The holders for poo bags were a response to the negative feedback in the council's residents' opinion survey showing a 45% dissatisfaction of the council's control of dog fouling, council development services manager Kevin Thompson said.
The bag holders, which strap on to dog leads, were sent out to 12,351 registered dog owners and cost $25,000.
It was funded out of the animal control reserve fund, which was, in turn, funded by surplus from the annual animal control budget, he said.
"That money can only be spent on animal control."
One dog owner who wrote to the Otago Daily Times, Stuart Mathieson, questioned the initiative's costs and the adding of more plastic to the environment when recycled supermarket bags did the job.
Mr Thompson said the initiative had been used by the Lower Hutt District Council to great effect.
"They've had phenomenal uptake and improvement in their satisfaction."
There had been positive feedback from dog owners in Dunedin who believed it was a great initiative.
"People aren't going to get caught short. They have no excuse for not picking it up."
The council had also installed poo-bag poles at 11 different spots around the city where owners walked their dogs such as John Wilson Ocean Dr, St Clair and St Kilda.
"We're trying to encourage people to be more responsible. If they have the facilities, there is no excuse."
Refills for the holders were available from the council's customer services agency or the supermarket at a cost of $7 for 52 bags.
