long term plan 2021-2031 CONSULTATION TOPIC 1
Drinking Water Pipe Replacement
Through the recent Long Term Plan 2021-2031 consultation process, Council received considerable support to progress the drinking water pipe replacement programme. The Long Term Plan 2021-2031 was adopted by Council at the 27 July 2021 meeting.
This programme will fast-track the replacement of all the drinking water pipes (which have not already been replaced) by borrowing $12 million over the next six years until 2026.
Background
The Kawerau District has one water supply network that distributes potable (drinking) water to:
- 2,751-plus households
- Five large industrial plants
- 175 (approx.) businesses
The network comprises springs, pumps, reservoirs and pipes. Most of Kawerau’s water supply pipes were installed from 1956 through to 1986.
The three materials which the 77km water pipes consists of are steel (44%), asbestos cement (AC) (37%) and plastic PVC (19%).
Water pipes in the Newall, Galway and Domett streets area were replaced in 2010 with PVC (plastic) pipes. The pipes in Te Ariki Place, Bell, Massey, Short, Hinemotu and McKenzie Streets area have just been replaced earlier in 2021.
Council’s practice to date has been to replace water pipes when breakages occur or when the pipes are known to be at the end of their useful life. This practice avoided unnecessary costs resulting from pipes being replaced early.
Replacement Strategy
The community supported Council's proposal to replace all old steel and asbestos cement pipes over the next six years due to:
Pipes deteriorating faster in some areas due to geothermal and water acidity.
- Overall, pipes in Kawerau deteriorate 24% faster than the national average.
- Nearly half of the water supply pipes consist of asbestos cement.
- On-going discoloured water issues due to the build-up of manganese and iron in existing pipes.
This will cost $2.0 million each year for a total cost of $12 million.
Council believes it is prudent with the current low interest rates to start this accelerated replacement programme now and fund it from loans from the Local Government Funding Agency (LGFA).
The lifetime of the polyethylene pipes (PE) which is a new generation PVC pipe is 100 years.
The loans would be taken out for a period of 90 years, which means current and future residents who benefit from the new asset, will contribute financially. The loan period will allow the next pipe replacement to be started and completed with the pipe's 100 year lifespan. The loans will be taken out as Kawerau District Council has joined the LGFA (Local Government Funding Agency) which offers low-interest loans to Council Controlled Organisations.
More information about the Drinking Water Pipe replacement programme, the Asset Management Plans and other infrastructure related information can be found in the Long Term Plan 2021-2031.
