General Announcement::Local Water Done Well solution for Auckland Council

Issuer & Securities

Issuer/ Manager
AUCKLAND COUNCIL
Securities
AUCKLANDC EUR500M0.25%B311117 - XS2407197545 - 9FXB
AUCKLANDCOUN EU500M1%N270119 - XS1520344745 - 67KB
AUCKLANDC EUR500M0.625%N241113 - XS1716946717 - 84ZB
AUCKLANDC EUR500M0.125%N290926 - XS2055663764 - KJIB
AUCKLAND COU NOK1.4B 4%N280909 - XS0964196603 - 2ZFB
AUCKLANDCOEU185M 2.125%N340324 - XS1045821847 - 3E4B
AUCKLANDC NOK1B 2.0775%N311128 - XS1514161956 - 61YB
AUCKLANDC EUR600M3%B340318 - XS2784364973 - 9AWB
Stapled Security
No

Announcement Details

Announcement Title
General Announcement
Date &Time of Broadcast
06-May-2024 05:14:26
Status
New
Announcement Sub Title
Local Water Done Well solution for Auckland Council
Announcement Reference
SG240506OTHRMCG7
Submitted By (Co./ Ind. Name)
Andrew John
Designation
Head of Group Treasury
Effective Date and Time of the event
06/05/2024 05:00:00
Description (Please provide a detailed description of the event in the box below)
Market Announcement

6 May 2024

Local Water Done Well solution for Auckland Council

Auckland Council is working with the government on its water reform programme, Local Water Done Well, to continue delivering sustainable water services to Auckland in an affordable way.

On Sunday (5 May 2024) a solution was announced for financial independence for council-controlled organisation Watercare, through the prohibition on Auckland Council providing financial support.

The announcement was made at a joint press conference at Watercare s Central Interceptor in M ngere by Prime Minister Christopher Luxon, Local Government Minister Simeon Brown, and Auckland Mayor Wayne Brown.

The plan, which has been unanimously endorsed by Auckland Council s Governing Body, means assets and operations remain in council ownership; a more financially sustainable delivery model can be employed; and enables stronger central government oversight, economic and environmental regulation.

It is expected that once the change is fully implemented, Auckland Council will have lower borrowing requirements, as Watercare will undertake its own borrowings.

International credit ratings agency S&P Global Ratings has determined the model would mean Watercare s borrowing is separate from Auckland Council for credit rating purposes.

The proposal must be passed in legislation and is expected to be introduced later this month. All parties are committed to ensuring a smooth transition for all stakeholders through the process.

The council is due to adopt its Long-term Plan 2024-2034 by the end of June 2024 which will include updated ten-year financial projections.


ENDS
For further information contact:
Vanessa Feaver
Senior communications and media lead
Auckland Council
m. (+64) 27 221 5232
e. vanessa.feaver@aucklandcouncil.govt.nz

Attachments

Local Water Done Well solution for Auckland Council - 6 May 2024.pdf
Total size =230K