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The Full Story

Ruataniwha Dam Version 2.0 

REPORT

 

Brief report on Council meeting of Thursday 31 October 2024 held to endorse the ‘Hawkes Bay Community Water Trust’

 

  1. The meeting was well attended by over 60 Wise Water Use Supporters, whose numbers were swelled by tangata whenua who came over from the Town Hall where they had been opposing another plundering of water from the Ruataniwha aquifer, under Tranche 2, in the Environment Court;

  2. There were around 6 supporters of the Ruataniwha dam by our count, including 2 of the 3 Ruataniwha dam consent holders, Hugh Ritchie (35%) and Tim Gilbertson (50%).  Both looked weary and are possibly keen to wash their hands of the consents (for full compensation, of course!) given the drama they have caused?

  3. No dam supporters presented to Council prior to the vote;

  4. Four presentations opposing the Trust were made by WWU advocates, Gren Christie, Murray Rosser and Trevor Le Lievre, with local kaumatua Johny Nepe-Apatu (Ngāti Mārau) also presenting in opposition;

  5. We will get videos of the presentations onto this website over the next couple of days;

  6. Those not able to access the limited seating in Council chambers spilled out into the foyer; however, some left early due to the high temperature and being unable to see or hear proceedings;

  7. Council need to get this sorted as a priority if they truly value community participation;

  8. It was clear from the outset that the meeting was a stitch-up, and that the vote to endorse the Trust was a foregone conclusion;

  9. As reported by Bay Buzz editor, Tom Belford “The few questions raised – about the scope and purpose of the Trust; the actual need for the Trust; the ability of CHBDC to influence the Trust once created; the powers, funding or freedom of action of the Trust – were answered disingenuously (by CE Doug Tate)… to put it politely. But that sufficed because Councillors were unprepared or uninterested as governors to challenge what was said."

  10. It was clear that the only two councillors who had come to the meeting prepared and who were able to ask probing questions were councillor Pip Burne and Deputy Mayor Kelly Annand;

  11. Neither Councillor Burne nor Annand voted to endorse the Trust, largely due to concerns that it failed to address its supposed goal to investigate water resilience in any real way;

  12. WWU has argued from the outset that the Trust was never about water resilience, but simply a Trojan Horse to progress the Ruataniwha dam;

  13. A 'community' trust simply provides the veneer of community buy-in, a pre-requisite for funding from the Regional Investment Fund which the dam promoters need to develop their business case, the next step in progressing the dam;

  14. The vote was 7/2 in favour of the trust, with Mayor Alex Walker clearly in favour and the loyal troops (mostly) falling into line.

 

Wise Water Use HB thank their growing support base for turning out on Thursday, and for the countless emails and phone calls in support of our stance against this Trojan Horse, and for our continuous work to bring about genuine water resilience, with Wise Water Use!

We will keep you posted on our next moves – please continue to monitor this web site and our Facebook page.  You can also subscribe to our email list, or better still become an Advocate for Wise Water Use (scroll to the bottom of this page)!

 

To view community views on the Trust and Ruatanihwa dam, see Let's Talk CHB.

 

For media coverage of the meeting:

 

BREAKING!!

In a breaking development following the meeting, Mayor Alex Walker faltered in a live interview with Alexa Cook on RNZ’s Morning Report, and conceded that she could not promise ratepayers that they wouldn’t be on the hook for costs associated with the Ruataniwha dam.  See WWU’s response in their media statementDownloadable Here

 

Meanwhile, for your viewing pleasure please watch the excellent 8 minute TVNZ+ story which  features Wise Water Use and mana whenua standing together at the Ruataniwha dam site in the upper Makaroro River in opposition to the trust and dam. We have a short here, and the full 8 minute story is here.  (you need to subscribe to TVNZ+ (free) to view it).

We Don't Have a Water Crisis

People think that when we have town water restrictions in summer it’s because we’ve run out of water – it’s NOT, we have plenty of water under current consents which we NEVER FULLY USE – it’s because there are limits to what we can pump and store during high demand periods. It’s an infrastructure, not a water supply, issue

Council Should Prioritize Completing the New Town Water Tank

Council recently started to build another large storage tank between Waipukurau and Waipawa for water resilience, but have stopped this work we understand because of cost reprioritisation following Cyclone Gabrielle  – wouldn’t council be better to put our money into completing the water storage tank and pipework instead of spending it on this Trust and promoting the dam?

Missing in Action - Environmental Protections

Mayor Alex Walker has stated that she has no concerns about the Ruataniwha dam poisoning our waterways as there are environmental protections in place to stop further farming intensification and nitrate leaching.  There aren’t.

The National Policy Statement on Freshwater Management (NPS-FM) doesn’t restrict intensification – that falls under the National Environmental Standards for Freshwater (NES) which has a sunset provision that will see the relevant clause expire in January 2025.

Note that this government has just changed the law to prevent Regional Councils from updating their Regional Plans (i.e. which might manage intensification) before the clause expires.

The NPS-FM does cover things like nitrogen limits, water allocation, and wetland management; however, this coalition government – not renowned for its love of the environment – has announced it will repeal NPS-FM – what will replace it?

The Regional Council’s Tukituki Plan Change 6 (PC6) does supposedly have provisions that could limit intensification; however, these are not effective.  This is because the tool used by PC6 to control nitrogen is the Land Use Capability (LUC) model, which “gives considerable headroom (30-50%) for further nitrogen losses across the catchment and is not considered an effective means to manage nitrogen where the levels need to be significantly reduced” (source: Ruataniwha Water Storage Scheme Review, 2017, p.68)

Why the Rush?

Why the rush to establish a Trust before ratepayers have had a chance to be fully informed? CEO Doug Tate told Councillors last week there is no deadline to form a trust. 

He also said it was optional for Council to be involved in establishing a trust and that it was possible for Tamatea Pōkai Whenua and Water Holdings Hawkes Bay to partner up and establish a Trust themselves.

Great idea!

Built on an Earthquake Faultline

The dam promoters never talk about the fact the dam reservoir will be built on an major earthquake fault-line (the Mohaka Fault) – yes, you read that right!

They say they can ‘engineer around’ this risk, but we say it’s just arrogance to think they can manage whatever force nature throws up.

​​Dams can also fail just due to faulty construction methods – check out what’s happening right now with the Paradise Dam in Queensland, Australia

Major Secrecy

Why are Central Hawke's Bay District Council so keen to get involved in this?

Why can't the community trust be set up by the consent holders without Council involved?

​The proposed trust is a ‘Community Trust’ in name only – the community weren’t even aware a trust was underway until Wise Water Use uncovered it a few weeks ago, and forced Council to ask for public feedback after showing up in numbers at the meeting of Thursday 17th October.

Otherwise, the Trust Deed – which has cost ratepayers $20,000 in legal fees (so far!) – would likely have been endorsed at that meeting and announced after the fact. Talk about secrecy!

A Thriving Community?

Will intensive farming associated with an industrial-scale dam really help our region grow? 

Currently Siver Fern Farms meat processing plant in Takapau is the major employer in CHB.  With a shift to intensive dairy and specialist cropping our sheep farms will decline in number, potentially spelling the closure of the Takapau plant.

Consider this: in South Canterbury the Van Leeuwen Group milks 10,000 cows on 11 dairy farms to produce five million kilograms of milk solids annually.  It has moved to robotic milking systems, and is now underwritten by an Australian non-bank investor.  Not very ‘community’ focussed.

Inefficient Land Use

The water we do have would be plenty for our district if we weren't using the land in ways that go against nature.

The Ruataniwha plains are naturally meant for dry-land farming. We don't want to be irrigating stoney riverbed soils to grow grass for intensive dairy. Not only is this inefficient but it will cause more nitrate leaching into our waterways.

CHB already has the lowest economic return per capita for the highest water use in the district.

High nitrate levels have been proven to increase cancer risk. Our nitrate levels in many areas are already well above the WHO standards.

Greenwashing the Dam

The dam promoters are greenwashing this project by saying they will release water to keep the river flowing but if we weren't squandering our water now we wouldn't have low flows - plys these environmental flows will have to be paid for, likely by HBRC which would increase your regional rates by 37% (by our calculations).

Full Consultation Needed

Whilst it is pleasing that CHBDC has now started a discussion on their web page about this issue, this does not constitute robust consultation. Full consultation means reaching out to ratepayers with all the information, as recently occurred with the Representation Review, and Streets for People consultations.

​Expecting ratepayers to find their way to council’s online chat forum is a passive means of engagement and will lock out many ratepayers, especially elderly, who aren’t familiar with this type of forum.

Further Climate Damage

They say this is about climate resilience, but the amount of extra intensification of farming that would occur with a dam would mean more emissions.

​The dam itself will contribute to climate change because it has such a large footprint (the dam will be 7 km long and have a surface area of 370 ha.), and as the organic matter (i.e. trees and plant material) under the water break down this releases methane and carbon dioxide. Methane is a greenhouse gas that's 20 to 40 times more potent than carbon dioxide.

Coastal Erosion

The Tukituki river supplies 43% of all sand and gravel that reaches the coast which is vital to keep coastal erosion in check and to protect private and public property.

No shingle will move past the dam wall and down the river, which will make already concerning coastal erosion even worse.

At the time of Ruataniwha v.1 there was discussion about trucking shingle out to the cost to make up the shortfall - wouldn’t it be better to let the shingle move down the river naturally as it does now?

Expensive H20

Last time with Ruatanihwa v.1 our then-pro-dam Council signed up to take 5 Mm3 of water to be paid for with rate increases, which WE DIDN’T NEED!

This was because they wanted to prop up the dam which had stalled because not enough farmers would sign up to take water because it was too expensive.

Expect a similar move this time around, except the water will be way more expensive meaning even higher rate increases.

Divided Community

Alex Walker has shown herself to be a mostly competent Mayor, and works well with Doug Tate (Chief Executive). However Mayor Walker clearly has a blind spot for the Ruataniwha Dam.

Why is this?  And, why are CHBDC pursuing this Community Trust to promote the dam when the legacy of Ruataniwha v.1 is one of community division?

This time around is no different - this proposal has already divided our community at a time when we need to be working together.

Shouldn't Mayor Walker take heed of her own catch-phrase, "together we thrive!"?

Water Mismanagement, Not Crisis

We don't have a "water crisis" in CHB we have an issue with the way we use our water.

Just 6 users take 42% of our consented water at the moment. Instead of building a massive, expensive, environmentally destructive dam, we need land use change and a fairer way to distribute our water.

Wise Water Use first!

Consent Ownership Concerns

Why the need for a community trust? They say "we need to keep these consents in the community." The consents are already in the community - they are held by 3 local farmers who have lived here for generations.

Do Council have information that the consents are about to be sold outside of the community? If so, this information needs sharing.

Hidden Costs for Ratepayers

Ratepayers will pay for all the road maintenance surrounding the dam build, with trucks carting shingle and equipment on and off site.

Already the bulk of our rates go to roading. We haven't even fixed all the roads damaged by Gabrielle.

When the Regional Council wanted to build Ruataniwha v.1 there was discussion about dredging the dam and trucking shingle away from the site.

Who will pay for the dredging, trucking and road repair costs? We know who – ratepayers!

Risk to Life and Property

In 2023 a large dam in Libya broke after heavy rain from Storm Daniel, releasing 30 Mm3 of water (Ruataniwha will hold 100 Mm3) destroying parts of the city of Derna and killing an estimated 24,000 people. The over-topping of dams following heavy rainfall is the single biggest reason for dams breaking. What would have happened during Cyclone Gabrielle?

Ratepayers living in Waipawa should be very worried.

Future Decommission Costs

Large dams only last for around 80 years because of sediment buildup behind the dam wall and then they have to be decommissioned, paid for by taxpayers.

The cost to decommission a Dam can be 40% of the construction cost – is this a cost you want your grandchildren to pay?

Hidden Costs of Temporary Job Influx

They say this is about jobs but think about it: initally this project would bring more people into the district, which would spike rents and cost of living, but when all those people leave again, local residents will be stuck paying those high costs.

The kind of people that are employed to build a dam are specialist tradespeople and engineers.

What sort of long-term jobs are being projected?  The dam promoters never say.  Presently mostly low-wage immigrant labour is used to work on the intensive dairy farms on the region. 

The Hydro-Generation Myth

As part of their green-washing campaign the dam promoters are saying there will be a hydro generation plant on the dam.

THERE WON’T – there is NO business case to show this would be financially viable – it’s just spin. We have done the sums and the cost of dragging power 20 km to the Onga Onga substation means hydro generation could never be viable.

Who's Paying?
$27M Spent Already

Who will pay for the dam build, or be able to afford the water? Already $27M of ratepayer and taxpayers' money has been spent on this project without a sod of earth being turned. 

At  the time Ruataniwha v.1 was canned in 2018  the build cost for the dam and distribution network (water was priced for delivery to the farm-gate) was $900 million.  With inflation that cost would now be at least $1.3 billion.

Where are the investment dollars coming from?  Will ratepayers have to subsidise a dam, as has occurred with the Waimea dam in Tasman District?  Perhaps the dam promoters have an overseas investor lined up - do we want our precious water resource sold to the highest overseas bidder?

Oh, and who will pay the science charges levied annually by the Regional Council against the consents (in 2023 these were $180,000)? 

Learn From Others Mistakes

Why are we going to make the same mistake as Waimea Dam?

Their project cost has blown out 150% and their ratepayers are picking up the difference. All large dam projects so far have had budget blowouts.

Damage to Te Taiao

Why would we risk damaging the homes of the pekapeka (long-tailed bats), Fernbirds, New Zealand Falcon and native fish?

Not to mention the native tree species, all lost for eternity.

Check out some pics of the natural habitat of the upper-Makaroro River - all of which will be flooded if the Ruataniwha dam were to progress.

Money Grab

It's not about long term jobs, it's not about climate resilience, this is about a few local landowners wanting to cash in on the capital gains a dam would bring.

Short term thinking, driven by a quest for money.

Lack of Engagement

The decision to endorse a Community Water Trust deed was always going to be viewed with suspicion by ratepayers, which was why it was so disappointing that Council did not allow a speaking slot for Wise Water Use at the meeting on Thursday 17th. By silencing Wise Water Use in this matter (seriously, what harm would there have been in allowing them 5 minutes to speak?)

Council demonstrated that they were afraid to engage publicly with dissenting voices.

Now, because over 50 people showed at the meeting of 17th October demanding consultation, Council to their credit has opened up their 'Lets Talk CHB' site - let's make the most of this opportunity! 

Inflation Concerns

The cost bandied about  for water under Ruataniwha v.1 was 27 cents per m3. 

That figure was low because it was to be heavily subsidised by HB Regional Council ratepayers. The HBRC financial advisors [BNZ] stated at the time a commercial return on investment (RoI) would require a price of between 45 and 50 cents per m3.

Will ratepayers be subsidising dam water again, and will farmers be able to afford to buy it under take-or-pay contracts (i.e. you pay the same amount every year regardless of whether you use the water or not)?

Farmers, and ratepayers need to ask themselves are they willing to pay what could be almost double now, given inflated construction costs and the bad habit of Dams to completely blow their budgets, as with the Waimea Dam in Tasman district (150% over budget)?

Seriously Council, we need to see the business case BEFORE contemplating establishing a Trust to hold the consents!

Our councillors to their great credit are always available to hear your views:  we encourage you to contact them by phone or email (scroll down on the table below).

Name:
Phone:
Email:
Alex Walker
027 860 7752
alex.walker@chbdc.govt.nz
Kelly Annand
027 479 4000
kelly.annand@chbdc.govt.nz
Tim Aitken
027 472 4587
tim.aitken@chbdc.govt.nz
Jerry Greer
027 488 4786
jerry.greer@chbdc.govt.nz
Gerard Minehan
027 479 3773
gerard.minehan@chbdc.govt.nz
Brett Muggeridge
021 332 353
brent.muggeridge@chbdc.govt.nz
Kate Taylor
027 603 2200
kate.taylor@chbdc.govt.nz
Exham Wichman
027 269 9920
exham.wichman@chbdc.govt.nz
Pip Burne
021 0257 4496
pip.burne@chbdc.govt.nz
Press Statement

​PRESS STATEMENT 

Friday 1 November 2024 

Central Hawkes Bay mayor Alex Walker has conceded that she cannot promise that future costs associated with the Ruataniwha dam won’t hit ratepayers in the pocket. 

 

For Immediate Release:  

 

The concession was made during a live RNZ report (5:28) this morning.  

 

“Wise Water Use HB has been warning there may be potential costs to ratepayers associated with this dam,” said spokesperson Dr Trevor Le Lievre, adding: “at last Mayor Walker has come clean on this issue. 

 

“We have already highlighted costs for the maintenance of roads and bridges associated with the dam build, and then for ongoing removal of shingle from the dam reservoir.  Ironically, Council still hasn’t repaired major roading infrastructure following Cyclone Gabrielle, including the Fletcher’s Crossing bridge on Wakarara Road which leads up to the dam-site itself! 

 

“What other costs does our mayor envisage ratepayers might be on the hook for?” asked Le Lievre, citing the private company which operates the Opuhu Dam and which recently submitted on Environment Canterbury’s 2023-24 Long-term Plan seeking a targeted rate increase to fund capital works that irrigator-shareholders can’t afford: “Is this a possibility in Hawkes Bay?” 

 

“Moreover, the question as to who will pay for the release of 20 Mm3 of dam water to maintain minimum flows in the Tukituki River – part of the greenwashing of the dam by promoters – still hasn’t been answered.  We calculate that if this cost were to fall on Regional Council ratepayers this would entail a 30%+ rate increase. 

 

“These potential costs should be of concern to the entire Hawkes Bay community, as this Trust, named the ‘Hawkes Bay Community Water Trust’, has been formed in their name.  

 

A further concern to Wise Water Use HB is Mayor Walker’s consistent reference to ‘misinformation’ and ‘scaremongering’ concerning the trust, attributed to unnamed organisations. 

 

“Certainly Wise Water Use attempt to argue on the available evidence, and welcomes informed debate.  We have posted fact sheets on our website which has attracted a huge volume of traffic.   

 

“It is unbecoming of the mayor’s high office for Mayor Walker to be alleging misinformation without actually citing what that information is.  If Mayor Walker believes any of the information posted by Wise Water Use is incorrect we invite her to highlight which items, as we do aim to be factual,” said Dr Le Lievre. 

 

Wise Water Use also believes that Mayor Walker and Chief Executive, Doug Tate may themselves be circulating incorrect information by steadfastly claiming that the purpose of the Trust is to explore wider-water security initiatives, of which the Ruataniwha dam is just “one of the tools in the kit”.   

 

“Mayor Walker clearly hasn’t read Council’s own Trust Deed – its overarching purpose is to advance ‘the Scheme’, defined as the Ruataniwha dam.  That was the instruction to Council’s lawyers when drafting the Deed, and they have certainly delivered.    Why form a Trust to explore water security initiatives? 

 

Wise Water Use understands that the dam promoters’ motivation for placing the consents and IP for the Ruataniwha dam into a community trust is to achieve the veneer of community buy-in, as a pre-requisite for attaining funding from the Regional Investment Fund.   

 

“The dam promoters need that funding to pay for development of a new business case as the next step in progressing the dam under Fast Track.  It’s really as simple as that,” said Dr Le Lievre. 

 

A further concern is Mayor Walker’s consistent claim that there are sufficient environmental protections in place to ensure that the Ruataniwha Plains catchment will be protected from further nitrate leaching. 

 

“As an environmental group we live and breathe this stuff, and we don’t agree that there are sufficient protections in place.  Mayor Walker needs to spell out to the entire Hawkes Bay community what these environmental protections are, as the pollution that the Ruataniwha dam will cause won’t stop at the CHB border, but will be carried down the Tukituki River catchment all the way to Haumoana and then empty into our ocean,” finished Dr Le Lievre 

 

ENDS. 

 

For comment contact: 

Dr Trevor Le Lievre (spokesperson, Wise Water Use HB

M: 027 599 4888 

E: contact@wisewateruse.org.nz  

 

About Wise Water Use: 

Wise Water Use is a grassroots environmental advocacy group dedicated to promoting sustainable water management practices and ensuring transparent decision-making processes in Hawke’s Bay.  We work to protect the long-term interests of local ratepayers and safeguard the region's natural resources. 

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