Ashburton and Selwyn councils have revealed how much rates bills will rise on average for property owners.
The two Canterbury councils adopted their annual plans on Tuesday.
Selwyn’s plan included an average 4.5 per cent rates increase – down from a forecast 13.3 per cent rise in the long-term plan after the council made cost cutting efforts.
However, the average rate increase is 8.8 per cent once an 18 per cent increase in drinking and wastewater charges is factored in. These charges come under the new council-controlled Selwyn Water limited.
The Ashburton District Council adopted their annual plan with a 9.15 per cent increase.
Ashburton’s rise also includes a 13.05 per cent increase in three waters costs, and 5.43 per cent average for everything else.
The council’s budget process began in January at an initial starting point of 10.4 per cent.
Ashburton made late changes to its plan due to an unexpected hike in electricity line charges and higher fuel prices.
Fuel prices have eased recently, but council chief executive Hamish Riach said the budget they set has to estimate costs for a full-year.
“The current slight reduction in the last week has not changed our proposed budget.”
Ashburton Deputy Mayor Richard Wilson said this year’s annual plan has “been a bit boring”.
“We haven’t had all these wonderful choices to build new buildings and fritter money.
“We’ve had to just stick to our core things, and that’s all we’ve been able to do.”
Government legislation dictated the three waters costs increases, which was “not a bad thing” if it meant high quality drinking water, he said.
Wilson also made reference to the major increase in the plan being for solid waste services, an increase from $276 to $479.
Council financial performance manager Gordon Cruickshank said the increase is due to the introduction of the green waste kerbside collection, an increase in fuel costs, as well as it being a new contract.
Selwyn went through a consultation process as a new council looked to strip back the previous council’s estimated rates rise.
Selwyn Mayor Lydia Gliddon said the annual plan marks the beginning of a different way of thinking.
“Affordability sits alongside service delivery.
“We are asking ourselves to deliver the right services, at the right time, for the right cost.
“Today isn’t actually the finish line, it’s just the start.”
Gliddon said work is already underway on the long-term plan, as the council aims to deliver value for money while planning for growth and change.
