Local Government (Water Services) Act 2025

Structural arrangements for providing water services - Other roles of water service providers - Closure or transfer of small water services

73: Power to close down or transfer small water service

You could also call this:

"Rules for stopping or changing small water supplies that serve 200 or fewer people"

Illustration for Local Government (Water Services) Act 2025

If you get water from a small water service, the people who supply the water can stop supplying it or give it to someone else to manage. This can happen if the water service is no longer needed or if it is no longer a good idea to keep it running. The people who supply the water must follow certain rules before they can stop or transfer the service.

You are affected by this rule if you are one of 200 or fewer people who get water from the small water service and you live in the area where the water service operates. The people who supply the water must talk to the Medical Officer of Health or the Water Services Authority before they can stop or transfer the service. They must also make sure that the people who will be affected by the change have a say in what happens.

If the people who supply the water want to stop supplying it, they must do a review and make the results public, and then the people who will be affected can vote on whether they want the service to stop. The service can only be stopped if 75% or more of the people who vote want it to stop. If the people who supply the water want to give the service to someone else to manage, they must make a plan and make the results public, and then the people who will be affected can vote on whether they want the service to be transferred. The service can only be transferred if more than 50% of the people who vote want it to be transferred, as decided under section 9 of the Local Electoral Act 2001.

The people who supply the water must make sure that everyone knows what is happening and can have a say in what happens to the water service. They must also make sure that the people who will be affected by the change are able to vote on what happens. If you are unsure about what is happening to your water service, you can ask the people who supply the water for more information.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS1448422.


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72: Provider to ensure water supply when existing supplier facing significant problem, etc, or

"Water service provider must help if your usual water supplier has big problems and can't give you safe drinking water"


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74: Assessments, etc, required for closure or transfer of water service, or

"Checking the impact of closing or transferring a water service on people and the environment"

Part 2Structural arrangements for providing water services
Other roles of water service providers: Closure or transfer of small water services

73Power to close down or transfer small water service

  1. This section applies to a small water service—

  2. that has been operated by a water service provider; but
    1. that it is no longer appropriate to maintain.
      1. Despite section 19(2), a water service provider may—

      2. close down a water service; or
        1. transfer a water service to an entity that represents the community for which the service is operated.
          1. The water service provider must not close down or transfer the water service unless—

          2. there are 200 or fewer persons for whom the water service is operated and they are ordinarily resident in the provider’s service area; and
            1. the provider has consulted the Medical Officer of Health for the district in which the provider’s service area is located or the Water Services Authority; and
              1. in the case of a proposed closure, the provider has—
                1. carried out a review, assessment, and comparison under section 74(1); and
                  1. made all information obtained from those actions publicly available in a balanced and timely manner; and
                  2. in the case of a proposed transfer, the provider has—
                    1. developed a draft management plan and carried out assessments under section 74(2); and
                      1. made all information obtained from those actions publicly available in a balanced and timely manner; and
                      2. the provider has made the views of the Medical Officer of Health or the Water Services Authority (as applicable) publicly available in a balanced and timely manner; and
                        1. the proposal is supported, in a binding referendum conducted under section 9 of the Local Electoral Act 2001 using the First Past the Post electoral system,—
                          1. in the case of a proposed closure, by 75% or more of the votes cast by eligible voters; or
                            1. in the case of a proposed transfer, by more than 50% of the votes cast by eligible voters.
                            2. For the purposes of subsection (3)(a), a certificate signed by the chief executive of the water service provider as to the relevant number of persons is conclusive evidence of that number.

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