Quarried rock being placed on the southern bank of the Waiho (Waiau) River in May 2022, adjacent to the Franz Josef Glacier access road and upstream of the State highway 6 bridge. Sourcing suitable quarried rock affordability is a big factor in flood resilience work at places like Franz Josef in South Westland. Photo: LDR / Brendon McMahon / Greymouth Star
The future of the West Coast Regional Council's quarries remain under review.
Currently the council's quarry operations for the 2022-23 year are showing a deficit of $304,000, with that aspect of council business raising comment at the Risk and Assurance meeting on Tuesday.
For the quarries, the draft unaudited result for the year until 30 June was $474,000 lower than forecast from the sale of rock. Consequently the quarries also had $170,000 lower associated costs.
The location of the quarries from Karamea to South Westland have traditionally been for strategic affordable access to rock for the multiple river protection schemes across the region administered by the council.
With pending major protection work underway at Hokitika, Franz Josef and Westport and issues to be addressed with the largest scheme on council's books, on the Wanganui River, affordable access to rock remains a key funding issue.
Councillor Brett Cummings asked what future quarry provision was budgeted for.
Committee chairperson Frank Dooley said that had to be worked out yet.
Chief executive Darryl Lew noted a review of the quarries previously requested by council was underway but funding remained an open question.
"There is a conversation that needs to happen as a result of the quarry review," Lew said.
That included the possibility of treating all the quarries "as a single cost centre" and pooling the fees and charges from each.
He said councillors should expect the review results back later this year.
Councillor Andy Campbell said the viability of essential rating scheme assets was tied to the quarries.
"If we don't maintain those assets, our assets are pretty vulnerable," he said.
Dooley said that was correct - hence the need for council to have "up to date" asset plans, and to ensure regular rating district meetings so those covered by the various stop bank schemes remained committed.
This year council has pushed to ensure all of the nearly two dozen special rating districts hold a meeting - after many had not met for several years.
Lew said he wanted to stress all the stop banks belonged to particular rating districts, not council which was the administrator.
"It is the rating district's assets. If the rating district does not want to maintain those assets, then those assets have to be written off."
Dooley noted however the importance of the flood bank assets valuation on council's balance sheet.
Councillor Peter Haddock said council needed to invest in getting good rock stockpiles at the quarries, ready for any emergency work, but "really we're only selling to ourselves".
Dooley said council had a lot in front of it with new flood protection work including for Westport.
How to manage those quarries remained "a really important consideration".
The future of old quarries such as those partially closed or mothballed at Blackball, Cobden and Kiwi Point has been part of an ongoing wider review for the past year.
Council has also placed the overall management of its quarries into the hands of an external consultant.
The former Whataroa Quarry was previously sold to private interests, and council is looking at its options for its Kowhitirangi and Rotomanu operations.
The implications for new quarries or access to old ones on Department of Conservation land has yet to be teased out under the government's 'no new mines' policy on conservation land.
New regulations about quarry operations has been a previous factor in council table discussion with a resolution three years ago to quit the quarry business.
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