A $3.9 million contract to install water meters in Waipa has been granted to a Hamilton company.

Allens United Earthworks and Drainage will begin installing meters across those parts of the district that don't already have them in August.

Waipa District Mayor Jim Mylchreest​ said a meter system is the most equitable way of distributing water.

PETER DRURY/FAIRFAX NZ Waipa District Council Mayor Jim Mylchreest said water meters are the fairest way.

However, not all residents agree.

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Chris and Maria Oliver said water is a necessity of life and users shouldn't pay for it.

"In times of hardship with people living in cars, families struggling to put food on tables and roofs over their children's heads. How can they justify charges for a basic necessity of life?"

Maria said in order for families to restrict water use, health and wellbeing will take a back seat.

"People won't be able to shower as often, clothes won't be washed as often, teeth won't be brushed regularly, vege gardens won't be grown and we won't drink water as freely."

She said these are all things that should be encouraged to do more of not less.

"I personally believe that if one house uses more water than another, then they need more water."

Mylchreest said this is ridiculous.

"The quantity of water we are talking about would have no impact on health and wellbeing."

He said areas on an unmetered system use 250 litres of water per person, per day and areas that are metered use around 210L.

"The areas that are metered are equally as clean and healthy ... use of drinking water and hygiene would never be restricted."

Around 11,000 more residential properties in Cambridge, Te Awamutu and Kihikihi will see meters installed during 2016-2017.

Water bills won't be sent out until 2018.

Residents will be sent two mock invoices showing their water usage and how much that water would cost once meter charging kicks in.

Water meters have been at Ohaupo since 1991 and Pirongia since 1997.

Many of Waipa's rural, industrial and commercial users have had water meters for years.

Without meters, the council estimates it would be forced to spend an additional $8 million on treatment plant upgrades, sooner.

Installation will be completed by June next year.