Ruataniwha scheme may be subsidised

Labour water spokesperson Meka Whaitiri

Central Hawke's Bay ratepayers could subsidise the Ruataniwha Water Storage Scheme after a "secret meeting", Labour water spokesperson Meka Whaitiri claims.

The Ikaroa-Rwhiti MP said yesterday's meeting of the Central Hawke's Bay District Council (CHBDC) may foreshadow a council bid to abandon their current town water supply and buy water from the Ruataniwha project.

"This appears to be a shameful attempt by the Council and its investment company HBRIC (Hawke's Bay Regional Investment Company) to make the Ruataniwha financially viable at any cost," she said.

Ms Whaitiri said the towns currently draw their water from the Tukituki River free at just the cost of the consent rental.

According to the CHBDC website Waipukurau's water is drawn from three shallow bores within the Tukituki River gravels and Waipawa sources its water from shallow ground water bores adjacent to the Waipawa River.

"If ratepayers buy their water from the Ruataniwha project they will face a rates hike," she said.

"The meeting where this will be apparently discussed is closed to the public."

CHB Mayor Peter Butler confirmed there would be a closed door portion of yesterday's CHBDC meeting.

When asked directly if the council would be discussing whether or not it would be signing up to the Ruataniwha Water Storage Scheme, Mr Butler said, "We are discussing it tomorrow, we are discussing water tomorrow."

He said at this point in time the CHBDC was not signing up to the scheme but "anything could happen in the future".

Mr Butler said he had seen Ms Whaitiri's press release and believed it was incorrect.

"I will comment tomorrow when I have spoken to my council," he said.

"That whole press release I can name about three or four things in there that are so far wrong it is not funny."

Ms Whaitiri said that it was interesting these manoeuvres were happening in the face of Tuesday's deadline on the scheme's future.

"We know that farmers have only signed up for 25 million cubic metres of water, or just 55 per cent of the target," she said.

"The (Hawke's Bay Regional) Council has already spent $15 million of ratepayers money on this project and yet they are now attempting to sting ratepayers by buying water from the Ruataniwha.

"There is a lack of a compelling business case because HBRIC has met none of the guidelines for what would be a sound investment."