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02 Co-Chairs Report 04 Board Members 08 Highlights 12

Growing the next generation of river guardians

Investment Fund Bounces Back

Board Meetings

20 Waikato River Authority – Group Consolidated Financial Statements

Waikato River Authority

Annual Report 2023

Whakakitenga Vision Our Vision is for a future where a healthy Waikato River sustains abundant life and prosperous communities who, in turn, are all responsible for restoring and protecting the health and wellbeing of the Waikato River, and all it embraces, for generations to come.

Vision

Ngaa Heamana Takirua Pūrongo

Tiwhatiwha te poo, tiwhatiwha te ao. Kua tiwha ki te mate, ka tiwha ki te ora! He kura tangihia, he maimai aroha. Ko te wehi ki a Ihowa te tiimatanga o te whakaaro nui. Me whakahoonoretia a Kiingi Tuheitia Pootatau Te Wherowhero te tuawhitu E noho mai raa i te ahurewa tapu o oona tuupuna maatua. Paimaarire. Kei ngaa maunga whakahii, kei ngaa puke koorero, kei ngaa wai tukukiri Teenaa koutou, teenaa koutou, teenaa koutou katoa. Nei raa te manawa reka, hei maangai moo te poari, ki te whakaputa i te Puurongo aa-tau 2023 a Waikato River Authority, e whakapuaki ana i ngaa kaunekehanga ki Te Ture Whaimana o Te Awa o Waikato, otiraa, ki ngaa kaupapa whakarauora, me ngaa paatuitanga. Kua huanui hoki te whai i te huarahi o te mahi tahi hei maangai whakahaere motuhake. E kitea tonutia ana, i roto i ngaa mahi, ehara kee i te mahi whakaheke taumata ngaa mahi whakahaere, engari he whakapiki tonu. Ko te whiriwhiringa kaupapa i roto i ngaa mahi whakahaere ngaatahi he mea arataki naa te pono, e whakauu nei i te rangona me te ine a ngaa tirohanga kanorau puta noa i te taumata poari. Maa roto puu i te whakarite tika i ngaa hanganga, te whakapuumau i te whakakitenga rīrā, te kukume i te hunga whai i ngaa tino taumata, waihoki, e mihi ana ki ngoo maatou hoa poari kua uu ki te kaupapa i roto i te tau. E ngaakau whakahii ana ki te whakamoohio atu kua tino whai hua teenei whakahaerenga ngaatahi, e kitea ana te pai ake o ngaa tikanga mahi me ngaa putanga moo ngaa awa o Waikato me Waipaa. I whakaaetia e te Waikato River Clean-Up Trust ngaa kaupapa e 26 te whakapuutea i roto i te tau tahua, araa he $5,719,938.95 te puutea i toha. I taua waa he toru tekau maa tahi ngaa kaupapa i tutuki hei taapiri atu ki te tapeketanga o te 280 kaupapa whakaoranga. E uruhau hoki ana ki te kite atu i ngaa nekehanga o te arotake tuatahi o Te Ture Whaimana o te Awa o Waikato. Ko Te Ture Whaimana te tuhinga matua e tohu ana i te aronga moo te Awa o Waikato me te kaapehu e tohu ana i ngaa mahi a te Waikato River Authority. Kua manawaruu hoki i te whakapootaetanga o taa maatou Pou Whakahaere, i puta te ihu i te akoranga, Oxford Advancement Management and Leadership Programme (Saïd Business School, Oxford University). I whakarewa hoki maatou i taa maatou rautaki pae paapaaho paapori maa te Pukamata (Facebook), Honotahi (LinkedIn) me te Paeaahua (Instagram) kia hora te moohiotia moo ngaa kaupapa whakaoranga me ngaa taangata e whai puutea ana mai i a maatou. E aata rongo ana maatou i ngaa hiahia a taa maatou hapori, aa kua eke panuku hoki te urupare me te nui o te hiikaka ki te whai waahi atu ki ngaa mahi whakarauora awa.

Waikato River Authority

Annual Report 2023

Hakoa, noo roto i te paunga o te tau, i puta te mate Gold Clam, he mate e heke ai te kounga wai, he whakararu i ngaa Kaaeo me te taipuru i ngaa rerenga wai, e tika ana kia whakamaanawatia te mahi tahi i waenga i te Whare Waananga o Waikato, i a Waikato Tainui, me te Waikato River Authority, ngaatahi nei ka manaaki i te Kurutetenga Huatau Whakaoranga Te Awa o Waikato 2023 (Te Awa o Waikato Restoration Symposium 2023) hei te whiore o Whiringa aa-rangi. Ko te whaainga he whakaari i te rohe o Waikato me ngaa kaupapa whakarauora puta noa i te ao e kite ai me peewhea e koke tonu ai taatou i teenei huarahi whakarauora i ngaa Awa o Waikato me Waipaa. Kua kite taatou i roto i ngaa mahi me nui ake te hua o te mahi tahi i eera o te kore, ka mutu, ka peeraa tonu te aro ki ngaa mahi tahi a te tau e haere ake nei. Kaati ake nei, teenei te poroaki me te mihi ki te Heamana Takirua ki a Paula Southgate, raatou ko ngaa mema poari a Jackie Colliar raatou ko Dylan Tahau, i mahi nei i ngaa mahi, i tautoko titikaha nei i te whakakitenga i roto i ngaa tau e toru kua pahemo. Naa konaa, he whakatau tonu i ngaa mema Karauna, araa, i a Stu Muir, Susan O’Regan raatou ko Shadrach Rolleston e kawe mai ana i ngaa wheako me ngaa tirohanga hou ki te poari. Maatou katoa ko te Pou Whakahaere a Bob Penter e hihiri ana ki ngaa aaheinga kei mua i te aroaro kei te tau e kainamu mai nei. Ngaa manaakitanga

Tipa Mahuta Heamana Takirua, Mema aa-Iwi Waikato River Authority

Co-Chairs Report

Tiwhatiwha te poo, tiwhatiwha te ao. Kua tiwha ki te mate, ka tiwha ki te ora! He kura tangihia, he maimai aroha. Ko te wehi ki a Ihowa te tiimatanga o te whakaaro nui. Me whakahoonoretia a Kiingi Tuheitia Pootatau Te Wherowhero te tuawhitu E noho mai raa i te ahurewa tapu o oona tuupuna maatua. Paimaarire. Kei ngaa maunga whakahii, kei ngaa puke koorero, kei ngaa wai tukukiri Teenaa koutou, teenaa koutou, teenaa koutou katoa. We are pleased to present the Waikato River Authority 2023 Annual Report on behalf of the Board, highlighting our significant progress with Te Ture Whaimana o Te Awa o Waikato, projects, and partnerships. We have also positively continued our journey as an independent statutory agency founded on co-governance. It remains our experience that co-governance does not lower the bar for governance standards but raises it. Decision-making within co-governance arrangements is guided by good faith engagement, ensuring that diverse viewpoints are heard and measured around the board table. The key lies in establishing solid structures, embracing a strong vision, attracting individuals committed to excellence, and we thank our Board colleagues for their commitment to our kaupapa throughout the year. We proudly report that our co-governance journey has been fruitful, leading to improved governance practices and better outcomes for the Waikato and Waipā Rivers. The Waikato River Clean-Up Trust approved funding for 26 projects in the previous fiscal year, with $5,719,938.95 in funding awarded. Meanwhile, 31 projects were completed in the same period, bringing the total number of completed river restoration projects to 280 since our establishment. We are also happy with the progress being made with the first-ever review of Te Ture Whaimana o te Awa o Waikato. Te Ture Whaimana is the primary direction-setting document for the Waikato River and is the compass that sets the direction for the work we do at the Waikato River Authority. We were also particularly pleased that our Chief Executive

graduated during the year from the Oxford Advanced Management and Leadership Programme (Saïd Business School, Oxford University). We also launched our social media strategy, using Facebook, LinkedIn, and Instagram to raise awareness of the projects and people we fund. We are listening to our growing community, and the response has been excellent, with a lot of enthusiasm for becoming involved with river restoration efforts. While the year ended with the unwelcome Gold Clam incursion, which decreases water quality, displaces native freshwater mussels and clogs infrastructure, we would like to highlight a partnership with Waikato University, Waikato-Tainui and the Waikato River Authority which will jointly host the Te Awa o Waikato Restoration Symposium 2023 in late November. The symposium’s goal is to showcase Waikato and international restoration projects to inform how we best continue on the right path to restoring the Waikato and Waipā Rivers. We’ve learned on our journey that working collaboratively rather than alone yields better results and we intend to increase our focus on partnerships next year. Finally, we farewell and thank Co-Chair Paula Southgate, as well as Board members Jackie Colliar and Dylan Tahau, for their service and steadfast support for our vision over the past three years. Meanwhile, we welcome three new Crown appointees, Stu Muir, Susan O'Regan, and Shadrach Rolleston, who offer experience and fresh perspectives to our Board. Together, with our CEO Bob Penter and committed management team, we are excited by the opportunities that lay ahead of us this coming year. Ngaa manaakitanga

Stu Kneebone Co-Chair, Crown Appointee Waikato River Authority

Co-Chairs Report

Ngaa Mema o te Poari

Tipa Mahuta

Stu Kneebone

Co-Chair, Iwi Appointee (Waikato-Tainui)

Co-Chair, Crown Appointee

Kei te riu o Waikato, ko Rahui Pookeka, ko Waahi Paa, Ko Ngati Mahuta e tau ana. Tipa Mahuta is from Rahui Pookeka (Huntly) and grew up at Waahi Paa with the impacts of the Huntly Power Project and coal mining on local communities. She collected oral histories from kaumātua and supported the establishment of the tribal Tira Hoe, to return this history to descendants of the river. Tipa has held a wide range of governance roles including Iwi and local government positions. Tipa is the Co-Chair Iwi Appointee of the Waikato River Authority and Co-Chair of Te Aka Whai Ora (Māori Health Authority). Her other current roles include Member – Chair, Te Puna, Taumata Arowai and Councillor Waikato Regional Council.

Stu Kneebone is councillor on the Waikato Regional Council and a local farmer. He actively supports initiatives that contribute towards catchment health, water quality and biodiversity enhancement. Mr Kneebone has experience across local government and is committed to the local environment and working with River Iwi. He’s been heavily involved in the Healthy Rivers/Wai Ora project change since its inception, including Co-Chairing the committee that governed the project with River Iwi. From a practical perspective, Stu has had an active involvement in Regional Council catchment management restoration work, as well as extensive riparian restoration work on his own farm.

"Ko tooku awa koiora me oona pikonga, he kura tangihia o te maataamuri," Kingi Taawhiao. "The river of life, each curve more beautiful than the last," King Taawhiao. 4

Waikato River Authority

Annual Report 2023

Board Members

Danny Loughlin

Roger Pikia

Deputy Co-Chair, Iwi Appointee (Tūwharetoa)

Iwi Appointee (Te Arawa River Iwi Trust)

Ko Tongariro te maunga, Ko Taupō te moana, Ko Tūwharetoa te iwi, Ko te Heuheu te tangata. Ko Ngāti Ruingarangi, Ngāti Rauhoto rātou ko Ngāti Te Maunga ngā karangaranga hapū. Danny Aperahama Loughlin is the iwi appointee for Tūwharetoa. He is General Manager for Ngāti Tūwharetoa Fisheries Charitable Trust. As a trustee of the Tūwharetoa Māori Trust Board for over 16 years, he has a responsibility as the legal kaitiaki for Taupō Waters, including the Waikato River. His current Board responsibilities include: Tūwharetoa Māori Trust Board; Waikato Regional Council Joint Governance Committee; Taupo District Council Co-Governance Joint Management Committee; Hapū Alternate on Te Kotahitanga o Ngati Tūwharetoa; Ngāti Tūwharetoa Fisheries Holdings Limited; Tauhara Moana Trust; Tauhara Dairy Ltd; Healthy Rivers Plan for Change / Wai Ora – He Rautaki Whakapaipai Committee.

Mai i te Waiheke o Huka, whakarāwhiti atu ki te mania o Kaingaroa, Ko te tihi o Kākaramea, puta atu ki te pae Maunga o Paeroa, ko Ōrākei Kōrako te Ūkaipo, tae rawa atu ki Pōhaturoa. Ko te Awa o Waikato kei waenganui. Arā, ko ngā tāonga tuku īho, o Tahumatua. Ko Ngāti Tahu-Ngāti Whāoa, rātou ko Ngāti Tūwharetoa, Raukawa, Waikato-Tainui, Ngāti Maniāpoto me Ngāti Hikairo ōku Iwi ko Roger Haare Charles Pikia tōku ingoa. Roger Pikia remains as the only inaugural Appointee serving on the Waikato River Authority (WRA) and Waikato River Clean-up Trust (WRCuT). He was formerly the Iwi Co-Chair of the WRA and the inaugural Chair of the WRA Investment Committee, which was tasked with establishing a perpetual fund by prudently investing surplus funds to help future proof the WRA and WRCuT. Roger was a foundation member of the Guardians Establishment Committee (GEC) which was the precursor to the WRA, tasked with formulating the vision and strategy which became the cornerstone of the Waikato River Settlement and related legislation. Roger is Chair of the Ngāti Tahu-Ngāti Whāoa Runanga Trust and a Trustee on the Te Arawa River Iwi Trust (TARIT). He led the Waikato River Settlement negotiations with the Crown, for and on-behalf of TARIT. Roger also co-led the Treaty Settlement negotiations for Te Arawa along with advancing the interests of the Affiliate Iwi of the Te Arawa collective within the Central North Island Crown Forest Licensed Lands (CNI) Treaty Settlement negotiations. Roger is currently the CEO of the Tahumatua Investment Group of companies.

Board Members

Wikitōria Tāne

Nachelle Griffiths

Iwi Appointee (Maniapoto)

Iwi Appointee (Raukawa)

Wikitōria Tāne is Ngāti Maniapoto of Ngāti Urunumia, Ngāti Apakura, Ngāti Uekaha and Ngāti Unu hapū descent. Wikitōria has a keen interest in whakapapa and intra and inter relationships within the Tainui rohe and beyond. Wikitōria has governance experience at marae, Māori Land Block, Land Incorporation and Iwi Authority level. She is a Maniapoto Māori Trust Board trustee and works on taiao Resource Management Act matters within Maniapoto and Tainui regions, with a particular focus on protection and restoration of Waipā and Waikato Awa and their environs. Wikitōria is a Director and Consultant of Manukarere Ltd and Co-Owner/Co-Director of Trust Waiwaiā Ltd.

Erina Watene-Rawiri Crown Appointee Erina Watene-Rawiri is an experienced governor and director having also served on Te Wai Maaori Trust, NZ Biological Heritage Science Challenge, Iwi, and not-for-profit Boards; as well as many advisory groups (such as the New Zealand Fish Passage Advisory Group). Professionally, Erina is a freshwater scientist with a background in river and lake restoration, taonga species research, resource management and environmental planning. She is experienced working at the interface between policy, mātauranga Māori, and science. Ms Watene-Rawiri grew up alongside the Waikato River and has whakapapa connections to Waikato Iwi. Her strong technical expertise in freshwater management sits alongside her community connections.

Waikato River Authority

Annual Report 2023

Taku ara rā, ko Tūrongo, I wawaea ki te Tai-rāwhiti, Ko Māhinaarangi, ko te rua ra I moe ai a Raukawa; He kāwei tautika mai ki ahau. Nachelle Griffiths is the Raukawa appointee to the Waikato River Authority. Her marae include Ōngāroto and Mōkai which both sit in the upper river catchment near Ātiamuri, Aotearoa and Rawhitiroa/Owairaka which both sit within the Waipā River catchment. Nachelle has governance experience in commercial entities and Māori Authorities. These include overseeing significant commercial investments in geothermal power generation, agriculture, horticulture, and telecommunication investment. She also has a strong focus on sustainability and environmental stewardship which is inherent in her roles at the hapū, Land Trust, and Iwi Authority level.

Shadrach Rolleston

Susan O'Regan

Crown Appointee

Shadrach Rolleston is of Ngāti Ranginui, Ngāi Te Rangi, Ngāti Pūkenga and Ngāti Haua descent.

Susan O'Regan is the Mayor of Waipā District Council and a farmer in the area.

Shadrach is a resource management consultant and policy advisor with experience in Māori relationship management and engagement. He is currently a government appointed commissioner at Tauranga City Council where he lives with his family.

Susan is a barrister who formerly worked for a Te Awamutu and Auckland law business before starting her solo practice. Susan and John Hayward were the 2016 supreme winners of the Waikato Ballance Farm Environment Awards for their operation of Judge Valley Dairies Ltd, a 245ha farm east of Te Awamutu where they milked about 300 cows. She is a keen supporter of environmental projects including wetland restoration and riparian plantings.

Stu Muir Deputy Co-Chair, Crown Appointee Stuart Muir is a dairy farmer on the lower reaches of the Waikato River near Waiuku. He has a long history of riparian and wetland restoration and education. He has had a particular focus on conversation strategy, environmental management and agriculture business strategy and planning. Stu is chair of The Endangered Species Foundation. He speaks Māori and adds a strong mātauranga Māori perspective to local and national bodies.

Board Members

Highlights 2022 – 2023

Restoration funding put to work Waikato River Authority and Watercare Authority Boards

WRA Co-Chair Tipa Mahuta stated that "while the WRA

agreed on how Watercare restoration funding will be

does not support further water being taken from the

utilised to protect the awa over the next 20 years.

Waikato River for Auckland, this new funding will further

The funding comes from a requirement in Watercare's

her communities.”

support positive outcomes for the Waikato River and

20-year water take permit for an additional 150 million

She noted the WRA Board is particularly encouraging

litres per day from the Waikato River, which requires

funding applications from the lower Waikato River

Watercare to provide $2 million to the WRA each year to fund river restoration work. Watercare's overall take from the Waikato River is now up to 300 million litres per day.

catchment where Watercare's water take is located. Watercare Board Chair Margaret Devlin said Watercare is proud to be contributing funding to support projects that

The WRA and Watercare Boards met in Hamilton March

protect and enhance the Waikato River.

to examine how they might work together to help the awa. Watercare funds will be applied to the first $2 million of successful grant proposals received by the WRA in each of its annual funding rounds. This approach is administratively

"Watercare is committed to supporting the betterment of the Waikato River. These annual contributions and our arrangement with the Waikato River Authority reflect the importance of protecting and restoring the awa

straightforward, highly transparent, and in compliance with

that plays a significant role in sustaining Auckland

WRA legislative requirements.

and allowing it to grow.”

The Board's of the Waikato River Authority and Watercare Authority.

Waikato River Authority

Annual Report 2023

Highlights

WRA’s Michelle Hodges and WRC’s Natasha Grainger pictured at the Opuatia Wetland.

Opuatia Wetland makes significant strides The Opuatia Wetland, a site of national importance in north Waikato, has witnessed a significant reduction in the threat posed by the invasive plant pest, the Yellow flag iris, thanks to a successful joint project co-funded by the Waikato River Authority.

to reduce the threat of Yellow flag iris with financial support from the Department of Conservation, and the Ministry for the Environment. The combined project received $431,000 over four years to implement strategic measures, including $61,000 from the WRA.

Situated in the Waikato Region, the Opuatia Wetland is home to one of the five remaining restiad bogs in the area, along with various other wetland types, including fen and marsh. Recognised as a high-value ecological site, its preservation is vital for conserving native flora and fauna.

Michelle Hodges, Funding Manager at the Waikato River Authority, recently visited the Opuatia Wetland alongside the Waikato Regional Council staff. She expressed her satisfaction with the progress made in reducing the Yellow flag iris infestation, as well as the successful control of willow trees, and the replanting of thousands of native wetland plants.

Unfortunately, the Opuatia Wetland faced a crisis due to extreme floods in 2017, which, coupled with a decline in control measures in recent years, led to a rapid proliferation of the Yellow flag iris within the wetland. This invasive species out-competes native plants and threatens the ecosystem, particularly in seasonally flooded wetlands. The Waikato Regional Council applied to the Waikato River Authority for funding to undertake a four-year plan

Through this comprehensive initiative, the joint project has made significant strides in protecting the Opuatia Wetland and restoring its ecological balance. The collaboration between the Waikato River Authority, the Waikato Regional Council, the Department of Conservation, and the Ministry for the Environment demonstrates their commitment to preserving New Zealand's precious natural heritage.

Highlights

Burton shapes the media landscape for the Waikato River Authority Philip Burton, the founding communications adviser at the Waikato River Authority, concluded his 12-year tenure in July 2023. His invaluable contribution has left an indelible mark on the organisation. During his tenure, Burton effectively utilised his extensive experience in media, public relations, communication and marketing to build the brand of the Waikato River Authority. His nose for news and profound understanding of the media significantly bolstered the Authority’s outreach efforts with online newsletters and website development, amplifying its reach across various stakeholders to restore and protect the health and wellbeing of the Waikato and Waipā Rivers. Burton’s professional journey has been distinguished. Before his role at the Waikato River Authority, he served many regional and national clients, including a decade-long tenure as the GM for Communication and Marketing at the Hamilton City Council. He also worked as a news reporter for Television New Zealand and held a directorial position at Redman PR. During his WRA tenure Philip was considered to be the consummate professional and praised for his professional manner, wisdom, and humour. Avid cyclist Philip Burton checks on the WRA-funded mahi at Arapuni while on a cycling tour.

In recognition of his substantial service, WRA Co-Chair Tipa Mahuta expressed gratitude on behalf of the board. “Philip Burton has been instrumental in shaping the communication landscape of the Waikato River Authority. We extend our heartfelt appreciation for his years of service.”

“Philip Burton has been instrumental in shaping the communication landscape of the Waikato River Authority. We extend our heartfelt appreciation for his years of service,” Tipa Mahuta. Long-serving Waikato River Authority communications advisor Philip Burton.

Waikato River Authority

Annual Report 2023

Clark’s dream to restore sites of significance slowly becomes a reality Hauturu Clark has aspires to restore and protect sites of cultural significance to his whaanau, Ngāti Tīpā hapū, and Waikato-Tainui iwi. Thanks to contract restoration work he has done with Papakura Marae, Waikato River Authority, WaikatoTainui, and the Waikato Regional Council that dream is becoming a reality. Three years ago, Hauturu was successful in his application to the Waikato River Authority for $360,000 to plant native trees on his maunga Te Puke o Tahinga, which is nestled behind Te Kotahitanga marae the home of his hapū Ngāti Tīpā in Port Waikato. As part of a three-year WRA project, Hauturu has planted manuka, puuriri, mahoe, and other smaller shrubs around the maunga as part of a three-year WRA project, and native birds are returning, as are kaimahi and whaanau reconnecting with their maunga. "It was awesome; you can't beat living on your whenua and getting paid to work there; there's nothing better than that – it's my dream job." What began as a partnership between Hauturu and his wife Amy has grown to three employees in his first year and eight employees in his second year under the banner

"It was awesome; you can't beat living on your whenua and getting paid to work there; there's nothing better than that – it's my dream job," Hauturu Clark.

of his own company, Te Papatipu Planting Ltd – Native Restoration. He has several contracts, including one with the Waikato Regional Council to conduct weed releasing at Lake Kimihia and another with Waikato-Tainui to plant native trees and weed releasing at Ruakura. While Hauturu is pleased with the growth of his business and contracts in Hamilton and Huntly, he remains committed to Te Puaha o Waikato, the Waikato River mouth. “That is my ambition: to clean up the river at Te Puaha o Waikato and all of our whānau sites."

Highlights

Growing the next generation of river guardians Nearly 200 rangatahi Māori will have a greater appreciation of their ancestral awa after taking part in a Waikato River Authority-funded environmental programme aimed at connecting youth to the stories of the Waikato River.

Waikato River Authority

Annual Report 2023

Kura Waitī Ki Kura Waitā is being run as part of the Waikato Regional Council’s environmental educational programme under the tutelage of waka and river expert Turanga Barclay-Kerr from Te Toki Voyaging Trust. The Waikato River Authority is funding the programme for three years to 2025 and over that time it will be delivered to 19 Kura Kaupapa Māori, 171 kaitiaki rangatahi and 19 kaitiaki kaiako, with the aim of connecting our young people to the river, its stories and their ancestors, and to produce the next generation of kaitiaki taiao for their tūpuna awa (ancestral river). Barclay-Kerr leads the programme and is enjoying working with the next generation of guardians of the river. “If these students return to their schools, their families, their communities, and marae and take up the role of being a guardian over the environment of their rivers, this kaupapa will be a success,” he says.

“I feel we're having more impact this year, our second year, with new kura on board. In the long term for us, the rangatahi we are capturing now, in the future, they will be us. They will pick up this knowledge and be the next generation of kaitiaki.” He says the inclusion of kura from Tūwharetoa has been enlightening. “For them to see what some of the river looks like. They go, ‘it’s blue, like the ocean at our place, how does it get like this’. They can feel it and it fosters questions from them, what happened? Having more people like that, aware of it and making that physical connection with the awa, having some sense of belonging and asking ‘what can you do to make it better’.” The programme aligns with Te Ture Whaimana o Te Awa o Waikato – The Vision and Strategy for the Waikato River – to sustain abundant life and prosperous communities for generations to come. Kura Waitī Ki Kura Waitā uses a specific Waikato maatauranga programme, including traditional Māori waka to engage rangatahi Māori in activities that help protect and restore the health and well-being of the Waikato River and its tributaries.

“A lot of schools were picking up the Enviroschools kaupapa, which is great, but not our Kura Kaupapa Māori. This is a way to address that. The lightbulb moment for all this was realising the way to do this was to take our kids back to our awa and use our waka. Everyone reconnects as soon as they’re on the awa,” Arna Solomon-Banks.

Growing the next generation of river gaurdians

The programme aligns with Te Ture Whaimana o Te Awa o Waikato – The Vision and Strategy for the Waikato River – to sustain abundant life and prosperous communities for generations to come.

Waikato River Authority

Annual Report 2023

It is delivered using te reo me ngā tikanga Māori o Waikato, further connecting the rangatahi with their tūpuna awa through stories, pūrakau, waiata and kōrero. Arna Solomon-Banks, Kaihāpai Hōtaka Mātauranga at the Waikato Regional Council, says the programme has been more successful than imagined. “A lot of schools were picking up the Enviroschools kaupapa, which is great, but not our Kura Kaupapa Māori. This is a way to address that. The lightbulb moment for all this was realising the way to do this was to take our kids back to our awa and use our waka. Everyone reconnects as soon as they’re on the awa.” She worked with the five river iwi involved in the development of the programme and says it had to be inclusive of each of them. “It had to serve them and they had to find a place in this kaupapa.” After six kura took part in the initial programme, the numbers have doubled and interest continues to grow, and not just from Kura Kaupapa Māori. “We have 22 on the waiting list, along with interest from bi-lingual units, English medium schools and iwi groups. With the support of the Waikato River Authority, 12 kura kaupapa Māori are on the programme. But it’s not about numbers, it’s about growing our communities and our rangatahi. We will know we are doing a good job when these rangatahi go back and become kaitiaki. It’s an intergenerational ripple effect that benefits our awa, our rangatahi, whānau, hapū and iwi.”

Growing the next generation of river gaurdians

Investment Fund Bounces Back Waikato River Clean Up Trust – Annual Report Commentary 2023 The Trust funds increased by $11.4m to a total of $90.2m in the financial year to 30 June 2023. This was made up of positive investment returns of $6.3m and net cash flows of +$5.1m to and from the Trust. The long-term Growth Portfolio which comprises most of the investment funds for the Trust ended the year up +9.2%. Investment markets continued to be very volatile during the year. To combat record inflation levels, central banks globally introduced historically fast and high interest rate rises through 2022 and now into 2023. By raising interest rates and making money more expensive, central banks hope to slow down spending, reducing demand and inflation. This has largely worked with inflation peaking late in October 2022 and now declining. Wage inflation has remained stickier than they expected so rate rises may not have quite peaked yet. Raising interest rates so quickly had an adverse impact on investment markets. During 2022, property, equities, fixed interest and most commodity prices all fell and at the same time. This is very unusual and meant even well diversified investment portfolios were significantly impacted. In October 2022, the trustees determined to simplify the funds structure for the Trust with the Fixed Interest Portfolio (medium term fund) no longer being required. This leaves the Treasury Portfolio for short term funding needs and the Growth Portfolio for longer term investing. The Fixed Interest Portfolio was combined into the Growth Portfolio. The asset allocation of the Growth Portfolio was also adjusted to provide the opportunity for better long term returns. The trustees being cognisant of the requirement to build sufficient investment capital over time to help meet the income needs of the Trust in perpetuity. Since the start of 2023, inflation has been declining and economic growth slowing (as expected) as higher interest

2018

Waikato River Authority

2019

Annual Report 2023

2020

rates reduced activity. Investment markets, being forward looking, anticipated central banks were nearing the top of their rate hikes and that the pathway to interest rate pauses and cuts could start later in 2023 and as economies move into or near recession. This prospect of future rate cuts supported a rally in investment markets in the March quarter of 2023 and some further rises in the June quarter. Investors also gaining confidence that any recession would be shallow and short lived. In February 2023, the very short term maturities of fixed interest assets that were held in Growth Portfolio were extended to capture the opportunity for much higher interest rates and yields. This will assist the portfolio to deliver better income returns, provide more effective diversification for risk management and the potential for capital gains should interest rates move lower over the medium term. From here, markets need to see further signs that inflation has been beaten and that it continues to decline. Central banks can then contemplate future rate cuts. Markets remain wary that as economic conditions soften that business trading conditions and therefore their earnings are not too badly impacted. Poor earnings results may pull equity markets back a little in the short term. While the short-term outlook is unclear, the medium term (1-2 years) is clearer that this current economic cycle will finish and bring lower interest rates which will be supportive for investment markets.

2021

2022

2023

Veliquasi Conet Antet od evel idebit

Board Meetings Summary of Attendance Waikato River Clean-up Trust Meetings 1 July 2022 – 30 June 2023

15 Aug 2022

10 Oct 2022

6 Mar 2023

17 Apr 2023

Paula Southgate (Up to 17 May 2023)

12 June 2023 N/A

Dylan Tahau (Up to 17 May 2023)

Apology

N/A

Jackie Colliar (Up to 17 May 2023)

N/A

Tipa Mahuta

Apology

Danny Loughlin Nachelle Griffiths Stu Kneebone Wikitōria Tāne Erina Watene-Rawiri Roger Pikia

Apology

Shadrach Rolleston (From 18 May 2023)

N/A

Susan O’ Regan (From 18 May 2023)

N/A

Stu Muir (From 18 May 2023)

N/A

Board Meetings

Waikato River Authority Board 1 July 2022 – 30 June 2023

15 Aug 2022

10 Oct 2022

09 Dec 2022

6 Mar 2023

17 Apr 2023

Paula Southgate (Up to 17 May 2023)

N/A

Dylan Tahau (Up to 17 May 2023)

Apology

N/A

Jackie Colliar (Up to 17 May 2023)

N/A

Tipa Mahuta

Apology

Danny Loughlin Nachelle Griffiths

Apology

Stu Kneebone Wikitōria Tāne Erina Watene-Rawiri Roger Pikia

Apology

Shadrach Rolleston (From 18 May 2023)

N/A

Susan O’Regan (From 18 May 2023)

N/A

Stu Muir (From 18 May 2023)

N/A

Waikato River Authority

Annual Report 2023

12 June 2023

Other Board Meeting Attendances 1 July 2022 – 30 June 2023 Investment Workshop

13 Jul 2022

Paula Southgate Dylan Tahau Jackie Colliar Tipa Mahuta Danny Loughlin Nachelle Griffiths

Apology

Stu Kneebone Wikitōria Tāne Erina Watene-Rawiri Roger Pikia

Watercare Related Meeting

14 Mar 2023

Paula Southgate Dylan Tahau Jackie Colliar Tipa Mahuta Danny Loughlin Nachelle Griffiths Stu Kneebone Wikitōria Tāne Erina Watene-Rawiri Roger Pikia

New Board Member Induction (Members appointed 18 May 2023)

Apology

9 Jun 2023

Shadrach Rolleston Susan O'Regan Stuart Muir Stu Kneebone (Co-Chair)

Board Meetings

Waikato River Authority – Group Consolidated Financial Statements

Index

Consolidated Statement of Service Performance

Consolidated Statement of Comprehensive Revenue & Expense

Consolidated Statement of Changes in Equity

Consolidated Statement of Financial Position

Consolidated Statement of Cash Flows

Statement of Accounting Policies

Auditor’s Report

Directory

As at 30 June 2023

Nature of Business: Trustee of Waikato River Clean-up Trust Protect and restore the health and wellbeing of the Waikato River for future generations.

Bankers: ANZ, Hamilton

Business Location: 21 Rostrevor Street, Hamilton, New Zealand

Auditor: Silks Audit Chartered Accountants, Whanganui

Waikato River Authority

Annual Report 2023

Accountants: KPMG, Hamilton

Consolidated Statement of Service Performance For the year ended 30 June 2023

Founding Purpose The Waikato River Authority was established in 2010 as the custodian of Te Ture Whaimana o Te Awa o Waikato (the Vision and Strategy for the Waikato River). The Authority is also the body responsible for overseeing the implementation of the clean-up of the river as the sole trustee of the Waikato River Clean-up Trust. The Waikato River Authority (Authority) is a statutory body formed under the Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010,the Ngati Tūwharetoa, Raukawa, and Te Arawa River Iwi Waikato River Act 2010 , and with additional responsibilities arising from the Nga Wai o Maniapoto (Waipa River) Act 2012 (and He Mahere Taiao – The Maniapoto Iwi Environmental Management Plan).

protected, there are elements to a healthy Waikato River that can, and must, be achieved at a greater pace. The purpose of the Authority is defined in legislation as: • Set the primary direction through the Vision and Strategy to achieve the restoration and protection of the health and wellbeing of the Waikato River for future generations • Promote an integrated, holistic, and co-ordinated approach to the implementation of the Vision and Strategy and the management of the Waikato River • Fund rehabilitation initiatives for the Waikato River in its role as trustee for the Waikato River Clean-up Trust.

Te Ture Whaimana o Te Awa o Waikato, incorporated in the settlement legislation, is taken from the lament by Kiingi Taawhiao, the second Māori King, in which he recorded his adoration for the Waikato River and the significance of the River as a treasure for all generations:

The Trust reviews funding priorities annually to ensure funding continues to be aligned with the objectives of the Trust and the Authority. Annually the Authority publishes its Funding Strategy to continue to support the work our communities do to restore and protect the Waikato River catchment which includes the Waipā River and its tributaries.

Tooku awa koiora me oona pikonga he kura tangihia o te maataamuri.

Current Period Responsibilities

The river of life, each curve more beautiful than the last. Our vision is for a future where a healthy Waikato River sustains abundant life and prosperous communities who, in turn, are all responsible for restoring and protecting the health and wellbeing of the Waikato River, and all it embraces, for generations to come. These objectives encompass all people of the River and their relationships with it – through their communities, industries, recreation, social and cultural pursuits.

The Trust administers and distributes a contestable fund to work towards the restoration and protection of the health and wellbeing of the Waikato River for present and future generations (this forms the Trust’s objective). In doing so it must pay adequate regard to the Vision & Strategy and the Waikato River Independent Scoping Study (WRISS). As the sole trustee the Authority determines which projects receive funding in accordance with criteria set annually.

Description and Quantification of Outputs The following Statement of Service Performance key performance measures have been chosen due to these aligning with the fundamentals of the Authority Vision and Strategy (completed projects):

The Authority has ten Board Members, 5 of whom are appointed by each of the River Iwi and 5 appointed by the Crown.

• Iwi lead and Iwi partnership projects

Medium to Long Term Goals

• Community engagement events held, and people attending these events

The timeline to achieve Te Ture Whaimana is intergenerational. However, while the river system as a whole may require many decades to be fully restored and

• Number of native and non-native trees and shrubs planted • Kilometres of waterways fenced

• Hectares of land restored • Total investment by project.

Waikato River Authority – Group Consolidated Financial Statements

Waikato River Authority

Annual Report 2023

Key Performance Measures Projects completed

2023

2022

Iwi led and Iwi

partnership projects*

263,660

665,349

trees and shrubs planted

102

kilometres of

waterway fenced

104

167

community engagement

events held, and

2,698

3,037

people attended

these events

216

hectares of land restored

* These are projects led or partnered by and Iwi Authority, Hapū, Marae or designated Marae representative.

Waikato River Authority – Group Consolidated Financial Statements

Funded Projects 2022 – 2023

Application ID

Recipient name

WRA Investment ($)

Project

2023

WRA 22-003

Waikato RiverCare Incorporated in partnership with Pokaiwhenua Catchment Group

90,000

Pokaiwhenua Stream Restoration Project – Courtney and Alex Graham Farm

WRA 22-005

Waikato RiverCare Incorporated

40,325

Churchill Farm Project Opuatia Wetland

WRA 22-006

Riverdale Trust

95,425

Mangaorongo Stream Restoration Project – Stage 2

WRA 22-007

Waikato RiverCare Incorporated

18,375

Priority restoration of Mangawara lagoons/wetlands site 24

WRA 22-009

Pokaiwhenua Catchment Group

99,946

Pokaiwhenua Catchment Group (PCG) Enhancement Project

WRA 22-010

Deep Dive Division

250,000

Beyond the Surface – Scan, Salvage and Restoration of Waikato Awa

WRA 22-013

Wattle Downs

200,000

Protection and Enhancement of the Whangamarino Wetland

WRA 22-015

Raukawa Charitable Trust

360,703

Te Ia Te Awa (Wāhi Ahurei)

WRA 22-016

Waikato Regional Council (working with Waikato kura)

331,200

Kura Waitii ki Kura Waitaa – River Schools to Moana Schools

WRA 22-017

New Zealand Landcare Trust in partnership with Taiea Te Taiao – Maungatautari to Pirongia Ecological Corridor Project

443,090

Taiea te Taiao Mā Mangapiko, mai i Maungatautari ki Pirongia ahu ake. (Cherish the environment following the Mangapiko, from Maungatautari to Pirongia and beyond)

WRA 22-019

Ngāti Tahu – Ngāti Whaoa Runanga Trust

76,362

He Pou Kainga: Preservation of an ancient Pa Site

WRA 22-021

Riparian Developments Ltd

49,228

2716 Arapuni Road

WRA 22-026

Purehina Trust in partnership with Waikato-Tainui

32,000

Te Kakenga ki te Rangi Puna Restoration

WRA 22-028

Waikato Regional Council (working with private landowners and local iwi contractors)

99,949

Waipā River Protection and Enhancement – Toa's Bridge to Ōtorohanga

WRA 22-030

Te Nehenehenui Trust (formerly Maniapoto Māori Trust Board)

183,891

Te Mauri o Waiwaiā – Maniapoto Cultural Assessment Framework

WRA 22-032

Tainui Group Holdings Limited

250,000

Hangawera Station & Mangatea Farm Taiao Restoration Project – Stage 2

WRA 22-033

Waikato Regional Council in partnership with Ngāti Hauā Mahi Trust

402,739

Ngāti Hauā Mahi Trust & Waikato Regional Council Partnership Project – Karapiro and Mangaonua Catchments

WRA 22-036

Raukawa Charitable Trust

371,151

Te Rōnihi o Ngā Waka o Waipapa

Waikato River Authority

Annual Report 2023

Application ID

Recipient name

WRA Investment ($)

Project

2023 1,337,286

Ngā Wai o Waikato – Stage 2 (2024-2027)

WRA 22-037

Waikato Regional Council (working with private landowners and local Iwi contractors)

WRA 22-040

Waipā Rere Noa Inc.

510,300

Waipā Rere Noa Inc. – Stage 2

WRA 22-042

Tūrangawaewae Trust Board in partnership with Fonterra Cooperative Group Ltd

29,875

Te Puea Hērangi – Wetland Restoration: Stage 1

WRA 22-045

Lynlyse Farm Limited

91,800

Lynlyse Farm Restoration Project

WRA 22-046

Otamatea Trust

215,509

Topo Kaku

WRA 22-048

Kaitiakitanga Charitable Trust

70,785

Malvern Properties Ltd, bordered by the Puniu & Waipa Rivers, Frontier & Papesch Rds Pirongia

WRA 22-049

Manawanui Developments Limited Partnership, Ngāti Koroki Kahukura

48,000

Mai i te Maunga ki te Awa – Ngāti Koroki Kahukura Biodiversity Enhancement Programme

WRA 22-052

Te Arawa River Iwi Trust

22,000

TARIT RiverTag

5,719,939

Application ID

Recipient name

WRA Investment ($)

Project

2022 WRA 21-003

Waikato Regional Council. In partnership with the landowners: C & S Guyton Farms Ltd, Ballance Agri-Nutrients Ltd, Te Paraki Land Trust

90,879

Mangakara Stream Restoration

WRA 21-004

Hamish Browne and Robyn Budd

60,219

Black Pond Farm – Ruaotehuia Stream Restoration: Phase 2

WRA 21-006

Trust Waiwaiā

185,900

Tōkihi (Iwi Succession Plan Framework) – Phase 1

WRA 21-007

Waikato River Trails Trust

237,156

Waikato River Trails riparian restoration

WRA 21-009

Waikato RiverCare Inc. In partnership with Elizabeth Rumball and Roger Healy

251,350

Rumball/Healy Farm Wetland Restoration Pungapunga

WRA 21-010

Rangitoto Lands (Mr Duncan Oliver)

19,999

Rangitoto Lands wetlands protection

WRA 21-011

Waikato RiverCare Inc. In partnership with Waikato Regional Council

95,506

Storey Farm Mangatea Stream restoration

WRA 21-015

Graeme and Shelley Monk

57,241

Tokaiminga Stream Restoration Planting

WRA 21-017

Te Kawau Environmental Services Ltd

40,885

Ngā Puna o Mangaokewa me Mangapu ki Waipa: Te hononga tutahi ki te Taiao

WRA 21-019

Raukawa Charitable Trust

157,895

He Rā Whatiwhati Kō – Enabling Te Ārohirohi o Raukawa – Freshwater Assessment Tool

WRA 21-023

Mr Martin Ngataki

60,000

Te Ngea Ngea Trust waterway restoration

Waikato River Authority – Group Consolidated Financial Statements

Application ID

Recipient name

WRA Investment ($)

Project

2022 WRA 21-024

Te Runanga o Ngati Kea Ngati Tuara Trust

160,274

Mangakarā Wetland and Herewahine Tributary planting

WRA 21-025

Riparian Developments

89,706

Riparian restoration Mangakara Stream (Roberts Road)

WRA 21-026

Mr Tom Casey

75,479

Riparian restoration of Waitete Stream – 2716 Arapuni Rd

WRA 21-027

Tainui Group Holdings Limited

246,287

Hangawera Station Taiao Restoration Project – Stage 1

WRA 21-028

Mrs Sarah Martin

19,260

Gully/wetland restoration – Ohote Stream

WRA 21-030

Living Water (DOC Fonterra Partnership) In partnership with Mangaotama Stream and Wetland Restoration Trust, Waipa District Council

388,000

Manga-o-tama Ōhaupō Peat Lakes to Waipā River Catchment Restoration

WRA 21-031

Department of Conservation In partnership with Te Riu O Waikato

488,750

Koi Carp Management Programme

WRA 21-032

B&N Hathaway 2009 Family Trust

7,270

Paeroa Ranges Protection Programme (Hathaway Trust)

WRA 21-033

Pukeroa Hangatiki A55 Trust

29,333

Wairere Stream and Te Anaureure Enhancement – Stage 2

WRA 21-036

Waikato Regional Council

61,209

Opuatia Wetland Restoration: Phase 1 restoration planting

WRA 21-038

Mr Bruce Chipman

11,373

Waltaroa Downs Ruato Stream enhancement

WRA 21-039

Pokaiwhenua Catchment Group

32,310

Duxfield Reserve restoration South Waikato

WRA 21-040

Riparian Developments

58,131

Riparian restoration Waitete Stream – 2831 Arapuni Rd

WRA 21-041

Ngaa Uri o Maahanga Trust

195,200

Puuraakau – Ngaati Maahanga – Restoring and Protecting Waahi Tapu and sites of significance – Stage 2

WRA 21-042

Tuhourangi Tribal Authority

32,733

Extension of the Whirinaki Restoration Project

WRA 21-043

Te Arawa River Iwi trust

8,015

TARIT Tira Hoe Educational Booklet

WRA 21-044

Te Arawa River Iwi Trust

21,400

TARIT Waka Safety Course 2022

WRA 21-046

Waikato Regional Council

529,673

Lower Waikato hill country and stream erosion protection and remediation projects – Year 3 (2022/2023)

WRA 21-047

Tūrangawaewae Trust Board In partnership with Fonterra Co-operative Group Ltd

18,568

Te Puea Hērangi Farm – Wetland Restoration

WRA 21-048

Ngātira Marae

1,435

Ngātira Marae ki Ngāti Ahuru Watercress Restoration Wānanga 2022

WRA 21-051

Swampfrog Environmental & Tree Consultants Ltd (on behalf of local Marae's)

42,958

Maaku anoo e hanga i tooku nei whare – Tongi Maara

WRA 21-053

Puniu River Care

WRA 21-055

Katalia Limited

97,650

Piarere Conservation Project

WRA 21-057

Ōtorohanga District Council

52,828

Te Ara a Waiwaiā – Waipa River Enhancement Phase 1

WRA 21-060

Purehina Trust In partnership with Waikato-Tainui

53,955

Te Kakenga ki te Rangi Puna Restoration

1,108,340

5,087,167

Waikato River Authority

Annual Report 2023

Te Manawanui o Waipa – 2021

More information on funded projects is available at www.waikatoriver.org.nz. Many of the completed projects are featured in our Project Stories section of the website. You can also search the projects by number on our Funded Projects map, also on the website.

Waikato River Authority – Group Consolidated Financial Statements

Completed Projects 2022 – 2023

Application ID

Recipient name

WRA Investment ($)

Project

2023

WRA 11-070

Raukawa Charitable Trust

45,885

The Ongaroto Wetland Restoration & Pest Management Control Programme

WRA 13-053

Waikato RiverCare Incorporated

134,546

River Ride/River Care – Ngaruawahia South

WRA 14-005

Dairy NZ Ltd

70,093

Wetland Showcase for Farm Nutrient Attenuation

WRA 15-023

Beef and Lamb NZ

72,760

Sheep and Beef Farmers – Working for the Waikato

WRA 16-004

Puniu River Care Inc

241,568

Wharekorino Wetland Enhancement Project

WRA 16-005

NZ Landcare Trust

205,807

Restoration of Lake Millicich, Henderson's Pond and Lake Ngarotoiti

WRA 16-017

Waikato Regional Council

277,732

Enhancement of the Whangamarino Wetland and catchment

WRA 16-020

Waikato Regional Council

43,814

Lake Whangape Southern Arm Planting Project – Phase 2

WRA 16-022

Waikato RiverCare Incorporated

64,025

Mangawara Tuna and Wildlife Oxbow Project

WRA 16-029

Debbie Barke

9,364

Wetland Restoration – Lake Ngahewa Catchment

WRA 16-031

Te Whakakitenga o Waikato Incorporated

250,000

Waikare Urupa Restoration

WRA 17-003

Ngati Haua Mahi Trust

279,574

Ngā Puna o Mangaonua me Mangaone ki Waikato – Ecological Catchments Plan implementation

WRA 17-009

Waikato RiverCare Incorporated

29,169

North Waikato Projects

WRA 17-011

Gina Williams

53,442

Maungatautari Wetland Restoration – Stage 4

WRA 17-012

Ngāti Tahu-Ngāti Whaoa Rūnanga Trust

93,169

Ohaki Wetland Enhancement

WRA 17-021

Keith Lambeth

21,011

Lake Downs Hill Country Erosion Management Project

WRA 18-003

Waikato RiverCare Incorporated

26,648

Butler Farm Tuhikaramea Stream Restoration

WRA 18-018

Te Arawa River Iwi Trust

14,400

Building Iwi Capacity Mātauranga

WRA18-037

Waiterimu Golf Club

26,928

Waiterimu Golf Club Stock Exclusion and Riparian Planting Project

WRA 18-053

National Institute of Water and Atmospheric Research (NIWA)

400,000

Analysis of trends and indicators for the WRA 5-yearly report & preparing for the 2025 Waikato River Report Card

WRA19-030

Hamish Browne and Robyn Budd

14,545

Black Pond Farm, Mangatangi Stream Restoration

WRA19-032

Raukawa Charitable Trust

89,206

Te Ārohirohi o Raukawa i Waikato (The Shimmer of Raukawa on the Waikato River)

Waikato River Authority

Annual Report 2023

Application ID

Recipient name

WRA Investment ($)

Project

2023 WRA19-033

Maniapoto Māori Trust Board

175,140

Maniapoto Cultural Assessment Framework Implementation

WRA19-069

Mark Muir

26,772

Lake Rotoiti Enhancement Project

WRA 20-053

Te Arawa River Iwi Trust

152,000

Ruahuwai Takiwa – 2.0 Smart Land Use Change

WRA 20-063

Whakaupoko West Franklin Landcare Group

20,000

Reconnecting Waikato River to the Manukau Harbour primarily via the Awaroa River

WRA 20-067

Te Arawa River Iwi Trust

34,000

TARIT Fisheries Plan Update

WRA 20-068

Tūhourangi Tribal Authority

99,139

Whirinaki Restoration Project

WRA 21-010

Duncan Oliver

19,999

Rangitoto Lands Wetlands Protection Project

WRA 21-036

Waikato Regional Council

61,209

Opuatia Wetland Restoration: Phase 1 – Restoration Planting

WRA 21-047

Tūrangawaewae Trust Board

8,568

Te Puea Hērangi – Wetland Restoration

3,060,512

Application ID

Recipient name

WRA Investment ($)

Project

2022 WRA 13-029

Pukeroa Hangatiki Trust

115,000

Maniapoto Cave and Wairere Stream Enhancement

WRA 13-053

Waikato RiverCare Incorporated

134,546

River Ride/River Care – Ngaruawahia South

WRA 13-054

Waikato-Tainui College for Research and Development

839,577

Waikato-Tainui Manaaki Tuna Project

WRA 14-040

Sustainable Coastlines Charitable Trust

202,226

Mangatutu and Waikeria Streams Restoration – Waikeria Prison and Sustainable Coastlines Collaboration

WRA 15-004

Waikato District Council

448,120

Lake Rotokauri Restoration

WRA 15-009

Waikato RiverCare Incorporated

172,059

Mangawara oxbow wetlands

WRA 15-012

Waipa District Council

WRA 15-019

Nikau Family Estate Trust

309,199

Restoration of the Matahuru Wetland Lake Waikare – Stage 2

WRA 15-025

Mangakotukutuku Stream Care Group Incorporated

39,570

Mangakotukutuku Stream Restoration (Rukuhia)

WRA 15-026

Mangakotukutuku Stream Care Group Incorporated

37,448

Peacockes Riparian Restoration Project

WRA 16-003

Waikato Regional Council

55,212

Okohua Stream Tributaries Riparian Restoration

WRA 16-008

ESR Ltd

302,400

Investigating maanuka-dominated ecosystem to improve water quality

WRA 16-009

Ngati Haua Mahi Trust

346,877

Wetland Reconstruction – Mangaonua

37,268

Constructed Wetland Treatment System on Eastern Lake Ngaroto drain inflows

Waikato River Authority – Group Consolidated Financial Statements

Application ID

Recipient name

WRA Investment ($)

Project

2022 WRA 16-012

Waikato RiverCare Incorporated

55,000

Tuhonohono Project (The Onetea Stream to Waikare)

WRA 16-014

South Waikato District Council

89,825

South Waikato Environmental Initiatives (SWEI) Riparian and Wetland Enhancement Projects

WRA 16-018

New Zealand Landcare Trust

75,824

Kahikatea Fragment Enhancement in the Waipa Catchment

WRA 16-021

Ngati Haua Mahi Trust

130,819

Karapiro Stream Floodplains Restoration – Cambridge

WRA 16-027

Greening Taupo

54,173

Waikato River Trench Restoration – Aratiatia Track Below Huka Falls

WRA 16-030

Harald Esendam

7,412

WRA 17-005

Ian Balme

83,819

Afforestation of upper Tunaeke Stream catchment: Balme property

WRA 17-006

Waikato Regional Council

223,802

Upper Matahuru Catchment Management Programme

WRA 17-022

Waikato Regional Council

76,989

Moanatuatua Peat Bog Restoration

WRA 17-029

Enterprise 303 Ltd

62,860

Kingi Whenua – Te Kauri Restoration Project 2018a

WRA 17-039

Nikau Family Estate Trust

144,939

Restoration of the Matahuru Wetland Lake Waikare – Stage 3

WRA 17-044

Rowing New Zealand

364,538

Rowing New Zealand Partnership

WRA 18-001

Waikato District Council

107,411

Development of Lake Waikare South Reserve for Recreation

WRA 18-002

Mr Benjamin Ormsby

56,198

Puketotara Ngakoahia River restoration

WRA 18-009

Waikato River Trails Trust

240,855

Native planting along Waikato River Trail

WRA 18-025

Maniapoto Māori Trust Board

30,992

Restoration of Te Puna o Te Roimata

WRA 18-033

Mr Sean Francis

22,024

Mangamingi Stream Restoration – Stage 2

WRA 18-053

National Institute of Water and Atmospheric Research (NIWA)

400,000

Analysis of trends and indicators for the WRA 5-yearly report & preparing for the 2025 Waikato River Report Card

WRA19-044

Morphum Environmental

111,559

WRA Mapping and Storytelling Tool

WRA19-073

Te Arawa River Iwi Trust

47,039

Update of Whakamarohitia Nga Wai o Waikato – the TARIT Environmental Management Plan

WRA 20-023

Allen Fabrics Ltd on behalf of Kimihia Lakes Community Charitable Trust

11,770

Kimihia Lakes Upper Wetland Restoration

WRA 20-028

Duncan Oliver

28,000

Rangitoto Lands wetlands protection project

WRA 20-048

Pou Kapua Creations Trust

25,000

Project planning for Te Puuaha restoration project

WRA 20-051

Enterprise 303 Ltd

23,039

Riparian restoration on Steiner property, Lake Waahi

WRA 20-059

Waipa Rerenoa Incorporated Society

201,250

Wetland and riparian management on private land within Ōtorohanga area

WRA 20-071

AgResearch

91,110

Assessment of the social and cultural outcomes of waterway restoration projects in the Waikato catchment to support community wellbeing and cultural revitalisation

5,805,747

Waikato River Authority

Annual Report 2023

Wetland Pokaitu – Tauhunaatara catchment

Waikato River Authority – Group Consolidated Financial Statements

Consolidated Statement of Comprehensive Revenue & Expense For the year ended 30 June 2023 – In New Zealand dollars

Note

2023

2022

Revenue Settlement & other funds

28,793,096

Other revenue

1,794,685

1,686,519

Finance revenue

5,637,185

8,222,446

36,224,966

9,908,965

Total revenue Expenses Other expenses

(3,626,988)

(2,547,260)

Grant payments

(4,982,016)

(4,177,030)

Depreciation

(22,029)

(25,909)

Amortisation

(6,155)

(3,077)

Total expenses

(8,637,188)

(6,753,276)

Surplus/(deficit) for the period

27,587,778

3,155,689

Gain/(loss) on investment revaluations

4,545,210

(9,385,693)

Total other comprehensive revenue & expense

4,545,210

(9,385,693)

Net comprehensive revenue & expense for the period

32,132,988

(6,230,004)

Other comprehensive revenue & expense

*Subject to the Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010 the Group is to receive settlement funds of $210,000,000 over 27 years (15 years remaining). Additional settlement funds of $10,000,000 will be received over 27 years (15 years remaining) under the Nga Wai o Manipoto (Waipa River) Act 2012. Subject to the continuation of Resource Consent AUTH131259.01.01, the Group is to receive funding of $42,000,000 over 20 years (the life of the consent, 19 years remaining). Refer to note 10 for further details.

The accompanying notes form part of these group financial statements

Waikato River Authority

Annual Report 2023

Consolidated Statement of Changes in Equity For the year ended 30 June 2023 – In New Zealand dollars

Revaluation reserves

Retained earnings

Total equity

10,494,071

147,925,081

158,419,152

3,155,689

Other comprehensive revenue & expense

(9,385,693)

Total comprehensive revenue & expense for the year

(9,385,693)

3,155,689

(6,230,004)

Balance at 30 June 2022

1,108,378

151,080,594

152,189,148

Balance as at 1 July 2022

1,108,378

151,080,594

152,188,972

27,587,778

Other comprehensive revenue & expense

4,545,210

Total comprehensive revenue & expense for the year

4,545,210

27,587,778

32,132,988

Balance at 30 June 2023

5,653,588

178,668,372

184,321,960

Balance as at 1 July 2021 Total comprehensive revenue & expense for the year Surplus/ (deficit) for the year

Total comprehensive revenue & expense for the year Surplus/ (deficit) for the year

The accompanying notes form part of these group financial statements

Waikato River Authority – Group Consolidated Financial Statements

Consolidated Statement of Financial Position As at 30 June 2023 – In New Zealand dollars

Note Assets

2023

2022

Current assets Cash and cash equivalents

11,332,926

7,523,761

Receivables

50,683

135,926

Funding receivable

8,832,759

6,922,357

239,900

234,700

4,202,815

17,683,342

24,659,083

32,500,086

GST Other financial assets

Total current assets Non-current assets Funding receivable

87,494,146

67,528,554

Property, plant and equipment

938,695

955,675

15,196

1,850

Work in progress – building fit-out Intangible assets

6,155

Other financial assets

74,697,181

54,268,766

Total non-current assets

163,145,218

122,761,000

Total assets

187,804,301

155,261,085

Liabilities Current liabilities Payables

601,175

543,059

Provisions

2,881,168

2,528,879

Total current liabilities

3,482,343

3,071,938

Total liabilities

3,482,343

3,071,938

184,321,958

152,189,148

Retained earnings

178,668,372

151,080,594

Revaluation reserve

5,653,588

1,108,378

184,321,958

152,189,148

Net assets Equity

Total equity

Stu Kneebone

Tipa Mahuta

Crown Co-Chair

Iwi Co-Chair

12 October 2023

Waikato River Authority

Annual Report 2023

Consolidated Statement of Cash Flows For the year ended 30 June 2023 – In New Zealand dollars

Note

2023

2022

11,333,000

7,333,000

910,000

GST

1,028,561

825,148

Interest revenue received

1,329,795

875,095

Dividend revenue received

883,438

769,894

Payments to suppliers

(3,958,814)

(2,827,497)

Grant payments

(5,188,502)

(5,260,778)

6,337,478

2,624,862

(119,371)

2,709,890

Purchase of investments through introduction of funds

(2,000,000)

Purchase of investments through reinvestment of funds

(390,546)

(5,039,199)

Purchase of property, plant and equipment

(18,396)

(7,256)

(2,528,313)

(2,336,565)

Net increase in cash, cash equivalents, and bank overdrafts

3,809,165

288,297

Cash, cash equivalents, and bank overdrafts at the beginning of the year

7,523,761

7,235,464

11,332,926

7,523,761

Cash flows from operating activities Settlement & other funds received Government grants received

Net cash flows from operating activities Cash flows from investing activities Proceeds from disposal of investments

Net cash flows from investing activities

Cash, cash equivalents, and bank overdrafts at the end of the year

Waikato River Authority – Group Consolidated Financial Statements

Statement of Accounting Policies For the year ended 30 June 2023

1. Reporting entity These consolidated financial statements comprise Waikato River Authority (the “Authority”) and the Waikato River Cleanup Trust (the “Trust”), together referred to as the “Group”, and have been established by virtue of the provision of section 32 (2) of the Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010 and section 33 (2) of the Ngati Tuwharetoa, Raukawa, and Te Arawa River Iwi Waikato River Act 2010. These financial statements have been prepared in accordance with schedule 5 of the Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010. Further legislation was enacted in April 2012 and the Group has to meet its obligations in accordance with the Nga Wai o Maniapoto (Waipa River) Act 2012 from the Act’s establishment. The Group has been established to restore and protect the health and wellbeing of the Waikato River for future generations. Accordingly the Group has designated itself as a public benefit entity (“PBE”) for financial reporting purposes. The consolidated financial statements are for the year ended 30 June 2023. The consolidated financial statements were approved by the Board on 12 October 2023.

2. Basis of preparation a. Going concern The consolidated financial statements have been prepared on the going concern basis, and the accounting policies have been applied consistently throughout the period.

b. Statement of compliance The consolidated financial statements of the Group have been prepared in accordance with New Zealand Generally Accepted Accounting Practice (“NZ GAAP”) . The Group has designated itself as a public benefit entity (PBE) for the purposes of complying with NZ GAAP. The consolidated financial statements have been prepared in accordance with and comply with PBE standards RDR (Tier 2). The Group is eligible to report under PBE standards RDR (Tier 2) as it is not defined as a large entity and has no public accountability (as defined) but has expenses over $2 million and less than $30 million. The Group has taken advantage of all Reduced Disclosure Regime (RDR) disclosure concessions, however it has elected to still provide a cash and cash equivalents accounting policy and disclose the amount of additional grant provisions made in note 15.

c. Basis of measurement The consolidated financial statements have been prepared on the historical cost basis, except where modified by the revaluation of certain financial instruments.

d. Presentation currency and rounding These consolidated financial statements are presented in New Zealand dollars ($) and all values are rounded to the nearest dollar.

e. Use of estimates and judgements The preparation of consolidated financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, revenue and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in any future periods affected.

Waikato River Authority

Annual Report 2023

f. Business combination Controlled entities are entities controlled by the Group. The Group ‘controls’ an entity when it is exposed, or has rights, to variable benefits from its involvement with the other entity and has the ability to affect the nature or amount of those benefits through its power over the other entity. The financial statements of controlled entities are included in the consolidated financial statements from the date on which control commences until the date on which control ceases. During the year an assessment has been made that the Authority controls the Trust and as such the consolidated financial statements, including comparatives have been presented. Transactions eliminated on consolidation intra-group balances and transactions, and any unrealised income and expenses arising from intra-group transactions, are eliminated.

3. Significant accounting policies a. Financial instruments i) Non-derivative financial instruments Non-derivative financial instruments comprise investments in term deposits, receivables, cash and cash equivalents and payables. Non-derivative financial instruments are recognised initially at fair value, plus, for instruments not at fair value, they are recognised through the Statement of Comprehensive Revenue & Expense with any directly attributable transaction costs. Subsequent to initial recognition non-derivative financial instruments are measured as described below. A financial instrument is recognised if the Group becomes a party to the contractual provisions of the instrument. Financial assets are de-recognised if the Group’s contractual rights to the cash flows from the financial assets expire or if the Group transfers the financial asset to another party without retaining control or substantially all risks and rewards of the asset. Purchases and sales of financial assets are accounted for at trade date, i.e., the date that the Group commits itself to purchase or sell the asset. Financial liabilities are derecognised if the Group’s obligations specified in the contract expire or are discharged or cancelled. Cash and cash equivalents Cash and cash equivalents comprise cash balances, call deposits and other highly liquid investments with maturities of three months or less. Bank overdrafts that are repayable on demand and form an integral part of the Group’s cash management are included as a component of cash and cash equivalents for the purpose of the Statement of Cash Flows. Fair value through other comprehensive revenue and expense/available for sale Financial assets at fair value through other comprehensive revenue and expense are those that are designated into the category at initial recognition or are not classified in any of the other categories above. They are included in non-current assets unless management intends to dispose of, or realise, the investment within 12 months of balance date. The Group includes in this category: •

investments that it intends to hold long-term but which may be realised before maturity; and

•

shareholdings that it holds for strategic purposes.

These investments are measured at their fair value, with gains and losses recognised in other comprehensive revenue & expense, except for impairment losses, which are recognised in surplus or deficit. The gain or loss does not include interest or dividend income. On de-recognition, the cumulative gain or loss previously recognised in other comprehensive revenue and expense is reclassified from equity to surplus or deficit. Receivables Receivables are recorded at the amount due less any provision for uncollectability. Payables Payables are recorded at the amount payable. Loans and receivables Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They are included in current assets, except for maturities greater than 12 months after balance date, which are included in non-current assets.

Waikato River Authority – Group Consolidated Financial Statements

3. Significant accounting policies (continued) b. Impairment The carrying amounts of the Group’s assets are reviewed at each balance sheet date to determine whether there is any objective evidence of impairment. An impairment loss is recognised whenever the carrying amount of an asset exceeds its recoverable amount. Impairment losses directly reduce the carrying amount of assets and are recognised in the surplus or deficit.

i) Impairment of loans and receivables Impairment losses on an individual basis are determined by an evaluation of the exposures on an instrument by instrument basis. All individual instruments that are considered significant are subject to this approach. For receivables which are not significant on an individual basis, collective impairment is assessed on a portfolio basis based on numbers of days overdue, and taking into account the historical loss experience in portfolios with a similar amount of days overdue. The recoverable amount of the Group’s loans and receivables carried at amortised cost is calculated as the present value of estimated future cash flows, discounted at the original effective interest rate (i.e., the effective interest rate computed at initial recognition of these financial assets). Receivables with short duration are not discounted. If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognised, the previously recognised impairment loss is reversed. The reversal does not result in a carrying amount of the financial asset that exceeds what the amortised cost would have been had the impairment not been recognised at the date the impairment is reversed. The amount of the reversal is recognised in the Statement of Comprehensive Revenue & Expense.

c. Revenue Revenue is measured at fair value. Revenue may be derived from either exchange or non-exchange transactions. Exchange transactions Exchange transactions are transactions where the Group receives assets or services, or has liabilities extinguished, and directly gives approximately equal value to another entity in exchange. The Group receives the following exchange revenue streams:

i) Interest and dividends Interest revenue is recognised using the effective interest method. Dividends are recognised when the Group’s right to receive the payment is established.

ii) Services Revenue from services rendered is recognised in surplus or deficit in proportion to the stage of completion of the transaction at the balance date. The stage of completion is measured with reference to the project milestones. Non-exchange transactions These are all other transactions that are not exchange transactions. The Group receives the following non-exchange revenue streams:

i) Government grants Grants received from the government are the primary source of funding to the Group and are restricted for the purposes of the Group meeting its objectives as specified in the Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010. If the Group is unable to cover its operating costs from government funding, then it is able to use cash from its reserves. Government grants are recognised as revenue when they become receivable unless there is an obligation to return the funds if conditions of the grant are not met. If there is such an obligation, then the grants are initially recorded as grants received in advance and recognised as revenue when conditions of the grant are satisfied. Settlement grants are measured at the present value of the revenue expected to be required to settle the obligation using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the settlement grants due to the passage of time is recognised in finance revenue.

Waikato River Authority

Annual Report 2023

ii) Other funding received Other funding is recognised as revenue when it becomes receivable unless there is an obligation to return the funds if conditions of the funding is not met. If there is such an obligation, then the funding are initially recorded as funding received in advance and recognised as revenue when conditions of the funding is satisfied. Other funding is measured at the present value of the revenue expected to be required to settle the obligation using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the other funding due to the passage of time is recognised in finance revenue

iii) Unwind discount on funding receivable The increase in the government settlement and other funding due to the passage of time is recognised in finance revenue as an unwind discount on funding receivable.

d. Finance revenue and expenses Finance revenue comprises interest revenue on funds invested and gains on the disposal of available-for-sale financial assets. Interest revenue is recognised as it accrues, using the effective interest method. Finance expenses comprise interest expense on borrowings, unwinding of discount on provisions, changes in the fair value of financial assets at fair value through surplus or deficit and impairment losses recognised on financial assets (except for receivables).

e. Grant expenditure Grants are those grants awarded if the grant application meets the specified criteria and have been approved by the Board. These are recognised as expenditure based on the deliverables and timeframe set out in the signed funding deeds. All grants will be recognised as an expense as the conditions of the grants are satisfied. Grants that are not recognised are recorded as funding commitments. For grants under $50,000, an 80% payment is made upfront and the remaining is paid on completion of the project. Grants over $50,000 require evidence of deliverables completed before payment is made.

f. Property, plant and equipment Property, plant, and equipment consists of the following asset classes: motor vehicles, plant & equipment, artwork, buildings and land. The asset classes are measured at cost, less accumulated depreciation and impairment losses. Additions The cost of an item of property, plant, and equipment is recognised as an asset only when it is probable that future economic benefits or service potential associated with the item will flow to the Group and the cost of the item can be measured reliably. In most instances, an item of property, plant, and equipment is initially recognised at its cost. Where an asset is acquired at no cost, or for a nominal cost, it is recognised at its fair value as at the date of acquisition. Disposals Gains and losses on disposals are determined by comparing the proceeds with the carrying amount of the asset. Gains and losses on disposals are reported net in the surplus or deficit. Subsequent costs Costs incurred subsequent to initial acquisition are capitalised only when it is probable that future economic benefits or service potential associated with the item will flow to the Group and the cost of the item can be measured reliably. The costs of day-to-day servicing of property, plant, and equipment are recognised in surplus or deficit as they are incurred.

Waikato River Authority – Group Consolidated Financial Statements

3. Significant accounting policies (continued) Depreciation Depreciation is provided on a straight-line basis on all property, plant, and equipment other than land and artwork, at rates that will write-off the cost of the assets to their estimated residual values over their useful lives. The useful lives and depreciation rates of major classes of property, plant, and equipment have been estimated as follows: Buildings

14.2 to 50 years

Motor vehicles

4.7 years

21%

Plant & equipment

1.5 to 9.5 years

10.5%

67%

The residual value and useful life of an asset is reviewed, and adjusted if applicable, at each financial year end.

g. Intangible assets Software acquisition and development Acquired computer software licenses are capitalised on the basis of the costs incurred to acquire and bring to use the specific software. Costs that are directly associated with the development of software for internal use are recognised as an intangible asset. Direct costs include the software development employee costs and an appropriate portion of relevant overheads. Staff training costs are recognised in surplus or deficit when incurred. Costs associated with maintaining computer software are recognised as an expense when incurred. Amortisation The carrying value of an intangible asset with a finite life is amortised on a straight-line basis over its useful life. Amortisation begins when the asset is available for use and ceases at the date that the asset is de-recognised. The amortisation charge for each period is recognised in surplus or deficit. The estimated useful lives for current and comparative periods are as follows: Management software

Waikato River Authority

10 years

Annual Report 2023

10%

h. Impairment of property, plant, and equipment and intangible assets The Group does not hold any cash generating assets. Assets are considered cash generating when their primary objective is to generate a commercial return. Non-cash generating assets Property, plant and equipment and intangible assets held at cost that have a finite useful life are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to sell and value in use. Value in use is determined using an approach based on either a depreciated replacement cost approach, restoration cost approach, or a service units approach. The most appropriate approach used to measure value in use depends on the nature of the impairment and availability of information. If an asset’s carrying amount exceeds its recoverable amount, the asset is regarded as impaired and the carrying amount is written-down to the recoverable amount. The total impairment loss is recognised in surplus or deficit. The reversal of an impairment loss is recognised in surplus or deficit.

i. Provisions A provision is recognised for future expenditure of uncertain amount or timing when there is a present obligation (either legal or constructive) as a result of a past event, it is probable that expenditure will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. Provisions are not recognised for future operating losses. Provisions are measured at the present value of the expenditure expected to be required to settle the obligation using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to the passage of time is recognised in finance expenses.

j. Taxation In accordance with schedule 5 of Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010 the Authority and Trust have been granted exemption from income tax. Income Tax Act 2007 section CW 1 specifies non business revenue will be exempt from tax. The Group entities have granted charitable status by the Charities Commission and the Group entities are registered as charities.

k. Goods and Services Tax (GST) The Trust is registered for GST and all balances are stated exclusive of Goods and Services Tax (GST), except for receivables and payables which are presented inclusive of GST. The GST paid to, or received from the IRD, including the GST relating to investing and financing activities, is classified as an operating cash flow in the Statement of Cash Flows. Commitments and contingencies are disclosed exclusive of GST. The Authority is not registered for GST, therefore all amounts relative to the Authority are stated inclusive of GST.

Waikato River Authority – Group Consolidated Financial Statements

3. Significant accounting policies (continued) l. Equity Equity is measured as the difference between total assets and total liabilities. Equity is disaggregated into the following components: •

Retained earnings

•

Financial assets at fair value through revaluation reserve.

Revaluation reserve This reserve comprises the cumulative net change of financial assets classified at fair value through other comprehensive revenue and expense (otherwise known as “available for sale” financial assets).

m. Critical accounting estimates and assumptions In preparing these financial statements, the Group has made estimates and assumptions concerning the future. These estimates and assumptions may differ from the subsequent actual results. Estimates and assumptions are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below:

i) Settlement and other funds and funding receivable Refer to note 10

ii) Grant provisions Refer to note 15

Waikato River Authority

Annual Report 2023

Waikato River Authority – Group Consolidated Financial Statements

Notes to the Financial Statements For the year ended 30 June 2023

4. Other revenue 2023

2022

Dividends received

884,685

776,519

Government grants received

910,000

1,794,685

1,686,519

The Crown provides $910,000 directly to the Authority to cover reasonable operational costs for the Group. These transactions have been recognised in the Statement of Comprehensive Revenue & Expense.

5. Finance revenue 2023

2022

Interest on term deposits and investments

1,340,657

933,534

Unwind discount on funding receivable

4,415,899

4,579,022

Capital gain/(loss) on sale of investments

(119,371)

2,709,890

5,637,185

8,222,446

2023

2022

Accounting fees

95,222

99,141

Audit fees – current year

60,719

59,857

1,625,132

1,496,544

6. Other expenses Note Other expenses include:

Audit fees – prior year Consultant and contractor fees Operating leases

30,138

4,237

Appointees’ fees

88,565

88,977

Appointees’ and governance expenses

5,632

617

1,721,580

797,887

3,626,988

2,547,260

Other operating expenses

Waikato River Authority

Annual Report 2023

7. Grants 2023

2022

A John

3,478

A Wills

1,000

38,843

B & D Chipman

3,577

B & N Hathaway 2009 Family Trust

6,322

B Ormsby

12,400

B Stewart

6,980

Beef & Lamb NZ

(84,818)

10,394

Boffa Miskell Ltd

14,122

28,037

Buddle Finlay

7,000

(7,000)

(2,974)

D & L Gamble Ltd

31,385

15,311

Dairy NZ Limited

(4,267)

Department of Conservation

183,174

177,022

17,390

57,291

39,348

ESR Limited

19,958

G Williams

18,197

(18,197)

Graymatter Limited

64,628

10,254

(15,446)

H Brown & R Budd

(8,586)

38,498

H Clarke

92,604

77,987

I Balme

(13,049)

J Mills

5,130

J Hall

4,393

71,427

18,082

K & K Bucher

8,100

3,627

K Harrison

1,397

4,500

Kapenga M Trust

23,684

257,552

Kaitiakitanga Charitable Trust

28,826

Kapuia Limited

11,868

Katalia Limited

72,495

7,980

369

5,170

24,571

12,826

AgResearch

D Barke

D Oliver Enterprise 303 Ltd

Greening Taupo

J Tarawhiti

L Phipps Landcare Research New Zealand Ltd

Waikato River Authority – Group Consolidated Financial Statements

7. Grants (continued) 2023

2022

(2,816)

L Birch

(7,437)

7,437

Living Water (DOC & Fonterra Partnership)

199,206

333

33,391

Mangakotukotu Streamcare Group

(18,350)

Mangapiko Stream Care Group

(2,929)

Mangatawhiri River Catchment Care Group

6,450

4,072

Maniapoto Māori Trust Board

20,820

132,460

848

(848)

Morphum Environmental Limited

13,655

New Zealand Rowing Association Inc

(16,669)

Ngaa Muka Development Trust

23,623

1,565

Ngaa Uri o Maahanga Trust

22,304

33,391

Ngaati Hauaa Mahi Trust

44,339

14,666

Ngaati Koroki Kahukura Trust

5,935

55,727

Ngaati Tahu-Ngaati Whaoa Runanga Trust

60,450

48,132

Nikau Family Estate Trust

79,560

62,149

Nikau Farm Estate Trust

(53)

NIWA

160,870

(13,601)

NZ Landcare Trust

9,413

47,561

Otamatea Trust

95,969

Ōtorohanga District Council

2,825

18,450

P Weir

31,281

Pokaiwhenua Catchment Group

69,790

27,363

Pou Kapua Creations trust – Kirikowhai Group

4,348

Pukeroa Hangatiki A55 Trust

15,485

Puniu River Care Inc

601,624

560,398

Purehina Trust

30,065

10,000

2,870

136,096

3,288

67,519

90,579

(839)

1,973

10,638

36,279

Landcorp Farming Ltd

M Cane Manawanui Developments Limited Partnership, Ngaati Kokori Kahukura

Mercury

NIWA-Waikato Raupatu River Trust

R Bullock Raukawa Charitable Trust Riparian Developments Limited Riverdale Group Ltd S Martin S Muir

Waikato River Authority

Annual Report 2023

2023

2022

Solid Energy & Whaanui Trust

3,172

(4,866)

Swampfrog Environmental & Tree Consultants Limited

7,468

29,887

2,324

Tainui Development Authority

(124,134)

122,664

Tainui Group Holdings Limited

25,294

Sustainable Coastlines Charitable Trust

Taniwha Marae

(192)

19,961

Te Arawa River Iwi Trust

135,896

(38,482)

Te Awa River Ride Charitable Trust

122,630

104,360

Te Kauae Marae

1,087

Te Kawau Environmental Services Limited

31,108

Te Runanga O Ngaati Kea Ngaati Tuara Trust

124,770

11,222

27,545

TK Productions Limited (trading as Deep Dive Division)

214,696

The Ani Waata Whānau Trust

43,555

55,016

The Kukutaaruhe Trust

62,304

30,174

Trust Waiwaiā

48,930

Tūhourangi Tribal Authority

69,388

24,717

Tūrangawaewae Trust Board

7,450

Upper Maire Land Care Society Inc

43,478

(8,695)

1,245,482

1,112,913

6,957

(6,957)

(31)

28,320

Waikato River Care

377,215

137,476

Waikato River Trails

72,496

82,705

University of Waikato

300,000

75,000

Waahi Whaanui Trust

20,846

Waikato-Tainui College for Research & Development

27,400

138,696

105,000

(7)

Waterside Planters Limited

8,727

6,087

Whakaupoko West Franklin Landcare Group

3,479

4,982,016

4,177,030

Te Arawa Lakes Trust

Te Whakakitenga O Waikato-Tainui

Waikato District Council Waikato Regional Council Waikato Regional Council & New Zealand Police Waikato Regional Council & Te Arawa River Iwi Trust

Waipa Rerenoa Incorporated Society Waiterimu Golf Club

Total grants payments

The Board approved these payments during the year.

Waikato River Authority – Group Consolidated Financial Statements

8. Cash and cash equivalents 2023

2022

Bank balances

7,970,036

5,416,022

Portfolio call accounts

3,362,890

2,107,739

Total cash and cash equivalents in the Statement of Cash Flows

11,332,926

7,523,761

Fair value The carrying value of cash at bank and short-term deposits with maturities less than three months approximates their fair value. Portfolio call accounts Portfolio call accounts are recognised at fair value. The fair value of the portfolio call accounts are determined by reference to published current bid price quotations in an active market. Cash funds Cash funds are recognised at fair value. The fair value of the cash funds are determined by reference to published current bid price quotations in an active market.

9. Receivables 2023

2022

Prepayments

21,717

41,946

Receivables and other accrued income

28,966

727

50,683

42,673

93,253

50,683

135,926

Receivables from exchange transactions:

Receivables from non-exchange transactions: Other receivables

Short term receivables are recorded at the amount due, less any provision for uncollectability. A receivable is considered uncollectible when there is evidence that the amount due will not be fully collected. The amount that is uncollectible is the difference between the amount due and the present value of the amount expected to be collected.

Waikato River Authority

Annual Report 2023

10. Funding receivables 2023

2022

Current

8,832,759

6,922,357

Non-current

87,494,146

67,528,554

Total funding receivables

96,326,905

74,450,911

Funding receivables from non-exchange transactions:

Under the terms of the Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010, the Group is to receive $7,000,000 each year over the next 15 years in settlement funding. This revenue has been recognised upfront and the related receivable has been discounted back at 6.0% which was the upfront treasury risk-free discount rate at settlement. The funding receivable of $105,000,000 has been discounted by $37,014,257 to provide the present value of $67,985,743. Under the terms of the Nga Wai o Maniapoto (Waipa River) Act 2012, the Group is to receive $1,333,333 in year one and $333,333 each year after over the next 15 years in settlement funding. This revenue has been recognised upfront and the related receivable has been discounted back at 4.63% which was the treasury risk-free rate at 30 June 2012. The funding receivable of $5,000,000 has been discounted by $1,451,934 to provide the present value of $3,548,066. Under the terms of the consent granted to Watercare Services Limited, the Group is to receive $4,000,000 in year one and $2,000,000 each year after over the next 19 years during the length of the consent. This revenue has been recognised upfront and the related receivable has been discounted back at 4.69% which is the treasury risk-free rate as at 31 May 2023. The funding receivable of $38,000,000 has been discounted by $13,206,904 to provide the present value of $24,793,096.

Waikato River Authority – Group Consolidated Financial Statements

11. Other financial assets 2023

2022

3,612,101

12,101,218

590,714

5,582,124

4,202,815

17,683,342

9,621,495

8,194,093

Listed shares in Australasian Equities

14,563,380

10,160,196

Listed shares in International Equities

33,263,192

15,926,114

International speciality funds

1,323,126

862,165

PIE cash funds

15,925,988

19,126,199

Total non-current investments

74,697,181

54,268,767

Total other financial assets

78,899,996

71,952,109

Current investments Term deposits with maturities of 4-12 months NZ bonds (includes capital notes) Total current investments Non-current investments NZ bonds (includes capital notes)

Fair value Term deposits The carrying amount of term deposits approximates their fair value. Listed shares Listed shares are recognised at fair value. The fair values of listed shares are determined by reference to published current bid price quotations in an active market. Bonds Bonds are recognised at fair value. The fair value of the bonds are determined by reference to published current bid price quotations in an active market. Speciality funds Speciality funds are recognised at fair value. The fair value of the speciality funds are determined by reference to published current bid price quotations in an active market.

Fair value hierarchy disclosures For those instruments recognised at fair value in the Statement of Financial Position, fair values are determined according to quoted market price (level 1) – Financial instruments with quoted prices for identical instruments in active markets.

Impairment There were no impairment expenses or provisions for other financial assets. At balance date, none of these financial assets are either past due or impaired.

Waikato River Authority

Annual Report 2023

12. Property, plant and equipment Buildings

Land

Artwork

Plant & equipment

Motor vehicles

Total

Balance at 1 July 2021

575,278

314,077

172,000

138,938

65,589

1,265,882

Balance at 30 June 2022/1 July 2022

575,278

314,077

172,000

144,344

65,589

1,271,288

Additions

5,050

Disposals

575,278

314,077

172,000

149,395

65,589

1,276,339

Balance at 1 July 2021

103,604

120,512

65,589

289,705

Balance at 30 June 2022/1 July 2022

116,749

133,277

65,589

315,615

Depreciation expense

13,145

8,884

22,029

Elimination of disposal

129,894

142,161

65,589

337,644

At 1 July 2021

471,674

314,077

172,000

18,427

976,178

Balance at 30 June 2022/1 July 2022

458,529

314,077

172,000

11,068

955,674

At 30 June 2023

445,384

314,077

172,000

7,234

938,695

Cost

Balance as at 30 June 2023 Accumulated deprecation and impairment losses

Balance as at 30 June 2023 Carrying amounts

Impairment There have been no impairment losses recognised or reversed for property, plant and equipment (2022: Nil).

Work in progress The total amount of property, plant and equipment in the course of construction is $15,196. (2022: $1,850).

Restrictions There are no restrictions over the title of property, plant and equipment. No property, plant and equipment is pledged as security for liabilities.

Capital commitments The Group has no capital commitments (2022: Nil).

Waikato River Authority – Group Consolidated Financial Statements

13. Intangible assets Management Software

Total

Balance at 1 July 2021

73,649

Balance at 30 June 2022/1 July 2022

73,649

Additions

Disposals

73,649

Balance at 1 July 2021

64,415

Balance at 30 June 2022/1 July 2022

67,494

Amortisation charge

6,155

73,649

At 1 July 2021

9,234

At 30 June 2022/1 July 2022

6,157

Balance as at 30 June 2023 Accumulated deprecation and impairment losses

Elimination of disposal Balance as at 30 June 2023 Carrying amounts

At 30 June 2023

There are no restrictions over the title of intangible assets. No intangible assets are pledged as security for liabilities.

14. Payables

Payables from exchange transactions: Payables and accrued expenses

2023

2022

235,374

273,116

365,801

269,943

601,175

543,059

Payables from non-exchange transactions: Other payables

Short-term payables are recorded at the amount payable.

Waikato River Authority

Annual Report 2023

15. Provisions 2023

2022

Grant provisions

Opening balance

2,528,879

2,507,256

Additional provisions made

2,277,840

1,223,831

(1,498,975)

(1,052,726)

Unused amounts reversed

(426,576)

(149,482)

Closing balance

2,881,168

2,528,879

Current

2,881,168

2,528,879

Total provisions

2,881,168

2,528,879

Amounts used

Grant provisions The current portion relates to grants that are due to be paid out in the next financial year. For grants approved in the 30 June 2019 financial year and future periods the provision is calculated using an estimate of costs incurred but not invoiced to balance date obtained from grant recipients. For grants approved before the 30 June 2019 financial year the grant provision is calculated by adding together overdue amounts (for grant project milestones completed but not yet invoiced) and a provisional estimate. The estimate pro-ratas the next milestone amount due after balance date over the period of the milestone that falls before balance date. Changes to the next milestone amount or completion date will affect the amount and timing of the outflow of funds.

16. Capital management The Group manages its revenues, expenses, liabilities, and general financing dealings prudently. The Group’s equity is largely managed as a by-product of managing revenue, expenses, assets, liabilities, and compliance with the Board’s instructions. The operating revenue and cash flows, including other comprehensive revenue, more than covers the Group’s operating expenses and cash outflows. As a result, the Group capital base is maintained.

Waikato River Authority – Group Consolidated Financial Statements

17. Financial instruments Classification and fair values 2023

Note

Financial assets

Loans and receivables

Availablefor-sale*

Other amortised cost

Total carrying

Fair value

2023

Cash and cash equivalents

11,332,926

Receivables

50,683

Funding receivable

8,832,759

Other financial assets

3,612,101

590,714

3,612,101

23,828,469

590,714

23,828,469

Total current financial assets Funding receivable

87,494,146

Other financial assets

74,697,181

Total non-current financial assets

87,494,146

74,697,181

162,191,327

Total financial assets

111,322,615

75,287,895

186,019,796

601,175

Total current liabilities

601,175

Total financial liabilities

601,175

Financial liabilities Payables

Waikato River Authority

Annual Report 2023

2022

Note

Loans and receivables

Availablefor-sale*

Other amortised cost

Total carrying

Fair value

2022

Financial assets Cash and cash equivalents

7,523,761

Receivables

135,926

Funding receivable

6,922,357

Other financial assets

12,101,218

5,582,124

12,101,218

26,683,262

5,582,124

26,683,262

Total current financial assets Funding receivable

67,528,554

Other financial assets

54,268,766

Total non-current financial assets

67,528,554

54,268,766

121,797,320

Total financial assets

94,211,816

59,850,890

148,480,582

533,134

Total current liabilities

533,134

Total financial liabilities

533,134

Financial liabilities Payables

*Also known as Fair Value Through Other Comprehensive Revenue and Expense

18. Operating leases Leases as lessee Non-cancellable operating lease rentals are payable as follows: 2023

2022

Not later than one year

36,032

3,177

Later than one year and not later than five years

53,679

89,711

3,177

The Group leases equipment and motor vehicles under an operating lease. The leases run for a period of three years. The Group does not have the option to purchase the asset at the end of the lease term. There are no restrictions placed on the Group by any of the leasing arrangements.

Waikato River Authority – Group Consolidated Financial Statements

19. Related parties Related party disclosures have not been made for transactions with related parties that are within a normal supplier or client/recipient relationship on terms and condition no more or less favourable than those that it is reasonable to expect the Group would have adopted in dealing with the party at arm’s length in the same circumstances. Related party disclosures have also not been made for transactions with entities related to the Group (such as funding and financing flows), where the transactions are consistent with the normal operating relationships between the entities and are on normal terms and conditions for such transactions

Transactions with key management personnel including Appointees Key management personnel compensation comprised: Note Appointee fees

2022

R Pikia

Iwi appointee

2,395

2,874

D Loughlin

Iwi appointee

9,580

14,849

J Colliar1

Crown appointee

3,353

3,832

D Tahau1

Crown appointee

6,969

8,622

E Watene-Rawiri

Crown appointee

3,832

5,269

S Kneebone

Crown appointee

6,822

4,311

P Southgate1

Crown appointee

21,522

20,682

N Griffiths

Iwi appointee

2,874

3,353

T Mahuta

Iwi appointee

24,512

20,395

W Tāne

Iwi appointee

3,832

4,790

S Muir

Crown appointee

958

S O’Regan

Crown appointee

958

S Rolleston

Crown appointee

958

88,565

88,977

2023

Waikato River Authority

Annual Report 2023

Note Appointee expenses

2022

R Pikia

Iwi appointee

D Loughlin

Iwi appointee

1,227

374

J Colliar1

Crown appointee

134

D Tahau1

Crown appointee

791

E Watene-Rawiri

Crown appointee

490

243

S Kneebone

Crown appointee

644

P Southgate1

Crown appointee

N Griffiths

Iwi appointee

908

T Mahuta

Iwi appointee

222

W Tāne

Iwi appointee

383

S Muir

Crown appointee

339

S O’Regan

Crown appointee

139

S Rolleston

Crown appointee

355

5,632

617

Total paid to appointees

94,197

89,594

Contractor expenses (1 FTE)

416,518

354,991

Total key management personnel compensation

510,715

444,585

2023

J Colliar, D Tahau, and P Southgate were removed on 17 May 2023.

Key management personnel have not entered into any transactions with the Group other than the above. Due to the difficulty in determining the full-time equivalent for the Appointees, the full-time equivalent figure is taken as the number of Appointees (2023: 10, 2022: 10). The Group Board members are not involved in approving any grant funding for organisations they are involved in. All grants are approved at an arm’s length.

Other related parties At period end the Trust owed the Authority $691,529 (2022: $18,716) relating to balances incurred by the Authority on behalf of the Trust. During the year the Group recorded grant expenses for the following funding recipients that are listed on the Group Register of Interests: Organisation:

Group Board member:

Position:

Ngaati Tahu-Ngaati Whaoa Runanga Trust

Roger Pikia

Chair

Te Arawa River Iwi Trust

Roger Pikia

Chair, Trustee

Waikato Regional Council

Tipa Mahuta

Councillor

Waikato Regional Council

Stuart Kneebone

Councillor

Te Nehenehenui Trust (formerly Maniapoto Māori Trust Board)

Wikitōria Tāne

Trustee

NIWA

Erina Watene-Rawiri

Staff

SMP Muir

Stuart Muir

Owner

Waikato River Authority – Group Consolidated Financial Statements

20. Funding Commitments Grants The Group has funding commitments relating to grant applications for the following funding recipients. 2023

2022

A John

48,696

199,694

A Wills

1,000

6,313

9,890

B & N Hathaway 2009 Family Trust

6,322

Boffa Miskell Ltd

14,122

C Telfer

4,696

Community Development Trust

13,043

D & L Gamble

26,434

57,819

Department of Conservation

453,478

636,652

Enterprise 303 Ltd

120,035

177,326

Gray Matter Limited

63,327

103,687

18,197

H Browne & R Budd

22,452

13,866

H Clark

26,390

118,995

J Hall

4,393

J Mills

26,304

J Tarawhiti

8,695

K & K Bucher

4,248

12,348

K Harrison

43,878

45,275

Kaitiakitanga Charitable Trust

32,726

Kapenga M Trust

18,764

42,448

Katalia Limited

4,439

76,934

L Birch

14,514

7,077

369

Landcare Research New Zealand Ltd

85,470

110,041

Living Water (Department of Conservation/Fonterra)

138,185

337,391

Lynlyse Farm Limited

79,826

333

Manawanui Developments Limited Partnership, Ngaati Koroki Kahukura

8,348

Mangaorongo Stream Restoration Project

82,978

B & D Chipman

G Williams

Kapuia Ltd

L Phipps

M Cane

Waikato River Authority

Annual Report 2023

2023

2022

Maniapoto Māori Trust Board

202,402

63,317

Mangatangi Marae Trustees

3,432

Mangatawhiri River Catchment Care Group

35,632

42,081

New Zealand Farm Environment Trust

5,000

New Zealand Rowing Association Ltd

41,913

Ngaa Muka Development Trust

18,290

Ngaa Uri o Maahanga Trust

118,391

140,696

Ngaati Hauaa Mahi Trust

51,044

112,976

Ngaati Koroki Kahukura

39,134

45,069

Ngaati Tahu-Ngaati Whaoa Runanga Trust

101,016

96,714

1,248

Nikau Estate Trust

387,196

466,756

NIWA & Waikato Raupatu River Trust

13,601

NZ Landcare Trust

345,296

Otamatea Trust

91,431

Ōtorohanga District Council

24,663

27,488

P Weir

142,632

Pokaiwhenua Catchment Group

17,852

733

Pukeroa Hangatiki A55 Trust

25,507

25,102

Puniu River Care Inc

243,449

845,073

Purehina Trust

34,678

36,917

R Bullock

1,190

R Lawson

335

Raukawa Charitable Trust

678,272

187,796

Riperian Developments Limited

78,897

103,610

S Martin

4,136

6,110

181,510

1,694

4,866

7,468

Tainui Development Authority

124,134

Tainui Group Holding

489,108

297,011

Taniwha Marae

16,549

16,357

Te Arawa River Iwi Trust

132,785

249,550

Ngatira Marae

Punawhakaata ki Oruanui Charitable Trust

S McConnochie S Muir Solid Energy & Waahi Whānau Trust Swampfrog Environmental & Tree Consultants Limited

Waikato River Authority – Group Consolidated Financial Statements

20. Funding Commitments (continued) 2023

2022

Te Awa River Ride Charitable Trust

43,247

165,877

Te Kauae Marae

69,841

70,928

Te Kawau Environmental Services Limited

4,444

35,552

Te Runanga O Ngaati Kea Ngaati Tuara Trust

42,666

167,436

Te Whakakitenga O Waikato Inc

52,784

TK Productions Limited (trading as Deep Dive Division)

2,696

The Ani Waata Whānau Trust

247,487

291,042

The Kukutaaruhe Trust

38,783

120,240

Trust Waiwaiā

112,723

Tūhourangi Tribal Authority

20,566

89,954

Turangawaewae Trust Board

34,674

8,696

University of Waikato

300,000

Waahi Whaanui Trust

235,652

8,696

3,048,572

2,464,209

Waikato River Care

298,876

587,188

Waikato River Trails

117,759

190,255

Waikato-Tainui College for Research & Development

18,450

Waipa Rerenoa Incorporated Society

305,043

Waterside Planters Limited

108,705

117,432

3,478

9,755,438

10,010,611

Waikato Local Authority Shared Services Waikato Regional Council Waikato Regional Council & Te Arawa River Iwi Trust

Whakaupoko West Franklin Landcare Group

Grants approved may include multiple grant applications/projects to make up the total included.

21. Contingencies There are no contingent liabilities at balance date (2022: nil).

22. Subsequent events The Group has no subsequent events to disclose (2022: nil).

Waikato River Authority

Annual Report 2023

Waikato River Authority – Group Consolidated Financial Statements

Auditor's Report

INDEPENDENT AUDITOR’S REPORT TO THE READERS OF WAIKATO RIVER GROUP’S GROUP FINANCIAL STATEMENTS AND PERFORMANCE INFORMATION FOR THE YEAR ENDED 30 JUNE 2023.

The Auditor-General is the auditor of Waikato River Group (the Group). The Auditor-General has appointed me, Cameron Town, using the staff and resources of Silks Audit Chartered Accountants Limited, to carry out the audit of the financial statements and performance information of the Group on his behalf. Opinion We have audited: 

the financial statements of the Group on pages 32 to 60 that comprise the statement of financial position as at 30 June 2023, the Statement of Comprehensive Revenue and Expense, Statement of Changes in Equity and Statement of Cash Flows for the year ended on that date and the Statement of Accounting Policies and the notes to the financial statements; and



the performance information of the Group on pages 21 to 30.

In our opinion: 

the financial statements of the Group: o



present fairly, in all material respects: -

its financial position as at 30 June 2023; and

its financial performance and cash flows for the year then ended; and

comply with generally accepted accounting practice in New Zealand in accordance with the Tier 2 Public Benefit Entity Reporting Standards Reduced Disclosure Regime; and

the performance information of the Group presents fairly, in all material respects, the Group’s actual performance compared against the performance targets and other measures by which performance was judged in relation to the Group’s objectives for the year ended 30 June 2023.

Our audit was completed on 12 October 2023. This is the date at which our opinion is expressed. The basis for our opinion is explained below. In addition, we outline the responsibilities of the Board and our responsibilities relating to the financial statements and the performance information, we comment on other information, and we explain our independence.

Basis for our opinion We carried out our audit in accordance with the Auditor-General’s Auditing Standards, which incorporate the Professional and Ethical Standards and the International Standards on Auditing (New Zealand) issued by the New Zealand Auditing and Assurance Standards Board. Our responsibilities under those standards are further described in the Responsibilities of the auditor section of our report.

Waikato River Authority

Annual Report 2023

We have fulfilled our responsibilities in accordance with the Auditor-General’s Auditing Standards. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Responsibilities of the Board for the financial statements and the performance information The Board are responsible on behalf of the Group for preparing financial statements that are fairly presented and that comply with generally accepted accounting practice in New Zealand. The Board are also responsible for preparing the performance information for the Group. The Board are responsible for such internal control that they determine is necessary to enable them to prepare financial statements and performance information that are free from material misstatement, whether due to fraud or error. In preparing the financial statements and the performance information, the Board are responsible on behalf of the Group for assessing the Group’s ability to continue as a going concern. The Board are also responsible for disclosing, as applicable, matters related to going concern and using the going concern basis of accounting, unless the Board intends to liquidate the Group or to cease operations or have no realistic alternative but to do so. The Group’s responsibilities arise from schedule 5 of the Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010. Responsibilities of the auditor for the audit of the financial statements and the performance information Our objectives are to obtain reasonable assurance about whether the financial statements and the performance information, as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit carried out in accordance with the Auditor-General’s Auditing Standards will always detect a material misstatement when it exists. Misstatements are differences or omissions of amounts or disclosures, and can arise from fraud or error. Misstatements are considered material if, individually or in the aggregate, they could reasonably be expected to influence the decisions of readers, taken on the basis of these financial statements and the performance information. We did not evaluate the security and controls over the electronic publication of the financial statements and the performance information. As part of an audit in accordance with the Auditor-General’s Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. Also: 

We identify and assess the risks of material misstatement of the financial statements and the performance information, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Waikato River Authority – Group Consolidated Financial Statements



We obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group’s internal control.



We evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the board.



We evaluate the appropriateness of the reported performance information within the Group’s framework for reporting its performance.



We conclude on the appropriateness of the use of the going concern basis of accounting by the Board and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements and the performance information or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Group to cease to continue as a going concern.



We evaluate the overall presentation, structure and content of the financial statements and the performance information, including the disclosures, and whether the financial statements and the performance information represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with the Board regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Our responsibilities arise from the Public Audit Act 2001. Other Information The Board are responsible for the other information. The other information comprises the information included on pages 21 to 30 but does not include the financial statements, and our auditor’s report thereon. Our opinion on the financial statements and the performance information does not cover the other information and we do not express any form of audit opinion or assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information. In doing so, we consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on our work, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Independence We are independent of the Group in accordance with the independence requirements of the AuditorGeneral’s Auditing Standards, which incorporate the independence requirements of Professional and Ethical Standard 1: International Code of Ethics for Assurance Practitioners issued by the New Zealand Auditing and Assurance Standards Board. Other than the audit, we have no relationship with, or interests in, the Group.

Cameron Town Silks Audit Chartered Accountants Limited On behalf of the Auditor-General Whanganui, New Zealand

Waikato River Authority

Annual Report 2023

Waikato te awa katohia, katohia he wai maau! The current of the Waikato flows onward as a wellspring for you! Section Name

21 Rostrevor Street, PO Box 9338, Hamilton

07 839 7966

enquiries@waikatoriver.org.nz