Amended water fees approved by Govt

Press, 7 August 1985, Page 22

Amended water fees approved by Govt

PA Wellington The Government has approved amended water charges for the troubled Maniototo irrigation scheme in Central Otago. The Minister of Works and Development, Mr Colman, said participating farmers had given agreement to the charges, which decision put the 3853 ha scheme on a firm legal basis. The Government had agreed in full to recommendations made by the work-

ing party set up to report on a fair and equitable charge. The charges, which will apply from the 1985-86 season and be phased in over seven years, had been set to cover the estimated costs of running and maintaining the scheme, he said. The water availability charge will be 57.14 per 1000 cu m for water supplied to a depth of 750 mm a season. For an average season this would be equivalent to a charge of $4O a hectare. Water used in excess of 750 mm a season would be

charged at a rate of $14.28 per 1000 cu m. The scheme hit problems nearly two years ago when its cost increased to $43.9 million - up $3B million on a $5.9 million estimate made seven years earlier. The then National Government ordered a review of the scheme. A row also broke out over the transfer of senior Ministry of Works officials from the Ministry's Dunedin office after cost increases on Central Otago irrigation schemes.