Timeline
Over the past few years, the Government has been considering how three water services (drinking water, wastewater and stormwater) should best be regulated and delivered in New Zealand. This resulted in some councils partnering to deliver water services in a new entity.
Latest news
January 2026
6 January
Southern Waters announced two key foundational roles to lead the establishment of the new water services entity. Professional director Bruce Gemmell, of Christchurch, has been appointed Establishment Chair and Fiona Smith, who has over 30 years of specialist water-sector experience in Australia, accepted the role of Programme Director.
The mayors of Southern Waters’ shareholding councils – Central Otago District Mayor Tamah Alley, Clutha District Jock Martin and Gore District Mayor Ben Bell – said, in a joint statement, that the calibre of applicants for both roles had been outstanding.
“The strong interest from across New Zealand and Australia is testament to the scale of setting up a water services company and the confidence experienced professionals have in Southern Waters as a new organisation.”
Southern Waters will be the largest joint Council water services entity in the South Island, delivering water, wastewater and stormwater services across the Central Otago, Clutha and Gore districts.
November - December 2025
11 December
Southern Waters Commitment Agreement for cost sharing
At the council meeting on 11 December 2025, Council's Chief Executive Steve Hill was authorised to sign the Deed of Amendment and Cost Sharing for the Southern Waters Commitment Agreement on behalf of Council, in partnership with the Central Otago District Council (CODC) and the Gore District Council to deliver water services in the future, in a joint Council Controlled Organisation (CCO).
Under the changes to the commitment agreement, Council agreed that CODC, pending its meeting that was held on 17 December and Gore’s on 16 December, would fund the project expenses, estimated at $8.8 million, for the establishment of a joint water service entity. The Central Otago council would recover the costs from the CCO when it was established. CODC was chosen to bear the interim cost, having more access to competitive borrowing levels to cover the set-up.
The arrangement also helped simplify the transaction to form the Southern Waters entity.
Delegation given to appoint Southern Waters Establishment Chair
At the December meeting, Clutha District Mayor Jock Martin was delegated the power to appoint the Southern Waters Establishment Chair as Council’s representative.
Mayor Martin is part of the Southern Waters Councils Executive Group comprising the mayors of Clutha, Gore and Central Otago district councils who will make the appointment.
The Southern Waters Project Steering Group, consisting of the three councils’ chief executives, has been recruiting a chairperson, and at a meeting on 4 December 2025, selected a preferred candidate. The Establishment Chair will lead the formation of the new Southern Waters entity. In the interim, the Chair will be an employee of the Central Otago District Council until the Southern Waters entity is established.
We will provide an update of the next steps during 2026.
October 2025
7 October
Southern Waters shareholding councils – Central Otago, Clutha and Gore received unanimous approval for their joint Water Services Delivery Plan (WSDP) from the Secretary for Local Government.
From 1 July 2027, Southern Waters will deliver drinking water, wastewater and stormwater services across the three districts under the Government’s Local Water Done Well framework. It will be the largest joint Council water services entity in the South Island.
The WSDP highlights the transition from council-run water services, delivered alongside other functions, to a jointly owned entity with a singular focus – the delivery of safe, reliable and sustainable water services.
Clutha District Council Chief Executive Steve Hill said the WSDP laid out a practical roadmap.
Water Services Delivery Plans are a legislative requirement for councils to demonstrate how they will meet regulatory requirements, support growth and urban development, and ensure financial sustainability in the delivery of water services.
The joint Water Services Delivery Plan is available on each Council’s website. Here are the links:
Central Otago District Council WSDP
For October updates see also: Southern Waters - Safe, sustainable water for our Southern Districts
September 2025
Southern Waters delivered its Water Services Delivery Plan to as per the Government's timeline.
August 2025
27 August 2025
The Central Otago, Clutha and Gore District Councils this week signed off on a significant milestone in their journey to jointly delivering sustainable, locally owned water services to their communities.
The councils’ mayors and chief executives met yesterday (26 August) to sign the joint Water Services Delivery Plan (WSDP), a document that marks the culmination of months of planning, analysis, community conversations and decision-making.
The plan outlines the future delivery of water, wastewater, and stormwater services across the three districts. It demonstrates Southern Water Done Well’s commitment to meeting regulatory requirements, supporting growth and achieving sustainable water services through a jointly owned water services entity.
It also includes an assessment of each council's water infrastructure and future investment needs.
13 August 2025
Three southern councils have reaffirmed their commitment this week to forming a jointly owned Council Controlled Organisation to deliver water services to their communities.
Southern Water Done Well (SWDW) partners Central Otago, Gore and Clutha district councils have officially signed off on establishing a joint Council-owned water services delivery entity and a joint Water Services Delivery Plan (WSDP).
The decision comes after modelling showed that a southern jointly owned Council Controlled Organisation (CCO) remains the most affordable option for the future delivery of water services, even following the departure of SWDW foundation partner Waitaki District Council.
Analysis by local government specialist Morrison Low Advisory identifies that, from the establishment of the new CCO through to 2054, ratepayers will collectively save $392 million.
The new organisation will be the largest joint water services entity in the South Island, bringing all water, wastewater and stormwater services provided by the three councils under one roof.
July 2025
10 July 2025
The prospect of three South Island councils joining forces to deliver water services that are financially sustainable and meet ever-increasing regulatory standards took a significant step forward today.
Southern Water Done Well partners, Central Otago District Council and Clutha District Council, have both agreed, in principle, to present a jointly owned Council Controlled Organisation in their Water Services Delivery Plan.
The decision comes two days after Waitaki District Council voted to exit Southern Water Done Well (SWDW) and opt for an in-house business unit. Gore District Council, the remaining SWDW partner, meets on Monday (14 July) to decide its water services delivery model.
Central Otago and Clutha’s support for the joint CCO is subject to further analysis of the advantages and disadvantages of a three-council model, given Waitaki’s departure from SWDW.
High level updated modelling from local government specialists Morrison Low Advisory indicates that the three councils can still achieve savings if they were to enter a joint CCO, albeit at a lower level than had Waitaki remained.
“This suggests that ratepayers of the remaining councils are still likely to be financially better off from the formation of a joint CCO than they would be if services remain in-house,” it says.
Central Otago District Mayor Tamah Alley and Clutha District Mayor Bryan Cadogan acknowledged that further work was needed before a final decision could be made.
8 July 2025
Joint Statement from Central Otago District Mayor Tamah Alley, Gore District Mayor Ben Bell and Clutha District Mayor Bryan Cadogan
“While acknowledging that councils must make decisions they feel are in the best interests of their communities, we believe a jointly owned Council Controlled Organisation remains the best option for water services delivery in the future.
“The Government has been quite clear about its expectations for councils to work together to deliver Local Water Done Well legislation.
“Southern Water Done Well meets those expectations and sets a strategic, long-term direction for delivering financially sustainable, efficient water services while retaining local control.
“When considering next steps, councils will need to be mindful of whether alternative options comply with Government regulations and expectations.”
Clutha and Central Otago district councils meet this Thursday to decide their water services delivery model, while Gore District Council’s meeting is on Monday (14 July).
Revised reports based on today’s decision by Waitaki District Council to withdraw from Southern Water Done Well will be presented at those meetings.
June 2025
24 June 2025
Clutha District Council is gearing up to consider public submissions and decide on a future water services delivery model at a Council Meeting on Thursday 10 July 2025.
Council had received 393 submissions as part of the month-long Southern Water Done Well (SWDW) consultation, seeking feedback from residents and ratepayers that finished on 6 June.
Council was now in the process of analysing the submissions in detail which will be publicly available for the decisions council meeting in July.
Mayor Bryan Cadogan said councillors had expressed their frustration at the distortion of the process.
“With a distinct manipulation of the natural flow of public sentiment with a bundle of over 40 being submitted by one person and numerous multiple submissions.
“The process is not a referendum, and each submission will be considered on its merits,” Mayor Cadogan said.
This consultation process is guided by legislation, in particular the Local Government (Water Services Preliminary Arrangements) 2024.
CE Steve Hill said a submission represented an individual’s or organisation’s view to be considered along with the legislation, regulations, expert advice, and evidence.
3 June 2025
Leading economist Brad Olsen has voiced strong support for Southern Water Done Well’s preferred water services delivery model, saying it offers the best pathway to safe, reliable water services and long-term financial benefits for the southern region.
At a recent meeting of Southern Water Done Well (SWDW) political leaders and senior staff, Olsen underscored the reality that change was unavoidable.
SWDW’s four partner councils – Waitaki, Gore, Central Otago, and Clutha district councils – are presently consulting on three options for the future delivery of water services to meet the Government’s Local Water Done Well legislation.
Their preferred delivery model is a jointly owned council controlled organisation (CCO).
The Infometrics chief executive and principal economist agreed, saying it provided a strategic, carefully considered approach to meeting future water services challenges.
May 2025
Consultation was publicly opened today on one of the most important issues their communities will face for many years - the future management and delivery of water services.
Clutha, Gore, Waitaki, and Central Otago district councils - who form Southern Water Done Well - will seek feedback on three options for water services delivery under the Government’s Local Water Done Well legislation.
In their consultation documents, adopted this week, the councils are united in their preferred option for the future, a jointly owned Council Controlled Organisation (CCO).
Councils are required to submit a Water Services Delivery Plan to the Government by early September. The plan must show a proposed water services delivery model that builds resilient, sustainable networks and complies with legislation.
The consultation outcome will help inform Southern Water Done Well’s water services delivery plan.
The three options councils are seeking feedback on are:
- Option 1 – a jointly owned Council Controlled Organisation, which is the preferred option
- Option 2 – a stand-alone Council Controlled Organisation
- Option 3 – an in-house business unit
April 2025
Clutha District Council will consult with the district next month with its preferred water services delivery model being a joint council-controlled organisation (CCO).
The other two options to be consulted on include a Council in-house business unit and a standalone Clutha District Council CCO.
The decision to proceed with the joint CCO as the preferred option was decided at Council’s meeting on Thursday 3 April.
Under the preferred option, Council is proposing to join with Gore District Council, Central Otago District Council, and Waitaki District Council.
The three Councils will hold their own meetings in the coming days to consider their preferred option as well.
February 2025
Four southern district councils are considering working together to investigate options for ensuring the efficient and sustainable delivery of water services to their communities.
Gore District Council, Clutha District Council, Central Otago District Council, and Waitaki District Council will discuss signing an agreement to formalise their relationship at meetings over the next few weeks.
The agreement represents a commitment by the councils to work together to examine options for the delivery of water services in the future that meet their communities' expectations and the Government’s new regulatory requirements as set out in Local Water Done Well (LWDW).
December 2024
Council approved at its Council Meeting on December 5 to include in its draft Water Services Delivery Plan the following options:
- Status quo (water services delivered in house.
- Single Council - Council Controlled Organisation
- Multi Council - Council Controlled Organisation
The draft plan will be developed and consulted on with the public before the final plan is submitted to Central Government by the September 2025 deadline.
Council is also working with other Councils to further develop the detail required to support a multi council CCO Water Services Delivery Plan.
November 2024
The Otago and Southland Local Waters Done Well working group commissioned Morrison Low to explore regional delivery models for three waters services in Otago and Southland.
The report includes the current state assessment, key challenges at a regional level, onn-financial assessment of service delivery options, financial assessment of service delivery options, investment requirements, borrowing requirements, the impact on customer three waters charges and alternative scenarios (ICC/QLDC out and Urban councils out)
Read the Otago-Southland Local Water Done Well review report.
5 April 2024
An announcement was made outlining Cabinet's agreed key steps to implement 'Local Water Done Well', the Coalition Government's plan for financially sustainable, locally delivered water infrastructure and services.
14 December 2023
The government announced a new direction for New Zealand's three waters services.
April 2023
The Government has now announced major changes to water reforms having listened to feedback from local government.
There will be 10 entities now, not 4, and for Clutha it means we will be in an Otago/Southland entity minus Waitaki.
Secondly the timeframes have changed from July 2024 until July 2026. This has implications for long term planning.
Council will be working through all of the implications of the announcement but we should remember that it is still the intention by the Government to lock in 3 waters delivery by entities rather than by Councils.
- 10 new regionally owned and led public water entities to be established.
- New approach avoids a rates blow out and delivers savings to households between $2,770-$5,400 per year by 2054.
- Entities will be owned by local councils on behalf of the public, and entity borders to be based on existing regional areas.
- Each entity to be run by a professional board, with members appointed on competency and skill.
- Strategic oversight and direction to be provided by local representative groups with every local council in the country, as well as mana whenua, getting a seat at the table.
More information:
