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Local Government (Water Services) Act 2025

Planning, reporting, and financial management - Planning - Statement of expectations

227: Content of statement of expectations

You could also call this:

"What shareholders expect from the water organisation"

Illustration for Local Government (Water Services) Act 2025

When a statement of expectations is prepared, it must include what the shareholders want the water organisation to achieve by providing water services. You will also find requirements about how the territorial authority plans to use its resources and land, which affects the water organisation's area. The statement must say the water organisation must follow any rules that apply to a shareholder that is a territorial authority, and it must include certain information in its half-yearly report, as outlined in section 248.

The statement of expectations can also include other things the shareholders decide, such as how the water organisation should work with the shareholders, the community, and Māori organisations. It can include measures to monitor the water organisation's performance and what the shareholders expect in terms of strategic priorities. The statement can also say the water organisation must work with certain groups or follow rules that a shareholder has with another party.

The statement of expectations can apply to all or just part of the water services, such as only wastewater, or to all or just part of the area where the water organisation provides services, like a specific district.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS1004658.

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226: Water organisation must give effect to statement of expectations, or

"Water organisations must follow the rules set by their owners."

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228: Additional requirements of statement of expectations, or

"What a water organisation's statement of expectations must include and follow"

Part 4Planning, reporting, and financial management
Planning: Statement of expectations

227Content of statement of expectations

  1. A statement of expectations prepared under this subpart must include—

  2. the outcomes that the shareholders expect the water organisation to achieve by providing water services; and
    1. requirements relating to the territorial authority’s resource management planning and land use planning that are relevant to the water organisation’s service area; and
      1. a requirement that the water organisation must act in accordance with any relevant statutory obligation that applies to a shareholder that is a territorial authority; and
        1. the information that the water organisation must include in its water services half-yearly report (see section 248).

          1. A statement of expectations may include any other matters the shareholders decide, including, for example,—

          2. how the shareholders require the water organisation to conduct its relationships with—
            1. the shareholders:
              1. the shareholders’ communities or any specified stakeholders within those communities:
                1. hapū, iwi, and other Māori organisations:
                  1. consumers in the water organisation’s service area:
                  2. performance indicators and measures that the shareholders may use to monitor the water organisation:
                    1. expectations relating to the strategic priorities to be included in the water organisation’s water services strategy:
                      1. a requirement that the water organisation act in accordance with an obligation that a shareholder that is a territorial authority may have with a third party (including with hapū, iwi, or other Māori organisations) under a contract or other agreement:
                        1. a requirement that the water organisation undertake a specified obligation on behalf of a shareholder that is a territorial authority:
                          1. a requirement to undertake community or consumer engagement, and the contents of that engagement:
                            1. expectations in relation to collaborating with the shareholders and other parties when providing water services:
                              1. a requirement that part or all of the water organisation’s water services strategy be independently reviewed or audited.

                                1. A statement of expectations may contain a matter that applies—

                                2. to all or a specified part of the water services provided by the water organisation (for example, a matter that applies only to wastewater):
                                  1. to all or a specified part of the water organisation’s service area (for example, a matter that applies only to a territorial authority’s district).