controlled catchment area, including any conditions or requirements of the permit:
c: a decision relating to a trade waste permit, including any conditions or requirements of the permit:
d: a decision relating to the application of a water infrastructure contributions policy:
e: a decision to restrict water supply to land or a building.
2: A person affected by a direction or decision to which this section applies (a reviewable decision
a: 20 working days after the day on which the directions or decision first came to the affected person’s notice; or
b: any longer period that the water services entity allows.
3: The application must be made in the manner and form required by the water services entity. 2015 No 70 s 131 2021 No 36 s 89 Section 457 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
458: Decision of water services entity
1: A water services entity must, on application under section 457(2)
a: as soon as practicable; and
b: in any case, within 20 working days after the application for internal review is received.
2: However, the individual who made the reviewable decision must not review the decision.
3: The water services entity’s decision may—
a: confirm or vary the reviewable decision; or
b: set aside the reviewable decision; or
c: set aside the reviewable decision and substitute another decision that the water services entity considers appropriate.
4: The water services entity may seek further information from the applicant, and, if it does,—
a: the applicant must provide the information within the period (not less than 7 working days) specified by the water services entity in the request for information; and
b: the period specified in subsection (1)(b) ceases to run until the applicant provides the information to the water services entity.
5: If the applicant does not provide the further information within the required time, the water services entity may make a decision on the internal review on the basis of the information it holds.
6: If the reviewable decision is not varied or set aside within the period specified in subsection (1)(b), the decision is to be treated as having been confirmed by the water services entity. 2015 No 70 s 132 2021 No 36 s 90 Section 458 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
459: Notice of decision on internal review
As soon as practicable after making a decision in accordance with section 458
a: the decision on the internal review; and
b: the reasons for the decision. 2015 No 70 s 133 2021 No 36 s 91 Section 459 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
460: Stay of reviewable decision on internal review
1: If an application is made for an internal review of a decision, a water services entity may stay the operation of the decision.
2: The water services entity may stay the operation of a decision—
a: on its own initiative; or
b: on the application of the applicant for review.
3: A water services entity must make a decision on an application for a stay within 3 working days after the date on which it receives the application.
4: If the water services entity has not made a decision on an application under subsection (2)(b) within the time specified in subsection (3), the water services entity is to be treated as having made a decision to grant a stay.
5: A stay of the operation of a decision pending a decision on an internal review continues until the reviewer has made a decision on the review. 2015 No 70 s 134 2021 No 36 s 92 Section 460 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Appeals Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
461: Appeal
1: A person may appeal to the District Court against any of the following on the grounds that it is unreasonable:
a: the water services entity’s decision under section 458
b: the whole or any part of a compliance order issued under section 390
2: The appeal must be lodged within 20 working days after the day on which the decision first came to the person’s notice or the compliance order was served on the person.
3: On an appeal under subsection (1), the court must inquire into the decision or compliance order and may—
a: confirm or vary the decision or compliance order; or
b: in the case of a decision,—
i: set aside the decision; or
ii: set aside the decision and substitute another decision that the court considers appropriate; or
c: in the case of a compliance order,—
i: cancel the compliance order; or
ii: cancel the compliance order and substitute another compliance order that the court considers appropriate; or
d: refer the decision or compliance order back to the decision maker with the court’s opinion, together with any directions as to how the matter should be dealt with.
4: An internal review of a decision to restrict water supply to land or a building may not be appealed to the District Court. 2015 No 70 s 135 2021 No 36 s 93 Section 461 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
462: Interim order by District Court
1: At any time before the final determination of an appeal, the District Court may make an interim order.
2: An interim order may be subject to any conditions that the District Court thinks fit.
3: If the District Court makes an interim order, the Registrar of that court must send a copy of the order to the water services entity that made the reviewable decision or issued the compliance order. 2013 No 148 s 23 2021 No 36 s 94 Section 462 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
463: Appeal to High Court
1: A person may appeal to the High Court on a question of law only against a decision by the District Court that determines an appeal under section 461(3)
2: An appeal must be made by giving notice of appeal not later than 20 working days after the date on which notice of the decision was communicated to the appellant, or any further time that the High Court may allow.
3: However, nothing in this section affects the right of any person to apply for judicial review. 2013 No 148 s 22 2021 No 36 s 95 Section 463 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
464: Appeals to Court of Appeal or Supreme Court
1: A party to an appeal under section 463
2: The Court of Appeal or the Supreme Court hearing an appeal under this section has the same power to adjudicate on the appeal as the High Court had.
3: Subsection (1) is subject to section 75 2021 No 36 s 96 Section 464 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
465: Effect of appeal against compliance order
An appeal under sections 461 to 464
a: the Director of Compliance and Enforcement whose compliance order is appealed against must not revoke or amend the order while the order is the subject of an appeal or while the time for the person’s appeal rights is running; and
b: an appeal against a compliance order does not operate as a stay of that order unless the court orders otherwise. 1999 No 142 s 156H 2021 No 36 s 97 Section 465 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
13: Miscellaneous provisions
Part 13 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
1: Reviews
Subpart 1 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
466: Interim review of governance and accountability arrangements under Act
1: The Minister must, in the relevant period, commission a review of the need for, and the operation and effectiveness of, the governance and accountability arrangements under this Act.
2: The relevant period
3: The interim review required by this section must include consideration of the following matters:
a: governance structures, and related roles and responsibilities, under this Act:
b: the interaction of each water services entity’s regional representative group with the following:
i: the water services entity’s board:
ii: territorial authority owners:
iii: mana whenua in the water services entity’s service area:
iv: consumers and communities in the water services entity’s service area:
c: the interaction of each water services entity with the following:
i: territorial authority owners:
ii: mana whenua in the water services entity’s service area:
iii: consumers and communities in the water services entity’s service area:
iv: the water services entity’s consumer forums:
d: each water services entity’s—
i: relationships with financiers; and
ii: financing arrangements:
e: accountability, strategic direction, or planning or reporting mechanisms, including each—
i: Government policy statement:
ii: regional representative group’s statement of strategic and performance expectations:
iii: Te Mana o te Wai statement for water services:
iv: statement of intent:
v: other planning or reporting document under this Act:
f: each water services entity’s constitution, including amendments to it, or its replacement:
g: any other relevant matters identified by the Minister.
4: Before commissioning the review required by this section, the Minister must consult any other Ministers of the Crown (for example, any whose portfolio responsibilities are affected by or relevant to the review) that the Minister thinks fit. Section 466 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
467: Comprehensive review of water services legislation
1: The Minister must, in the relevant period, commission a review of the need for, and operation and effectiveness of, water services legislation.
2: The relevant period
3: The comprehensive review required by this section must include consideration of the following:
a: this Act and any legislation made under it, plus each water services entity’s constitution:
b: the Taumata Arowai–the Water Services Regulator Act 2020
c: the Water Services Act 2021
d: any legislation relating to the economic regulation of, or to consumer protection in respect of, water services:
e: the interaction of relevant regulators and relevant regulatory systems:
f: oversight, monitoring, and stewardship arrangements:
g: any other relevant matters identified by the Minister.
4: Before commissioning the review required by this section, the Minister must consult any other Ministers of the Crown (for example, any whose portfolio responsibilities are affected by or relevant to the review) that the Minister thinks fit. Section 467 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
468: Reviewer
A review required by this subpart must be done by the following reviewer:
a: the monitor, if the monitor is asked by the Minister to do the review:
b: in any other case, a review panel commissioned by or on behalf of the Minister. Section 468 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
469: Reviewer’s power to request information
1: The reviewer may, by notice in writing, require a water services entity or other relevant person (other than an officer of Parliament) to provide the reviewer with information the reviewer thinks necessary to do the review.
2: The water services entity or other relevant person must provide the requested information by the reasonable date that the reviewer has specified for that purpose in the notice.
3: Sections 176 to 178 Section 469 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
470: Report
1: The reviewer must prepare a report on a review required by this subpart.
2: The report must include at least the following:
a: any terms of reference, consistent with section 468 or 469
b: the process that was followed:
c: the issues that were examined:
d: the key findings:
e: any recommendations arising out of the review, including—
i: whether any amendments to any of the legislation reviewed are necessary or desirable:
ii: any other matters that the reviewer recommends be considered by the Minister.
3: The reviewer must ensure that the people and organisations that the reviewer thinks appropriate are consulted, during the preparation of the report, about the matters to be considered in the report.
4: The reviewer must, after completing the report, promptly present the report to the Minister.
5: The Minister must, after receiving the report, promptly present a copy to the House of Representatives. Section 470 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
471: Repeal of this subpart
This subpart is repealed on 1 July 2041. 2041-07-01 Water Services Entities Act 2022 Subpart 1 of Part 13 repealed Section 471 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
2: Engagement, publication, and review requirements
Subpart 2 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
472: Engagement requirements
1: This section applies to engagement that a water services entity or the Minister must undertake in accordance with any of the following provisions:
a: section 6A(8)
b: section 120(2)
c: section 134(b)
d: section 137B(1) section 137A
e: section 144(1)(b)
f: section 153
g: section 156
h: section 159
i: section 236
j: section 241
k: section 246
l: section 255
m: section 270
n: section 275
o: section 279
p: section 284
q: section 299
r: section 366
s: section 483
t: section 484(1)(a) and (2)
u: clause 14
v: clauses 1 7 14 19
2: Engagement
a: consult on a proposal:
b: seek input, on an iterative basis, during the formulation of a proposal, or feedback on a proposal.
3: Input or feedback may be sought via hui or meetings, social media, or any other forum that the water services entity or the Minister thinks appropriate.
4: In undertaking an approach to engagement on a matter, a water services entity or the Minister—
a: must consider the purpose of the engagement; and
b: must consider the needs of the particular person or persons with whom the water services entity is engaging; and
c: must allow adequate time for engagement to occur and for a response or responses from the particular person or persons with whom the water services entity or the Minister is engaging; and
d: may consider the relevance and sufficiency of any earlier engagement.
5: In addition, the water services entity and the Minister must ensure that engagement has been carried out before secondary legislation referred to in subsection (1)(i) to (s) is made.
6: For the purposes of subsection (5), the engagement must include—
a: giving adequate and appropriate notice of the content of the proposed instrument; and
b: providing a reasonable opportunity for interested persons to make submissions on the proposed instrument; and
c: appropriate consideration of any submissions received.
7: Despite subsection (6), the water services entity and the Minister need not conduct engagement if satisfied that—
a: the instrument needs to be made urgently; or
b: an amendment to the instrument is minor and will not adversely and substantially affect the interests of any person. 2020 No 42 s 22 Section 472 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
473: Principles of engagement with consumers and communities
1: This section applies when a water services entity is performing its functions under any of the following:
a: section 120
b: section 134
c: sections 151 to 159
d: section 235
e: section 241
f: section 255
g: section 246
h: section 270
i: section 275
j: sections 279 280
k: section 284
l: section 299
m: section 366
n: section 475
o: section 482
2: The water services entity must by guided and informed by the following principles:
a: the water services entity’s communication to consumers and communities should be clear and appropriate and recognise the different communication needs of consumers and communities:
b: the water services entity should be openly available for consumer and community feedback and seek a diversity of consumer voices:
c: the water services entity should clearly identify and explain the role of consumers and communities in the engagement process:
d: the water services entity should consider the changing needs of consumers and communities over time and ensure that engagement will be effective in the future:
e: the water services entity should prioritise the importance of consumer and community issues to ensure that the water services entity is engaging with issues that are important to its consumers and communities. Section 473 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Consumer engagement Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
474: Consumer forum
1: The chief executive of a water services entity must establish a consumer forum.
2: The purposes of a consumer forum are to—
a: assist with effective and meaningful consumer and community engagement; and
b: gather and compile consumer views; and
c: assist the water services entity to understand consumer needs, expectations, and service requirements; and
d: assist the water services entity’s regional representative group and, through that group, the entity, to understand views and priorities—
i: about 1 or more water bodies in the entity’s service area; and
ii: stated in 1 or more community priority statements for water services ( see subpart 4A
e: reflect and represent the interests and diversity of consumers throughout the water services entity’s region.
3: A consumer forum may be established under this section—
a: for the whole or part of a service area; and
b: in relation to all, or a particular class of, consumers.
4: The chief executive of a water services entity must ensure that each of its consumer forums achieves equitable and reasonable representation of metropolitan, provincial, and rural communities, and mana whenua in its service area.
5: The chief executive of the water services entity must provide a guidance document to each consumer forum established under this section that provides for the composition and procedures of the forum, including—
a: the intervals between meetings; and
b: the number of members that may be on the forum; and
c: the method of selecting forum members; and
d: any purposes additional to those set out in subsection (2); and
e: the roles and responsibilities of forum members; and
f: the term of membership of the forum; and
g: any other matters not inconsistent with the purposes of a consumer forum under this section.
6: The chief executive must ensure that each consumer forum established has a guidance document. Section 474 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
475: Consumer engagement stocktake
1: The chief executive of a water services entity must prepare a consumer engagement stocktake annually, and not later than 3 months before the end of a financial year, in respect of consumers and communities in the service area of the water services entity.
2: The purpose of a consumer engagement stocktake is to—
a: capture consumer and community feedback on, and satisfaction with, how the water services entity is performing; and
b: set out how the water services entity is to respond to consumer and community needs and address consumer and community concerns; and
c: set out how the water services entity will respond to views and priorities—
i: about 1 or more water bodies in the water services entity’s service area; and
ii: stated in 1 or more community priority statements for water services ( see subpart 4A
3: A consumer engagement stocktake must cover,—
a: for the first consumer engagement stocktake, the period from the water services entity’s establishment date; and
b: for later consumer engagement stocktakes, the period since the last consumer engagement stocktake.
4: A consumer engagement stocktake must contain a report from the Auditor-General on—
a: whether the stocktake gives effect to its purpose stated in subsection (2); and
b: whether the water services entity, in preparing the stocktake, has given effect to the principles of engagement in section 473
5: The chief executive must, by the end of a financial year, make the consumer engagement stocktake publicly available as soon as practicable after it is issued by publishing a copy on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible. Section 475 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Report on engagement Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
476: Report on engagement
1: This section applies when a water services entity or the Minister is undertaking engagement in accordance with a provision referred to in section 472(1)
2: The water services entity or the Minister must, as soon as practicable after finalising any relevant statement, response, plan, strategy, or secondary legislation ( specified document
a: prepare a report on how input into, and feedback on, the specified document was considered and incorporated into the specified document; and
b: publish the report on an Internet site maintained by, or on behalf of, the water services entity in a format that is readily accessible. Section 476 inserted 31 August 2023 section 34 Water Services Legislation Act 2023 Review requirements Heading inserted 31 August 2023 section 34 Water Services Legislation Act 2023
477: Review requirements
1: The board of a water services entity must review a specified document within 5 years from the date on which the specified document is finalised and at least once every 5 years after a previous review.
2: The board may amend or replace a specified document at any time. Section 477 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
3: Financial arrangements
Subpart 3 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
478: Charges as security
1: This section applies if—
a: a water services entity has granted a security interest over a charge or charging revenue as security for any loan or the performance of any obligations under an incidental arrangement; and
b: a receiver has been appointed under section 40A 40B
c: the monitor has been informed of the appointment.
2: The receiver may, without further authority than this section, assess and collect in each financial year a charge under this section to recover sufficient funds to meet—
a: the payment of the water services entity’s commitments in respect of the loan or incidental arrangement during that year; and
b: the reasonable costs of administering, assessing, and collecting the charge.
3: However, a receiver may not create, or receive, any interest or security in water services infrastructure.
4: A charge under this section must be assessed as a uniform charge in the dollar on the water services charges of a property—
a: in the service area; or
b: if the water services entity resolved that, at the time when the loan was being raised or the incidental arrangement was being entered into, it was for the benefit of only a specified area, that area.
5: A charge under this section over any 1 or more of the assets of a water services entity is subject to section 40D(5) and (6) 2002 No 84 ss 114 115 Section 478 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
479: Crown may lend money to water services entity
1: The Minister, on behalf of the Crown, may lend money to a water services entity if—
a: the Minister considers that—
i: it is necessary or expedient in the public interest to do so; and
ii: it is necessary to meet an exceptional and temporary liquidity shortfall affecting the water services entity; and
b: the money is lent on commercial terms.
2: The Minister may lend money under subsection (1) without further appropriation than this section.
3: In this section, Minister section 2(1) 2011 No 77 s 15 Section 479 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
4: Information provisions
Subpart 4 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
480: Requirement to provide information to territorial authority for purposes of land information memorandum
1: This section applies for the purposes of enabling a territorial authority to issue a land information memorandum under section 44A
2: A water services entity must, as soon as is reasonably practicable, provide a territorial authority with all information the water services entity holds relating to the matters set out in section 44A(2)(b) and (2)(bb)(i)
3: A water services entity must notify the territorial authority of any change in the information provided under this section as soon as practicable after it changes. Section 480 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
481: Requirement to provide information to territorial authority for purposes of project information memorandum
1: This section applies for the purposes of enabling a territorial authority to issue a project information memorandum under section 34
2: A water services entity must provide a territorial authority with all information the water services entity holds relating to the matters set out in section 35(1)(c)
3: A water services entity must notify the territorial authority of any change in the information provided under this section as soon as practicable after it changes. Section 481 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
482: Reporting and record-keeping rules
1: The board of a water services entity may make reporting and record-keeping rules.
2: The rules may specify reporting and recording keeping obligations that must be met to verify a person’s compliance with—
a: a direction issued under this Act by a compliance officer:
b: an order issued under this Act by the chief executive of a water services entity or a court:
c: a trade waste permit:
d: a controlled drinking water catchment management plan:
e: an authorisation that the water services entity has given under this Act:
f: this Act and regulations or rules made under this Act.
3: Rules made under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must— LA19 ss 73 74(1)(a) cl 14 •	notify it in the Gazette •	publish it on an Internet site maintained by, or on behalf of, the water services entity Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 482 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
483: Engagement on reporting and record-keeping rules
1: The board of the water services entity must, when developing (or considering changes to) reporting and record-keeping rules, engage with interested persons.
2: In conducting the engagement, the board of a water services entity must—
a: comply with section 472
b: be guided and informed by the principles set out in section 473
3: The board of a water services entity must—
a: prepare and publish a report on how feedback was incorporated into the rules in accordance with section 476
b: review the rules in accordance with section 477 Section 483 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
5: Regulations
Subpart 5 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
484: Regulations: general
1: The Governor-General may, by Order in Council made on the recommendation of the Minister, make regulations for all or any of the following purposes: Model constitution
a: providing for a model constitution for the purposes of section 96 Disclosure requirements
b: providing for financial and non-financial disclosure requirements relating to the statement of intent, asset management plan, funding and pricing plan, and infrastructure strategy that are consistent with generally accepted accounting practice: Waivers and refunds
c: providing a framework for the waiver or refund by the chief executive of a water services entity of any water service debt due under this Act, including (without limitation)—
i: prescribing or determining any class or classes of persons eligible for a waiver or refund:
ii: setting the criteria for granting a waiver or refund: Infringement offences
d: identifying the offences against this Act or obligations specified in or under secondary legislation made under this Act that are infringement offences for the purposes of this Act:
e: prescribing infringement notices, infringement reminder notices, and infringement forms of any other kind:
f: prescribing the amounts, up to a maximum of $1,000 for an individual and $3,000 for a body corporate or an unincorporated body, of infringement fees that are payable for infringement offences, including different fees for a first offence, a second offence, and subsequent offences: Updating Schedule 2
g: changing the name of a water services entity by amending or replacing the references to that water services entity in Schedule 2 General
h: providing for anything this Act says may or must be provided for by regulations:
i: providing for anything incidental that is necessary for carrying out, or giving full effect to, this Act.
2: The Minister must, before recommending the making of regulations under subsection (1)(a) in relation to a water services entity, engage in relation to the regulations with the territorial authority owners of the water services entity and mana whenua of the service area.
3: In conducting the engagement, the Minister must—
a: comply with section 472
b: prepare and publish a report on the engagement in accordance with section 476
4: Regulations made under subsection (1)(a) in relation to the Northland and Auckland Water Services Entity must, despite sections 27(2) and (4) 93(a)(i)
a: 4 Auckland Council representatives:
b: 4 mana whenua representatives appointed in respect of Tāmaki Makaurau (and that area, in this paragraph, means the district of the territorial authority in paragraph (a)):
c: 1 representative each from Far North District Council, Kaipara District Council, and Whangarei District Council:
d: 3 mana whenua representatives appointed in respect of Te Tai Tokerau (and that area, in this paragraph, means the districts of the territorial authorities in paragraph (c)).
5: However, subsection (4) does not limit sections 27(2) and (4) 93(a)(i) section 97
6: Regulations made under subsection (1)(b) may include requirements relating to—
a: the type of information that must be provided; and
b: the frequency of the reporting.
7: The Minister must, as soon as practicable after the end of each period of 5 years after the commencement of this section,—
a: commence a review of regulations made under subsection (1)(c) (relating to waivers and refunds); and
b: consider whether amendments to the regulations are necessary or desirable.
8: Regulations made under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 484 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
485: Regulations: volumetric charging
1: The Governor-General may, by Order in Council made on the recommendation of the Minister, make regulations for 1 or both of the following purposes:
a: prohibiting or limiting the use of a variable volumetric charge for residential consumers:
b: setting, on or after 1 July 2029, the maximum proportion of total revenues for the provision of water supply or wastewater services to residential consumers that may be recovered by a water services entity through volumetric charging.
2: The Minister must, before recommending the making of regulations under this section, be satisfied that appropriate consultation has taken place with—
a: the boards of the relevant water services entities:
b: relevant regional representative groups:
c: the Commission.
3: Regulations made under this section may apply to 1 or more water services entities.
4: Regulations made under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 485 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
6: Other matters
Subpart 6 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
486: Delegation by chief executive of water services entity
1: The chief executive of a water services entity may delegate any of their functions or powers under this Act to any employee of the water services entity.
2: A person to whom any functions or powers are delegated may perform those functions or exercise those powers in the same manner and with the same effect as if they had been conferred on that person directly by this Act and not by delegation (subject to any general or special directions given or conditions imposed by the chief executive of the water services entity).
3: A delegation under this section—
a: must be in writing signed by the chief executive of the water services entity; and
b: is revocable at will in writing signed by the chief executive of the water services entity.
4: A person purporting to act under a delegation is, in the absence of proof to the contrary, presumed to be acting in accordance with the terms of the delegation.
5: A delegation does not prevent the chief executive of the water services entity from performing any function or exercising any power or affect the chief executive’s responsibility for the actions of any person acting under the delegation.
6: If the chief executive of the water services entity ceases to hold office, the delegation continues to have effect as if it were made by their successor in office.
7: The chief executive of the water services entity must not delegate the power of delegation under this section. 2021 No 36 s 203 Section 486 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
487: Application of Schedule 6
Schedule 6 Section 487 inserted 31 August 2023 section 34 Water Services Legislation Act 2023
488: Relationship with local Acts
If there is any inconsistency between the provisions of this Act and the provisions of any local Act, this Act prevails. Section 488 inserted 31 August 2023 section 34 Water Services Legislation Act 2023