Newly valued Central Otago irrigation companies scored a bonus yesterday when more than $9000 worth of rates they were charged for the first time were remitted.
Central Otago District councillors were bemused to learn community-owned irrigation schemes now had to be charged rates.
The Valuer-general made the decision earlier this year and some Central Otago schemes were valued on June 30, which meant they had to be rated.
Although the council complied, it had not budgeted for any rates revenue from the schemes.
At yesterday's meeting in Alexandra, the council decided it was unfair eight out of 15 schemes had been valued and charged rates, so it remitted all the rates charges, which were amounts ranging from $394 to $4326.
Central Otago Mayor Tony Lepper, who is also an irrigation scheme manager, declared an interest and took no part in the discussion.
Deputy mayor Neil Gillespie said he had no idea why there was a lack of notification to irrigation companies and to the council.
Scheme owners did not have enough time to object to the valuations before the rates were charged based on those figures, he said.
''I imagine they are going to possibly make a very strong objection.''
Council acting chief financial officer Andrew Griffiths said although council staff were told about the decision earlier this year, the valuations were done at the end of June and the council was told the figures on July 1.
''There's been some struggles in identifying irrigation companies,'' he said.
Mr Gillespie said schemes were now deemed to be ''network utility operators'' the same as power and telecommunications companies.
The council would consider how the rate should be applied as part of its revenue and finance review.
