A judge is expected to determine whether there is sufficient evidence to allow the case to proceed to trial following the hearing, which is expected to last three to five days.
The leak sits about a mile from last week's 17-million-gallon Sunset Boulevard trunk line break, where crews encountered a secondary leak during backfilling.
Acting Permanent Secretary for Health Dr Luisa Cikamatana says there are currently no plans for such a model at CWM Hospital.