Insurance covers $500,000 fine for wastewater stink-up

Treatment plants overrun by algae and trash

Insurance covers $500,000 fine for wastewater stink-up

Environmental

By Gabriel Olano

Insurance has covered most of the $500,000 fine imposed on the Clutha District Council and maintenance firm Citycare for the poor condition of five wastewater treatment plants in the district.

According to a report by Stuff, the wastewater plants were overrun by algae, scum and trash such as sanitary napkins. One of the sites has been described by an enforcement officer from the Otago Regional council as smelling like “rotten eggs combined with decayed chicken when left in the sun.”

In December 2020, the Dunedin District Court fined the Clutha District Council close to $500,000 after the council pleaded guilty to charges of violating the Resource Management Act. However, Citycare did not plead guilty and will appear again in court this year.

According to the case’s summary of facts, the maintenance contractor (Citycare) was compensated for work it did not do.

Following the fine last month, the Clutha District Council issued an apology to the community. District council chief executive Steve Hill revealed insurance had covered the fine, with an excess of $5,000 paid by the council. Also, he said that the five-year contract with Citycare, which was signed in 2019, is still in force.

“While as a ratepayer the fine is hard to swallow,” said Otago Federated Farmers president and local resident Simon Davis, “it is a relief that all persons or parties, both private and public, are held to account for failings in the environmental space.”

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