The plan had been accepted by the Department of Internal Affairs (DIA), it was announced earlier this week.
Mayor Mel Tavendale said the acceptance was a ‘‘significant step forward for Waitaki’’.
The plan provided a ‘‘more affordable future’’ for water services and gave the community ‘‘certainty’’ following ten years of reform and uncertainty.
‘‘This outcome is about putting the community first.
‘‘It means households have a clearer view of how essential water services will be delivered and funded, while council can plan with greater confidence for the infrastructure Waitaki needs.’’
Local Government Minister Simon Watts said the approval was a ‘‘milestone’’.
‘‘Waitaki is not alone in facing challenges around the affordability and reliability of water services. Working together through a regional organisation is a positive step forward.
‘‘It provides scale, better use of expertise and capacity, and improved access to finance.’’
Three-quarters of New Zealanders would soon receive water services from organisations established under the Local Water Done Well reforms, he said.
Mr Watts thanked former environment minister Amy Adams, whom he appointed to a $1654-a-day Crown facilitator role, for her work helping Waitaki’s council draft a revised water services delivery plan.
Waitaki staff, assets and debt are due to transfer to Southern Waters on July 1 next year.
There will be consultation with staff affected by the restructuring.
The multi-district entity also includes Central Otago, Gore and Clutha district councils.
Water will not be included on rates bills from the 2027-28 financial year and residents will instead receive a separate water bill.
Council chief executive Alex Parmley said joining Southern Waters was the ‘‘most affordable way to deliver the considerable investment still required to meet legally binding water standards and renew ageing infrastructure’’.
Councillors unanimously voted to adopt the revised water services delivery plan last month and it was submitted to the DIA for approval after a previous in-house iteration was rejected.
Described as the ‘‘best path towards financial sustainability’’, Southern Water will offer significantly lower costs than if Waitaki had gone in-house.
Despite the expected savings, water charges are still due to increase by 124% within a decade and affordability for households will worsen.
Challenges also remain to bring parts of the water network up to standard ahead of joining Southern Waters.
