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Local Government (Water Services) Act 2025

Provision of water services: operational matters - Development contributions

113: Power to require contributions for developments

You could also call this:

"Councils can ask you to pay a fee when you build something or connect to water services."

Illustration for Local Government (Water Services) Act 2025

When you want to build something or connect to water services, a water organisation can ask you to pay a development contribution. This can happen when you get a resource consent, a building consent, or approval for a water services connection. The water organisation can only ask for this payment if it follows its own development contributions policy or a policy from a territorial authority, as outlined in section 128.

The development contribution must be in line with the policy that was in place when you applied for the consent or connection. If you're asked to pay a development contribution for a building, it's not a condition of your building consent, and you can't appeal it under the Building Act 2004.

A water organisation can ask for a development contribution when a territorial authority gives a certificate of acceptance for your building work, as stated in section 98 of the Building Act 2004. If Kāinga Ora–Homes and Communities is in charge of granting the consent, it can ask for the development contribution on behalf of the water organisation and then transfer the payment to them.

The chief executive, as defined in section 7(1) of the Building Act 2004, is an important person in this process. This section of the law doesn't limit what territorial authorities or consent authorities can do under other laws.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS1004446.

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112: Development contributions principles, or

"Rules for water organisations to fairly ask for money to help pay for new water services"

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114: Limit on requiring contributions for developments, or

"Water organisations can only charge you for some costs when you need water services for a new development"

Part 3Provision of water services: operational matters
Development contributions

113Power to require contributions for developments

  1. A water organisation may require a development contribution to be made to the organisation when any of the following is granted:

  2. a resource consent for a development within the water organisation’s service area:
    1. a building consent (whether granted by a territorial authority or a building consent authority) for building work within the water organisation’s service area:
      1. an approval for a water services connection.

        1. A water organisation may only require a development contribution in accordance with—

        2. a development contributions policy it has adopted in accordance with this subpart; or
          1. a territorial authority’s development contributions policy that has been extended to the water organisation under section 128.

            1. For the purposes of subsection (2), a development contribution must be consistent with the development contributions policy that was in force at the time that the application for a resource consent, building consent, or service connection (accompanied by all required information) was submitted.

            2. A requirement for a development contribution under subsection (1)(a) or (b) is not—

            3. a condition of a resource consent that gives rise to any right of objection or appeal; or
              1. a matter that gives rise to any right to apply to the chief executive for a determination under the Building Act 2004.

                1. Subsection (6) applies if a water organisation’s development contributions policy provides for a development contribution under subsection (1)(b).

                2. The water organisation may require the development contribution to be made when the relevant territorial authority grants a certificate of acceptance under section 98 of the Building Act 2004 in respect of that building work, but only if the water organisation or a territorial authority would have required a development contribution if a building consent had been granted for the building work.

                3. If Kāinga Ora–Homes and Communities is responsible for granting the consent, approval, or certificate referred to in subsection (1) or (6), it—

                4. may, as appropriate and by agreement with the water organisation and the relevant territorial authority, require the development contribution on behalf of the water organisation; and
                  1. must, as soon as is reasonably practicable, transfer the development contribution to the water organisation.

                    1. This section does not limit the functions or powers of a territorial authority or consent authority under any other legislation.

                    2. In this section, chief executive has the meaning given to it in section 7(1) of the Building Act 2004.

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