NEW ZEALAND GAZETTE

No. 79

REPORT TO PARLIAMENT

Report No 4

Introduction

The 51 community irrigation schemes constructed by the Crown have all been sold except the Beggs Scheme in Central Otago which is managed under contract to the Crown by the irrigators.

The sales were authorised by the Irrigation Schemes Act 1990. The Act authorised the Ministers of Agriculture and Finance, acting jointly, to sell any irrigation scheme owned by the Crown. The Act sets out procedures for the transfer of assets and registration of easements or notices in place of statutory rights. The Act continued the benefit of statutory rights for the purchasers until 3 July 1995.

Requirements of the Act

Section 3(2) requires the Minister of Agriculture, as soon as practicable after a sale has been agreed, to publish in the Gazette and lay before the House of Representatives a statement containing such details relating to the agreement as the Minister considers appropriate.

This statement covers the sale of 8 irrigation schemes to 7 Irrigation Companies. It is the fourth statement on the sale of the irrigation assets. The fifth and final report will cover the sale of the remaining schemes and summarise the costs of the sales to the Crown and revenue received.

Source of Financial Information

The source of financial information appended to this notice must be read with the statement on each scheme.

JOHN FALLOON, Minister of Agriculture.

Dated: 14 November 1995.

BLACKSTONE

1. Description (see Glossary)

The Blackstone Irrigation Scheme lies in the eastern side of the Upper Manuherekia Valley and consists of a race 10 km long from an intake on the Manuherekia River. Four mining privileges are involved, the earliest dating back to 1881, the latest to 1925. Water to the scheme has been supplemented during low summer flows since 1935 when the Falls Dam in the upper Manuherekia Valley was completed.

The Falls Dam was purchased by the Omakau Irrigation Company from the Crown. The Falls Dam Company has since been formed of the water users in the Blackstone, Omakau, Manuherekia and Galloway Irrigation Schemes.

The Blackstone irrigators have always operated and maintained their scheme and have paid the costs so there are no Crown accounts for the scheme. The irrigators also paid rates to the Omakau Scheme for use of the supply from Falls Dam (see Reference 7). Water supply agreements with the Blackstone farmers were first negotiated by the Crown in the mid 1980's when water charging processes were improved for the whole of Central Otago.

2. Previous Gazette References

None.

3. Purchaser

Blackstone Irrigation Company Limited.

4. Effective Date

NA

5. Date of Purchase

10.7.90

6. Date of Financial Statement

21.11.93

Amount of Settlement ($)

7. Purchase price paid for the assets ... 1
8. Water rates revenue refunded ... 0
9. Other payments by the Crown ... 13,200
10. Net Settlement by Crown ... 15,104
11. Debtors transferred to Purchaser ($) ... 0

Assets & Liabilities of the Crown before Settlement ($)

12. Historic Capital Cost ... -
13. Accumulated Liabilities ... -
14. Liabilities Retained by the Crown ... None

IDA VALLEY

1. Description

Ida Valley is located approximately 25 km east of Alexandra, stretching in a north-easterly direction between the Raggedy Range and Rough Ridge. The Ida Valley scheme draws water from the Manorburn and Poolburn Creeks and their respective storage dams. Construction of the scheme began in 1912 using the remnants of former mining races. The Upper Manorburn Dam, which submerged the Greenland Dam, was completed in 1914. The dam supplies water to the Ida Valley and the Galloway Irrigation Schemes. Water for the latter is obtained from the Lower Manorburn Dam (see Reference 6). The Poolburn Dam was constructed as part of the Ida Valley Scheme during 1931 using labour available during the depression.

There are 160 kilometres of distribution races, including the races to the Manorburn and Poolburn weirs and the Bonanza Race. The area irrigated is 5,000 hectares in mostly pastoral use with some cropping for supplementary feed. Water is applied to the land using border dykes, "wild" flooding from contour races, as well as some spray systems. The scheme is reliant on long-term storage from the two reservoirs (Upper Manorburn and Poolburn) and water from the two creeks. Water rationing is often necessary. Supply commenced in 1917.

The scheme was funded under the 1910 amendment to the Public Works Act 1908. The Crown paid the full cost of the off-farm works.

The Ida Valley and Galloway (see Reference 6) Irrigation Schemes were managed as one accounting unit until they were sold separately. The historic capital and accumulated liabilities shown below therefore include the Galloway Scheme costs incurred over the life of the Scheme.

The assets sold include 5 racemen’s houses and a depot.

2. Previous Gazette References

29 February 1912, NZ Gazette No 19, page 883
19 November 1925, NZ Gazette No 55, page 3024

3. Purchaser

Ida Valley Irrigation Company Ltd

4. Effective Date

2.10.89

5. Date of Purchase

2.11.90

6. Date of Financial Statement

1.6.94