This levy is to cover the approximately $400 million required for the new sludge minimisation facility without affecting Council funding for other important infrastructure and community projects. The levy will be collected for a period of 33 years commencing 1 July 2024.
Approved under the Infrastructure Funding and Finance Act 2020 (IFFA), we consulted the public on this option through 2021/2022 and received support from the New Zealand Government (Cabinet and the Minister of Housing) in August 2023.
We are collecting the levy on behalf of the special purpose vehicle owned by Crown Infrastructure Partners, Sludge Finance LP. The cost of the levy for individual ratepayers will increase yearly up to 2027/28.
For more information about the project funding, see:
Sludge Minimisation Facility Project Funding (312KB PDF)
Ministry of Housing and Urban Development
Crown Infrastructure Partners
Who will pay the levy
All residential and commercial ratepayers pay the levy.
Properties connected to the Moa Point and Karori wastewater treatment plants pay a higher levy because of the direct benefits they'll receive. Most properties in Wellington City are connected.
Those not connected to these facilities still get the benefits this facility will bring to the city so will pay a smaller levy.
Protected Māori land is excluded from this levy.
Cost of the levy
This rating year (2024/2025) the total levy will be approximately $7.6 million spread across all eligible ratepayers.
The cost for individual ratepayers differs depending on:
- whether a property is commercial or residential,
- what its rateable value is, and
- whether it is directly connected to Moa Point or Kaori wastewater treatment plants. Most properties in Wellington city will be connected.
Because of those various factors, we cannot tell ratepayers what their levy will be ahead of time, but we can give an estimate for some example properties, as below.
To see how much your rates bills is this financial year, please use our property search.
Please note these are indicative only:
Residential, connected with a capital value (CV) of $1 million:
The levy will begin at about $71 in 2024/25 and increase to about $326 per year by 2027/28.
Commercial, connected with a CV of $1 million:
The levy will begin at about $100 in 2024/25 and increase to about $483 per year by 2027/28.
Residential, not connected with a CV of $1 million:
The levy will begin at about $18 in 2024/25 and increase to about $84 per year by 2027/28.
Commercial not connected with a CV of $1 million:
The levy will begin at about $28 in 2024/25 and increase to about $125 year by 2027/28.
This levy is separate from regular rates and will gradually increase over the construction period, which we expect to be complete in 2026.