Local government minister Simon Watts made the announcement on Friday. Photo: RNZ / Samuel Rillstone
Wellington Council leaders are backing the government's move to bring in the Commerce Commission to keep an eye on Wellington Water.
It was announced on Friday that Local Government Minister Simon Watts decided to use legislation brought in for the Local Water Done Well reforms that would allow the business watchdog to monitor the company.
The changes would require Wellington Water to report key performance and financial management measures.
Watt said the decision came after two reports released earlier this month highlighted poor financial management at the company.
"Over the last few months, I have had serious concerns around Wellington's water services," he said.
Closely following the release of the reports, Wellington Mayor Tory Whanau called for Wellington Water Board Chair Nick Leggett to resign from his role.
Whanau didn't get the support needed for that move but supported Friday's announcement.
"Our council has consistently raised concerns about the value for money Wellington Water is delivering for rate payers," she said.
"I hope the Commerce Commission can help ensure that some of the improvements Wellington Water has promised are delivered and that the cosy relationships with contractors and consultants are properly dealt with."
Long time Wellington Water critic Upper Hutt Mayor Wayne Guppy told RNZ the decision made it very clear what the expectation was for the water provider.
"That's going to be a very helpful exercise as we move into a new entity."
Guppy said the intervention was wise and required.
"Its [Wellington Water] been a long-standing challenge and frustrating."
Wellington Water Committee Chair and Lower Hutt Mayor Campbell Barry told RNZ that the Local Government Minister wanted to be helpful regarding some of the challenges Wellington Water was facing.
Barry said that it was important that any support from the Commerce Commission also supported the establishment of the new water entity which will be Wellington Water's successor.
Porirua Mayor Anita Baker shared a similar sentiment.
"I hope it doesn't take too much of their time though to do it because at the moment we [councils] are all out consulting on our new water entity and for me its full steam ahead for the new water entity."
Baker said ultimately it was positive for Wellington Water.
A Wellington Water spokesperson said the change will support their work that was already underway.
"We look forward to working together to deliver better water services and to support the success of the new entity."
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