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Councils around the world are embracing the use of AI as they reshape service delivery. What are the opportunities for savings, what are the risks, and how can they hold onto the deeply human nature of their work and connection with community, while under extreme financial pressure?These were among the key questions being addressed at a recent Victorian Local Governance Association (VLGA) and Local Government Information Unit (LGiU) Global Executive Live Panel webinar.Attending from the other side of the globe, Mike Manson is chief executive of the Association of Local Government Information Management (AlGIM), covering all councils in New Zealand and a number in Australia. He is also the founding member and president of LOLA (Linked Organisation of Local Authority ICT Societies), linking local government IT professionals across eight countries. Manson's career has included spearheading the development of a local government Humanoid Ethics policy. Humanoid robots are bipedal autonomous machines designed to mimic the shape and mechanics of a human body, built to navigate environments and use tools designed for humans.Manson says the cost of each robot is ‘reduced right down to about $16,000 US dollars, but we are concerned that AI and the humanoids taking a human form could create a problem that you may not be able to determine if you're talking to a human or a humanoid'.LOLA has been testing the waters, particularly in New Zealand, ‘around how comfortable people are if a parking inspector was a humanoid or someone selling tickets at a community venue, or a building inspector'.He adds: ‘There isn't a lot of appetite for replacing people, but [there is] for cooperating and collaborating with them, so that it was an extra pair of hands. What did really get people upset was [replacing] a kindergarten teacher'.The ethics policy, issued by LOLA in 2025, sets out 10 core principles, including that:Humanoids should augment and support, not replace, humans to preserve the sense of worth in meaningful workHumanoids should treat people fairly, regardless of their background or identityA human must be clearly identified as having clear responsibility and accountability for the actions and decisions of the humanoid systemsLooking at some specific examples of AI use, Manson, who is currently planning an AI collaboration hub to share learning across the globe, says very early adopters of AI in New Zealand, such as Tararura District Council, ‘were able to change their financial reporting, so that councillors, instead of reading 150 page reports were down to 30 pages, and they really enjoyed the new look and feel [of the reports], and the understandable submissions'. He cites the city of Nelson's use of AI to analyse submissions for a long-term plan. During the council meeting councillors were ‘able to ask questions and get real-time answers from the AI bot, and that was a game-changer'. And Hutt City Council provided 300 Chat GPT licenses to their staff ‘and were able to track and claim back 44,000 hours of staff time and calculated that out at $900,000 in productivity'.The city of Christchurch won an international award for using the Internet of Things – a network of smart devices – to provide a continuous cycle of data collection, communication and action to detect fires.Manson says: ‘AI started to put the weather conditions to it, and relay them to the fire and police in real time and was able to avert millions of dollars worth of damage.'And the MarvinAI learning platform at Palmerston North City Council provides all the AI information and guidance staff need in one place, with the aim of letting staff focus on the things that are most important for themselves and for the community.Jamie Cudden is executive manager for corporate services and transformation at Dublin City Council. Two years ago the council set up Ireland's first GEN AI Lab for local government, in partnership with the ADAPT Centre at Trinity College Dublin and Trinity Business School. The aim is to manage AI governance and risks.Cudden points to challenges in scaling AI projects, managing costs and ensuring transparency. His advice to other authorities is that they need to fully understand where AI is operating in their organisation, as it becomes embedded in software and systems, without the full awareness of councils. ‘Even if you think you're not doing too much around AI, have a look at all your vendors, all your suppliers. They're doing it, they're trying to sell it to you, and you need to get ahead of that.'Susan Priest is chief executive of Folkestone and Hythe DC. She says the council's early adoption of AI has led to productivity gains and a boost to staff confidence. The council has seen ‘a huge amount of thirst [for AI] from staff, a level of interest in adopting AI that has completely exceeded my expectations, so staff engagement levels are really high'. Her council's journey is now about moving to more systematic productivity gains, ‘and I suppose the aim is to secure more significant benefits for the council, while attaining the ability to deploy judgement and human connectivity'.While there are visible benefits, they are not yet being measured consistently. Priest says the next phase involves strengthening governance, guidance and confidence around responsible use, building a change agent network to reduce reliance on central support and looking at how to introduce impact measurements for time saved and service improvements.Finally, to quote webinar host Chris Eddy, the opportunities to free up staff for higher value work, to improve the quality and speed of services and to manage assets and environments more intelligently than before is real. ‘But the risks are equally real.'

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AI

Global experts share practical lessons for responsible AI adoption in councils

By Ann McGauran | 01 July 2026

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