The Government has now announced further details of the new planning legislation to replace the Resource Management Act 1991 (RMA). 

Cabinet has agreed on the shape of the Government’s replacement legislation, signalling a radical transition to a more liberal planning system with less red tape, premised on the enjoyment of property rights, to make it easier to get things done, while protecting the environment. In his announcement, Hon Chris Bishop confirmed that the Government is committed to delivering these reforms to unlock the economic growth needed to improve the lives of all New Zealanders. 

Last year, the Government set ten principles for the new RMA system and tasked an Expert Advisory Group (EAG) to work at pace to test and further refine these principles and develop a blueprint for reform. The EAG delivered their blueprint earlier this year.

Cabinet has now agreed that the EAG Blueprint delivers a workable basis for a new planning system and has made in-principal decisions on a range of new features for the system. We highlight these below.

Key features of the new system include:

Two acts

A Planning Act focused on regulating the use, development and enjoyment of land, along with a Natural Environment Act focused on the use, protection and enhancement of the natural environment. The dual act approach aims to reduce duplication and overlap between different laws and regulations, providing a clearer framework for development and managing effects on the natural environment. 

A narrowed approach to effects management

The new system will be based on the economic concept of “externalities”. Effects that are borne solely by the party undertaking the activity will not be controlled by the new system (for example, interior building layouts or exterior aspects of buildings that have no impact on neighbouring properties such as the size and configuration of apartments, the provision of balconies, and the configuration of outdoor open spaces for a private dwelling). Matters such as effects on trade competition will be excluded. It will define more closely what effects may be considered, while raising the threshold of effects that are permitted. The effort or resources needed to manage an environmental effect will be made more proportionate in the new system. 

Property rights

Both Acts will include starting presumptions that a land use is enabled, unless there is a significant enough impact on either the ability of others to use their own land or on the natural environment. This will reduce the scope of effects being regulated and enable more activities to take place as of right. There will be clear protection for lawfully established existing use rights, including the potential for the reasonable expansion of existing activities over time where the site is ‘zoned or owned’. There will be a requirement for regulatory justification reports if departing from approaches to regulation standardised at the national level. Compensation may happen for regulatory takings in some circumstances. There will be an expansion in the range of permitted activities.

Simplified national direction

One set of national policy direction under each Act will simplify, streamline, and direct local government plans and decision-making in the system. Direction under the Natural Environment Act will cover freshwater, indigenous biodiversity and coastal policy. Direction under the new Planning Act will cover urban development, infrastructure (including renewable energy) and natural hazards. The national direction is to ensure implementation in an efficient, nationally consistent way, and will provide guidance on how to resolve conflicts between competing priorities.

Environmental limits

A clearer legislative basis for setting environmental limits for our natural environment will provide more certainty around where development can and should be enabled, whilst protecting the environment.

Greater use of standardisation

Nationally set standards, including standardised land use zones, will provide significant system benefits and efficiencies. The new legislation will provide for greater standardisation, while still maintaining local decision making over the things that matter.

Spatial plans

Each region will be required to have a spatial plan, focused on identifying sufficient future urban development areas, development areas that are being prioritised for public investment and existing and planned infrastructure corridors and strategic sites.

Streamlining of council plans

A combined plan will include a spatial planning chapter, an environment chapter and planning chapters (one per territorial authority district). There will be a smaller number of plans overall, that will be simpler to use, and consistent across the country.

Strengthening environmental compliance monitoring and enforcement

There will be changes to the consent compliance and enforcement regime to reduce variations in how this function is applied. A national compliance and enforcement regulator with a regional presence will be established to ensure a more consistent and effective approach to safeguard the environment. This will be in a separate legislative process and not part of the Planning Act or Natural Environment Act. 

It is anticipated that the new Acts will be introduced by the end of 2025, with submissions before the Select Committee in 2026 and passed before the next election.

This article was co-authored by Aimee Harris, Solicitor in our Environment team.