Economic Regulation of Water Services – Crown Monitor
In September 2024, the Minister of Local Government appointed the Commerce Commission to act as the Crown monitor to Auckland’s water supply and wastewater service provider, Watercare. Our role is to monitor and report on Watercare’s performance as set out in the Watercare Charter. Our f…
Watercare must report on a range of measures, including how it will improve its asset management practices, along with improvements to investment planning and delivery to ensure better value for money for Aucklanders in the short and long term, and to deliver certainty to lenders. The Commission will monitor Watercare’s performance against key service metrics, including how it responds to water supply interruptions and wastewater overflows, and meets leakage targets.
The Crown monitor role is targeted and specific to Watercare. It is separate from the various programmes of work the Commerce Commission is currently providing to support the development of long-term regulation for water services in New Zealand as part of the Government's LWDW regime. It is also separate to the recent confirmation of the Commission’s regulatory role for Wellington Water.
Letter of Expectations from the Crown monitor to Watercare
Our letter of expectations sets out:
- how we will monitor and report on Watercare’s performance during the Charter period,
- our ability to investigate and take enforcement action if Watercare is non-compliant with the requirements of the Charter, and
- what Watercare can expect from our engagement.