Who Pays Water and Wastewater Charges in a New Zealand Rental in 2026?
A New Zealand landlord guide to fixed water charges, metered water, wastewater, tank water, reimbursement bills, and the records to keep under the Residential Tenancies Act 1986.
Part of the Rental Rule Changes Watch 2026 series.
In New Zealand in 2026, the landlord pays the water account first and usually keeps responsibility for fixed water charges. A tenant can be asked to reimburse metered water only where the premises have a separate meter, the supplier charges by metered use, the charge is exclusively attributable to the tenant’s occupation or use of the premises. Wastewater can be passed on only where it is based on the tenant’s metered water use.
This guide is for New Zealand residential tenancies. It explains water, wastewater, and tank-water records under the Residential Tenancies Act 1986 and Tenancy Services guidance.
It does not cover Australia. For state and territory tenancy records in Australia, start with the Australia State-by-State Rental Compliance Comparison 2026.
Who Pays Water Charges in a New Zealand Rental?
The answer depends on the type of charge.
Tenancy Services’ water and wastewater charges page, reviewed for this article on 8 July 2026 and listed as last updated on 12 March 2021, separates fixed charges, metered water, wastewater, and tank water. The current Residential Tenancies Act 1986 section 39 sets the statutory basis for allocating outgoings between landlords and tenants.
For a New Zealand landlord file, treat the water bill as four different evidence questions:
| Charge type | Who usually pays in New Zealand? | Evidence to keep |
|---|---|---|
| Fixed water charge | Landlord, where payable whether or not the tenant uses water | Supplier invoice, charge breakdown, tenancy dates |
| Occupancy-only fixed charge | Tenant, where the fixed charge applies only while the tenant occupies the home | Supplier invoice, occupancy dates, tenancy agreement |
| Metered water use | Tenant, only if the statutory and supplier-billing tests are met | Separate meter evidence, meter readings, supplier usage bill |
| Wastewater based on metered water | Tenant, if the charge is attributable to the tenant’s metered water use | Wastewater calculation, water usage bill, reimbursement request |
| Water tank refills during occupancy | Tenant, where the agreement says the tenant arranges and pays refills | Start-of-tenancy tank record, refill invoices, written instructions |
Key Takeaway
A New Zealand water bill is not automatically a tenant bill. The file needs to show which part is fixed, which part is metered use, whether the charge is attributable to the tenant’s occupation or use, and how the reimbursement amount was calculated.
What Does the Residential Tenancies Act 1986 Require?
The legal test is narrow.
Residential Tenancies Act 1986 section 39 says the landlord is responsible for outgoings incurred whether or not the premises are occupied, and the tenant is responsible for outgoings exclusively attributable to the tenant’s occupation or use of the premises. For water, section 39 lists supply of water where the supplier charges on the basis of consumption.
Tenancy Services adds the practical water-billing checks. Before a landlord sends a reimbursement request, the file should answer:
- Is there a separate water meter for the premises?
- Does the supplier bill usage by that meter?
- Is the charge exclusively attributable to the tenant’s occupation or use of the premises?
If the file cannot answer all three, the charge may not be recoverable from the tenant.
What Does Tenancy Services Say About Fixed Water Charges?
Tenancy Services says fixed water charges are normally the landlord’s responsibility where the amount is payable whether or not the tenant uses water.
That means a landlord should not pass on a fixed council or supplier charge just because it appears on the same account as water usage. The bill needs to be broken down.
Tenancy Services’ unenforceable-clauses guidance, listed as last updated on 9 December 2025 when reviewed, gives a direct warning: a clause that makes the tenant pay fixed water charges is unenforceable where the Residential Tenancies Act 1986 makes the landlord responsible.
The practical implication is simple. If a tenancy template says the tenant pays “all water charges”, replace that with a clause that matches the New Zealand statute and supplier bill structure.
How Should a New Zealand Landlord Handle Reimbursement?
Tenancy Services says the landlord must pay the whole water account first and then ask the tenant to reimburse any eligible tenant charges. The water account cannot be put in the tenant’s name.
A clean reimbursement request should include:
- the supplier invoice
- the invoice period
- the start and end meter readings, if shown
- the usage amount charged by the supplier
- the wastewater amount, if based on metered water use
- the fixed-charge amount excluded from the tenant request
- the legal basis and supplier calculation for the tenant amount
- the due date for reimbursement
This is a record-keeping issue as much as a cash-flow issue. Tenancy Services’ record-keeping guidance says landlords should keep documents related to a rental property during the tenancy and for 12 months after it ends, and it lists water bills and repair or maintenance receipts as examples of property records.
What About Wastewater Charges?
Wastewater depends on how the supplier calculates it.
Tenancy Services says wastewater charges based on metered water may be passed on to the tenant where the charge is attributable to the tenant’s use. If the wastewater charge is fixed, general, or not tied to the tenant’s metered water use, treat it as a landlord cost unless the specific charge structure supports recovery.
For a New Zealand rental file, keep the calculation. A reimbursement request that says “wastewater” without showing how it links to the tenant’s metered water use is weaker than one that shows the supplier formula and usage period.
What About Tank Water?
Tank water has a different record pattern.
Tenancy Services says landlords should provide a full tank at the start of the tenancy and that the tenancy agreement should record whether the tenant arranges and pays for refills during the tenancy. The same guidance says the tank should be large enough, connected to the house, free of leaks and contamination, and supported by a working pump where one is needed.
At the start of a New Zealand tenancy, keep:
- a note or photo showing the tank was full
- the tenancy agreement clause about refills
- written instructions for ordering water
- evidence that the tank, pump, and supply system were working
- invoices for any landlord-funded refill before possession
During the tenancy, keep tenant refill invoices only where the tenant gives them to you or they are needed to explain a dispute.
What If the Tenant Does Not Reimburse Eligible Water Charges?
Do not disconnect water and do not ignore the supplier bill.
Tenancy Services says if water is disconnected because the landlord did not pay the account, the landlord is responsible for reconnection. If the tenant does not reimburse eligible charges, the landlord can treat that as a breach, use a notice to remedy, and apply to the Tenancy Tribunal if needed.
For that pathway, the useful evidence file is:
- water account paid by the landlord
- itemised tenant reimbursement request
- copy of the tenancy agreement clause
- proof the request was sent
- tenant response or non-response
- notice to remedy, if used
- Tenancy Tribunal application or order, if the dispute escalates
For wider dispute records, read What Records Do New Zealand Landlords Need for Rent Arrears in 2026?.
Practical Filing Pattern
For each New Zealand rental property, keep these folders:
supplier-water-accountsmeter-readingstenant-reimbursement-requestsfixed-charge-exclusionswastewater-calculationstank-water-recordstenancy-agreement-and-tenant-messagestenant-messages-and-disputes
The strongest file shows the source bill, the legal basis for recovery, the calculation, and the message sent to the tenant.
Related Proppi Guides
- New Zealand Landlord Compliance Checklist 2026
- Property Document Types: New Zealand Landlord Reference
- What Records Do New Zealand Landlords Need for Rent Arrears in 2026?
- What Amateur Property Investors Actually Need in New Zealand
Source Note
This article is specific to New Zealand. It relies on Tenancy Services guidance on water and wastewater charges, Tenancy Services guidance on unenforceable tenancy clauses, Tenancy Services record-keeping guidance, and Residential Tenancies Act 1986 section 39. It is general information for document organisation, not legal advice.
Last reviewed: 8 July 2026. Tenancy Services’ water and wastewater page was listed as last updated on 12 March 2021 when reviewed. Tenancy Services’ unenforceable-clauses page was listed as last updated on 9 December 2025 when reviewed. Confirm the current position with Tenancy Services or a qualified adviser before issuing reimbursement demands or filing a Tenancy Tribunal application.
The Short Version
- In New Zealand, the landlord pays the whole water account first.
- Fixed water charges normally stay with the landlord unless they apply only during occupancy.
- Metered water can be charged to the tenant only where the meter, supplier-billing, and attribution tests are met.
- Wastewater can be passed on only where it is based on the tenant’s metered water use.
- Keep the supplier bill, meter evidence, agreement clause, calculation, reimbursement request, and tenant response together.
Suggested citation
Proppi Editorial Team, "Who Pays Water and Wastewater Charges in a New Zealand Rental in 2026?", Proppi, 2026-07-08.
Sources used
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