THE PROBLEM
Water Corporatisation Proposal to Council A number of council members proposed that Auckland's $100 million a year
water supply and wastewater disposal operations should be run by a council owned company - a local authority trading enterprise or LATE.
(Profits,after allowing for reinvestment, would be returned to the council for use in charitable purposes.) Property owners would pay for sewage disposal
through user-charges, as they do now for water. Historically waste water charges have been part of rates, which were about 20% of rate bills.

 March 1997

Initial Reaction Anti
Auckland City Council voted against the concept of corporatisation of water services 12 - 11, with Mayor Les Mills having the casting vote.
Promoter of privatisation, deputy mayor David Hay, vowed to lobby for it again. For: Doug Astley, Grahame Breed, Gred Davenport, Catherine Harland,
David Hay, Astrid Malcolm, Phil Raffils, Frank Ryan, John Strevens, Penny Whiting and John Williams. Against: Bill Christian, Colin Davis, Dame
Barbara Goodman, Dr Bruce Hucker, Ken Graham, Gordon Johns, Les Mills,Penny Sefuiva, Ian Shaw, Jan Welch and Juliet Yates. REASONS FOR

* It would encourage water conservation by giving users greater control

*Offset some of the big rates rises linked to new property valuations Equity AGAINST

* One step away from privatisation,

* Essential commodities shouldn't be treated as a profit making business.

* The hardest hit in the residential sector would be big water users, such as large families in cheap homes.

*The winners would be expensive homes and many business rate payers.

* Residential landlords would pass on the cost to tenants, costs they were currently responsible for as the rates payer.
 

 10/4/97

Corporatisation of Water Got Go Ahead
The corporatisation of water services got go ahead by one vote (12-11).WHO CHANGED SIDES? >From July 1 property owners to pay user charges for
sewage and wastewater, as they do for water. Council promises rates will be cut about 20% with the change. The Fair Deal Coalition, a lobby of 42
groups ranging from trade unions to Grey Power, accuses counci of lack of consultation with rate payers over the move. Senior councillor Ken Graham,
who is opposed to the plan, says it could yet be thrown out. The combined total of rates and water tariffs is fully expected to rise as expensive sewer work is overdue in some parts of the city.????  ACCURATE??? Who will pay for this?

 18/4/97

Opposition grows against proposed water service charges.
Community Boards
All Auckland community boards made submissions on the subject, with the vast majority against the LATE concept.
General Public A wildfire petition collected 250 signatures in three days, and drew support from groups such as the Papakura based
Water for All and Fair Deal Coalition. Petitionorganiser Trevor Woods said the council collected rates for years yet put
little into maintaining Auckland's water infrastructure. Therefore they were attempting to duck responsibility by setting up a water company that
would charge to upgrade. He planned to use the petition in a submission to the annual plan in June.

Auckland City councillor Bill Christian disagreed with both the transferof $100 million of capital assets to a council owned company and the  loan
of $75 million that would have to be serviced. Watercare Services has to find $340 million to upgrade the Mangere sewage works and $150 million of
that is to be levied on Auckand City, or the LATE. Christian felt Auckland's water business had been operating successfully as a stand alone
business unit, and recouping water charges through the city's normal rating system.
 
 

 8/5/97

Ins and outs of the water services' sale
A book value of $180 million was taken for the sale, plus a working capital of $15 million. This was balanced by the issue of $120 million in
shares to the council, who is the only shareholder, plus a $75 million loan either from council or another source.

 13/6/97

LATE not wanted.
ACC received 10 times more public submissions in 1997 to 1996 due to thewater services issue. Of the submissions to council on the LATE, 69% were
against it. Of those in favour, nearly half were on standardised Auckland Regional Chamber of Commerce forms
 

 25/6/97

New council owned company - Metro Water - to start July 1.Councillors voted 13 - 11 for the new company.
Greg Davenport and Patricia Goddard, two original opponents of the concept, voted in support. Auckland Regional Chamber of Commerce said the
move would better enable the city to manage its water and wastewater services. ((Those who used the system most would pay the most, and those
who conserved and used less would pay less. Fairdeal Coalition said it was an "Anti-Social" measure))
 

 4/7/97

Metro Water launched as a "new brand of water "MetroWater", spent many thousands of dollars on an extravagant introductory
publicity campaign. Metrowater wouldn't say how much they spent, citing "commercial sensitivity", but said it was done to fully inform customers
of the changes. Opposition were furious and felt the money should be spent on infrastructure or given back to water users in reduced charges.

Greater Auckland Response Manukau City voted against creating a water services company due to public outcry.
But Waitakere has an Eco Works maintenance enterprise and North Shore has NSM Contracting.
 
 

 30/8/97

Deputy mayor wanted other council services to become commercialised LATEs like Metrowater. Parking buildings, city design, city parks services, city
contract services and fleet services could be LATEs, said David Hay. He said "Metrowater was more efficient than a council department or business
unit because it had a board of directors with business experience and private sector style discipline".
 
 

27/3/98

 Bill Christrian successfully moves a vote in Council which sees the majority plan to dismantle Metrowater as at July 1st, and return the
water services to Council as a SABU

8/4/98

 Bill Christian attempts to overturn Metrowater before the Annual Plan.  The vote was lost and the matter was deferred to the draft annual
plan process.

Metrowater's Performance The council-run company made efficiencies of up to 15% to 20% under budget
in the past/last?? year, freeing up capital for upgrading. Dame Barbara Goodman changed her anti stance on Metrowater saying people are regulating
the amount of water they used so it was not causing problems.
21,000 pro-forma submissions against Metrowater organised by women
 

 24/6/98

Opposition starts stirring. Anti Metrowater campaigner Jim Gladwin, along with  a neighbour, refused to pay his wastewater bill despite a warning his water supply would be cut off. He encouraged other rate payers to join the protest after the council voted 14-11 last week to keep Metrowater.  Gladwin said Metrowater didn't
have the legal authority to disconnect his water supply because he was paying for his water, but not his waste water charges.Opponents of Metrowater targeted in October local body elections.
 

 21/8/98

Battle for right to water After four attempts to stop Gladwin's water flow, Metrowater cut his supply.
Gladwin managed to get the water flowing again, saying he pays for his water consumption (but not waste water), so his water shouldn't be cut
off. Metrowater dug up the footpath, and disconnected the water pipes.Gladwin turned to Disputes Tribunal  - meeting set for ... Sept 9 or Dec
10?? Two different dates in cuttings

Civil Disobedience Called For The Water Pressure group was set up by Gladwin and partner Penny Bright to promote civil disobedience
by encouraging people not to pay their wastewater charges.

 7/10/98

Civil Disobedience Growing A neighbour fed her water supply into Gladwin and Brights home, because the water had been disconnected.

 25/11/98

Law into Own Hands
Gladwin and Bright reconnected their water supply. Metrowater said they would either disconnect it again or send debt collectors around. Gladwin
and Bright insisted they were in the right because they have paid for their water consumption, but not wastewater. Another anti Metrowater
campaigner, Dean Hamilton, has concreted his water meter and issued a trespass notice to Metrowater to stop the company reading the meter.
Hamilton, who is on an invalids benefit, used to pay $220 for water andsewerage through rates to the Auckland City Council. His last Metrowater
bill for a three month period was $135. When he went to discuss this with Metrowater they issued a trespass notice against him.

Changes on Metrowater Board
Pro Metrowater councillors David Hay and Doug Astley have gone from Metrowater's board of directors, replaced by Water Pressure Group
supporter Vern Walsh of City Vision and Auckland Now's Jon Olsen. A number of new councillors, including Walsh, signed a pledge to abolish
Metrowater. A vote in November to reappoint Mr Hay to the board was lost.
 
 

 9/12/98

High Court Ruling Sought
Metrowater sought a High Court ruling to confirm its right to charge consumers for the disposal of wastewater, just days before it was due to
face Gladwin in the Disputes Tribunal. Another case between Metrowater and an Avondale resident who refused to pay her bill ruled in favour of
Metrowater
.

 10/2/99

Boycott of wastewater charges gaining tempo Water Pressure Group want 20,000 Aucklanders to stop paying the charges on
their Metrowater bills. Metrowater says if people don't pay their wastewater charges, they will have their water cut off and face
disconnection and reconnection charges. But the Water Pressure Group will reconnect anyone cut off. The group wants Metrowater dumped in the
council's annual plan process in July, returning water services to council management.