HWP Funding Partners

Today the Hurunui Water Project is strongly supported by funding arrangements with the local community of farmer/shareholder investors, by Rooney Group Limited, our project development partner and by Crown Irrigation Investments Limited (CIIL) under their Regional Irrigation Development Fund.

 

HWP has strong links with Environment Canterbury (ECan), the Hurunui-Waiau Zone Committee and Hurunui District Council and liaises with each to ensure our project plans are a fit with the regional and district water strategies.  

 

 

Crown Irrigation Investments Limited (CIIL)

In July, 2016 HWP began a new partnership with CIIL, when the Ministry of Primary Industries turned irrigation development funding over to its crown entity, CIIL. As with MPI’s former Irrigation Acceleration Fund (IAF), CIIL provides funding that can be drawn, on a dollar for dollar basis, for expenditure directly related to scheme development.  

 

Rooney Group Limited (RGL)

A new partnership, taking the form of an Early Contractor Involvement Agreement was signed between HWP and RGL in early September 2016. The partnership provides technical expertise, interim development funding and project management services. This is intended to progress the scheme through the completion of the feasibility stage, enabling a preferred scheme configuration to be identified and costed ready for detailed design and construction.  

 

Gary Rooney and his team are working closely with HWP as part of the Project Control Group to design the best irrigation scheme for HWP shareholders and the Hurunui District community. 

 

Environment Canterbury 

Environment Canterbury is the regional council working with the people of Canterbury to manage the region's air, water and land. ECan are committed to the sustainable management of our environment while promoting the region's economic, social and cultural well-being. ECan developed the CWMS in 2010 in a collaboration between itself, the Canterbury Mayoral Forum, Ngäi Tahu, the regions 10 territorial authorities as well as other stakeholder and industry groups and non-governmental organisations. 

 

Environment Canterbury has now moved towards zone-focused staff teams. The first of these teams was set up in Amberley in 2015, to cover the Hurunui-Waiau and Kaikoura zones. The focus of the team is on preparing and implementing a locally based work programme to deliver the on-the-ground work outlined in each of the Zone Committee, Zone Implementation Programmes (ZIP) to deliver regional priorities. 

 

The Hurunui/Kaikoura Zone Team can be contacted at Hurunui District Council (03) 314 8816. Alternatively call the Zone Team Manager (0275642372). 

 

Hurunui-Waiau Zone Committee (HWZC)

The HWZC was established in early 2010 as part of the Canterbury Water Management Strategy. The HWZC operates as a joint committee of Hurunui District Council and Environment Canterbury and meets monthly on a Monday afternoon/evening.   

 

Zone Committee members are appointed for a three-year term, and new members are invited on a rotation basis. Current members include Cynthia Roberts (replacing David Bedford) as ECan Commissioner representative, HDC Mayor Winton Dalley and Councillor Vince Daly, rūnanga representatives and business and farming community members. Applicants are assessed on skills, expertise, and experience as well as their ability to work together to develop water management solutions that deliver economic, social, cultural and environmental issues.  

 

HWP is committed to attending monthly HWZC meetings and has also participated in HWZC workshops and sub-groups such as its Biodiversity Group. HWP is currently a member of the Science Stakeholder Group, a sub-group set up in November 2016, to share research findings with other SSG members and the Zone Committee.  

 

Hurunui District Council (HDC)

The Council considers water storage within its District Plan. Mayor Winton Dalley and Councillor Vince Daly are members of the Hurunui-Waiau Zone Committee. In addition to the Committee’s monthly meetings, there is a close working relationship between ECan and the Hurunui District Council.

 

In May this year, the HDC voted unanimously in favour of a resolution of support for HWP, recognising the potential economic benefits that the project will bring to the Hurunui District and appreciating the difficult journey undertaken by HWP and its shareholders to date.


A brief history of the project’s former funding partners.  

HWP had its origins in 2002 when the Hurunui Irrigation and Power Trust (HIPT), was set up by the local farming and business community to investigate water storage for the frequently drought-stricken farming community.  

 

Following this, the project’s early development was contributed to by the Ministry of Agriculture and Fisheries (MAF) and the government’s Sustainable Farming Fund (SFF) by allocation of grants of $225,000 in 2003, and $385,000 in 2008 when Hurunui Water Project became a registered company. Funds were used to assess the feasibility of a storage scheme and explore possible locations and options for water storage. Both grants were matched dollar for dollar by the community trust, HIPT.  

 

In August 2008, the Ministry of Primary Industries (MPI) granted $50,000 to the project from their Community Irrigation Fund (CIF), again conditional that it was matched dollar for dollar by local contributions. An additional $62,500 CIF grant was awarded in 2009. The CIF funding was used to develop the governance structure for the project and pay for early project management.  

 

 

In March 2010, the Hurunui Water Project was delighted to be made a recipient of the Canterbury V5 Award for projects of national significance. This was a joint project by the Canterbury Development Corporation, Canterbury Employers' Chamber of Commerce, and the University of Canterbury, to recognise projects of national significance with the potential to bring in $100m of revenue for the Canterbury region within five years.  

 

In September 2010, HWP invited the community within its irrigation Command Area to invest in the company as shareholders. An over-subscribed investment offer allowed HWP to continue pre-feasibility studies that included geological and engineering investigations, provided funding to apply for consents to build the scheme and facilitated procuring further Government funding.  

 

In mid-2013, MPI's Irrigation Acceleration Fund (IAF) contracted to provide HWP with a ($ for $) grant totalling some $2.38 million to be used for pre-feasibility investigations. Work was completed and the funding agreement expired in October 2015. 

 

However, during this time HWP had had to commit considerable time and financial resources to resolving an Appeal on its consents by neighbouring irrigators.  

 

In March 2016, and at last with un-encumbered Resource Consents, HWP and MPI signed a new funding agreement which would see the IAF provide $ for $ funding of $520,000 to see HWP through its Initial Step Program. This arrangement was continued by CIIL in July 2016 as they took over the governments irrigation brief. - The Hurunui Water Project made the final list for the V5 award in March 2010; a joint project by the Canterbury Development Corporation, Canterbury Employers' Chamber of Commerce, and the University of Canterbury, to recognise projects of national significance that had the potential to bring in $100m of revenue for the Canterbury region within five years.   

 

Historically, MAF and the governments Sustainable Farming Fund (SFF) contributed to the projects early development by allocating grants in 2003 and 2008, of $225,000 and $385,000, respectively. The funds were used to assess the feasibility of a storage scheme and explore possible locations and options for water storage. Both of these grants were matched dollar for dollar by local contributions.

 

In August 2008, MPI's CIF granted $50,000 to the project, again conditional that it was matched dollar for dollar by local contributions. CIF then awarded an additional $62,500 in 2009. The CIF funding was used to develop the governance structure for the project and pay for project management.

 

In mid-2013, MPI's Irrigation Acceleration Fund contracted to provide HWP with a ($ for $) grant totalling some $2.38 million. This funding was used for pre-feasibility investigations and expired in October 2015.

 

In March 2016 and now, with un-encumbered Resource Consents, HWP and IAF have signed a new funding agreement which will see IAF provide $ for $ funding of $520,000 to see HWP through its Initial Step Program.

 

MPI have also conditionally reserved further IAF grant funding of $3.3 million to support HWP through its Full Feasibility Work Program.