WHO PAYS FOR WATER? THE RURAL RENTAL QUESTION LANDLORDS CAN’T AFFORD TO GET WRONG

It sounds like a small detail: who pays the water bill?

But on rural properties, it’s not always obvious. There are no Watercare invoices. No council meters. Just tanks, pumps, and—sometimes—frustrated tenants holding the landlord responsible for an empty tank during a drought.

We’ve seen it all: tenants footing the bill for urgent water deliveries, landlords expecting tenants to clean the filters, and confusion over who owns the pump… until it breaks.

So let’s clear the water.

WHAT THE LAW SAYS

According to Tenancy Services, landlords are responsible for:

• Providing a supply of water that is safe and adequate

• Paying any fixed water charges if the supply isn’t separately metered

In rural settings, this typically means:

• The landlord must ensure water tanks are full and functional at the start of the tenancy

• The landlord pays for maintenance of pumps, filters, and water collection systems

• If the tenant uses excess water (e.g. fills a pool), they may be responsible for the cost—but only if the agreement says so, clearly

REAL-WORLD EXAMPLE: RAIN TANKS, DRY SEASONS & BLAME GAMES

One landlord in Tauranga assumed the tenants would “just get water delivered if the tank ran dry.”

No agreement. No top-up arranged. The tenants spent $380 on urgent water delivery during a dry spell—and claimed it back from the landlord.

The Tenancy Tribunal ruled in favour of the tenants, stating:

• The landlord must provide adequate supply

• Droughts are not an excuse

• If no separate water meter exists, the landlord wears the cost

WHAT LANDLORDS MUST KNOW (AND DO)

• If your rural property has rainwater tanks with no meter, the landlord is responsible for ensuring the supply and maintaining the system (including tanks and pumps).

• If the property uses a bore with a pump, the landlord must maintain the equipment and ensure the water is safe to drink.

• If water is delivered by tanker, the landlord typically pays unless the tenancy agreement clearly states the tenant will cover excess use.

• If the property is connected to a council water supply with a meter, tenants usually pay for usage, but landlords must still cover fixed charges unless a written agreement states otherwise.

BEST PRACTICE FOR RURAL RENTALS

• Start full: Make sure water tanks are full at tenancy start (document this!)

• Include a clause: If you want the tenant to pay for water top-ups, this must be in the tenancy agreement

• Keep things maintained: Faulty pumps, blocked gutters, or cracked tanks are the landlord’s responsibility

• Communicate early: Let tenants know how the system works, who to contact, and what to do in dry weather

HOW GOOD NEIGHBOURS HANDLES IT

Our Property Managers:

• Check water systems as part of the initial property condition report

• Provide tenants with clear water-use instructions

• Arrange regular servicing of pumps and filters

• Help landlords draft fair, enforceable water clauses for rural leases

• Maintain a list of local water delivery contacts to act fast when needed

FINAL WORD

Water might be free from the sky—but it’s not free from responsibility.

On rural properties, it’s the landlord’s job to ensure there’s a working system and a reasonable supply. If you don’t want to wear unexpected costs, clear agreements and proactive maintenance are key.

With Good Neighbours, your rural property runs smooth—even when the tanks run dry.