Tauranga City Council has backflipped on its decision to go it alone on delivering water services and will partner with its closest neighbour.
Mayor Mahé Drysdale used his casting vote at a meeting on Friday to reverse a previous decision that would have seen the council deliver water services in-house until July 2028.
Councils have until September 3 to submit a plan for managing drinking, storm and wastewater services under the Government’s Local Water Done Well programme.
Friday’s extraordinary meeting provided information about the implications of the in-house decision because the work done so far was for a water services organisation with other council partners.
Tauranga City Council will now partner with its “little brother”, Western Bay of Plenty District Council, and possibly Thames Coromandel District Council, on a water services organisation from July 2027.
Drysdale said the information reconfirmed that a multi-council water organisation was the right direction.
“Western Bay are our family, they’ve cried out for help, and it’s our responsibility as the regional leader to step up and look after our little brother.”
The Department of Internal Affairs made it clear that councils needed to consider what was best for their regional partners, as well as themselves, he said.
The multi-council organisation was a “win for everyone” because “everyone pays less,” Drysdale said.

Western Bay of Plenty mayor James Denyer asked Tauranga to reconsider its water decision. Photo / John Borren
Western Bay Mayor James Denyer wrote to Tauranga expressing his “dismay” at the city council’s in-house decision.
Tauranga’s decision put Western Bay in a “very challenging situation” where it would be unable to meet the financial sustainability requirements, the August 6 letter said.
Denyer asked Tauranga to reconsider its decision and to work toward a multiple-council water organisation with them.
Thames Coromandel Mayor Len Salt also wrote to Tauranga on August 13, saying its water services plan would be sub-optimal without its regional partners.
At Friday’s meeting, councillor Hautapu Baker said this was the biggest decision this council would make.
The respectful thing to do was give equal time and weight to all the possible water scenarios, which the decision to stay in-house allowed for, he said.
The decision to work with other councils was subject to due diligence.

Mayors Mahé Drysdale and James Denyer went rowing on the Wairoa River in April to get people talking about Local Water Done well. Photo / Tauranga City Council
Western Bay of Plenty needed to be satisfied that concerns expressed by its iwi about Treaty of Waitangi settlement considerations would be considered before Tauranga would include Thames Coromandel.
Western Bay of Plenty councillors also met on Friday to decide the way forward.
Initially, the district council was going to request a Crown facilitator to help deliver a viable water services plan, but this was not required after Tauranga’s latest decision.
The cost of a Crown facilitator would have been $1600 a day had it been required.
The district council would stick with its original decision to work with Tauranga on water services.
It noted Thames Coromandel District Council’s desire to be part of a multi-council-controlled organisation with Tauranga and the Western Bay.
Also, the district council requested the Office of Treaty Settlements work urgently with tangata whenua to resolve treaty settlement issues raised by iwi.
These issues made it difficult for Western Bay to partner with Thames Coromandel for water.

Western Bay of Plenty District councillor Margaret Murray-Benge. Photo / John Borren
Councillor Margaret Murray-Benge asked if there could be an extension to the September 3 deadline so the council could continue to consult with the community.
However, the deadline for an extension request was August 3.
Both Tauranga and Western Bay held public consultation on options for water services in April.
Murray-Benge said the mayors using casting votes to “make sure” the in-house options were “never considered” was a “vote of no confidence in the whole process”.
Mayor James Denyer used his casting vote to opt for a multicouncil water organisation at Western Bay’s water meeting earlier this month.
Deputy mayor John Scrimgeour said there were benefits to everyone by working with other councils.
“If we are trying to get the best result for our ratepayers, we need to be talking about how we can involve as many councils as possible.”
Scrimgeour respected the issues raised about working with other councils, but they needed to work together to get the “best possible outcomes”.
Denyer said Tauranga’s decision allowed Western Bay to move forward with confidence.
“Working with Tauranga is the best step forward for both councils,” he said in a statement today.
“We are all working toward the same goal: sustainable water services under the new framework.”
Both Tauranga City and Western Bay will submit a Water Service Delivery Plan by September 3.
The Department of Internal Affairs will assess them and provide a decision by the end of the year.
LDR is local body journalism co-funded by RNZ and NZ On Air.




7 comments
What Benefits?
Posted on 19-08-2025 11:10 | By Jules L
TCC is telling us that there are benefits to amalgamating with other councils, but it refuses to tell us what those benefits are. How can Tauranga possibly get a benefit from amalgamating with Thames/Coromandel, which we share nothing in common with, and which has a run-down and fragmented system that will take a lot of money to fix, our money. I can see what is in it for Thames/Coromandel, but I can see only big downsides for us. The only advantage seems to be glory-seeking by Tauranga Council, who want to see themselves as kings of a bigger council controlled organisation. This glory-seeking at the expense of the people is becoming more than a little annoying.
Water Done Costly
Posted on 19-08-2025 12:03 | By Noel Silver
All three Councils are colluding on a grand plan for our Water Services that they say are going to be cheaper for all the Ratepayers.
They have NEVER ever shown us a fully costed model of how this company will ACTUALLY be more cost effective than what we have now. LET'S SEE THE PLAN. When councils have grand plans they always come with grand costs, and ratepayers are worse off. When this happens the 59 excuse book is brought out. Solid facts are needed not grandstanding BS by Mayors who have no technical knowledge in this matter.
Sharing a pie
Posted on 19-08-2025 12:59 | By morepork
"As I passed by his garden
I saw with one eye
How the Owl and the Panther
Were sharing a pie.
The Panther had pie crust, gravy, and meat
While the Owl had the dish
As his share of the treat." - Lewis Carroll
If you're a Council who can't afford to manage your own water resource, never mind. Go for shared responsibility and sell it as great co-operation.
For a mere $110 million (shared amongst the participants) you could build a de-salination plant that would provide enough water for everybody and there would be no concern for iwi over natural resources being husbanded properly. (The plant could be connected to existing aquifers and use existing distribution.)
For Tauranga alone (60,000,000 litres/day) the cost is $90 million.
New CBD vanity legacy is $340 million...
If you visit, bring your own water....
United we stand
Posted on 19-08-2025 13:05 | By Watchdog
But, good in theory. I wonder what this will mean in increased costs for an already very expensive rates bill by 2027.
We need to itemize very carefully any additional costs for doing this.
Mr Scott
Posted on 19-08-2025 15:24 | By Scottie P
Why did he push for 2nd vote. It Ain’t Broke means nothing to fix. More changes and mayor says it for the best. What experience on infrastructure do you have. You overseen land sales to detriment of TCC ratepayers, now you think you’re a civil engineer. Show us the Data that you used to reach your decision
That’s the way…
Posted on 19-08-2025 15:50 | By Shadow1
…Mahé, keep having meetings and peck away at the councillors until you get your own way. Our last Mayor was the same.
It’s interesting that you think everyone will pay less and I wonder how much fiddling the numbers gave you that conclusion.
I for one look forward to paying less than the existing extortionate present rate.
Shadow1.
Savings ?
Posted on 21-08-2025 08:42 | By an_alias
Tell us oh mightly Mahe the actual savings ?
Words are cheap and its typical you dont show any details for good reason.
A bit like your amazing saving on rates which was depreciation and we did hire a heap of people.
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