Komiti Ngā Wai Hangarua| Wellington Water Committee

 

26 July 2022

 

Order Paper for the meeting to be held via Zoom

on:

 

Friday 29 July 2022 commencing at 10.00am

The meeting will be livestreamed on Council’s Facebook page.

Members of the public wishing to speak to items on the agenda are asked to contact: democraticservicesteam@huttcity.govt.nz

 

Membership

Mayor C Barry (Chair)

Hutt City Council

Mayor W Guppy (Deputy Chair)

Upper Hutt City Council

Mayor A Baker

Porirua City Council

Mayor A Beijen

South Wairarapa District Council

Mayor A Foster

Wellington City Council

Ms M Pomare

Te Rūnanga O Toa Rangatira

Ms L Rauhina-August

Taranaki Whānui ki Te Upoko o Te Ika

Cr J van Lier

Greater Wellington Regional Council

Deputy Mayor G Emms

South Wairarapa District Council (Alternate)

Cr C Kirk-Burnnand

Greater Wellington Regional Council (Alternate)

Cr R Leggett

Porirua City Council (Alternate)

Deputy Mayor T Lewis

Hutt City Council (Alternate)

Cr I Pannett

Wellington City Council (Alternate)

Ms N Solomon

Te Rūnanga O Toa Rangatira (Alternate)

Deputy Mayor H Swales

Upper Hutt City Council (Alternate)

Ms K Tamanui

Taranaki Whānui ki Te Upoko o Te Ika (Alternate)

 

 

 

 

For the dates and times of Council Meetings please visit www.huttcity.govt.nz

 


Wellington Water Committee

Terms of Reference

 

Purpose

The Wellington Water Committee ("the Committee") is established to:

§   Provide governance and leadership across issues which are related to the planning, delivery and management of water services to communities serviced by Wellington Water Limited;

§   Provide governance oversight of Wellington Water Limited, including by exhibiting good governance practice;

§   Provide a forum for the representatives of Wellington Water Limited's shareholders and mana whenua to meet, discuss and co-ordinate on relevant issues and, through their representatives, to exercise their powers; and

§   Strive for consistency across all client councils so all customers receive a similar level of service.

 

Status

The Committee is, for the purposes of the Local Government Act 2002, a joint committee of the Lower Hutt City Council, Porirua City Council, Upper Hutt City Council, Wellington City Council, South Wairarapa District Council and the Wellington Regional Council.

 

Specific responsibilities

The Committee's responsibilities are:

Governance oversight responsibilities

Shareholder and mana whenua governance oversight of Wellington Water Limited and of the network infrastructure for the delivery of bulk water, water reticulation, wastewater and stormwater services in the geographical areas of Wellington Water Limited's operations, including by:

§   Receiving and considering the half-yearly and annual reports of Wellington Water Limited;

§   Receiving and considering such other information from Wellington Water Limited as the Committee may request on behalf of the parties to the Shareholders and Partnership Agreement and/or receive from time to time;

§   Undertaking performance and other monitoring of Wellington Water Limited;

§   Considering and providing recommendations to the parties to the Shareholders and Partnership Agreement on proposals from Wellington Water Limited;

§   Providing co-ordinated feedback, and recommendations as needed, on any matters requested by Wellington Water Limited or any of the parties to the Shareholders and Partnership Agreement;

§   Providing recommendations to the parties to the Shareholders and Partnership Agreement regarding regional studies which the Shareholders need to be cognisant of;

§   Providing recommendations to the parties to the Shareholders and Partnership Agreement regarding water conservation;

§   Agreeing the annual Letter of Expectation to Wellington Water Limited;

§   Receiving, considering and providing agreed feedback and recommendations to Wellington Water Limited on its draft statement of intent;

§   Receiving, considering and providing recommendations to the parties to the Shareholders and Partnership Agreement regarding Wellington Water Limited's final statement of intent.

§   Agreeing when Shareholder meetings, or resolutions in lieu of Shareholder meetings, are required, without prejudice to Shareholder and Board rights to call meetings under Wellington Water Limited's constitution and;

§   Seeking and interviewing candidates for Wellington Water Limited's Board as needed and recommending to the holders of Class A Shares appointments and/or removals of directors of Wellington Water Limited;

§   Recommending the remuneration of directors of Wellington Water Limited;

§    Monitoring the performance of the Board of Wellington Water Limited; and

§   Providing recommendations to the parties to the Shareholders and Partnership Agreement regarding changes to these terms of reference, the Shareholders and Partnership Agreement and the constitution of Wellington Water Limited.

 

Membership

The membership of the Committee will be as specified in the Shareholders and Partnership Agreement.   With the exception of the Committee Members nominated by the Mana Whenua Partners Entities, each appointee must be an elected member of the appointing Shareholder.

 

Chairperson

The Chairperson and Deputy Chairperson will be elected by the Committee once all Committee members have been appointed.

 

Quorum

Subject to the below for Committee meetings to appoint directors of Wellington Water Limited, for a meeting of the Committee to have a quorum, a majority of Committee Members, or their appointed Alternates, must be present, and the number making up the majority must include at least an equal number of Shareholder appointed Committee Members as MWPE nominated Committee Members.

Where the Committee is providing a forum for the Shareholders to meet and exercise their powers in relation to Wellington Water Limited, the requirements of Wellington Water Limited's constitution will prevail.

Clause 11.3 of the company’s constitution provides that Directors shall be appointed and removed by the unanimous resolution of the Shareholders holding Class A Shares. For this matter the quorum for the Committee meeting is therefore attendance by all Committee Members (or their Alternates) for the holders of the Class A Shares.

Alternates

Each Committee Member appointed to the Committee must have an Alternate.

Other Shareholder attendee

Each Shareholder-appointed elected member Committee member will be entitled to invite an officer attendee to Committee meetings, provided however that the additional attendee will not have any voting rights on the Committee.

Decision-making

The Committee will strive to make all decisions by consensus.

In the event that a consensus on a particular matter before the Committee is not able to be reached, each Committee Member has a deliberative vote. In the situation where there is an equality of votes cast on a matter, the Chairperson does not have a casting vote and therefore the matter subject to the vote is defeated and the status quo is preserved.

Other than for those matters for which the Committee has effective decision-making capacity through these Terms of Reference, each Shareholder retains its powers to make its own decisions on matters referred to it by the Committee and on matters specified in Part 1 of Schedule 2 to the Shareholders and Partnership Agreement (for clarity, this means that only Shareholders have voting rights in relation to the matters specified in Part 1 of Schedule 2).

Secretariat services

Unless otherwise agreed from time to time by all of the elected member Committee Members, the Council for which the Chairperson is an elected member will provide secretariat services to the Committee.   The Chairperson will be responsible for managing the agenda at Committee meetings.

 

Standing Orders

The Standing Orders of the Council providing secretariat services to the Committee will apply to Committee meetings, subject to the provisions for meeting quorum and decision making as set out in these terms of reference taking precedence.

 

Remuneration

Each Shareholder will be responsible for remunerating the elected member Committee Member appointed by it to the Committee, and their Alternate, for any costs associated with those persons' membership on the Committee.

 

The Shareholders will also be responsible for remunerating (in equal shares) the Committee Members nominated by Mana Whenua Partner Entities, and their Alternates, and appointed to the Committee by the Shareholders, for any costs associated with those persons' membership on the Committee.

 

Administration

Reports to be considered by the Committee may be submitted by any of the Shareholders, any of the Mana Whenua Partner Entities, or Wellington Water Limited.

 

Duration of the Committee

In accordance with clause 30(7) of Schedule 7 to the Local Government Act 2002, the Committee is not deemed to be discharged following each triennial election.

 

 

 

Appendix

Common delegations by Shareholders

 

Governance oversight responsibilities

 

·      Each Shareholder will delegate to the Committee the responsibilities and powers necessary to participate in and carry out the Committee's governance oversight responsibilities.

 

Shareholders' responsibilities

 

·      Each Shareholder will delegate to its appointed elected member Committee Member and, in accordance with these terms of reference, that person's Alternate, all responsibilities and powers in relation to the agreement of:

 

O   when Shareholder meetings, or resolutions in lieu of Shareholder meetings, are required (without prejudice to Shareholder and Board rights to call meetings under Wellington Water Limited's constitution); and

 

o the appointment, removal and remuneration of Wellington Water Limited's directors.

 

 

    


 

Komiti Ngā Wai Hangarua |Wellington Water Committee

 

Meeting to be held via Zoom on

 Friday 29 July 2022 commencing at 10.00am.

 

ORDER PAPER

 

Public Business

 

1.       Opening formalities - Karakia Timatanga (22/1717)

Whakataka te hau ki te uru

Whakataka te hau ki te tonga

Kia mākinakina ki uta

Kia mātaratara ki tai

E hī ake ana te atakura

He tio, he huka, he hau hū

Tīhei mauri ora.

Cease the winds from the west
Cease the winds from the south
Let the breeze blow over the land
Let the breeze blow over the ocean
Let the red-tipped dawn come with a sharpened air. 
A touch of frost, a promise of a glorious day.

 

2.       APOLOGIES

3.       PUBLIC COMMENT

Generally up to 30 minutes is set aside for public comment (three minutes per speaker on items appearing on the agenda). Speakers may be asked questions on the matters they raise.

4.       CONFLICT OF INTEREST DECLARATIONS

          Members are reminded of the need to be vigilant to stand aside from decision making when a conflict arises between their role as a member and any private or other external interest they might have.

5.       Chair's Statement (22/1837)

Verbal update by the Chair.

6.       Minutes

Meeting minutes Komiti Ngā Wai Hangarua|Wellington Water Committee,

27 May 2022                                                                                                            10

   

7.       Transition Planning for Three Waters Reform (22/1756)

A verbal update will be provided at the meeting.

 

8.       Company and Governance Update (22/1750)

Report No. WWC2022/3/117 by Wellington Water Limited                                22

CHAIR’s Recommendation:

“That the recommendations contained in the report be endorsed.”

 

9.       Martin Jenkins Inquiry into Fluoridation (22/1767)

Report No. WWC2022/3/118 by Wellington Water Limited                                51

CHAIR’s Recommendation:

“That the recommendations contained in the report be endorsed.”

 

10.     Wellington Water Limited - Final Statement of Intent 2022-25 (22/1752)

Report No. WWC2022/3/119 by Wellington Water Limited                                84

CHAIR’s Recommendation:

“That the recommendations contained in the report be endorsed.”

 

11.     Fluoridation and Regional Wastewater Plant Review Update (22/1753)

Report No. WWC2022/3/120 by Wellington Water Limited                              140

CHAIR’s Recommendation:

“That the recommendations contained in the report be endorsed.”

 

12.     Stimulus Funding Programme Close-out Report (22/1754)

Report No. WWC2022/3/121 by Wellington Water Limited                              145

CHAIR’s Recommendation:

“That the recommendations contained in the report be endorsed.”

 

13.     Value for Money Six Monthly Report (22/1768)

Report No. WWC2022/3/122 by Wellington Water Limited                              168

CHAIR’s Recommendation:

“That the recommendations contained in the report be endorsed.”

 

14.     Proposed Change to the Meeting Schedule for 2022 (22/1757)

Memorandum dated 11 July 2022 by the Democracy Advisor                            198

CHAIR’s Recommendation:

“That the recommendations contained in the memorandum be endorsed.”

 

15.     Information Item - Wellington Water Committee Forward Programme 2022 (22/1290)

Memorandum dated 11 July 2022 by the Democracy Advisor                            200 

CHAIR’s Recommendation:

‘That the recommendation contained in the report be endorsed.”

 

16.     EXCLUSION OF THE PUBLIC

CHAIR'S RECOMMENDATION:

 

“That the public be excluded from the following parts of the proceedings of this meeting, namely:

17.     Minutes

          27 May 2022

 

The general subject of each matter to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds under section 48(1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:

 

(A)

(B)

(C)

General subject of the matter to be considered.

Reason for passing this resolution in relation to each matter.

Ground under section 48(1) for the passing of this resolution.

 

 

 

 

 

 

Minutes of the Wellington Water Committee | Komiti Ngā Wai Hangarua held on 27 May 2022

The withholding of the information is necessary to protect the privacy of natural persons. (s7(2)(a)).

That the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding exist.

 

 

This resolution is made in reliance on section 48(1) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or 7 of that Act which would be prejudiced by the holding of the whole or the relevant part of the proceedings of the meeting in public are as specified in Column (B) above.”

 

 

 

Annie Doornebosch

Democracy Advisor

Hutt City Council

 

 


                                                                       1                                                   27 May 2022

Komiti Ngā Wai Hangarua| Wellington Water Committee

 

Minutes of a meeting held in the Hutt City Council Chambers,
2nd Floor, 30 Laings Road, Lower Hutt on

 Friday 27 May 2022 commencing at 10.00am

 

PRESENT:

Mayor C Barry (Chair) (HCC)

 

Mayor W Guppy (Deputy Chair) (UHCC)

 

Mayor A Baker (PCC)

 

Mayor A Beijen (SWDC) (via audio visual link)

 

Mayor A Foster (WCC) (via audio visual link)

 

Cr J van Lier (GWRC)

APOLOGIES:                  Ms L Rauhina-August and Ms K Tamanui

 

IN ATTENDANCE:        Deputy Mayor H Swales  (UHCC Alternate)

                                                Deputy Mayor T Lewis (HCC Alternate)

Cr R Leggett (PCC Alternate)

Ms J Miller, Chief Executive, HCC (via audio visual link)

Ms N Hooper, Observer SWDC (via audio visual link)

Ms W Walker, Chief Executive, PCC

Mr P Kelly, Chief Executive, UHCC

Mr B Hodgins, Strategic Advisor, HCC (via audio visual link)

Ms H Oram, Director Environment and Sustainability, HCC (via audio visual link) (part meeting)

Ms S Proctor, Chief Infrastructure Officer, WCC

Ms S McLean, General Manager, Corporate Services, GWRC

Mr C Crampton, Chief Executive, WWL

Mr C Barker, Director, Regulatory Services, WWL

                                          Ms L Carroll, Chair WWL Board

Mr M Underhill, Director, WWL Board (via audio visual link)

Ms L Southey, WWL Board (via audio visual link)

Ms K Skelton, WWL Board (via audio visual link)

Mr D List, Project Director, Regional Water Reform, PCC

Mr M Ford, Group Manager Business Services/Chief Financial Officer, WWL

Ms T Haskell, Group Manager, Network Development and Delivery, WWL

Mr J McKibbin, Group Manager, Network Management Group, WWL

Ms J Alexander, Group Manager, Network Strategy and Planning, WWL

Mr F Clarke, Principal Advisor, Strategy, WWL (part meeting)

Ms N Crane, Programme Manager, WWL (part meeting)

Ms K Glanville, Senior Democracy Advisor, HCC (via audio visual link)

Mrs A Doornebosch, Democracy Advisor, HCC

Ms J Randall, Democracy Advisor, HCC

 

PUBLIC BUSINESS

 

1.       OPENING FORMALITIES - Karakia Timatanga     

Whakataka te hau ki te uru

Whakataka te hau ki te tonga

Kia mākinakina ki uta

Kia mātaratara ki tai

E hī ake ana te atakura

He tio, he huka, he hau hū

Tīhei mauri ora.

Cease the winds from the west
Cease the winds from the south
Let the breeze blow over the land
Let the breeze blow over the ocean
Let the red-tipped dawn come with a sharpened air. 
A touch of frost, a promise of a glorious day.

 

2.       APOLOGIES

RESOLVED:  (Mayor Barry/Mayor Guppy                                      Minute No.   WWC 22301

“That the apologies received from Ms Rauhina-August and Ms Tamanui be accepted and leave of absence granted.”

MAJOR ITEM NOT ON THE AGENDA

The Chair advised that, in terms of Standing Order 10.12, a major item not on the agenda that cannot be delayed relating to Mana Whenua Wairarapa representation on the Committee, would be discussed at the meeting.

3.

PUBLIC COMMENT

There was no public comment.

4.

CONFLICT OF INTEREST DECLARATIONS

There were no conflict of interest declarations.

5.

Chair's Statement

The Chair provided an update as follows:

·           Government’s announcement on Three Waters Reforms had indicated the majority of the working group recommendations would be accepted, with a pathway to be developed in the coming months. The government select committee process would provide more detail.

 

·           The Water New Zealand conference in Hamilton had provided an opportunity for the Chair to overview how the transition towards water reform was progressing.  

 

·           There had been a delay in the release of the independent fluoride enquiry report.

 

·           The Chair had visited Wellington Water Limited teams working at the Waterloo Water Treatment plant in Lower Hutt. He noted the good progress with work underway in Lower Hutt.

 

·           Mayor Foster was welcomed to the Committee as Wellington City Council’s appointed member.

6.       Minutes

Resolved: (Mayor Barry/Mayor Baker)                                  Minute No. WWC 22302

 

“That the minutes of the meeting of the Komiti Ngā Wai Hangarua |Wellington Water Committee held on Friday, 18 March 2022, be confirmed as a true and correct record.”

 

7.       Water Reforms - Regional Update

The Project Director, Porirua City Council, presented a slideshow attached as pages 11-12 to the minutes.

 Resolved:  (Mayor Barry/Mayor Guppy)                                 Minute No. WWC 22303

 

That the Committee receives and notes the verbal update and presentation.”

 

8.

Transition Planning for Three Waters Reform (22/1169)

Report No. WWC2022/3/91 by Wellington Water Limited

 

The Chief Executive, PCC elaborated on the report.  She said there was a need to formalise the transition structure and move to a stronger reporting model.  This was due to the government showing a strong intent to proceed with Three Waters Reform. She acknowledged the extra work for local authorities. 

In response to questions from members, the Chief Executive, PCC said advice was expected on transition funding for councils before the end of the financial year. She highlighted the Department of Internal Affairs (DIA) was aware funding was an issue and understood the potential costs to councils.  She advised members to wait for an announcement from DIA before deciding on a course of action.

In response to a question from a member, the Chief Executive, Wellington Water Limited (WWL) advised WWL was participating in transition planning through the Transition Working Group but so far the impact on its operating costs had been modest. He expected pressure would increase as the transition continued.

 

Resolved:   (Mayor Barry/Mayor Baker)                                  Minute No. WWC 22304

 

“That the Committee:

 

(1)     notes a joint transition structure will be formed between Wellington Water Limited (WWL), and shareholding Councils comprising two layers:

 

a.    a Transition Steering Group (Chief Executives); and

 

b.    a Transition Working Group (senior executives from each Council and WWL);

 

(2)     notes these groups will develop and report against a Three Waters Transition Framework that will outline objectives, key success factors, risks and performance indicators. This reporting framework will be informed by more detailed, lower-level transition planning across all identified risk and programme areas;

 

(3)     notes that regular reporting will occur to the Wellington Water Committee at each of its meetings and to shareholding Councils through their representatives on the governance and working groups;

 

(4)     notes that a draft framework will be presented to the next Wellington Water Committee meeting;

 

(5)     notes that the WWL Statement of Intent will be amended to align with the approach outlined in this report; and

 

(6)      asks officers to continue to highlight to the Department of Internal Affairs the importance of recompensing councils and Wellington Water Limited for the resources which will be required to support their reforms.”

 

9.

Draft Statement of Intent 2022-25 Feedback (22/1170)

Report No. WWC2022/3/92 by Wellington Water Limited

 

The Chief Executive, PCC and the Principal Advisor, Strategy, WWL elaborated on the report.

The Chief Executive, PCC noted feedback had been received from a number of councils and the Statement of Intent (SOI) had been strengthened around a range of issues as a result. She advised the SOI would be reported back to the Committee once all comments had been included.

Mayor Beijen requested it be noted that South Wairarapa District Council had not responded because it had no additional feedback for the draft SOI.

In response to a question from a member, the Chief Executive, PCC agreed to check the wording on targeted growth investments in the draft SOI.

 

Resolved:  (Mayor Barry/Cr van Lier)                                       Minute No. WWC 22305

 

“That the Committee: 

 

(1)      notes the limited feedback received from shareholding councils on the draft Wellington Water Limited Statement of Intent (SOI) 2022-25 indicates general support for the direction of the document; 

 

(2)   notes that feedback proposes that substantive changes be undertaken to incorporate: 

 

(a)        discussion on the cessation of fluoride dosing and the associated independent review;  

 

(b)        recognition of the need for Wellington Water Limited to participate in the pending transition of water services to the new water services entity and related water reform process;  

 

(c)        clear recognition of the priority areas for operations and investment through the transition process; and

 

(d)        the performance targets that can be expected, that recognise the priority areas and the funding decisions in councils’ Annual Plans;

 

(3)   notes the scope of a proposed Transition Governance Group is expected to include the development of expected outcomes and performance indicators through the water reform transition process that would ideally be reflected in the final SOI; 

 

(4)   directs Wellington Water Limited on the changes sought to the SOI to incorporate the feedback, including through the Transition Governance Group; 

 

(5)   notes the final SOI will be provided for approval at its 29 July 2022 meeting, consistent with the Committee’s approval of a one-month extension to the SOI process at its 18 March 2022 meeting; and 

 

(6)   notes the Committee may request further, and final changes when considering the final SOI, subject to these being completed within one month of the Committee meeting to be held on 29 July 2022 (prior to 29 August 2022).”

 

10.

Wellington Water Limited - Company Update (22/1165)

Report No. WWC2022/3/93 by Wellington Water Limited

 

The Chair of the Wellington Water Limited Board (‘the Board’) elaborated on report.

In response to questions from members, the Chief Executive, Wellington Water Limited (WWL) advised an improvement programme was in place between Wellington City Council (WCC) and WWL to improve WCC’s public complaints process. He said the Committee had worked through a process of constructing a plan for the Three Waters entity capital investments and would provide that to the National Transition Unit. He highlighted WWL’s Long Term Plan work had been delayed due to work required on Three Waters Reforms. He noted that from 1 July 2022 the Director of Health would require fluoridation and a performance measure would be delivered 95% of the time. He said WWL would need to work on ways to achieve the measure. He expected guidance from the government on the non-fluoridated areas in Petone and Korokoro. He noted the timeframe for fluoridating currently unfluoridated water supplies was unclear.

In response to questions from a member, the Principal Advisor, Strategy, WWL noted the speed of housing intensification had future implications on how WWL would plan for changes in infrastructure. He added WWL was working closely with each council to manage the changes. He said Auckland’s housing intensification experiences had been explored. He agreed to respond to Mayor Foster with more detail on the findings.

 

Resolved:   (Mayor Barry/Mayor Baker)                                  Minute No. WWC 22306

 

“That the Committee receives and notes the report.”

 

11.

Wellington Water Limited - 2021-24 Water Services Investment Update (22/1166)

Report No. WWC2022/3/94 by Wellington Water Limited

 

The Group Manager, Network Strategy and Planning, Wellington Water Limited (WWL) elaborated on the report. She advised a full report would be provided to the next Committee meeting.

In response to questions from a member, the Principal Advisor, Strategy, WWL outlined sources of WWL’s emissions profile. He explained some options and approaches being investigated to reduce emissions. He highlighted that WWL would be developing a roadmap of emissions planning processes which was expected to be complete early in the 2022-23 financial year. He advised that he would provide the information to members.

He added work on climate change risks for treatment plants and outfalls in coastal areas was underway. He noted the water supply would continue to be challenged by rising demand, due to growth and leakage. He said renewal costs were rising across all councils with cost increases of above 20%. He noted the analysis on funding and valuations was ongoing.  He explained WWL identified risks associated with different assets and included them in the work programmes. He said Greater Wellington Regional Council had provided funding for work on mitigating demand risk, some of which would be used for progressing smart meters as well as source expansion.

In response to a question from a member, the Group Manager, Network Strategy and Planning, WWL agreed to report back on the rising costs of the valuation of assets and how this impacted across all six councils.

In response to questions from a member, the Chief Executive, WWL said WWL would agree to realistic budgets set and provide a risk assessment of what work might need to be excluded. He added if costs rose, WWL would provide a plan to manage the work programme within the budget provided. He highlighted WWL would produce a 30 year transition risk profile for the Committee as a reference for future discussion.

 

Resolved:   (Mayor Barry/Cr van Lier)                                      Minute No. WWC 22307

 

“That the Committee: 

 

(1)   notes that the Councils’ 2021-24 three waters investment represents a step up towards rebuilding strong networks that can deliver the services and environmental outcomes communities have signalled they want; 

 

(2)   notes that even with the increased investment for this period, the current situation will not change quickly, and the aging pipe network and backlog of renewals means bursts and leaks will continue to cause unplanned work and disruption that place pressure on operational budgets and resources; 

 

(3)   notes that Wellington Water Limited is on-track to meet the forecast level of capital expenditure in three waters infrastructure over 2021-24; 

 

(4)   notes that the capital works programme will continue to evolve in response to the needs of the network to include a different mix of projects to that envisaged when the councils Long Term Plans (LTPs) were set, but continues to support the achievement of the region’s strategic objectives for the water services; 

 

(5)   notes the anticipated high level of operational expenditure for reactive maintenance of aged assets has been experienced and will continue to be required until these assets are renewed; 

 

(6)   notes Wellington Water Limited is discussing the final operational expenditure budgets needed for 2022-23 and 2023-24 with each individual council, based on continuing cost pressures and increasing reactive maintenance requirements; and 

 

(7)   notes that an assessment of 2021-22 investment performance and anticipated performance over the remaining two years of the current LTP’s will be presented to the Committee at its 29 July 2022 meeting to support its review and approval of Wellington Water’s 2022-25 Statement of Intent.” 

 

12.

Wellington Water Limited - Drinking Water Regulation Update (22/1168)

Report No. WWC2022/3/95 by Wellington Water Limited

 

The Director, Regulatory Services, Wellington Water Limited (WWL) elaborated on the report.

In response to questions from members, the Director, Regulatory Services, WWL said WWL was working with regulators to ensure it was ready for compliance with the Taumata Arowai draft rules. He advised the regulations were expected to be implemented by November 2022. He highlighted an extra funding requirement from councils was likely. He noted it was possible the population level for the assurance bar used in water standard regulations might be lowered for the South Wairarapa region but for larger metropolitan areas there would not be a significant change.

 

 

Resolved:   (Mayor Barry/Cr van Lier)                                     Minute No. WWC 22308

 

“That the Committee: 

 

(1)   notes that Taumata Arowai does not require an annual compliance report for FY 2021/22;

 

(2)   notes that Wellington Water Limited has contracted Wai Comply to complete an independent assessment for FY 2021/22;

 

(3)   notes the intention of Wellington Water Limited to include a compliance report within the quarterly performance reports for FY 2022/23; and

 

(4)   notes any significant exception to the provision of safe water will still be reported immediately.”  

13.

Wellington Water Limited - Wastewater Treatment Update (22/1167)

Report No. WWC2022/3/96 by Wellington Water Limited

 

The Group Manager, Network Management Group, Wellington Water Limited (WWL) elaborated on the report.

In response to questions from members, the Group Manager, Network Management Group WWL advised the clarifier bearing being replaced at the Moa Point Treatment Plant was a large main drive and was being manufactured overseas.  He noted it was likely that two more bearings would be replaced over the next summer period. He added in the event of heavy rainfall, public communications would be maintained.

In response to a question from members, the Chief Executive, WWL said in the event it took longer to replace the bearing than expected due to supply problems, WWL would ensure updates were provided to the regulator.

 

 

Resolved:   (Mayor Barry/Mayor Foster)                                 Minute No. WWC 22309

 

“That the Committee: 

 

(1)   receives the report;

 

(2)   notes good progress on the wastewater treatment plant review; and 

 

(3)   endorses the new reporting method for reporting wastewater treatment plant environmental performance.”

14.          14.

Information Item - Wellington Water Committee Forward Programme 2022 (22/900)

Memorandum dated 6 May 2022 by the Democracy Advisor

 

 

Resolved:   (Mayor Barry/Mayor Beijen)                        Minute No. WWC 22310

 

“That the Committee receives and notes the Forward Programme for 2022 attached as Appendix 1 to the memorandum.”

 

MAJOR ITEM NOT ON THE AGENDA

 

Resolved:   (Mayor Barry/Mayor Baker)                         Minute No. WWC 22311

 

“That a major item not on the agenda be discussed namely mana whenua representation on the Wellington Water Committee by Wairarapa Iwi.”

The Chief Executive, PCC advised that when South Wairarapa District Council (SWDC) had become a member of WWL, Ms Narida Hooper, Chair of the SWDC Māori Standing Committee had agreed to represent South Wairarapa iwi as an interim representative. A permanent representative for iwi, Ms Andrea Rutene was now to be appointed to the Committee. She advised she would be meeting with Ngāti Kahungunu and Rangtāne o Wairarapa to formalise the position.

Members thanked Ms Hooper for her work on the Committee.

RESOLVED:   (Mayor Barry/Mayor Beijen)                          Minute No. WWC 22312

“That the Committee:

(1)   notes that Ms Andrea Rutene representing Ngāti Kahungunu will replace Ms Narida Hooper as Observer on the Wellington Water Committee; and

(2)   notes that the Chief Executive responsible for the Wellington Water Committee will be meeting with mana whenua representatives in the Wairarapa in the near future to formalise Andrea Rutene’s representation on behalf of Ngāti Kahungunu, on the Wellington Water Committee.”

 

 


 

15.     EXCLUSION OF THE PUBLIC

 

Resolved:   (Mayor Barry/Cr van Lier)                                      Minute No. WWC 22313

 

“That the public be excluded from the following parts of the proceedings of this meeting, namely:

16.       Minutes - 18 March 2022

17.       Appointment of Director to Wellington Water Limited (22/1172)

The general subject of each matter to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds under section 48(1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:

(A)

(B)

(C)

 

 

 

General subject of the matter to be considered.

Reason for passing this resolution in relation to each matter.

Ground under section 48(1) for the passing of this resolution.

 

 

 

Minutes of the Wellington Water Committee | Komiti Ngā Wai Hangarua held on 18 March 2022

The withholding of the information is necessary to protect the privacy of natural persons. (s7(2)(a)).

That the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding exist.

 

 

 

Appointment of Director to Wellington Water Limited.

The withholding of the information is necessary to protect the privacy of natural persons. (s7(2)(a)).

That the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding exist.

 

This resolution is made in reliance on section 48(1) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or 7 of that Act which would be prejudiced by the holding of the whole or the relevant part of the proceedings of the meeting in public are as specified in Column (B) above.”

 

There being no further business the Chair declared the public portion of the meeting closed at 11.36am.  The non-public portion of the meeting closed at 12.03pm.

 

 

 

Mayor Barry

CHAIR

CONFIRMED as a true and correct record

Dated this 29th day of July 2022

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                                                                                       1                                                              29 July 2022

 

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Description automatically generated with medium confidenceWellington Water Committee |

Komiti Ngā Wai Hangarua

11 July 2022

 

 

 

File: (22/1750)

 

 

 

 

Report no: WWC2022/3/117

 

Company and Governance Update

 

 

 

 

Purpose of Report

 

To provide an overview of the Three Waters activities across the metropolitan area of Wellington and South Wairarapa District Council.

 

 

Recommendations

That the Committee notes:

(1)   high and increasing water demand is expected to require the use of outdoor water use bans to maintain water supply in the Wellington metropolitan area this summer (Level 3 water use restrictions);

(2)   the South Wairarapa District Council (SWDC) wastewater treatment plants continue to be non-compliant; and

 (i)   SWDC are not proposing to invest in these plants over the 2022/23  financial year; and

    (ii)  the ongoing non-compliance of treatment plants increases the likelihood of enforcement action by the environmental regulator; and

(3)   the very high criticality assets condition assessment programme has identified the assets in need of urgent resolution.

 

 

 

How to read this report

 

3.     There are four parts:

 

(i)     Governance Update

 

(ii)    Key Issues

 

(iii)   Water Committee Priorities

 

(iv)   Operational Update

 

Governance Update

 

4.    The key governance conversations held by the Board of Wellington Water since the last Wellington Water Committee include:

 

(i)         completing the Statement of Intent;

 

(ii)        reporting the Fluoride Inquiry;

 

(iii)       appointing Alexandra Hare as the new Board member; and

 

(iv)       deciding to hold an Annual General Meeting for the 2021/22 Financial Year.

 

5.     The Statement of Intent (SOI) is in the Water Committee papers for approval. The SOI reminds everyone about the long term journey for water but focuses on the four priorities for the next two 2 years. These have previously been discussed with the Committee and comprise:

 

(i)         provision of core services;

 

(ii)        delivery of renewals and capex;

 

(iii)       providing Entity C with 2024/27 planning advice; and

 

(iv)       looking after our people and providing them with a good transition experience.

 

6.     The SOI is more explicit about the risks in providing three water services to owners. Of particular note is the probable environmental non-compliance of the SWDC wastewater treatment plants.

 

7.    The Board of Wellington Water (the company) met and accepted the findings and the recommendations of the Fluoride inquiry. The Chair presented the approach the company will take to address the recommendations to the Water Committee Workshop held on 8 July 2022 and made all the Fluoride material public. The Committee will receive, in this agenda, a programme update on the resumption of fluoride by September 2022.

 

8.     Alexandra Hare has accepted her appointment as the new Board member. Her induction is now proceeding and her first meeting will be in August 2022.

 

Key Issues

 

Fluoride Inquiry

 

9.     The Committee has received a copy of the Inquiry and Wellington Water’s response. The Committee will formally receive the Inquiry report at this meeting.

 

10.   Wellington Water published all the material it had on the performance of fluoridation on its website and had a media briefing on 8 of July 2022.

 

11.   In this agenda you have a programme update and this will be a regular feature from now on. Resuming fluoride remains on track for September 2022.

 

Water supply risk for the Wellington metro area is increasing

 

12.   Our March 2022 company update highlighted the increasing risk of more frequent, severe and extended summer water supply restrictions for the Wellington metropolitan area; the looming need for major supply and demand interventions to address this risk; and the need for careful management of water supply as water reform progresses. This is the “sustainable water supply and demand” strategic risk that was included in our 2021/31 Long Term Plan investment advice but that received only limited funding.

 

13.   The trend in increasing demand (as illustrated in the update provided as Appendix 1 attached to the report) has continued since that update and we are currently seeing daily water use similar to levels we would normally only expect in summer. The available data, including from analysis using the Small Area Monitors, indicates the majority of this increase is due to leakage.

 

14.   It is now probable that more severe water use restrictions, including total residential outdoor water use bans and potentially restrictions on internal usage within private properties will be required this summer and in the following years until major investments are completed. We will also have difficulty in operating within our water take consents and reduced flexibility in how we can operate and maintain the water treatment plants, especially if the summer is relatively “dry” (below average rainfall and inflows).

 

15.   Avoiding this risk in the near term will require a significant increase in leakage management, including detection and repair activity. The operational funding being made available in 2022/23 Annual Plans is insufficient to achieve the required level of activity without severely compromising other operational activities.

 

 

 

16.   The current demand level now exceeds our planning standard, meaning investment in supply augmentation and demand reduction is needed earlier than previously expected. The Te Mārua capacity optimisation project, currently scheduled for completion by 2025, will provide increased security for meeting peak daily demand but does not provide security for extended dry weather conditions.

 

17.   Addressing this issue requires permanent demand reductions (achieved through use of residential metering to identify leaks and support behaviour change) and additional supply capacity. Some planning for these investments is continuing but neither initiative is currently fully funded within the 2021-31 investment period. Updated investment advice will be proposed for inclusion in the Asset Management Plan for Entity C but it remains unclear when any investment will be committed and commenced.

 

Very High Criticality Asset Assessment (VHCA)

 

18.   Understanding the health of the region’s water assets is a prudent part of asset management, providing important data that supports future investment decisions for activities such as repairs, renewals, or upgrades. Approximately $10M of government stimulus funding enabled councils the opportunity to significantly increase their investment into understanding the health of Very High Criticality Assets (VHCA) across the region, as well as what measures are required to ensure they continue to maintain service to the community. VHCAs were selected based on the impacts their failure would have on the community and the environment.

 

19.   The VHCA programme is 90% complete with field inspection completed and analysis ongoing*. As an interim update, the VHCA results are generally confirming that we have an aging asset base with some critical assets nearing the end of their life although some more complex assets need more investigative work to confirm this status. The results of the condition assessments are now being fully analysed to gain a better understanding of:

 

(i)   what capital works projects are already programmed in our forward works plan that will mitigate risks associated unplanned failure of VHCA assets identified as in poor and very poor condition;

 

(ii)   what project priorities and/or sequencing need to change to accommodate the above;

 

(iii) what additional investment is required from councils to manage the risks effectively.

 

20.   One of the aims for the programme was to report any VHCA in very poor condition that needed immediate further investigation, and to work with the council on funding options to address the issue.

________________________________________________________________________

 

* In total, for the VHCA, 100% of pumpstations, 95% of the water treatment plant and 97% of reservoirs assets were inspected, and their condition assessed, with the remaining assessments planned in FY22/23 where operational constraints allow. 165km of pipes were inspected in the field against an originally scheduled target of about 240km, largely due to pandemic-related constraints of obtaining the overseas-based pressure pipe inspection technologies and personnel

21.   For example, we are currently working with Wellington City Council (WCC), and impacted stakeholders, to fast-track investigations and remedial action on a VHCA that has been deemed to be in very poor condition. At this stage we do not consider that there is an imminent risk of failure but have developed an emergency response plan to ensure we are ready to respond accordingly. The work to replace this asset has been brought forward into our Major Projects programme as a priority.

 

22.   The Committee should note that fluoride equipment is now classed as VHCA and has been assessed in parallel with the inquiry.

 

23.   We aim to report the findings of the programme to date to individual councils during August and September, and will continue to report any VHCA deemed to be in very poor condition and requiring immediate action to the asset owning council.

 

24.   The VHCA programme will be completed in 2022/23. The programme to assess the High Criticality Assets will begin, however funding only allows $2.6m out of a desirable $7-8m to be progressed this financial year.

 

Individual Council Risk Assessments

 

25.   The company has begun to compile individual council risk assessments based on the information we have about individual council assets. These assessments are formally presented to each council Chief Executive at our quarterly performance meetings but are socialised at the Client Council Representative level. Once the meeting with the council Chief Executive is complete, the risk assessments are posted on our website in the interests of visibility and presented to the Committee. We have modelled the approach on the WCC and are now extending it to the SWDC, and from there all other councils.

 

Acute labour shortages

 

26.   Across New Zealand infrastructure businesses are facing acute labour shortages and there are going to be future pressures on salaries due to inflation. This means companies are going to have to focus on retaining key staff to ensure they can operate fully year to year. Wellington Water has the additional complexity of Water reform and a local establishment entity staffing up in the year ahead. We are thinking very carefully about how to retain our staff.

 

The Water Committee Priorities

 

Capex Delivery

 

27.   End of financial year delivery was $178m - up $47m on last year’s expenditure or a 36% increase in outputs. Real production will be somewhat less once Covid-19 effects and cost escalations are adjusted for. Notwithstanding, this is a very good result and reflects the attention the company has paid to programme management and the expansion of our panels. Capex forecast for the year ahead is $220m.

 

28.   There still remains significant opportunity to increase the level of investigations and design to maximise the projects in the “drawer” for immediate construction from 1 July 2024.

 

Omāroro fatality

 

29.   We have received a final draft of the internal review report we commissioned after the fatality at Omāroro Reservoir to investigate overlapping duties. The final report will be made available to the Committee. The draft (subject to legal review) concludes that:

 

“although a number of relatively minor details of Health and Safety compliance could be improved, the overall levels of awareness of duties and compliance is high. The relationships and levels of interaction are very positive between the individuals best-placed to influence or direct the health and safety of workers on site. The evidence indicates that Officers of WWL are diligently fulfilling their obligations under the Health and Safety at Work Act.”

 

Workforce Capability

 

30.   Wellington Water has extended both the Consultant and Contractor panels to provide certainty through water reform. With these extensions in place all our water whanau have certainty of both work and jobs through the transition.

 

Water Reform

 

31.   Water Reform has had a relatively low impact on Wellington Water in the last quarter as the National Transition Unit (NTU) has been focused on building its national operating framework for rollout to local government.

 

32.   Wellington Water provided 1770 hours of input into water reform and received $35,000 reimbursement for this input. At an average cost of $120 per hour across Wellington Water this work amounts to $212,000 of costs for $35,000 in reimbursements. This means owners have subsidised the reform programme by $177,000 in the 2021/22 financial year.

 

Operational Issues

 

Murphy Street

 

33.   WCC has been informed of the risks with relation to third party property flooding during extreme rainfall events as the central wastewater interceptor surpasses capacity due to inflow and infiltration at Murphy Street. WCC approved WWL connecting with customers of the properties impacted to discuss the issue and this has occurred. A contingency plan is in place should the overflow occur, and all affected parties are aware of the plan and the impacts. Customer care is at the centre of the WWL response.

 

34.   The long-term work required to address the issue at Murphy Street is now with our Network Development and Delivery team. From an operations perspective, it was pleasing that the inclement weather experienced in the first part of June did not cause any issues.

Network Performance Metrics

 

35.   Our record and understanding of the network performance continues to improve. We are now reporting key network performance metrics on a quarterly basis. These are included in Appendix 2 attached to the report.

 

36.   2021/2022 saw a very high number of Customer Service Requests (CSRs) peaking in Q3 which comprised mostly of drinking water jobs (the majority being leaks). Our ageing networks are prone to bursts and in need of constant repairs. Trends continue to show us over the years that the peak period of CSRs occurs during the drier months when customers are more likely to notice and report leaks. Covid 19 did both disrupt and limit our resources and therefore ability to keep up with the increased CSRs. This had an impact of an increase to the work backlog in Q3 to record numbers.

 

37.   As we moved into Q4 and the wetter months, we see the number of CSRs decreasing due to the drop-off in reported network faults (in particular, less drinking water jobs being reported). This allowed us to reduce the work backlog in May and June and it should continue to further decrease in the winter months.

 

38.   Even with all the challenges and the high CSRs and work backlog, we continue to perform in our resolution of urgent and non-urgent drinking water jobs. However, our response to urgent wastewater jobs has remained above targets over the 12 months primarily due to the extreme weather events that occurred throughout the year. A similar story has played out for the stormwater network.

 

Planned vs reactive

 

39.   As our networks have continued to age and fault more, the priority for our funding has been toward reactive maintenance. Therefore, there has been less funding available for planned maintenance which has not been ideal from an asset management perspective. Access to the stimulus funding over the past two years has enabled us to complete more planned maintenance. With this funding no longer available, we are placing pressure on reactive maintenance budgets this year to release funding for key planned maintenance activities to continue.

 

Wastewater Treatment Plant Compliance

 

40.   Seaview Wastewater Treatment Plant (WWTP) is now compliant with the longer run faecal coliform measure. We are pursuing further options ensure we remain compliant over the summer period when algae growth has impacted results in the past.

 

41.   As previously reported one of three clarifiers at Moa Point needs repairs to the drive assembly which limits the capacity of the plant. The reduced capacity has resulted in five unconsented discharges occurring between 1 June and 12 July. The clarifier will be repaired by end November.

 

 

42.   The SWDC wastewater treatment plants continue to be non-compliant and the SWDC are not proposing to invest in these plants over the 2022/23 financial year, and the ongoing non-compliance of treatment plants increases the likelihood of enforcement action by the environmental regulator. See Appendix 3 dashboards attached to the report for more detail.

 

Fiscal Stimulus

 

43.   The Stimulus Funding Programme has come to a successful conclusion. See the Close-out report to DIA as a separate paper.

 

Appendices

No.

Title

Page

1

Increasing demand for drinking water - Wellington metro

30

2

Network Performance Metrics

37

3

Waste Water Treatment Plants June 2022 Dashboard Reporting

43

     

 

 

 

 

 

 

 

Author: External Author (Wellington Water Limited)

 

 

  


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Increasing demand for drinking water - Wellington metro

 

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Network Performance Metrics

 

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Waste Water Treatment Plants June 2022 Dashboard Reporting

 

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                                                                                       1                                                              29 July 2022

Wellington Water Committee |

Komiti Ngā Wai Hangarua

12 July 2022

 

 

 

File: (22/1767)

 

 

 

 

Report no: WWC2022/3/118

 

Martin Jenkins Inquiry into Fluoridation

 

 

 

 

Purpose of Report

1.    The purpose of this report is to formally table the Martin Jenkins independent inquiry commissioned by the Board titled ‘Inquiry into the Cessation of Water Fluoridation by Wellington Water’ (Fluoride Inquiry) dated 21 June 2022 and the associated Wellington Water Limited’s implementation plan.

 

Recommendations

That the Committee: 

 

(1)      receives the final report; 

 

(2)      notes that the Board of Wellington Water has accepted the findings and    

           recommendations; and

 

(3)      notes Wellington Water Limited’s implementation plan. 

 

2.    The inquiry report and implementation plan were socialised at the Wellington Water Committee workshop conducted 08 July 2022. This report formally presents the final inquiry and implementation plan to the Committee for recording on the public record. 

 

 

 

 

 

Appendices

No.

Title

Page

1

Inquiry into Cessation of Fluoridation by Wellington Water

53

2

Fluoride Inquiry Implementation Schedule

     83

    

 

 

 

 

 

 

 

Author: External Author (Wellington Water Limited)

 

 

  


Attachment 1

Inquiry into Cessation of Fluoridation by Wellington Water

 

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Fluoride Inquiry Implementation Schedule

 

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                                                                                       1                                                              29 July 2022

 

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Description automatically generated with medium confidenceWellington Water Committee |

Komiti Ngā Wai Hangarua

11 July 2022

 

 

 

File: (22/1752)

 

 

 

 

Report no: WWC2022/3/119

 

Wellington Water Limited - Final Statement of Intent 2022-25

 

 

 

Purpose of Report

1.    The purpose of this paper is to present Wellington Water Limited’s final Statement of Intent 2022-25 to the Wellington Water Committee and provide some context around its development and the story it tells.

 

Recommendations

That the Committee:

(1)  notes that the Wellington Water Constitution requires:

 (a)  the Wellington Water Board to deliver the completed Statement of Intent 2022-25 to the Committee; and

 (b)  the Wellington Water Committee to consider Wellington Water Limited’s final Statement of Intent 2022-25;

(2)   notes the draft of the Statement of Intent was provided to the Wellington Water Committee on 18 March 2022 and the subsequent feedback has been incorporated; and

(3)   receives the final Statement of Intent 2022-25 for Wellington Water Limited.

 

 

 

 

 

Summary

 

2.    Wellington Water (the company), as a Council Controlled Organisation (CCO), is required to produce an annual Statement of Intent (SOI) that aligns with councils’ long- term plans (LTPs) and annual plans.

 

3.    The purpose of an SOI is to outline for the public the activities and intentions of a CCO for the year, and how these will contribute to the objectives or outcomes sought.

 

4.    The SOI provides shareholders the opportunity to influence the direction of the organisation and provides a basis for the accountability of the directors to their shareholders for the performance of the organisation.

 

5.    This year we have written the SOI with water reform transition front of mind, and the need to focus on core delivery over the next two years together with ensuring that our people, assets and systems are ready to be transferred to Entity C.

 

Process steps

 

6.    Each year in December the Chair of the Wellington Water Board receives a Letter of Expectations from the Chair of the Wellington Water Committee (the Committee) on behalf of the shareholder councils. This letter sets out the council and mana whenua priorities for the coming year and is used to form the SOI.

 

7.    The Wellington Water Committee sent a Letter of Expectations of Wellington Water Limited for the period 2022-25 to the Company in December 2021.  Appendix 2 attached to the report summarises the contents of that letter and shows how the Company is responding, including through measures in the SOI.

 

8.     The Committee received the draft SOI as its meeting on 18 March 2022 and agreed to extend the time period for delivery of the final SOI by one month to the end of July 2022.

 

9.    Councils were asked to forward any comments they had to the Chief Executive, Porirua City Council by 2 May 2022. The feedback received is summarised in Appendix 3 attached to the report, and the Company has finalised its SOI in parallel with and consideration of final decisions made through council long-term plans.

 

10.  The Company’s Board approved the SOI at its meeting on 13 July 2022 and the final version is attached as Appendix 1 attached to the report.

 

11.  The Statement of Intent provides a regional view of the final decisions and investment adopted by the councils through their long-term plans 2021-31. The SOI includes the DIA measures and targets for each council, along with a refined set of company outputs to monitor and report on throughout the year.

 

12.  The Department of Internal Affairs measures and targets have been included as an appendix to the SOI as required by the Local Government Act 2002. Based on the investment levels and the targets adopted by the councils, it is apparent that the company will not be able to meet a number of these this year and we have indicated this in the tables.

 

13.  The financials reflect the agreed capital and operational expenditure programmes for the 2022-25 financial years.

 

Next steps

 

14.  The SOI will be published on the Company’s website following the Committee meeting. It will be professionally designed in early August 2022 and hardcopies will be distributed to elected members and officers.

 

15.  Shareholder councils are required to also publish the final version on their websites by the end of August. 2022.

 

 

Appendices

No.

Title

Page

1

Wellington Water Limited - Statement of Intent - 2022-25

87

2

How letter of expectations has been addressed

135

3

Statement of Intent Feedback Tracking Table

137

    

 

 

 

 

 

 

 

Author: External Author (Wellington Water Limited)

 

 

  


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Wellington Water Limited - Statement of Intent - 2022-25

 

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How letter of expectations has been addressed

 

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Statement of Intent Feedback Tracking Table

 

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                                                                                       1                                                              29 July 2022

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Wellington Water Committee |

Komiti Ngā Wai Hangarua

11 July 2022

 

 

 

File: (22/1753)

 

 

 

 

Report no: WWC2022/3/120

 

Fluoridation and Regional Wastewater Plant Review Update

 

 

 

 

Purpose of Report

 

1.    This paper provides an update on the progress to return fluoridation to the metropolitan Wellington region and the progress of the Wastewater Treatment Plan Review. 

 

Recommendations

That the Committee: 

 

(1)   notes that Wellington Water will recommence adding fluoride at Te Mārua and Gear Island water treatment plants in September 2022; and

 

(2)   notes in relation to the Regional Wastewater Review that: 

 

(a)   recommendations are substantially complete; 

 

(b)   Raveen Jardum has completed a return visit and will provide a recommendation on closing the review by September 2022; and

 

(c)   a final close out report will be provided at the next Committee meeting. 

 

 

 

 

 

Return to full Fluoridation 

 

3.    Wellington Water has focused on returning fluoridation to our most vulnerable communities first. The Te Mārua dosing facility was therefore investigated and modified in parallel to the development of the new containerised facility to ensure that any delay in the project would not result in a continued failure to fluoridate these communities.  

 

4.    Waterloo and Wainuiomata fluoridation plant condition assessments are now complete and these plants are consistently dosing within Ministry of Health Guidelines.  

 

5.    The new containerised dosing facilities to be installed at Te Mārua and Gear Island are on track to be fully functional in September 2022 which will see the return of fluoridation to all of the metropolitan Wellington area (with the exception of Petone and Korokoro). 

 

Water Treatment Plant 

Percentage of time compliant 

Average Dose (mg/L) 

Comments 

Te Mārua 

0% 

NA 

Treating by end of July 

Gear Island 

0% 

NA 

Treating by September 

Wainuiomata 

97% 

0.80 

Within MoH Target 

Waterloo 

100% 

0.80 

Within MoH Target 

 

6.    The main risks to the Programme currently sit with the resumption of the fluoride dosing using the existing facility and the delivery of the Stage 1 project. Interactions between the two projects have been deconflicted and procurement issues on the Stage 1 project have been resolved. Disruptions and delays caused by COVID and other illness are now the main threat to achieving the target commissioning dates. 

 

Fluoridation Regulation 

 

7.    We have developed a trusting relationship with Regional Public Health (RPH) and the Ministry of Health (MoH) which has seen Wellington Water now being sought as a key consultant to the development of new industry wide performance measures for fluoridation of community water supplies.  

 

8.    As a result, Wellington Water has a full understanding of the regulatory environment taking shape following the disestablishment of RPH and the transfer of regulation of fluoridation to MoH. Wellington Water can assure the Committee that the new facilities and Te Mārua and Gear Island have been designed to be compliant with the future regulation and that Wellington Water is confident that the new facilities and the existing facilities at Waterloo and Wainuiomata will meet or exceed performance measure(s) that will underpin that framework. 

 

 

 

Status of Fluoride Inquiry Recommendations 

 

9.    Progress is being made towards implementing the recommendations of the inquiry which are summarised at Appendix 1 attached to the report. Future Committee meetings will receive an implementation dashboard to provide visibility of Wellington Water’s progress to closing out the inquiry.  

 

Status of Regional Wastewater Plant Review 

 

10.  The implementation of the recommendations from the Regional Wastewater Treatment Plant Review continues and updates are provided in the form of the dashboard at Appendix 2 attached to the report. 

 

11.  A return review visit by Raveen Jaduram was completed in July which will provide a status to the implementation of the review. It is expected that this will include a recommendation to close the inquiry or what remains to close it. 

 

12.  Contract Management and Delivery recommendations from the Review have been substantially completed as have been the majority of the Communications actions.  The revised Contract relationship continues to work well. There are longer-term actions for Veolia, relating to maintenance and renewals planning, and Wellington Water Limited, relating to asset management and auditing, which are ongoing.   

 

 

Appendices

No.

Title

Page

1

Fluoride Inquiry Implementation Schedule

143

2

Wastewater Treatment Plant - Review Implementation Dashboard (May/June 2022)

144

    

 

 

 

 

 

 

 

Author: External Author (Wellington Water Limited)

 

 

 

  


Attachment 1

Fluoride Inquiry Implementation Schedule

 

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Attachment 2

Wastewater Treatment Plant - Review Implementation Dashboard (May/June 2022)

 

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                                                                                       1                                                              29 July 2022

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Wellington Water Committee |

Komiti Ngā Wai Hangarua

11 July 2022

 

 

 

File: (22/1754)

 

 

 

 

Report no: WWC2022/3/121

 

Stimulus Funding Programme Close-out Report

 

 

 

Purpose of Report

 

1.    To provide an overview of the outcomes of the Three Waters Stimulus Funding Programme, which came to an end on 30 June 2022.

 

Recommendations

That the Committee: 

 

(1)   notes the government allocated $47.3M to the Wellington Water owner councils for expenditure on three waters; 

 

(2)   notes the fiscal stimulus fund has been executed on time and to the full amount;  

 

(3)   notes that Crown Infrastructure Partners requires a formal close out report attached as Appendix 1 to the report; and  

 

(4)   notes the outcomes and outputs achieved by the fund and the views of Wellington Water on the overall success of the fund and lessons learned.  

 

 

3.    Crown Infrastructure Partners provided a template Close-out report, which is a requirement for the final funding instalment – this is provided as Appendix 1 attached to the report.  

 

4.    Wellington Water Limited has prepared this Close-out report on behalf of Greater Wellington Regional Council, Hutt City Council, Porirua City Council, South Wairarapa District Council, Upper Hutt City Council and Wellington City Council. 

 

5.    This report was delivered to Crown Infrastructure Partners (CIP) on 15 July 2022. CIP will add to the report a number of graphs and their commentary on how the Programme did to conclude reporting on the fiscal stimulus fund.  

 

6.    Wellington Water will recirculate the final Close-out report to councils, and request that council chief executives endorse the report so the fund is closed out. 

 

 

Appendices

No.

Title

Page

1

Three Waters Stimulus Project Close-out Report

147

     

 

 

 

 

 

 

 

Author: External Author (Wellington Water Limited)

 

 

 

  


Attachment 1

Three Waters Stimulus Project Close-out Report

 






















                                                                                       1                                                              29 July 2022

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Wellington Water Committee |

Komiti Ngā Wai Hangarua

12 July 2022

 

 

 

File: (22/1768)

 

 

 

Report no: WWC2022/3/122

 

Value for Money Six Monthly Report

 

 

 

 

Purpose of Report

 

1.    To provide the Committee with the Value for Money (VfM) six monthly   report. 

 

Recommendations

That the Committee: 

 

(1)   receives the Six Monthly Value for Money report attached as Appendix 1 to the report; and

 

(2)   notes the impact of older network infrastructure. 

 

 

Background

 

3.    A VfM Framework has been developed as an internal process tool to provide structure and process for VfM reporting to the Committee. 

 

4.    The first report was provided to the Wellington Water Committee in September 2021. 

 

5.    The Wellington Water VfM Framework includes five parts as follows: 

 

i.        Benchmarking  

 

ii.       Long Term Plan (LTP) and Annual Plan (AP) Advice 

 

iii.      Value for Money reviews 

 

iv.     Metrics  

 

v.      Value for Money stories 

 

6.    Not all parts of the framework were to be reported on every six months, this report focuses on the following parts: 

 

i.        Benchmarking 

 

ii.       Long Term Plan (LTP) and Annual Plan (AP) Advice 

 

iii.      Value for Money Reviews 

 

iv.     Value for Money stories  

 

Key Messages 

 

7.    The attached report highlights a range of findings from the Water New Zealand National Performance Review: 

 

i.   The Wellington Region’s pipe network is much older on average   compared to other Councils;

 

ii.  Operational maintenance costs per property are higher than average; and

 

iii. Capital expenditure per property is at the national median level 

 

8.    The report includes a summary of an independent review of Annual Plan advice provided to Wellington City Council that highlights that: 

 

There continues to be a significant risk - even at current expenditure levels, particularly in terms of the build-up in outstanding reactive maintenance projects – of major failures until critical investigation projects are undertaken and the resulting work programme required to address the risks identified is completed. 

 

Value for Money July report 

 

9.    The attached is the six monthly Value for Money report to the Committee.

   

10.  The Committee may want to discuss the findings in the report and provide feedback on the report and the content. 

 

 

Appendices

No.

Title

Page

1

Value for Money Report - July 2022

170

     

Author: External Author (Wellington Water Limited)

 

 

  


Attachment 1

Value for Money Report - July 2022

 


















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MEMORANDUM                                                  1                                                              29 July 2022

Our Reference          22/1757

 

TO:                      Chair and Members

Wellington Water Committee | Komiti Ngā Wai Hangarua

 

FROM:                Annie Doornebosch

 

DATE:                11 July 2022

 

SUBJECT:           Proposed Change to the Meeting Schedule for 2022

 

 

Recommendation

That the Committee:

 

(1)   notes that at its meeting held on 29 November 2021, the Committee identified a tentative date of Friday 25 November 2022 for its first meeting after the local body elections;

 

(2)   agrees to change the meeting date from 25 November 2022 to
Friday 16 December 2022 at 10.00am; and

 

(3)   confirms the venue for the meeting will be the Council Chambers, Hutt City Council, 30 Laings Road, Lower Hutt;

 

For the reason that adoption of a meeting schedule and agreement over the venue for meetings allows orderly planning for all involved.

 

Purpose of Memorandum

 

1.         For the Wellington Water Committee (the Committee) to change the 2022 meeting schedule.

 

Background

 

2.    In accordance with clause 30(7) of Schedule 7 to the Local Government Act 2002, the Committee is not deemed to be discharged following each triennial election.

 

3.    The Committee, at its meeting held on 25 November 2021, identified a tentative meeting date of 25 November 2022 following the 2022 local body elections. 

 

Discussion

 

4.    Officers from Greater Wellington Regional Council (GWRC) have advised that the meeting date of 25 November 2022 is considered too early for GWRC to appoint a member and alternate to the Committee. 

 

5.    It is considered moving this date to Friday 16 December 2022 will allow member Councils time to confirm member appointments to the Committee for the new triennium.

 

6.    Member Councils have been canvassed and the preferred date for this meeting is Friday 16 December 2022 at 10am.

 

7.    It is proposed that the venue for this Committee meeting will be the Council Chambers at Hutt City Council, 30 Laings Road, Lower Hutt.  This will improve administrative efficiency given that the Democratic Services team at Hutt City Council provides the secretariat support.

 

Communication

 

8.    In accordance with legislation, public notice of the formal meeting will be given at the appropriate time.  A copy of the Order Paper for the meeting will be made available for public inspection at the principal office of each shareholding local authority.

 

 

Appendices

There are no appendices for this report.    

 

 

 

 

 

 

Author: Annie Doornebosch

Democracy Advisor

 

 

 

 

 

 

Reviewed By: Kate Glanville

Senior Democracy Advisor

 

 

 

Approved By: Kathryn Stannard

Head of Democratic Services

 

 

 


MEMORANDUM                                                  1                                                              29 July 2022

Our Reference          22/1290

 

TO:                      Chair and Members

Wellington Water Committee | Komiti Ngā Wai Hangarua

 

FROM:                Annie Doornebosch

 

DATE:                11 July 2022

 

SUBJECT:           Wellington Water Committee Forward Programme 2022

 

 

Recommendation

That the Committee receives and notes the Forward Programme for 2022 attached as Appendix 1 to the memorandum.

 

 

Purpose of Memorandum

 

1.         To provide the Wellington Water Committee (the committee) with a Forward Programme of work planned for the Wellington Water Committee for 2022.

 

Background

 

2.         The Terms of Reference for the committee requires the committee to provide governance and leadership across issues relating to the planning, delivery and management of water services to communities serviced by Wellington Water Limited.

 

3.         The Forward Programme for 2022 provides a planning tool for both members, officers and Wellington Water Limited staff to co-ordinate programmes of work for the year.  The programme is attached as Appendix 1 to the report.

 

4.         Workshops will be planned for each meeting cycle, to provide members with a forum to build knowledge, and discuss strategic issues and topical items.

 

Forward Programme

 

5.    The Forward Programme is a working document and is subject to change on a regular basis.

 

Appendices

No.

Title

Page

1

Wellington Water Committee Forward Programme 2022

202

     

 

 

 

 

 

 

Author: Annie Doornebosch

Democracy Advisor

 

 

 

 

 

 

Reviewed By: Kate Glanville

Senior Democracy Advisor

 

 

 

Approved By: Kathryn Stannard

Head of Democratic Services

 

 

 

 

 


Attachment 1

Wellington Water Committee Forward Programme 2022