(1)  A council, on the same day as the day on which it makes a general rate in respect of a financial year, may make, in respect of the financial year, an averaged area rate.

(2)  An averaged area rate is to apply to a category of rateable land in a locality within the municipal area of the council.

(3)  A council may only make under subsection (1) in respect of a financial year an averaged area rate that applies to a category of rateable land in a locality if authorised by a certificate to do so.

(4)  A council may make under subsection (1) an averaged area rate that applies to a category of rateable land in a locality whether or not the council provides any services in respect of land in the locality.

(5)  The categories of rateable land are the following:

(a) rateable land that is used, or predominantly used, for residential purposes;

(b) rateable land that is –

(i) used, or predominantly used, for residential purposes; and

(ii) of a value that is within a range of values of land;

(c) rateable land that may be classified as both –

(i) being used, or predominantly used, for residential purposes; and

(ii) non-use land.

(6)  The general rate in respect of a financial year is not payable in relation to rateable land, in a locality, in relation to which an averaged area rate is payable in respect of that financial year.