The Resource Management (Consenting and Other System Changes) Amendment Bill is the second phase of the coalition Government’s three phase major transformation of the resource management system. RMA Reform Minister, Chris Bishop has promoted the Bill as a means of giving effect to coalition commitments, providing quick wins for simplifying the system even further, cutting red tape, and delivering changes that can transition to the new RMA system once implemented. This article is an overview of key changes proposed in the Bill.
Introduction
The Resource Management (Consenting and Other System Changes) Amendment Bill (the Bill) is the second phase of the coalition Government’s three phase major transformation of the resource management system.
In his December 2024 press release RMA Reform Minister Chris Bishop says the Bill is a precursor to full replacement of the RMA and will make important changes in the short-term to make it quicker and simpler to consent renewable energy, boost housing supply, and reduce red tape for the primary sector and that the Bill will help drive economic growth and increased productivity by making it easier to get things done in New Zealand.
The Bill makes amendments across five themes:
- System Improvements.
- Housing and Growth.
- Infrastructure and Energy.
- Farming and Primary Sector.
- Natural Hazards and Emergencies.
This article briefly summaries the key amendments by each of these key themes.
System Improvements
The Bill targets simplicity and compliance by amending the consenting and enforcement processes. The key changes proposed include:
Consenting Process
Information relating to consent applications must be proportionate to the nature and significance of the activity. Before requesting further information, consent authorities must consider certain matters, including whether an assessment can be made without it and whether it is proportionate to the nature and significance of the activity.
If the applicant fails to respond as required, consent authorities may determine the application as incomplete and are no longer required to consider the application.
Hearings
Hearings must no longer be held if a consent authority determines it has sufficient information to decide on the application. This is an interesting change as it is often the hearing itself that identifies if further information is required to make a fully informed decision.
Non-Compliance
The Bill allows for an applicant’s history of non-compliance to be considered when deciding on a resource consent. This includes current and previous abatement notices, enforcement orders, infringement notices or convictions under the RMA. Consent conditions may be used to mitigate risks of non-compliance however, it is not clear what these conditions will look like.
Additionally, Local Authorities or the Environmental Protection Authority may apply to the Court to revoke or suspend a consent for issues of non-compliance. These are very broad powers and may result in consent holders more vigorously defending enforcement actions because of the potential implications for their existing consents.
Penalties
The Bill decreases the maximum term of imprisonment for a natural person from 2 years to 18 months, bringing it below the threshold for a Jury trial which requires a maximum penalty of 2 years or more. The maximum fine for a natural person is increased from $300,000 to $1,000,000. For a non-natural person the maximum fine is increased from $600,000 to $10,000,000.
Contracts of insurance for certain fines or infringement fees are proposed to be prohibited.
Housing and Growth
The Bill aims to provide flexibility and support growth by amending the processes for creating housing. The Medium Density Residential Standards (MDRS) will become optional for councils if they can demonstrate 30 years of housing growth capacity. When altering or removing the MDRS or withdrawing an Intensification Planning Instrument, councils must use the Streamlined Planning Process.
To ensure compliance with national direction, the Minister for the Environment is given new powers to direct councils and plan changes in accordance with national direction. The Bill also proposes a simplified planning process to list or delist heritage buildings and structures.
Infrastructure and Energy
There is a strong focus on renewable energy. Some of the key changes include changing the consent timeframes and durations for renewable energy projects. A consenting authority has one year from the date the application is lodged to process and decide a resource consent application for a “specified energy activity”. For the duration of consent for renewable energy projects, the Bill introduces a default of 35 years from the date of commencement unless one of the exceptions for a shorter period apply. The lapse period for renewable energy consents is doubled from 5 to 10 years. The same increase also applies to designations.
Farming and Primary Sector
The Bill focuses on certainty and growth. Key amendments aim to balance marine protection with fishing rights. The Bill introduces definitions and restrictions on rules that control fishing, aiming to clarify the relationship between the RMA and the Fisheries Act 1996. It ensures new rules undergo a pre-notification process with the Director General of the Ministry for Primary Industries, assesses impacts on fishing, reduces scope for submissions to limit the regulatory burden on fishers, and do not apply to Māori customary non-commercial fishing rights.
The Bill also amends Part 9A of the RMA to make farm plan certification and audit services more efficient and affordable by permitting industry organisations to provide these services.
Natural Hazards and Emergencies
The Bill clarifies that when significant natural hazard risks are present, a consent authority may refuse a land use consent or impose conditions. The assessment of a natural hazard risk includes factors like likelihood, material damage and adverse effects on the health or safety of people. Plan changes introducing new natural hazard rules have immediate legal effect.
If you need advice on any of the issues raised in this article, please contact Joanna Beresford | Environmental Partner | 021 114 1277
Disclaimer. The information in this article is intended to provide a summary of the topic covered and is for general information only. It is provided without charge, is not comprehensive, and does not provide legal advice or other advice. Please seek independent advice before acting on any information in this article.