The New Zealand government recently announced a major overhaul to the Resource Management Act (RMA) 1991, a move expected to streamline environmental and development regulations. Two new Acts will replace the RMA, targeting environmental management and urban development separately. This article outlines the planned reforms and their implications for property developers, environmental stakeholders, and iwi groups.
BACKGROUND AND PURPOSE OF THE REFORM
The RMA has historically been criticised for prioritising environmental protections over development, which has led to delays and high compliance costs. Infrastructure and RMA Reform Minister Chris Bishop emphasized that these delays—such as three years for housing consents and almost a decade for projects like wind farms—hinder both environmental protection and economic growth.
The new legislation will therefore separate environmental regulation from urban development, addressing the needs of both while ensuring a streamlined, cost-effective approval process. An expert panel, including environmental and legal professionals and economists, will advise the government, with a blueprint expected by December and legislation by next year.
KEY PRINCIPLES OF THE REFORM
The government has set ten guiding principles for the new laws, focusing on balancing environmental protection with development needs. Here are some core principles and how they could affect clients:
Targeted Environmental Management: The new legislation will narrow the focus of environmental regulations to managing direct impacts, reducing the broad scope that has complicated the RMA. National standards will be expanded to simplify council plans and reduce the need for individual resource consents.
Enhanced Compliance and Monitoring: The new laws aim to reduce upfront consenting requirements, instead prioritising compliance, monitoring, and enforcement during and after development. This could significantly lower project costs and allow developers to start projects more quickly.
Single Regional Plans: Instead of multiple overlapping regulatory documents, there will be one regulatory plan per region, prepared jointly by regional and district councils. This unified approach will streamline planning and potentially reduce costs and delays.
Improved Dispute Resolution: To handle disputes swiftly and affordably, a new Planning Tribunal or equivalent body is proposed. This will facilitate low-cost resolutions between property owners, neighbours, and councils, making dispute management more accessible.
Commitment to Treaty of Waitangi Obligations: Treaty rights will be upheld, reflecting iwi frustration over restrictions under the RMA. The government acknowledges that the new framework must respect iwi rights while enabling the use of Māori land, benefiting both Māori and non-Māori stakeholders.
IMPLICATIONS FOR STAKEHOLDERS
For property developers, the proposed changes aim to facilitate faster project approvals, with fewer hurdles for infrastructure and housing development. With a focus on managing direct environmental impacts, the reform is set to reduce costs associated with compliance and align environmental limits with development needs.
For environmental stakeholders, the emphasis on national standards and environmental limits aims to ensure that development does not override ecological safeguards. Clear standards across regions are expected to improve accountability and uphold sustainable practices.
For iwi groups, the reformed legislation offers a way to develop and utilise Māori land, alleviating longstanding barriers under the RMA. By incorporating Treaty obligations, the reform presents an opportunity for iwi to actively participate in resource management and land use.
CONCLUSION AND WHAT’S NEXT?
These changes are still under development, with the expert advisory panel working on the final framework. The reforms will align with ongoing national direction on infrastructure, housing, farming, and hazard management, with an amendment bill anticipated by mid-2025.
This reform will redefine New Zealand’s approach to resource management. Clients involved in property development, land use, or environmental advocacy should stay informed about these changes to understand how they may influence future projects. Please reach out to us for guidance on how these reforms may impact your interests.
