Resource Management (Consenting and Other System Changes) Amendment Bill 2024

On 9 December 2024, the coalition Government’s second round of changes to the Resource Management Act 1991 (“RMA”) was introduced to Parliament – the Resource Management (Consenting and other System Changes) Amendment Bill 2024 (“Bill”). The Bill was introduced under urgency and is now with the Environment Select Committee, having passed its first reading on 17 December 2024.

Submissions on the Bill close at 11.49pm on Monday 10 February 2025, with the Select Committee due to provide its report on the Bill to the House on 17 June 2025. The Government currently intends to have the Bill passed sometime in the second half of 2025.

The Bill is focused on five broad themes:

• Infrastructure and Energy package;
• Housing Growth;
• Farming and Primary Sector package;
• Emergency and Natural Hazards package; and
• Resource Management System Improvements;

We outline below the key changes proposed under each of those themes.

Infrastructure and Energy

Renewable energy

The main changes applicable to the infrastructure and energy sector are changing the consenting timeframes and consent durations for renewable energy generation projects. Under the Bill, consent applications for a specified energy activity or wood processing activity must now be determined within 1-year from lodgement. If applicants or specified groups request, or if required as a result of treaty settlements, this timeframe can be extended. In terms of consent durations, the default duration of a consent for renewable energy or long-lived infrastructure activity is 35 years, with limited exceptions. Transitional provisions provide that any relevant consent application that has been lodged and accepted as complete, but which has not yet been determined, now has the 35-year duration available so long as a hearing has not been concluded. The default lapse period for renewable energy consents has increased from 5 to 10 years and will apply to consents granted on or after the Bill receives Royal Assent.

Other changes

Other changes relevant to the sector include:

• Designations: The Bill increases the lapse period of designations from 5 to 10 years, restricts when an assessment of alternatives is required and alters other assessments and information requirements relevant to notices of requirement.
• Ports: The Bill extends the duration of port permits under section 384A of the RMA and enables requiring authority status for ports with landward operations.
• Discharge rules: To align with the Resource Management (Freshwater and Other Matters) Amendment Act 2024, the Bill amends the scope of discharge rules under section 70 of the RMA so that regional councils may include permitted activity discharge rules where standards will contribute to a reduction in adverse effects over time.

Housing Growth

The Bill introduces changes which aim to stimulate housing growth, provide flexibility for councils, and provide greater powers for the Minister for the Environment to ensure compliance.

Medium density residential standards (“MDRS”)

The Bill includes the long signalled changes to the MDRS, allowing councils to opt out of MDRS, provided they can demonstrate that their existing rules already provide capacity for 30 years of housing growth. However (and somewhat surprisingly), that “proviso” has not been included in the Bill. It is now expected to be introduced later via a revised National Policy Statement on Urban Development (“NPSUD”).

As a result of these amendments, Tier 1 Councils (including Auckland Council (“Council”)) can decide whether to retain, alter, or remove MDRS from their planning instruments – even if plan changes to introduce MDRS (as is currently required) have been completed. Those councils must use the Streamlined Planning Process (“SPP”) removing or altering the MDRS or withdrawing an Intensification Planning Instrument (“IPI”).

Alternatively, if the Council does not initially remove the MDRS, it can still do so later and must decide by resolution and notify the Minister in writing of its decision. Withdrawal of all or part of an IPI can only be done with the Minister’s approval, otherwise the IPI must continue to be progressed. The Minister may only approve the request if satisfied that Council has given effect to policy 3(a), (b) and (c) of the NPSUD (concerning building heights and density in City Centre Zones, Metropolitan Zones and Walkable Catchments). Note that this is the current version of the NPSUD, not any subsequent revision to that.

Note: The provisions regarding MDRS come into effect the earlier of: A date set by Order in Council or 1 year after Royal Assent.

SPP

As the Bill is presently worded, preparation of a plan change remove or alter the MDRS and deal with consequential matters would commence once Council has made its decision, and not necessarily after Ministerial approval. The Council will then establish an independent Panel whose purpose is to make a recommendation to the Council on removal or alteration of the MDRS. The Council can then either accept or reject each of the Panel’s recommendations, before notifying its decision. If a recommendation is rejected, Council must offer an alternative solution with a corresponding s32AA analysis. There is a right of appeal to the Environment Court where the recommendation was rejected and an alternative proposed. Appeal rights are limited to the part of the recommendation that was rejected. There is no further appeal to the Court of Appeal or Supreme Court.

Heritage

The Bill also provides that Heritage buildings and structures can also be listed or delisted using the SPP: Council can seek SPP to “remove or enable the removal of heritage protection (other than that provided by a heritage order)” from listed buildings or structures.

Farming and Primary Sector

The key changes form the Bill relevant to this sector are:

• Fishing: The Bill clarifies the relationship between the RMA and Fisheries Act 1996, primarily by introducing a new definition of “rules that control fishing” (these rules must directly control fishing, such as use of gear or fishing methods, taking of fish, aquatic life or seaweed or areas where fishing may occur), while providing that rules that control fishing do not apply to Māori customary non-commercial fishing rights to give effect to the Treaty of Waitangi (Fisheries Claims) Settlement Act 1992.
• Freshwater farm plans: The current RMA provisions regarding freshwater farm plans are amended to allow industry organisations to deliver farm plan certification and audit services, with regional councils now responsible for monitoring the delivery and certification of audit services.
• Aquaculture: The Bill enables National Environmental Standards to specify that applications for changes or cancellations to aquaculture consents are treated as controlled or restricted discretionary activities

Emergency and Natural Hazards

The core changes from the Bill relevant to this sector are as follows:

Natural Hazards

• The Bill clarifies and reinforces Council’s ability to decline land use consents or impose conditions when significant natural hazard risks are present.
• The Bill introduces amendments to provide that rules in a proposed plan “related to natural hazards” will have an immediate legal effect.

Emergencies

• In accordance with the changes proposed by the Bill, if no one is home when a Council officer visits regarding a natural hazard emergency, the Council can notify the landowner/occupier in writing of when they were there, why and provide their contact details
• The Bill extends the deadline to subsequently apply for consent for emergency works as a result of natural hazards from 20 working days to 30 working days.
• If the amendments proposed in the Bill are approved, section 31AA of the RMA would enable the Governor General by Order in Council to make regulations to respond to emergencies and enable recovery efforts. The minister can invite comments about the proposed regulations within 5 working days, unless the minister extends that period. The Bill also proposes that such regulations expire 3 years after the first declaration of a national or local emergency under the Civil Defence Emergency Management Act 2002, or any earlier date specified in the regulations.

Resource Management System Improvements

The key amendments intended to provide improvements to certain processes under the RMA are set out below:

Consenting process and compliance

• The Environment Court is able to revoke or suspend a resource consent on application by Council or EPA where it is satisfied that there are “ongoing, significant or repeated non-compliance in relation to the consent”. The applicant must demonstrate on the balance of probabilities that “the revocation or suspension is in the best interests of the public and will not result in any adverse effects on the environment.”
• The time period for excessive noise directions to prevent causing or contributing to the emission of excessive noise is extended from 72 hours to 8 days.
• An applicant’s compliance history can be considered in consent decisions and a Council can decline an application if there is a record of “ongoing, significant, or repeated non-compliance with a requirement under this Act that has been or is the subject of an enforcement order or conviction under this Act.”
• Councils can also impose consent conditions that can mitigate risks considering previous non-compliance by the applicant.

Penalties

• Maximum imprisonment for a breach of the RMA has been reduced from 2 years to 18 months.
• The maximum fine for a natural person is increased from $300k to $1m.
• The maximum fine for a non-natural person is increased from $600k to $10m.

Review of consent conditions

• Applicants may request to review the draft conditions of consent before the Council provides a report under section 42A of the RMA or the consent authority issues its decision, whichever the Council does first.

If you have any queries about how these proposed changes may impact you, please contact our office.