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RM reform Update - July 2021 Second edition

The RM Reform Update is a regular update from the Ministry for the Environment to people and organisations that have an interest in the reform of the resource management system. If you would like to subscribe to these updates, please click here.

Message from the Ministry for the Environment

Kia ora koutou,

This week marks a significant milestone in the resource management system reform process.

On 29 June the Government released an exposure draft outlining the core provisions of the proposed Natural and Built Environments Act (NBA). It has been referred by parliament to a select committee inquiry which commenced on 1 July 2021.

You can read the Minister’s statement here.

We encourage you to review the Bill and its explanatory material and participate in the special select committee inquiry process.   This the first of two opportunities for people to give feedback on the reform.  It provides an open and transparent platform for the public to have an early say on such significant legislation.   A second select committee process will be held when the Bill is introduced to Parliament in early in 2022.

The NBA is the primary piece of legislation that would directly replace the RMA and as such, it is central to the reform of the resource management system. Allowing people an opportunity to provide feedback on a draft of the legislation at this stage ensures that the final Bill is as robust as possible when it is presented, along with the proposed Strategic Planning Act (SPA), to Parliament early next year.

I encourage you to engage with the Bill and its explanatory material and participate in the Select Committee Inquiry process.  Submissions close 4 August 2021.

Reform of the System

The release of the NBA Exposure Draft is the first major milestone since the Government announced in February 2021 that it would repeal the Resource Management Act (1991) and enact three new laws to reform Aotearoa New Zealand’s resource management system.   

These proposed new laws are:   

  • Natural and Built Environments Act (NBA) which is the primary replacement for the RMA to protect and restore the environment while better enabling development
  • Strategic Planning Act (SPA) will help coordinate and integrate decisions made under relevant legislation, and require the development of long-term regional spatial strategies
  • Climate Adaptation Act (CAA) will address complex issues associated with managed retreat and funding and financing climate adaptation.

The proposed purpose of the NBA includes protecting and enhancing the natural environment, and enabling people and communities to use the environment (te taiao) in a way that supports their well-being and that of future generations.

The NBA also intends to improve recognition of te ao Māori and Te Tiriti o Waitangi. To better recognise te ao Māori, Te Oranga o te Taiao will be included in the Act’s purpose. This concept is intended to encapsulate the intergenerational importance of the health and well-being of the natural environment. Decision-makers would be required ‘to give effect to’ the principles of Te Tiriti, replacing the current RMA requirement to ‘take into account’ those principles.

A special process is being used to develop this legislation which includes delegated decision-making through a Ministerial Oversight Group and a dual select committee process:

  • The first stage is the select committee inquiry into the exposure draft of the NBA. 
  • The second stage will be the full legislative process for the complete Bill as well as the SPA in 2022. It is intended these Bills will be enacted this parliamentary term.

Exposure Draft of the NBA

The exposure draft of the NBA is a partial draft of the legislation that has not yet been formally introduced into Parliament and is to be shared with the public for initial feedback to test the core elements of the Bill.

The exposure draft for the NBA does not cover the full Bill, instead it provides an early look at key aspects of this legislation including:

  • the purpose of the NBA (including Te Tiriti o Waitangi clause) and related provisions
  • the National Planning Framework
  • the Natural and Built Environments plans.

The document is divided into three categories: 

  • Part A: Explanatory material which describes the policy intent of each clause along with the wider reform context. 
  • Part B: Exposure Draft of the Natural and Built Environments Bill.  
  • Part C: Appendices including the Terms of Reference for the Select Committee Inquiry.

Read the Exposure Draft of the NBA and explanatory material here.   

Have your say on the NBA

The select committee processes are the primary way for stakeholders and the public to engage with the proposed changes to the resource management system.  

Given the significance of this reform, a special process is being used to develop the legislation which includes a dual select committee process - made up of the select committee inquiry into the initial exposure draft happening now and then a select committee process in early 2022 as part of the normal legislative process. 

The select committee inquiry is expected to take around three months to examine the draft NBA.  As part of this process, the public will be invited to make submissions. This will be an opportunity for New Zealanders to present their opinions, observations, and recommendations about the key aspects of the Bill.  Their Terms of Reference can be found on page 80 of the Exposure Draft.  

There will be a further opportunity for you to provide feedback next year when both the proposed Natural and Built Environments Act and the proposed Strategic Planning Act are formally introduced to Parliament early next year.

We encourage you and your associated networks to participate in the Select Committee Inquiry process. You can make a submission here.  Submissions close 4 August 2021.   

Clear direction and future planning

Unlike the RMA, the proposed system moves away from just managing adverse effects on the environment to providing clear direction for protecting and enhancing the natural environment, and by shifting the focus towards future planning.

Under the proposed Natural and Built Environments Act, a new ‘National Planning Framework’ will provide clear direction on how the system is implemented.

This integrated set of regulations would include mandatory environmental limits that cannot be crossed to avoid irreversible harm to the environment.  It proposes a decision-based framework based on environmental limits and specified outcomes for improving the natural environment and guiding development. These limits will protect ecological integrity and human health. They include limits relating to fresh water, coastal waters, estuaries, air, soil and biodiversity.

It is intended that relevant existing policies and standards in the current National Direction will be transferred to the new National Planning Framework.

Another new function in the new system is the setting of positive outcomes that are specified for both the natural and built environments in the National Planning Framework.

These outcomes include the quality of the environment, the protection and restoration of the ecological systems as well as outstanding natural features and landscapes.

For the built environment, outcomes include well-functioning urban areas and sufficient housing supply to provide choice for consumers and to contribute to the affordability of housing.

Next steps

The select committee inquiry will report its findings on the NBA exposure draft back to the House and these will inform further policy development on the reform.

Other components of the legislation that were not developed for the exposure draft will be considered by the Ministerial Oversight Group in the second half of 2021 before being included in the full Bill.

The Natural and Built Environments Act and Strategic Planning Act will work together as core parts of an improved resource management system. It is intended for them to be introduced in early 2022, so that they can be considered together.    

More information

As Cabinet has agreed to use the Resource Management Review Panel report as the basis for the reforms, you will  find their Report useful.  

While the whole report will be essential reading to understand the reform, the following chapters will be particularly useful in preparing for the content that will be contained in the NBA exposure draft: 

  • Overview of the proposed system (19 pages) 
  • Chapter 1: Integrating land use planning and environmental protection (10 pages) 
  • Chapter 2: Purpose and principles (43 pages – relates to the purpose and supporting provisions elements of the exposure draft) 
  • Chapter 3: Te Tiriti o Waitangi me te ao Māori (32 pages – relates to the purpose and supporting provisions elements of the exposure draft) 
  • Chapter 7: National direction (29 pages – relates to the National Planning Framework elements of the exposure draft) 
  • Chapter 8: Policy and planning framework (37 pages – relates to Natural and Built Environment Plan elements of the exposure draft) 
  • Chapter 15: Reducing complexity (6 pages – not directly related to content in the exposure draft, but is one of the Government’s five objectives for the reforms). You will see the Select Committee Inquiry terms of reference includes seeking input on this matter. 

The Panel’s recommendations for each topic area are contained at the end of each chapter.

There is also a summary version of the report and recommendations here.

Further information about the reforms can be found on here.

For more information you can contact RM.Reform@mfe.govt.nz