Report exposes theft, overspending, and poor oversight at Wellington Water

A damning report from Wellington Water has revealed severe financial mismanagement, alleged theft, and a lack of oversight in contractor spending.

The investigation uncovered weak financial controls, leading to inflated costs for maintenance and infrastructure projects, with spending on unplanned water maintenance nearly three times higher than other councils.

One case of alleged theft, involving tens of thousands of dollars, has been referred to the police.

Board Chair Nick Leggett admitted the company lacked proper oversight and financial assurance, exposing it to fraud risks.

In response, Wellington Water has implemented urgent reforms, including reassessing contracts and improving financial controls. However, local leaders remain deeply concerned about the mismanagement and its long-term impact on ratepayers.

Councils across the Wellington region expressed frustration, with Upper Hutt Mayor Wayne Guppy calling the situation “an absolute disgrace” and questioning whether rate hikes could have been avoided if spending had been more competitive.

Wellington Mayor Tory Whanau echoed similar frustrations, stating that the issues should have been addressed much sooner. Porirua Mayor Anita Baker described the competitive tendering system as “completely broken,” highlighting that contractors legally increased prices due to a flawed internal process.

While Wellington Water’s leadership has promised reforms, the scandal raises serious doubts about the organisation’s ability to manage public funds effectively before the water supply system transitions to a new entity in 2026.