RMA reform plans - September 2024

Hon Minister Chris Bishop and Simon Court MP have delivered further announcements on Government’s planned ‘phase 3’ of reforms to the Resource Management Act 1991 (RMA). The Minister’s speech introducing further details of the reforms, noted that:  

“The RMA has hindered economic growth and productivity, whilst failing to improve the environment. The RMA consenting system is an active barrier against New Zealand achieving its climate goals …”

Below is an overview of the current reforms to the RMA system underway (phases 1 and 2), and those that are signalled for the remaining Government term:

Phase One

• Repeal the Natural and Built Environment Act and Spatial Planning Act (achieved in December 2023).

Phase Two

• Targeted changes to the existing resource management system, to address discreet issues (such as mining and farming regulation).
• Fast-track Approvals Bill – currently before the Environment Select Committee for their consideration (due to report on 18^th October).
• Two bills to amend the RMA and a package of national direction (including delivering on the Going for Housing Growth agenda.

Phase Three

• Legislation to replace the RMA.

Todd and Walker Law’s previous article summarised the details of phase 1 and 2, while also providing an overview of local and regional planning processes underway that will be affected by the same: https://www.toddandwalker.com/news/rma-reform/.

New Legislation Phase Three details - Replacement of RMA

Guiding Principles

At a high level, the proposed framework for replacement of the RMA is proposed to consist of two Acts: one for planning urban development and infrastructure, and another for environmental protection. This separation introduces a future-focused spatial planning component into the system, which has traditionally only been focused on management of the effects of activities.

Design Features

Cabinet has agreed on ten core ‘design features’ for the new RMA system, our summary of some of the key themes are:

• Integration and Coordination: between urban development and environmental protection.
• National Direction: Using national standards and environmental limits to reduce the need for resource consents
• Spatial Plans and Combined Plans: Streamlining planning processes, unitary planning for regions, and spatial planning.
• Simplified Processes: Faster processes, including a potential new planning tribunal and a shift from consenting towards regulation of activities and their effects.

Underpinning the above, is the campaigned commitment from National’s election manifesto and the National-ACT coalition agreement, to focus on private property rights at the centre of any new system.

Progress and Implementation timeframes 

The new legislation aims to be before Parliament next year and in force by mid-2026 (though transitional details are not yet known). An Expert Advisory Group will develop the blueprint for the new system and is to report on the same to the Minister for RMA reform before the end of 2024. In the meantime, reform under phases one and two continue.

Our observations and the implications for the Otago Region 

• A system for urban and infrastructure planning separated from environmental effects could present uncertainties in terms of how effects can actually be managed separately from the activity causing the effects.
• National direction has the potential to create efficiencies through the system, but is often developed at a ‘high level’ to apply throughout the country. Nuances within particular districts or regions are not always well catered for within national direction.
• The Otago Region is currently in a state of ‘planning flux’ between regional policy statements and plans, and local district plan reviews. Replacing these in the near future with one regulatory plan per region, jointly prepared by regional and district councils could lead to re-litigation of those relatively recently settled instruments.
• The Queenstown Lakes District in particular has unique planning circumstances different from coastal Otago; delivering a combined regulatory plan will need to provide for those differences to be meaningful.
• A new planning tribunal to streamline the hearing and resolution of minor disputes more quickly has the potential to create a low-cost dispute resolution mechanism for neighbours. However, any such system will need to be designed to be easy, without formality, and accessible to all (rather than only with the assistance of experts and lawyers).
• While there are similarities in structure to the previous Government's replacement RMA framework, these announcements omit the previous concepts of Te Mana o te Taiao (maintaining the health of natural resources, such as air, water and soil, and their capacity to sustain life), nor the role for Māori in decision-making and in the design of measures and processes to give effect to the principles of Te Tiriti.
• The principles communicated in these announcements remain relatively high level, and in the meantime, an ongoing and significant package of reform is still to be progressed within ambitious timeframes.   

At TODD & WALKER Law we have a specialist Resource Management team who can assist with more information about the reform programme and how it might affect you. Contact us on [email protected] or 03. 441 2743.