The Otago Regional Council (ORC) has been wrestling with a decision on the river’s flow rate since 2015 and the Central Otago District Council appears set to wrestle the authority away from it.
At its meeting on Wednesday the council will decide if it is going to progress drafting a Local Bill to Parliament to expand and rebuild Falls Dam.
In his report to council, regional deals lead Dylan Rushbrook said no decisions could be made on investment into rebuilding and expanding the dam without a confirmed minimum flow, the lowest the river is allowed to go before water users must stop taking from it.
Falls Dam was one of several dams in Central Otago nearing end of life, and needing either significant remedial work or a complete rebuild, Mr Rushbrook said.
He warned the council was unlikely to please everyone whatever decision on a flow rate was made.
‘‘As discussed at the March council meeting, the issue of confirming a minimum flow rate for the Manuherikia River has been contentious for many years, with strong views held by many varying parties and individuals.
‘‘Council should go into this process knowing that is it unlikely to satisfy the expectations of all interested groups or communities.’’
Central Otago District Mayor Tamah Alley has said the Manuherikia catchment was vital to Central Otago.
It directly contributed an estimated $17.6 million to the district’s GDP and supported about 180 jobs, not including horticulture and viticulture.
‘‘That figure doesn’t capture the wider indirect economic benefits from our agriculture, horticulture and viticulture sectors, as well as town water supplies for Omakau and Ophir, and the recreational and wellbeing value of a healthy river.’’
While that had not been budgeted by the council, the expense could be covered by the legal land access arrangements negotiated by Santana Minerals for the proposed Bendigo-Ophir gold mine.
That funding arrangement would align with recent regional deal negotiations, which included the proposal of future mining royalties being invested in key infrastructure such as Falls Dam, Mr Rushbrook said.
It was possible other parties, such as the irrigation company Manuherekia River Ltd, might be willing to contribute to the costs, he said.
The recommendations to councillors acknowledged the interests of mana whenua and ORC and directed staff to engage with their representatives immediately.
While the council did not have an opinion on what the flow rate should be, it acknowledged there had been significant work undertaken on behalf of mana whenua, by the ORC and by irrigators who used water from the river.
However, a decision on the flow rate had to be made before a draft Local Bill could be submitted, Mr Rushbrook said.
Risks to the process included the planned replacement of the Resource Management Act and that the Local Bill process would set a minimum flow rate outside of the present RMA planning process.
Setting flow rates was also outside the statutory functions of the district council.
Still, the council considered a Local Bill a pragmatic way to resolve ‘‘an outstanding problem’’, Mr Rushbrook said.
The council would make final decision on submitting the draft Bill once it was prepared, he said.
