National’s three waters policy

Yesterday National announced its alternative to Labour’s Three Waters policy.

The policy is a deep analysis of a complex problem and provides a free market alternative to an issue that will challenge policy makers for the next few decades.

NAH JUST KIDDING THE POLICY IS LUKEWARM SHYTE THAT HAS VERY LITTLE DETAIL.

What is interesting is what detail was released.

If National wins the next election it will restore council ownership and control of water assets, set strict rules for water quality and investment in infrastructure, and ensure water services are financially sustainable.  From National’s press release:

Under National, councils will be required to demonstrate a clear plan to deliver ongoing investment in water infrastructure. Those plans will need to be approved by the Minister of Local Government.

“While water quality regulator Taumata Arowai will set strict standards for water quality, National will establish a Water Infrastructure Regulator within the Commerce Commission to set and enforce standards for long-term water infrastructure investment.

“Councils will be required to ringfence money for water infrastructure and not spend it on other services instead.

“National’s plan supports greater access for councils to long-term borrowing, which is an appropriate way to fund long-life water infrastructure. One way to improve access to borrowing would be for neighbouring councils to form Regional Council Controlled Organisations. Ultimately, it is up to the councils but we would envisage it is likely a number of regional groups will emerge to deliver better water services.

The policy looks suspiciously like Three Waters.  There will be regional groupings but these will be voluntary.  Councils will be required to adhere to centrally set infrastructure plans.  National will facilitate long term borrowing.

This will mean that the cost will appear on local council’s balance sheets.  Some councils have been really risk adverse to borrowing.  For instance Auckland Council has persuaded itself that it’s debt cannot be more than 270% of income as the sky will otherwise fall down.  Conceivably it will have to invest $60 billion in water infrastructure over the next thirty years.  This will increase dramatically its current debt of $11 billion and blow the borrowing cap.

Instead of water entities handling long term investment decisions these will be determined by the Minister. Local control over long term strategy will be diminished under National’s plan.

The proposal feels similar to Three Waters but with increased central control and no idea how the borrowing will work or the infrastructure plans will be formulated.

The policy is a grudging acknowledgement that the status quo, which has seen faeces flow into Wellington Harbour, people poisoned and killed and pipes fall apart from old age and lack of maintenance, is no longer an option.

National is claiming that co governance will no longer be an issue which is an interesting claim given that co governance in local councils is becoming more and more common.  And interestingly National’s policy document states that “Iwi have rights and interests in water”.  This is not what National used to say.

National is claiming that its proposal is cheaper.  Of course it would say this.  The policy document provides sufficient detail for a two minute discussion with your average elector.  But there is very little detail.

If this is the extent of National’s policy formulation then we can expect a year of no detail.  Which is a shame, electors deserve better than this.

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