Photo: RNZ / Samuel Rillstone
Cabinet has approved a new way of delivering water services after it unwound the previous Labour government's Three Waters reform.
Local Government Minister Simeon Brown has announced council-controlled organisations - known as CCOs - can immediately receive increased borrowing from the Local Government Funding Agency.
That funding will be able to go up to 500 percent of a CCO's operating revenues - providing they're supported by parent councils.
Brown says that means they'll be able to borrow twice as much.
The Government and funding agency are also exploring increasing debt limits, potentially up to 350 percent of revenue, for high-growth councils, and allowing lending to CCOs not supported by parent councils.
Follow RNZ's liveblog for all the updates:
