Another repayment has been made to the Waitaki District
Council for a $10 million loan it made in 2006 to help build
the North Otago Irrigation Company's scheme.
On Tuesday, company chief executive Robyn Wells presented the
council with a cheque for $822,011, made up of interest and
repayment of principal.
The company had now paid the council $1.8 million, which
included $1.329 million in principal repayments and the rest
Waitaki Mayor Alex Familton said the payment was
The district's agricultural base needed irrigation and in the
future would make full use of the company's scheme.
The company approached the council in 2006 when it was
building the 10,000ha first stage of the scheme, which cost
about $67 million, and asked it to contribute.
The council granted a loan of $10 million for extra
infrastructure to be built to ensure enough water was
available for a second stage of a further 10,000ha.
That stage was now being developed and, as farmers bought
shares to secure water, the company was repaying the loan and
interest to the council.