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The restoration of Dunedin's Ross Creek Reservoir is expected to begin early next year after being delayed until authorities agree on how it should be repaired.
The 147-year-old reservoir is to be restored in a year-long project, including reconstruction of its earth dam, to make it a functional reservoir again.
The work is part of a Dunedin City Council project to ensure there is a backup water supply for the city in an emergency.
Council water and waste services asset and commercial manager Tom Osborn said the council and the consenting authority, the Otago Regional Council, had struggled to agree on how the dam work should proceed, neither having done many, or any, such projects before.
It was hoped agreement could be reached before Christmas.
Tenders would be called for once the consent was issued.
The work is to include strengthening of the dam and modifications to the spillway chute.
A new pumping station will be built in the old water treatment plant buildings at Ross Creek, as well as a new pipeline from the reservoir to Mt Grand.