Effluent WOF reassures buyers

Effluent ponds are not cheap but they are good value.

Farmers have another pre-purchase check available to them before they sign on the dotted line.

In a move to help ensure farm effluent systems are up to standard, DairyNZ has developed an effluent warrant of fitness (WOF) programme which is now available throughout the country.

The programme consists of a voluntary and independent inspection and assessment, which is available to farmers and rural professionals wanting to ensure a property's effluent system and procedures meet council compliance levels.

DairyNZ's sustainability team leader, Dr Theresa Wilson, said the WOF programme promises to provide the same peace of mind as getting a warrant for the farm ute.

For a farm buyer the ability to know the areas that may need attention will be beneficial when assessing the value of the farm.

The WOF also reassures buyers that the farm is capable of operating within nutrient constraints without the need for an expensive upgrade.

"The second most viewed aspect of a dairy farm for a potential buyer is the farm's effluent system, with the farm dairy being the first," Wilson said.

"It is very much at the forefront of the due diligence process because it is an aspect of the farm infrastructure that can require significant investment to bring up to compliance level if it is not there, and can earn significant fines if it is not up to scratch."

Bayleys Waikato real estate agent Mike Fraser-Jones said that typically a vendor will signal they are not aware of any requisitions or requirements by any ruling bodies on the system at the time of sale.

He viewed the effluent WOF programme as a good step to helping farmers, seller and buyer. The three- to four-hour assessment by a certified assessor covers the farm's effluent consents and permitted rules, the storage capacity, nutrient loadings, soil risk, irrigator performance, off-pasture infrastructure and general health and safety requirements.

Wilson said there was a need to develop a consistent method for assessing effluent systems to ensure it fits the needs of the farm.

"They will point out areas of risk and suggest practical actions a farmer can take to ensure their system is capable of being compliant 365 days a year," she said

"Farmers that are planning an upgrade and are not sure which parts of the system need addressing will find it very useful talking to an independent expert.

"If you are buying or selling a farm, if you are a sharemilker moving on to a new property or part of a group owning a farm, it makes sense to call in a WOF assessor to understand how well the effluent system is performing."

Waikato valuer Ron Lockwood said there was particular value for the purchaser.

"Given the potential liability of a non-compliant effluent system-why wouldn't you get this done?"

What is in a WOF? .

A voluntary assessment done by a certified, independent assessor.

Assessors trained through a DairyNZ funded training programme.

A full assessment of farm effluent nutrient loading, effluent storage capacity and condition.

All effluent catchment areas including feed pads/underpasses examined and accounted for.

A full report identifies risk areas and areas requiring improvement to maintain compliance level.

A "no surprises" means of ensuring a farm's effluent system is up to spec prior to purchase.