Oyster farms disappointed by Watercare’s ‘final’ compensation decision
Mahurangi oyster farmers say they are deeply disappointed by Watercare’s decision to close out compensation related to the October 2025 wastewater overflow, describing the outcome as falling well short of the real financial damage they have suffered.
Aquaculture New Zealand (AQNZ), representing affected farmers, said Watercare’s position—confirming $2 million in payments already made to farmers represents a fair and “full and final settlement”—does not adequately account for lost income, cancelled sales, reputational harm, and ongoing disruption to production.
Farmers took part in the loss assessment process in good faith, providing independent assessors with detailed evidence of how the failure of Watercare’s infrastructure and systems affected their businesses, markets, customers and future seasons.
“AQNZ oyster farmers engaged openly, transparently, and patiently with the process,” AQNZ Chief Executive Tee Hale-Pennington said.
“They expected an outcome that fairly reflected the true scale of their losses. They don’t believe that has happened.”
AQNZ also raised concerns about the lack of transparency around the final decision itself.
Farmers have not been provided with the independent assessment findings relating to their individual farms, nor the assumptions used to reach Watercare’s compensation conclusions.
“From the farmers’ perspective, decisions appear to have been made privately, without sharing the assessments or reasoning that sit behind them,” Hale-Pennington said.
“That lack of transparency makes it very difficult for farmers to understand how their losses were evaluated or to have confidence in the outcome.”
Watercare has described the $2 million payment to date as a fair reflection of losses. However, farmers say that payment was understood to be interim support while impacts were still unfolding.
“The expectation was that the final decision would address losses that only became clear over time—cancelled orders, damaged customer confidence, and delayed recovery,” Hale-Pennington said.
Hale-Pennington said the decision is particularly frustrating because it has been framed as “full and final” without the agreement of those most affected.
“Watercare may consider this matter resolved, but farmers are still dealing with the consequences—financial pressure, disrupted planning, and lingering market impacts that don’t end with a single payment.”
AQNZ also expressed concern that the payments have been made without any admission of liability, particularly given the history of wastewater discharges into the Mahurangi Harbour and the pressures placed on infrastructure by continued urban growth north of Auckland.
“This incident again highlights how vulnerable aquaculture is to infrastructure failure,” Hale-Pennington said. “Farmers should not be expected to carry the risk created by systems that are not resilient enough to protect sensitive coastal environments and the livelihoods that depend on them.”
AQNZ said it will continue to support Mahurangi oyster farmers as they consider their options, while advocating for stronger accountability, transparency, and investment to prevent further harm to the harbour and the industry.
“AQNZ oyster farmers engaged openly, transparently, and patiently with the process. They expected an outcome that fairly reflected the true scale of their losses. They don’t believe that has happened.”