Dodgy Dam promoters asking for even more cash to prop up the dam

The dodgy socialist dam proposal is costing the ratepayers of Hawkes Bay a pretty penny and that is even before a single sod has been turned.

Now the investment company owned by the Council is asking for even more money.

The regional council is being asked by its own investment company to pony up even more cash, beyond the $80 million-plus it has already set aside for the Ruataniwha dam.

Tomorrow, Hawke’s Bay Regional Investment Company (HBRIC) will put a water user agreement in front of councillors, asking them to sign up to the scheme for 35 years.

This “offer” made by the investment company would be in place of the current Foundation Water User Agreements whereby the council has an option but no obligation to buy up to 4 million cubic metres water per year.

So they haven’t met the required sign ups from farmers and now they are trying to get their council to buy the water they are proposing to produce instead. See why I call this dodgy and socialist? They are effectively proposing to spend ratepayers’ cash and have the council buy the water the ratepayers have already paid for. That is a massive subsidy for the dam and of no benefit to the community.  

The farmers don’t want it but the council is just ploughing ahead. They are trying to say the council should buy the water for “environmental reasons”.

The recommendation is being made under Item 10, which deals with Hawke’s Bay Regional Council environmental flows.

“A letter has been received from HBRIC in relation to a proposal previously traversed at a Council workshop on HBRIC accessing additional flows from the Ruataniwha Water Storage Scheme for environmental purposes,” council chief executive Liz Lambert reports.

“The forecast water uptake curve developed by HBRIC indicates that there is substantial surplus water stored in the early years of the scheme.”

Ms Lambert said council staff have undertaken a high-level initial assessment of the possible use of surplus water.

“This assessment is initially a qualitative one but it is envisaged that, should council agree to the proposal, that a more detailed quantitative assessment of environmental benefits and environmental projects would be developed,” she says.

Environmentally beneficial options identified by council staff include augmenting flows in small streams, increased flushing flows for rivers, and enlarging river mouths.

This is because all the headroom with nutrients is being taken up by the overflow of sewage from Waipukurau and Waipawa that the council refuses to fix.

There won’t be surplus water outflows…they couldn’t fill the dam if there were. The whole proposal is a rort and a fraud.

“This is a proposal HBRIC Ltd has put to council, it will be up to the council to decide if it wishes to accept the proposal,” he said.

“Under the proposal council would have access to a substantial volume of water for environmental use from day one of the scheme at no cost until year 10.

“At that stage forecast cash flows show [the council] would be in a position to pay for the 4 million cubic metres of water and still receive a substantial return on its investment in the scheme.”

Really? They are going to buy their own water, flush it down the river and still make money? With a deal like that I’m surprised that HBRC isn’t being inundated by investors throwing cash at them.

 

-HBToday


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