A Wairuna farming operation which admitted stealing water from the Clutha District Council over several years has agreed to pay more than $50,000 to avoid prosecution.
The farm, near Clinton, owned by Iona Ltd, is believed to have tapped into a connection on the Clydevale-Pomahaka rural water scheme several years ago.
The connection was detected late last year. The council has met behind closed doors to discuss what steps to take against the farm.
In a statement yesterday, chief executive Charles Hakkaart said it had reached an "agreed outcome" over the unauthorised water usage.
"Following constructive negotiations between the parties, Iona Ltd has agreed to pay the council over $50,000 as payment for the unauthorised water estimated to have been used.
"Council acknowledges the property owner's co-operation in reaching this outcome and will not be pursuing any further action in respect of this matter."
The council would not confirm the actual amount for legal reasons, saying that description of the figure and the entire statement had been read and agreed to by both parties.
It is the largest financial penalty paid by a Clutha water scheme consumer for the theft of water. The council is confident it can trace any other culprits.
Modern technology and improved resources made it very likely other unauthorised water connections will be detected and the council has been "actively investigating" other unauthorised connections and water usage in the district.
Mr Hakkaart said any further examples of illegal water usage would not be tolerated by the council.
"Council would pursue a charge for unauthorised water use and would consider other actions, including prosecution, as appropriate."
