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RM Reform Update - June 2021 First 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

Once in a generation we have an opportunity to be involved in momentous or historic change. We have that opportunity now as we embark on the reform of Aotearoa’s resource management (RM) system.

In February, the Government announced it would repeal the RMA (1991) and enact new laws that would transform the system.  An early draft of the first of these laws, the Natural and Built Environments Act, will be examined by parliamentary select committee early in the second part of this year. 

In the 2021 May Budget, the Government confirmed its commitment to the reform by allocating $131.8 million over three years to support the funding design, enactment, transition and implementation of the reforms.  This is a significant investment ensuring the reforms this time will be delivered effectively.

We are under no illusions about the importance of this mahi for our future generations. We look forward to getting back in touch with you over the coming weeks, as we build towards the select committee inquiry.

Transforming Aotearoa's resource management system

The Government announced the repeal of the current Resource Management Act (1991) on 10 February 2021. Three new Acts will replace the existing RMA (1991) which is widely seen as not fit for purpose. The three proposed Acts are:

  • Natural and Built Environments Act (NBA)
  • Strategic Planning Act (SPA)
  • Climate Adaptation Act (CAA)

The Government intends the three new Acts will:

  • Protect and where necessary restore the natural environment including its capacity to provide for the wellbeing of present and future generations.   
  • Better enable development within natural environmental limits including a range of more affordable housing and infrastructure provided in the right time and at the right place.
  • Give effect to principles of Te Tiriti o Waitangi and greater recognition of te ao Māori, including mātauranga Māori.
  • Better prepare for adapting to climate change and other natural hazards and mitigating greenhouse gas emissions contributing to climate change.
  • Make the system more effective, efficient and less complex while retaining appropriate local democratic input.

A new strategic function in the system

The proposed Strategic Planning Act (SPA) will ensure we have better, more integrated strategic planning for how a region will grow and change over time; and how development will be provided for within environmental limits.

The Panel proposed that long-term regional spatial strategies will be prepared by local government, mana whenua and central government. These will integrate land use planning, environmental regulation, infrastructure provision and funding, climate change responses, and natural hazard risk reduction.

The regional spatial strategies will work alongside the proposed Natural and Built Environments Act, and other key legislation covering climate change, transport and local government.

Interdepartmental executive board for the SPA

As the new legislation integrates decision-making across portfolios, the Government has decided to use a new way of collaborative working – a formal interdepartmental executive board - made possible under the Public Service Act 2020 to optimise the quality of input to the development of the Strategic Planning Act.

The new Strategic Planning Reform Board was formally established on 29 April 2021. Membership includes the Chief Executives of the Treasury, the Ministry for the Environment (Chair), the Ministry of Transport, the Department of Internal Affairs and the Department of Conservation.

Parliament to examine an exposure draft of the NBA legislation

The proposed Natural and Built Environments Act (NBA) is intended to be the primary replacement for the RMA (1991).

The first key milestone for the reform package will be the release of an early draft of the most important parts of the NBA legislation along with supporting material. This is referred to as an exposure draft, which is legislation that has not yet formally been introduced into Parliament and is shared for initial feedback.

The exposure draft of the NBA legislation will be subject to a parliamentary select committee inquiry from mid-2021. The exposure draft process is designed to help the reform process proceed promptly.

The exposure draft does not cover the full Bill, instead it provides an early look at key aspects of the new system 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 select committee will report its findings to Parliament and any changes will be fed into the policy and drafting processes before the Bill is introduced.

Other components of the legislation that were not developed for the exposure draft will be decided by Cabinet in the second half of 2021 before being included in the full Bill. A consultation is likely for aspects of the Climate Adaptation Act (CAA) with the timeline still being confirmed.

The SPA and the NBA are a package and work together to create the new system. The aim is for these laws to be enacted this parliamentary term.

Update on transition and implementation to a new system

The proposed new resource management system is fundamentally different from the RMA (1991). A priority will be ensuring councils transition to the new system without unnecessary disruption.  Its success will depend on both central and local government’s collective capability and capacity to implement the new system.  From discussions MfE has had with local government, we know local government is committed to the reforms and working together. MfE is working on a transition and implementation plan, to minimise disruption; and to provide as much certainty as possible to local government authorities about the transition pathway. 

Housing outcomes through RM reform

Improving housing outcomes is one of the key objectives for RMA reform. Healthy and affordable homes are essential to our wellbeing and sense of belonging.   

Cities need to respond to population growth sustainably. Plans that anticipate and respond to growth and change can play a critical role in achieving our aims for housing.

A more effective and efficient system will provide more certainty and a simpler, less costly decision-making process to support housing developments enabling new homes to be built more quickly.

Better strategic planning will help align infrastructure investment by central and local government and the private sector to help ensure it is provided at the right place, at the right time. Infrastructure is integrated with land use planning, development and urban growth.

National Policy Statement on Urban Development

The National Policy Statement on Urban Development (NPS-UD) came into force in 2020. It aims to ensure New Zealand’s towns and cities are well-functioning urban environments; and that urban environments meet the changing needs of our diverse communities.

The NPS-UD removes overly restrictive barriers to development (such as rules requiring provision of car parks). It allows growth both ‘up’ and ‘out’ in urban areas where locations have good access to existing services, public transport networks, and infrastructure.

Officials at the Ministry for the Environment and Ministry for Housing and Urban Development are currently focused on supporting the implementation of this NPS-UD. They are monitoring progress being made preparing an old system for transformation to the new.

More information

We encourage you to read the review panel’s report New Directions in Resource Management in New Zealand. This provides the platform for many of the proposed reforms. 

We also encourage you to read the cabinet paper on the reforms and supporting material

We hope you will also engage with the NBA Exposure Draft when it comes before the select committee inquiry.  We will keep you informed when this will be.

Contact Us

If you have any questions or for more information you can contact us at RM.Reform@mfe.govt.nz

Please feel free to send this newsletter on to other interested parties. If you would like to be included on our stakeholder distribution list for further updates please email the above address.