The 2025 Annual Plan resulted in an overall rates increase of 5.5% in the 2025/26 year which was a significant drop from the 13.8% originally forecast in the Long-Term Plan.

Contributing to the less than forecast rates increase were cuts to some planned public transport upgrades, reprioritisation of environmental implementation funding, reduced inflation costs and work to gain efficiencies.

The annual plan focused on finding efficiencies in ORC’s work programme while continuing vital work that underpins resilient and well supported communities.

Ratepayers have also benefitted from an increase to the Port Otago dividend – raised by $2 million which helps to offset costs that would otherwise need to be paid by rates.

Also benefitting ratepayers, $2 million of Council reserves will be used to pay for the first year of a new environmental fund.

Environmental funding

A large-scale environmental fund will start in 2025/26, designed to support large community-led initiatives that deliver enduring environmental outcomes in Otago.

The $2 million a year fund will be paid for by Council reserves in the first year.

Natural hazards and climate change

Planned work in 2025/26 includes investigations looking at hazards in Middlemarch and for Lindsay Creek (North Dunedin), resilience work for the Kaikorai Stream near Green Island, and river mouth monitoring technology installation in key areas.

Rates and financial information

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

Less than half of ORC’s funding comes from rates — the rest is from fees and charges, grants, reserves, dividends from Port Otago and investment income.

Rates examples for median value residential properties

* Queenstown Lakes District has updated valuations.