Agriculture Reference
In-Depth Information
emergence, as a result of water transfers, of financial incentives to improve technical
efficiency in the use of water;
establishing a resource rental for water; and
increasing certainty in the specification of rights in water resource consents.
Two ideas that were focused on were technical efficiency and the transfer of water
resource consents.
Technical efficiency
Ideas for improving the technical efficiency of water use included:
making water meters compulsory;
allowing charges to be made on a volumetric basis;
separate take and use consents with take consents of limited duration;
industry efficiency standards, codes of practice or a certification system;
providing financial assistance for water users to shift to more efficient technology; and
public education and measures to encourage efficiency in use of domestic water
(particularly related to use of drinking-quality water).
These ideas were well-received during consultation and submitters offered many
other solutions around efficiency of domestic water use.
Transfer of water resource consents
The transfer of water resource consents can happen under the RMA but few transfers
occur. Enhancing the transferability of water resource consents would encourage
regional councils to consider consent transfers and to remove the barriers to, or reduce the
transaction costs involved in such transfers and would potentially lead to an improved
overall system of water allocation and use. To the extent that trading facilitates the
reallocation of water resources, the first-in first-served system for making initial
allocations would be of less concern.
There is some resistance, however, to the concept, especially among some land
owners who believe that the transfer of consents should only occur in the context of the
transfer of ownership of land. Greater use of the transfer of consents would enable the
ability to allocate and reallocate water to its highest environmental, social, cultural and
economic values over time. This is a key policy issue to be considered by the WPoA.
The emergence of a price for water would also provide incentives for technical efficiency
in water use.
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