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New Zealand Government Overhauls Planning Laws to Boost Development and Infrastructure

New Zealand’s coalition government has announced plans to replace outdated planning laws with two new pieces of legislation. The aim is to prioritize development while still considering environmental concerns. Since 1991, the Resource Management Act (RMA) has governed land use in the country, but it has faced criticism for putting environmental protection ahead of development.

According to Infrastructure, Housing, and RMA Reform Minister Chris Bishop, the RMA’s broad scope has allowed for the misuse of land use regulation. He argues that the Act has contributed to New Zealand’s housing crisis, as delays in housing developments have locked people out of affordable homes. Bishop states that typical delays for housing developments are three years, while wind farms and port extensions can take up to eight or ten years, respectively.

To address these issues, the coalition government repealed the RMA in 2023 and introduced two new laws. However, after taking power, they decided to repeal those laws and revive the RMA as a temporary measure. Now, the government is proposing two new laws that will remove unnecessary regulations for primary industries and barriers to investment in development and infrastructure. The first law will focus on managing environmental effects, while the second will enable urban development and infrastructure.

The government’s goal is to strike a balance between environmental protection and development needs, similar to the approach taken in Scotland. The new laws will also allow for the delivery of high-quality infrastructure, such as renewable energy and primary sector growth. Under the new system, property rights will be at the center, and disputes between neighbors, property owners, and councils will be resolved through a rapid and low-cost mechanism.

Under Secretary for RMA Reform Simon Court emphasizes that rules should only restrict activities that have a significant impact on others’ enjoyment of their own property or on the natural environment. The government aims to ensure that councils provide for essential human needs like housing and food production within environmental limits, without making it impossible to build homes or develop other necessary infrastructure.

While the details are yet to be finalized, an advisory group has been appointed to work with the Ministry for the Environment. They will consider ten guiding principles to shape the new legislation. The government expects the second law to be introduced by the end of the year and passed into law in mid-2025. Ultimately, the aim is to create a planning system that promotes sustainable development and economic growth while protecting the environment and property rights.

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