The Ministry for Cities, Environment, Regions and Transport (MCERT) has released an illustrative National Policy Direction (Illustrative NPD) document to test its proposed approach for the National Policy Direction under the soon to be enacted Planning Bill and Natural Environment Bill (Bills).
The National Policy Direction will sit at the top of the new planning framework. It will translate the goals in the Bills into specific national priorities and directives, addressing how those goals are to be achieved and how tensions between them are to be managed. These priorities and directives will in turn be implemented through National Standards, Regional Spatial Plans, Land Use Plans and Natural Environment Plans.
The Illustrative NPD provides an early example of what the National Policy Direction could look like. There are some fundamental differences between this and the existing National Policy Statements under the Resource Management Act 1991, including a much stronger emphasis on private property rights, economic growth and enabling development. The Government is seeking feedback on whether the proposed approach is clear, useful and effective, and to identify issues, gaps, trade-offs or areas for improvement.
We recommend early engagement on the Illustrative NPD, and providing feedback by 16 October 2026, to help shape this important document.
The Illustrative NPD is organised into:
- Cross-cutting directives (CC-Directives) that apply to all themes: Private property rights, Economic growth, Managing land use and reverse sensitivity, Regional Spatial Plans, Avoiding unnecessary duplication, Decision making on consents and permits, and Te Ture Whaimana;
- Five main themes reflecting the Government’s key priorities for the planning system: Housing and Development, Infrastructure, Primary production and the rural economy, Resources: quarrying, mining and waste, and Public values;
- System-wide directives: Māori interests and Natural Hazards.
We provide context to some of the proposed directions below. If you would like to understand how the Illustrative NPD may affect your sector, or you would like assistance in providing feedback, please contact one of our experts.
The Illustrative NPD includes the following proposed directives and themes
- Private property rights will be emphasised: Private property rights are a central feature of the new system. CC-Directive 1 provides that the use of private land is to be enabled, with restrictions only imposed when necessary to ensure others are not unreasonably affected or to provide for important public values. This represents a fundamental shift in emphasis – the presumption will be that people can use their land without unnecessary constraint.
- Economic growth: CC-Directive 2 requires that economic growth and change be supported by: being responsive to new and emerging economic opportunities; providing certainty for investment; and reducing unnecessary costs and constraints for projects that drive economic growth and employment. These directives are reinforced through each theme, including directions to provide abundant development opportunities, enable efficient infrastructure, and support a thriving rural economy.
- Reverse sensitivity will be proactively managed: Existing lawfully established activities (such as quarries, ports, and airports) are to be protected from new sensitive activities. CC-Directives 3 and 4 require Land Use Plans to: enable existing lawfully established land uses to operate without unreasonable constraints; ensure new incompatible or sensitive activities are responsible for avoiding or mitigating conflicts; and use a range of planning tools including zoning, buffers, setbacks and non-complaint covenants. Regional Spatial Plans must identify where incompatible land uses may conflict and where separation is required.
- Role of Regional Spatial Plans: CC-Directives 5–7 set out the role of Regional Spatial Plans to: prioritise growth and change where infrastructure can efficiently support it; provide access to housing and labour markets; manage natural hazard risks; and provide for significant environmental and cultural values. Regional Spatial Plans must also sequence growth, change and infrastructure to support efficient public investment and strategic development opportunities, and seek to maximise compatibility between development, the natural environment and cultural values over the long term.
- Housing and Development: Theme 1 directs the planning system to enable abundant development opportunities for housing and business use. Regional Spatial Plans must identify an abundance of areas for urban development so there is no expectation of scarce land supply. Land Use Plans must apply the most permissive planning provisions possible while being consistent with development objectives, provide clear and predictable provisions for development, and recognise that change is not in itself an adverse effect. Land Use Plans may also allow urban development in high value primary production areas or areas of high natural character, or outstanding natural features or landscapes, if the development meets criteria set out in national standards.
- Infrastructure will be protected: Theme 2 provides a nationally consistent framework to protect and enable infrastructure. A key concept is the "operational envelope" – allowing existing infrastructure to operate, maintain, upgrade and repower within its established area without unnecessary planning restriction. Regional Spatial Plans must identify strategic infrastructure priorities that shape how the region grows and changes, and identify opportunities to improve New Zealand’s energy security, resilience, independence, and transition to a low carbon economy. All sources of energy are to be enabled, including thermal energy and emerging technologies, and the goal is to double renewable energy capacity by 2050.
- Primary production and the rural economy: Theme 3 enables agriculture, horticulture, aquaculture, commercial forestry and rural activities through a nationally consistent and proportionate regulatory framework. Agricultural and horticultural activities and their supporting activities are to be enabled, with any controls proportionate to environmental or human health risk. Freshwater farm plans are established as the primary mechanism for managing on-farm freshwater effects. High value growing areas are to be managed to protect domestic food supply, support economic growth, and provide flexibility for growers to adapt to changing technologies and market demands. Commercial forestry is supported while managing adverse effects on the environment, human health and public safety, with controls to be provided in National Standards, and aquaculture is enabled by identifying areas suitable for these activities and providing strategic direction for their long-term development.
- Resources – quarrying, mining and waste: Theme 4 enables quarrying and mining activities to meet existing and future demand while managing unreasonable effects on people and the environment. Regionally significant mineral resources must be identified and protected from competing land uses. Waste management activities are to be enabled and provided for, recognising their operational or functional need to be in particular locations. Contaminated land must be identified and remediated to ensure it is suitable for its intended future use.
- Public values: Theme 5 protects environmental and human health through ecosystem and human health limits set in accordance with National Standards. Significant indigenous biodiversity must be identified, categorised into tiers reflecting ecological value, and protected, while safeguarding the life-supporting capacity of ecosystems. Public access to and along rivers, lakes and the coastal marine area is to be maintained and, where appropriate, enhanced. Areas of high natural character and outstanding natural features and landscapes must be identified and protected from inappropriate development, while enabling appropriate development where effects can be managed. Significant historic heritage is to be protected from inappropriate use and development, with targeted and proportionate protections. Nature-based solutions are to be recognised for their role in improving resilience to natural hazards.
- Māori interests will be addressed throughout the new system: System-wide directives provide for: Treaty settlement arrangements to be upheld with the same or equivalent effect as under the RMA; Māori participation in plan-making for regional spatial plans, land use plans and natural environment plans; the identification and protection of sites of significance to Māori; and enabling the use and development of identified Māori land for cultural, social, environmental and economic aspirations, including for papakāinga. Despite this, we note one of the more recent updates to the Bills was the removal of Mana Whakahono ā Rohe agreements from the planning regime.
- Risk-based hazard management: System-wide directives establish a proportionate, risk-based approach to natural hazard management across all themes. Regional Spatial Plans are to safeguard against natural hazard risks and improve resilience by directing housing growth, infrastructure, and investment towards areas where natural hazard risks can be avoided or mitigated, and identify areas of existing development exposed to climate related natural hazard events where adaption planning should be prioritised.
We will continue to monitor and provide updates on the new planning system. Given the importance that the National Policy Direction will play in shaping planning outcomes, we strongly encourage all land and resource users, infrastructure providers, developers, iwi, and local authorities to engage early and provide feedback on the Illustrative NPD by 16 October 2026. If you would like assistance in understanding the implications for your sector or in preparing feedback, please contact one of our experts.
This article was co-authored by Harry Bird and Maha Fier, Solicitors in our Environment team.