The Government is being accused of paving the way for the privatisation of community-owned assets in Auckland.
Labour Party Auckland issues spokesperson Phil Twyford has released Cabinet minutes from last month to back up the claim.
They include a decision that the new Auckland super-city council will be able to determine governance arrangements and asset ownership for the delivery of water services from 2015.
Mr Twyford says that frees up Auckland's new integrated water company, with $5 billion of assets, for privatisation.
He also claims the Government will repeal the public consultation requirement on councils wanting to privatise assets or contract-out services.
But the Government denies it is creating a framework to make it easier to sell off water assets.
Local Government Minister, Rodney Hide, says he simply wants it to be easier for councils to enter into public private partnerships.