Infrastructure New Zealand is pushing for water infrastructure to be taken off the financial books of councils.

The industry group urges the government to provide clarity around its water reform programme and the replacement for the Three Waters legislation as soon as possible.

They have also today released a policy position on water infrastructure and services calling for budget separations of local councils and any future water entities.

Infrastructure New Zealand advocacy and strategy lead Martina Moroney says maintaining the status quo can't continue.

"If the current situation is left to continue, New Zealanders will face significant social, economic and environmental costs along with ongoing risks to public health."

Moroney says financial independence from councils will allow them to borrow to fund significant backlogs in asset renewal and replacement.

She says in the meantime, it's likely that central government will need to consider credit wrapping council water services and providing bridging funding until the new entities were established and self-sufficient.

Infrastructure NZ is also recommending volumetric water charges be explored so that, like other utilities such as telecommunications and electricity, consumer demand can be better managed and a direct service-related revenue stream created.

-RNZ.