RM reform update - July 2023 Fourteenth edition

Another milestone reached

Another milestone was reached in the resource management reform journey with the Environment Select Committee reporting back their changes to the Natural and Built Environment and the Spatial Planning Bills on 27 June 2023.    

We’d like to acknowledge the Select Committee for the work they’ve done to ensure the new legislation is as robust and workable as it can be. We also recognise the valuable contribution made by many individuals and organisations who took the time to comment on the new Bills. Their contributions help to improve the Bills to ensure the new system is stronger and more fit for purpose for generations to come.

Public consultation

Public consultation is now open on the review of the New Zealand Emissions Trading Scheme and on the redesign of its permanent forestry category. Consultation is also out on a new biodiversity credit system. This will help to protect New Zealand’s native flora and fauna and complement a new National Policy Statement for Indigenous Biodiversity which will provide clearer and more consistent national direction for the management and protection of significant indigenous biodiversity.

Engagement with key partners and stakeholders

As we move closer to implementation of the new resource management system, we continue to focus on engaging with key partners and stakeholders. This includes working with treaty settlement groups to uphold their settlements in the new system, finalising the first National Planning Framework proposal, as well as beginning engagement with stakeholders on the second iteration, and bringing rangatahi along on our journey to help shape environmental policy.

The new system is also a step towards a more efficient and effective digital future and enabling better access and use of this information for everyone who engages with it.

We hope you enjoy this update, and we look forward to continuing to share progress on reforming the resource management system. 

Key aspects of new system

Key aspects of the new system include:  

• The introduction of regional spatial strategies 
• Reducing the number of RMA plans across New Zealand from 100 to 16 
• Better quality plans with more permitted activities 
• Enabling development within environmental limits 
• Achieving better environmental outcomes, limits and targets (rather than effects-based management, which has not adequately guarded against cumulative effects like declining water quality and climate emissions) 
• More affordable housing, and 
• Fewer, faster consents. 

We hope this will better protect the environment while enabling development – achieving a flourishing environment and thriving communities.

Ngā mihi nui, nā 

Janine Smith, Deputy Secretary, Natural and Built System and Climate Mitigation 

Nadeine Dommisse, Deputy Secretary, Policy Implementation and Delivery 

The Environment Select Committee released their report into the new resource management law reforms on 27 June 2023. 

The Committee received more than 3,000 oral and written submissions with 94% of all submitters agreeing on the need for system reform. We thank all those who took the time and effort to have their say on the Natural and Built Environment (NBE) Bill and Spatial Planning (SP) Bill over the past two years. The many constructive comments provided helped the new legislation become more workable.

Next stage

The next stage will be for the House of Representatives to consider, debate and vote on the changes later this month. 

The report includes commentary explaining the recommended changes and the issues considered. Advice provided by officials will also be made public shortly, including the Departmental Reports for both new Bills.   

You can read the Select Committee’s full report, including revised track changes of the two new Bills, the Natural and Built Environment Bill and Spatial Planning Bill. 

Signficant changes recommended

Significant changes recommended by the Select Committee to the NBE and SP Bills are:    

• Enabling local voice – strengthening the NBE Bill to give more effect to local democracy through statements of community expectation 
• Housing and infrastructure – improving planning and consenting provisions such as notification, designations and fast-track 
• Fast-track consenting – a form of fast-track referral to consenting panels will continue during the transition from enactment of the NBE Bill to implementation of the new system by the regions. Fast-track was originally a temporary Covid response measure which will now continue to apply permanently for specified infrastructure and large housing developments
• Hydro schemes – all schemes with generating capacity of more than 5MW (covering 99 per cent of all capacity) will be able to apply for replacement consents with durations of up to 35 years 
• Environment Court – like all courts, the Environment Court applies the law (including Te Tiriti o Waitangi provisions), but the Court is not constituted under the Treaty clause in the NBE Bill. This has been clarified in response to concerns raised by the Chief Justice 
• Tree protection – new national direction allowing local authorities to better protect urban trees without overly constraining development and change. 

Select Committee report is the latest step in engagement process

The Select Committee’s report is the latest step in a thorough engagement process on the key principles and practical detail of the reform. It follows the year-long Randerson Review, a Select Committee inquiry into the key provisions of the NBA, and earlier reports by key organisations, including the Northern Employers and Manufacturers’ Association, the Environmental Defense Society, Infrastructure New Zealand, the Property Council, the Waitangi Tribunal and Local Government NZ.

Thousands of our native plants and animals are threatened with, or at risk of extinction. Some will disappear forever if we don’t work together to reverse the decline and restore what has been lost.  

National Policy Statement for Indigenous Biodiversity 

A new layer of protection, which provides clear and consistent standards for identifying, managing, and protecting our native plants, animals, insects and birds, will come into force on 4 August 2023 and will be implemented over several years. 

The National Policy Statement for Indigenous Biodiversity (NPSIB): 

• has one set of criteria for councils to identify significant natural areas to maintain consistency 
• requires councils to identify significant natural areas in the next five years 
• requires all regional councils to have a regional biodiversity strategy. 

Find out more information on the NPSIB  

Biodiversity credit system public consultation now open until 4 November 

The Government is exploring whether a biodiversity credit system could help to incentivise the protection and restoration of native wildlife in Aotearoa New Zealand.  

Many farmers and other landowners already invest time and resources in protecting indigenous biodiversity on their land. Despite their efforts, thousands of native New Zealand species are threatened with, or at risk of, extinction. A biodiversity credit system would help to conserve important habitats and species by enabling landowners who protect, restore and enhance native wildlife, to earn credits for their actions. 

Biodiversity credit systems are being developed overseas and in Aotearoa New Zealand.  

Interest across different sectors

There is interest across different sectors in establishing a system here to support wildlife protection by farmers, landowners, tangata whenua, local and central government.   

Being able to verify that biodiversity credits are protecting and restoring wildlife is key to attracting investment from individuals and organisations committed to protecting biodiversity.  

Public feedback sought

The Government wants to support and enable the right biodiversity credit system for New Zealand. The Ministry and Department of Conservation (DoC) are seeking public feedback on how a biodiversity credit system could be set up and what role the Government should play in it. 

Public consultation on the proposed biodiversity credit system is now open until 4 November 2023. All feedback is welcome.  

Find out more and make your submission 

We want to make sure that our partners, stakeholders, and the public have the information they need when the new system is enacted. 

The Ministry is working on information that will explain the new system in as plain as language as possible.  This information will be phased in over the next few months and will be available on the Ministry’s website.  Direct access to MfE via existing telephone numbers and existing RM Reform will also be available 

We’re also working on comprehensive guidance about the whole system. This will be developed with our partners over time.

Public consultation on the review of the New Zealand Emissions Trading Scheme (NZ ETS) and on the redesign of its permanent forestry category is open now until 11 August 2023. All feedback is welcome.  

About the review

The review asks whether changes are needed to make sure the NZ ETS is best equipped to reduce climate pollution, while also supporting activities that remove carbon emissions. It focuses on the benefits, trade-offs, and risks of changing the NZ ETS.  

The review of the NZ ETS responds to the Climate Change Commission’s 2021 ‘Inaia tonu nei – the transition to a low emission Aotearoa’ advice.  

The review recognises that carbon removals through forestry are needed to contribute to global climate change efforts, to 2050 and beyond. However, recent modelling suggests that under the current NZ ETS settings, an overabundance of forestry could see the price of carbon decline within the next decade. This would result in fewer incentives for meaningful decarbonisation.  

Find out more and have your say

Consultation on proposals to strengthen government direction for consenting renewable electricity infrastructure has now finished. The consultation period was from 20 April to 1 June 2023. 

About the proposals

The proposals relate to a package of national direction instruments under the Resource Management Act (RMA). This includes the current National Policy Statements (NPS) for Renewable Electricity Generation and Electricity Transmission, and National Environmental Standards (NES) for Electricity Transmission Activities. It also proposes new National Environmental Standards for Renewable Electricity Generation. 

The proposals relating to NPS amendments are considered the highest priority and are intended to take effect by late 2023. The NES proposals are intended to take effect from 2024. 

Next steps

The consultation was run by the Ministry for Business, Innovation and Employment in collaboration with the Ministry for the Environment.  Officials are progressing work on submissions analysis and a recommendations report to the Minister for the Environment and Minister for Energy.

The Ministry is committed to working with our Treaty partners. We held a number of hui in April and May 2023 on aspects of the resource management system including the value of the new system for Māori, the National Planning Framework, environmental limits and targets, Limits and Targets and climate adaptation. 

Key themes from our hui included: 

• A need for more information and explanation given the complexity of the system and the new roles for Māori 
• An understanding of the weighting of iwi/hapū management plans in the new system 
• The role of the National Māori Entity 
• How the new system will be implemented including support for Māori to participate
• Māori rights and interests in natural resources.

We gained a number of insights during these hui that will help inform how we communicate and engage with our Treaty Partners in future.

What do rangatahi value most about te taiao, our natural environment? 

That was the question the Ministry for the Environment asked young people at the recent leadership and innovation summit, Festival for the Future, in Wellington. 

Rangatahi feedback sought

Kaimahi from the Ministry’s Intergenerational Change Team attended the festival to find out: 

• which of the six environmental domains (air, indigenous biodiversity, freshwater, coastal waters, estuaries, and soil) are most important to young people 

• what activities and values they associate with the domains that are most important to them e.g. swimming, fishing, growing kai, or the protection of wildlife 

• what action they would like to see for these domains. 

Rangatahi were able to provide their feedback by taking part in an online survey during the two-day festival. Two illustrators also turned their ideas into a mural of te taiao. 

How the Ministry will use the feedback

The Ministry will use the feedback rangatahi provided to help decide what limits and targets are needed to protect and improve ecological integrity and human health under the new resource management system. 

Read the information sheet the Ministry produced about limits and targets for the festival

The reform of the resource management system provides an opportunity to start a journey to a more efficient and effective digital future. This will enable better access and use of information for everyone who uses it.  

What it aims to provide

The new digital system aims to provide users with an improved customer experience and to foster greater public participation. 

A key feature, will be ensuring it allows easy flow of data and information across the system, underpinned by consistent data and reporting standards. This is known as data interoperability and refers to the ways in which data is formatted to allow datasets from different sources to speak to each other so they can be merged or aggregated in meaningful ways.

To ensure there’s greater alignment and sharing of different resource management systems, the Ministry will work in partnership with central and local government and iwi/Māori.   

Resource Management Digital Futures Steering Group

A Resource Management Digital Futures Steering Group has been set up to provide expert leadership and governance in the development of the Resource Management Digital Futures programme. This group of local and central government agencies and iwi/Māori representatives will oversee the development of a business case as the first step in the programme. 

Partnerships to progress first step

The Ministry is also working in partnership with Taituāra – the local government professionals association – and Tasman District Council to progress this first step.

An advisory group with similar representation has also been set up to advise on technical matters. 

For more information, please contact RM.reform@mfe.govt.nz.

The Severe Weather Emergency Recovery Legislation Act allows a number of laws to be changed to help communities recover from recent severe weather events.

The mechanism that will be used to do this is a piece of secondary legislation called an Order in Council. The Orders in Council will be developed in response to requests from the community and local government on what issues they’re currently facing as they recover from the impacts of the severe weather.

Severe Weather Emergency Legislation Act 

The Severe Weather Emergency Legislation Act passed into law on 20 March 2023. It’s an omnibus Act which makes changes to a number of existing laws, including the Resource Management Act. 

A second law, the Severe Weather Emergency Recovery Legislation Act, passed into law on 12 April 2023. It introduced an Order in Council mechanism to add flexibility to address specific issues faced by communities. 

The legislation is similar to what was passed following the Hurunui/Kaikōura earthquakes, modifying existing laws in order to remove constraints on recovery. 

Proposed Orders in Council  

The proposed Orders in Council we have recently engaged on include: 

• enabling temporary accommodation 
• temporary storage and disposal of waste 

The Ministry of Transport is currently engaging on proposed Orders in Council for road and rail works.  

An Order in Council for burning waste was gazetted on 4 July 2023. This Order allows farmers and growers to burn flood waste (with appropriate conditions to protect the environment and human health), enabling them to quickly clear their land so that it can be returned to productivity as soon as possible.   

Find out more about Orders in Council 

Future of severely affected locations 

We continue to support work on the Future of Severely Affected Location. This will include a progress update on the implementation of costed funding package for Category 3, the implementation of Category 2 and 3 support processes, progress on engagement and implementation of Kaupapa Māori pathway and the possibility of need for legislation changes. Engagement on policy is happening alongside cost sharing negotiations.

The Ministry’s First Tranche Regions (FTR) team is working closely with several regions that are interested in being among the first to implement the new resource management system.

First to set up their regional planning committees

First Tranche Regions will be the first to set up their regional planning committees (RPCs), which develop regional spatial strategies (RSS) and natural and built environment (NBE) plans. That will smooth the way over the coming years for the remaining regions, by providing useful insights and resources for creating their own ones.
To local government and iwi to decide whether they want to be in the first tranche – and to help us clarify what support they would require if they do – we will help them to scope their specific interests and needs.

The scoping exercise is regionally led by local government and iwi, with support from central government. Funding is available, along with direct support from Ministry for the Environment teams. Scoping doesn’t commit a region to participate in FTR.

We expect one or two regions will commence FTR scoping very soon.

Confirmation of regions in the first tranche

Following completion of the scoping phase in 2024, we’ll confirm which regions will be in the first tranche. They will receive further funding, support and guidance from the Ministry.

Going first will enable these regions to experience the new system sooner, such as improved environmental protections and development, and greater incorporation of Māori values and insights into decision-making.

If you’d like more information on First Tranche Regions email firsttrancheregions@mfe.govt.nz.

The Ministry has valued the contribution the Local Government Steering Group (LGSG) has made over the past two years as the new Bills have been developed. The LGSG is now focusing on climate policy and the National Planning Framework. 

We’re working with a subgroup of the LGSG to establish a Local Government Implementation Group (LGIG) to work with us on implementation. Establishing the LGIG recognises the need to work closely with local government as part of implementing the new resource management system.

From 1 July, the Strategic Planning Reform Board, which was established to develop the Spatial Planning Bill, has been renamed the Spatial Planning Board. The Spatial Planning Board will support the implementation of the Spatial Planning Act, once enacted. 

Responsibilities of the board

The Spatial Planning Board will be responsible for the implementation, oversight, monitoring and reporting of the Spatial Planning Act.  The Board will consist of Chief Executives from central government agencies and will support the Ministerially appointed central government members of regional planning committees. 

Key role of the board

A key role for the Board will be to coordinate the input of a number of central government agencies who will play a role in the development of each region’s spatial planning strategy.  Agencies include environment, conservation, economic development, housing, transport, other infrastructure, health, education, coastal marine, climate change, Māori Crown relations, Māori development and local government.  

The Spatial Planning Board will be supported by the Spatial Planning Policy Office to deliver the following functions: 

• coordinating central government’s strategic priorities 
• supporting the central government members of regional planning committees throughout the regional spatial strategy development process 
• supporting the development of implementation plans which identify the key steps to achieve the outcomes in the regional spatial strategy 
• supporting the Treasury with its budget coordination and prioritisation function, to ensure central government investment flowing from regional spatial strategies is sequenced and prioritised appropriately 
• coordinating, overseeing, monitoring, evaluating and reporting on the effectiveness of the Spatial Planning Act. 

Local Government NZ is hosting their annual conference in Otautahi, Christchurch from 26 – 28 July 2023. The Ministry is pleased to be sponsoring a workshop on implementation, as well as hosting an exhibition stand. We invite you to our stand to meet the Ministry team.