Otago Regional Council (ORC) has approved its Annual Plan for 2025-2026, which includes a business case to assess Wānaka public transport options.

ORC chair Gretchen Robertson said the business case attracted strong public support and will go ahead. 

In late May ORC made the decision to restore $250,000 in funding for an Upper Clutha public transport business case to the current financial year, a U-turn that was celebrated by Queenstown Lakes District Council and local community groups.

Dunstan Ward councillor Alexa Forbes told the Wānaka App this week she was pleased about the business case but she’d “much rather see funding in place for an actual public transport system”.

Wānaka and the Upper Clutha “have been needing and wanting public transport for many years now…” Alexa said.

Read more: Public transport plan to be considered by ORC

The Annual Plan will also bring an average rates increase of 5.5 percent - a drop from the 13.8 percent originally forecast in the Long Term Plan (LTP).

The rates had been reduced by cutting some public transport upgrades, rereprioritising environmental implementation funding, reduced inflation costs, and work to gain efficiencies, Gretchen said.

She said the Annual Plan will still continue the council’s vital work to underpin resilient and well supported communities.

“Port Otago’s dividend has been increased [by] $2M which benefits all ratepayers, as it helps to offset costs that would otherwise need to be paid by rates,” she said.

“Also benefitting ratepayers, $2M of council reserves will be used to pay for the first year of a new environmental fund.”

Key changes in the year ahead include some targeted upgrades to public transport, increased environmental funding, and further work on natural hazards and engineering, and “a rates increase is still required to help fund this work”. 

“This includes the investment in climate change and biodiversity strategies, as well as rising costs in areas like insurance, depreciation, and property rentals.”

The overall rates increase for 2025/26 is 5.5 percent but the rates impact for individual properties is different and can be influenced by a range of things including location and the services provided.

ORC councillors adopted the annual plan at Wednesday’s (June 25) meeting.