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Phil Goff and Watercare; the law of perverse incentives

Pattrick Smellie
Mon, 28 Jun 2021

Auckland mayor Phil Goff is a holdout on the government's 'three waters' reforms. (Image: Getty)
Pattrick Smellie
Mon, 28 Jun 2021
If the argument weren’t so damn complicated, Auckland mayor Phil Goff would have more explaining to do as to why he prefers doubling water charges over the next six years when he is sitting on evidence that no such increase is necessary.It is unnecessary because there would be no need to raise water tariffs so drastically to pay for future infrastructure if Watercare, the Auckland council’s water services company, was just allowed to borrow more.The reasoning behind Watercare’s proposed tariff increases is no more than a perve...

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