Another system that we want to improve is the three waters system. It has become clear that New Zealand's three waters system is facing a significant crisis and will continue to do so without major reform. Last year this Government recognised that we have an opportunity to address this situation by reforming how we deliver three waters services. The Three Waters Reform Programme will transform the service delivery of drinking water, wastewater and stormwater to ensure that we efficiently deliver the infrastructure upgrades necessary to ensure that our water services are safe, clean, reliable and resilient.
In this Budget, we have set aside $296 million to support the establishment of new multi-regional water services entities, including the transfer of assets and services to these entities. This will support the implementation of the reform programme and contribute to addressing the significant challenges facing the country's three waters system.