Skip to main content
SpringerLink
Log in
Book cover

Water Pricing Experiences and Innovations pp 263–288Cite as

New Zealand Water Pricing

  • Chapter

Part of the book series: Global Issues in Water Policy ((GLOB,volume 9))

Abstract

Methods of charging, water use, and cost comparisons were made for municipal, irrigation, and hydropower generation uses of water. For municipal use, city size and water metering influenced per capita use, with larger cities and metered use being associated with lower per capita use. Drinking water quality (for smaller councils), demand management (for growing cities), and long-term asset management are the developing issues for municipal water supply. For irrigation, the cost of entitlements related to the age of the scheme (older schemes with capital paid off had lower costs), recent capital investment, and operating costs. Investment in irrigation schemes was being undertaken to improve reliability of supply (through storage) and water use efficiency (through conversion of flood to spray irrigation and replacing open distribution channels with pipes). Water used for hydropower generation was driven by electricity markets. Water values were imputed with rivers with multiple hydro stations, capturing more of the head in the river system having higher values.

This is a preview of subscription content, log in via an institution.

Chapter
USD   29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD   129.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD   169.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD   169.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Learn about institutional subscriptions

Notes

  1. 1.

    Water production is the annual amount of water supplied into the water distribution system from treatment plants, bore pumping, or supplied from another council.

  2. 2.

    Exchange rate $NZ = 0.84 $US in August 2014.

  3. 3.

    Retitled “Water safety plans” in legislative changes in December 2013.

  4. 4.

    Boil water notices are a formal requirement of the supply authority to notify residents of the need to boil drinking water owing to the ongoing risk of microbial contamination.

  5. 5.

    Between 2011 and 2012 and 2012 and 2013, there have been reductions in residential, commercial, and unaccounted-for water. There has been an education program for water conservation and efficiency (Wellington City Council 2011) and leak reduction measures of zone metering, pressure management, and leak detection (Capacity Infrastructure Services 2013).

  6. 6.

    The forum was a multi-stakeholder group (58 participating organizations) of water interests established with the support of the government “in the belief that the stakeholders needed to engage directly with each other if we were to find a way forward” (Land and Water Forum 2010).

References

  • Alvey, T., Goodwin, D., Xingwang, M., Streiffert, D., & Sun, D. (1998). A security constrained bid-clearing system for the New Zealand wholesale electricity market. IEEE Transactions on Power Systems, 13, 340–346.

    Article  Google Scholar 

  • Aqualinc. (2010). Update of water allocation data and estimate of actual water use of consented takes 2009–2010. Christchurch: Ministry for the Environment.

    Google Scholar 

  • Capacity Infrastructure Services. (2013). Annual report 2012–2013. Wellington: Capacity Infrastructure Services.

    Google Scholar 

  • Comet. (2013). Evaluation of potential electricity sector outcomes from revised minimum flow regimes on selected rivers. Wellington: Ministry for the Environment.

    Google Scholar 

  • Corneby, D. (2010, February 5). The Auckland region’s water supply: Past, present and future. Paper presented at the New Zealand Society for Sustainability Engineering and Science. Auckland.

    Google Scholar 

  • Electricity Authority. (2011). Electricity in New Zealand. Wellington: Electricity Authority.

    Google Scholar 

  • Electricity Market Information. (2014). Prices $/MWh. http://www.emi.ea.govt.nz

  • Farley, P. J. (1994). Privatisation of irrigation schemes in New Zealand (Short Report Series on Locally Managed Irrigation). Columbo: International Irrigation Management Institute.

    Google Scholar 

  • Greater Wellington Regional Council. (2013). Water supply annual report for the year ended 30 June 2013. Wellington: Greater Wellington Regional Council.

    Google Scholar 

  • Hurunui District Council. (2011a). Cheviot Ward Committee Report.

    Google Scholar 

  • Hurunui District Council. (2011b). Hurunui Waiau Zone Committee. http://files.ecan.govt.nz/public/cw-hw-zip-reports/HDC%202011%20Drinking%20Water%20Report%20D%20Edge.pdf

  • Hurunui District Council. (2012). Hurunui Community Long Term Plan 2012–2022. Amberley: Hurunui District Council.

    Google Scholar 

  • Hurunui District Council. (2014). Water and sewerage services. http://www.hurunui.govt.nz/services/water-and-sewerage-services

  • HydroTrader. (2013). Trade history. http://www.hydrotrader.co.nz

  • Institute for Sustainable Futures. (2008). Guide to demand management. Sydney: Water Services Association of Australia.

    Google Scholar 

  • Irrigation New Zealand. (2012). Survey of costs of surface water irrigation schemes in Canterbury. Christchurch: Irrigation New Zealand.

    Google Scholar 

  • Jenkins, B. R. (2013, August 28–30). Progress of the Canterbury water management strategy and some emerging issues. Paper presented at the New Zealand Agricultural and Resource Economics Society conference Lincoln University.

    Google Scholar 

  • Land and Water Forum. (2010). Report of the Land and Water Forum: A fresh start to fresh water.

    Google Scholar 

  • Land and Water Forum. (2012). Second report of the Land and Water Forum: Setting limits for water quality and quantity, and freshwater policy- and plan-making through collaboration.

    Google Scholar 

  • Meridian Energy. (2012). Meridian energy annual report 2012. Wellington: Meridian Energy.

    Google Scholar 

  • Ministry for the Environment. (2007). Proposed national environmental standard for sources of human drinking water: Resource Management Act section 32 analysis of the costs and benefits. Wellington: Ministry for the Environment.

    Google Scholar 

  • Ministry for the Environment. (2014). Freshwater demand (allocation). http://www.mfe.govt.nz/environmental-reporting/fresh-water/freshwater-demand-indicator/index.html. Accessed 3 June 2014.

  • New Zealand Government. (2011). National Infrastructure Plan 2011. Wellington: New Zealand Government.

    Google Scholar 

  • New Zealand Government. (2014). National policy statement for freshwater management 2014. Wellington: New Zealand Government.

    Google Scholar 

  • OECD. (2008). Environmental performance of agriculture in OECD countries since 1990. Berlin Centre: OECD.

    Google Scholar 

  • OECD. (2009). OECD in Figures 2009.

    Google Scholar 

  • OECD. (2010). Water consumption. In: OECD Factbook 2010: Economic, Environmental and Social Statistics. OECD Publishing. doi:http://dx.org/10.1787/factbook-2010-61-en

  • Office of the Auditor General. (2010). Local authorities: Planning to meet the forecast demand for drinking water. Wellington: Office of the Auditor-General.

    Google Scholar 

  • Read, E. G. (2009). Economic behaviour in a hydro-dominated electricity market. Christchurch: EGR Consulting.

    Google Scholar 

  • Statistics New Zealand. (2011). Water physical stock account: 1995–2010. Wellington: Statistics New Zealand.

    Google Scholar 

  • Statistics New Zealand. (2013). National population estimates: At 30 June 2013. Wellington: Statistics New Zealand.

    Google Scholar 

  • Sternberg, J. & Bahrs, P. (2011). Water metering—The Tauranga journey. Tauranga: Tauranga City Council.

    Google Scholar 

  • Timaru District Council. (2014). Timaru District rates resolution 2013/2014. Timaru: Timaru District Council.

    Google Scholar 

  • Tipping, J. & Read, E. G. (2010). Hybrid bottom-up/top-down modelling of prices in hydro-dominated power markets. In: Rebennback, S., Pardolos, P. M., Pereira, V. F., Iliadis, N. A. (Eds.), Handbook on power systems optimisation (Vol. II, pp. 213–238). Berlin: Springer.

    Google Scholar 

  • URS. (2014). Tekapo transfer review 2014 with water quality and cultural aspects. Christchurch: Environment Canterbury.

    Google Scholar 

  • Water New Zealand. (2013). 2011/2012 National performance review of water utilities. Wellington: Water New Zealand.

    Google Scholar 

  • Watercare. (2013). Auckland regional water demand management plan 2013–2016. Auckland: Watercare Services Limited.

    Google Scholar 

  • Wellington City Council. (2011). Water conservation and efficiency plan. Wellington: Wellington City Council.

    Google Scholar 

Download references

Acknowledgments

This chapter would not have been possible without the help from many contributors of information. The initial work and surveys were greatly assisted by Sarah Hayman, who worked on data collection as part of a university summer scholarship. Contributions through survey responses and follow-up reviews came from Tim Joyce, Sarah Stewart, Jeff Cuthbertson, David Burn, Russell Holden, Chris Stanley, Liberty Gunto, Piotr Swierczynski, Nick Urlich, Gerry Essenburg, Phil Ruffell, Marcus Koll, Rob Green, Peter Bahrs, Ramari Young, Shane Adams, Catherine Thompson, Andrew Kerr, David Payne, Andrew Curtis, Paul Reese, David Hendrikz, Ian McIndoe, Brian Smith, Chris Ellington, Brent Walton, Tony McCormick, and Gary Kelliher. Guidance from Grant Read on hydroelectricity and reviews of the draft text by Ken Taylor and Martin Ward were also most helpful.

Author information

Authors and Affiliations

  1. Waterways Centre for Freshwater Management, University of Canterbury and Lincoln University, Private Bag 4800, Christchurch, 8140, New Zealand

    Bryan Jenkins

Authors
  1. Bryan Jenkins
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Bryan Jenkins .

Editor information

Editors and Affiliations

  1. School of Public Policy, University of California, Riverside, California, USA

    Ariel Dinar

  2. Víctor Pochat Consulting, Buenos Aires, Argentina

    Víctor Pochat

  3. Department of Agricultural Economics, Agrifood Research and Technology Centre CITA-DGA, Zaragoza, Spain

    José Albiac-Murillo

Rights and permissions

Reprints and permissions

Copyright information

© 2015 Springer International Publishing Switzerland

About this chapter

Cite this chapter

Jenkins, B. (2015). New Zealand Water Pricing. In: Dinar, A., Pochat, V., Albiac-Murillo, J. (eds) Water Pricing Experiences and Innovations. Global Issues in Water Policy, vol 9. Springer, Cham. https://doi.org/10.1007/978-3-319-16465-6_14

Download citation

Publish with us

Policies and ethics

Search

Navigation