Water Services Entities Bill

  • enacted

Obligation to maintain ownership and control of water services and significant assets

116 Obligation to maintain water services

(1)

A water services entity must continue to provide water services and maintain its capacity to perform or exercise its duties, functions, or powers under this Act.

(2)

In order to perform or exercise its duties, functions, or powers under this Act, a water services entity must not do any of the following:

(a)

use water services infrastructure as security for any purpose:

(b)

divest its ownership or other interest in any water services except in accordance with Schedule 4:

(c)

lose control of, sell, or otherwise dispose of, the significant infrastructure necessary for providing water services in its service area except—

(i)

in accordance with Schedule 4; or

(ii)

if, in doing so, the entity retains its capacity to perform or exercise its duties, functions, or powers.

(3)

In this section,—

significant infrastructure means any of the following:

(a)

water services infrastructure that—

(i)

is owned or operated by a water services entity for the purposes of the delivery of water services to consumers or communities in any part of the entity’s service area; and

(ii)

a water services entity needs to retain to—

(A)

maintain its capacity to achieve its objectives; or

(B)

perform or exercise its duties, functions, or powers; or

(C)

promote an outcome that the entity has identified as important to the current or future well-being of consumers or communities in the entity’s service area; and

(b)

infrastructure that is identified by the water services entity as being material to its operations and that is included in the entity’s current statement of intent.

Compare: 2002 No 84 s 130(2), (3)(a), (b), (c)