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Local Government (Water Services) Act 2025

Structural arrangements for providing water services - Water organisations - Governance of water organisations: consumer trusts

56: Trustees: election, term, and scope of role

You could also call this:

"Who can be a water organisation trustee and what they can do"

Illustration for Local Government (Water Services) Act 2025

When you are part of a consumer trust for a water organisation, you need to elect trustees. These trustees are elected in an election that follows the principles set out in section 57. You can be elected as a trustee if you live in the area where the water organisation provides services and you have an account with them for water services, as explained in section 72 of the Electoral Act 1993.

When you are elected as a trustee, you will be appointed for a certain term. This term cannot be longer than what is allowed by the trust deed. You can be a trustee more than once. If there is a vacancy in the trust, it does not affect what the trustees can do.

As a trustee, you cannot be on the board of directors of the water organisation at the same time. If you own or co-own a water organisation and you are also a consumer of its services, this does not mean you have a conflict of interest just because of that.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS1004348.

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55: Trust deed: Secretary approval, or

"Getting Secretary approval for a consumer trust deed to follow the rules"

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57: Trustee elections: principles, or

"How to fairly elect trustees for your local water organisation"

Part 2Structural arrangements for providing water services
Water organisations: Governance of water organisations: consumer trusts

56Trustees: election, term, and scope of role

  1. Trustees of a consumer trust must be elected to that role in an election conducted in accordance with the election principles set out in section 57.

  2. A person is eligible for election as a trustee if—

  3. the address where the person resides for the purposes of section 72 of the Electoral Act 1993 is located in the service area of the water organisation that the trustees own or co-own; and
    1. they hold an account for the provision of water services with the water organisation.

      1. A trustee must be appointed for a term not exceeding the maximum term of office for trustees permitted by the trust deed.

      2. A trustee may hold office on more than 1 occasion.

      3. The powers of the trustees are not affected by a vacancy in the trust’s membership.

      4. A trustee must not be a member of the board of directors of the water organisation that the trustees own or co-own.

      5. A trustee who owns or co-owns a water organisation does not have a conflict of interest by reason only of being a consumer of water services provided by the water organisation.