Changes to national freshwater policy

In mid-December 2023, the coalition Government announced it will replace the current National Policy Statement for Freshwater Management 2020 (NPS-FM), recognising it is complex, expensive and will not deliver desired freshwater outcomes. There will be a replacement process over the next 18 to 24 months, although the Government is still working through the details. We expect Government to provide clarity on direction for a new NPS-FM in early 2025. DairyNZ is involved at both national and regional levels through engagement with Ministers and officials and Regional Councils.

The Government is also working through a phased approach to reforming the resource management system.

• Phase One – repeal the Natural and Built Environment Act and Spatial Planning Act (completed in December 2023).
• Phase Two - targeted changes to the existing resource management system including;
  • Fast-track Approvals Bill – currently before the Environment Select Committee for their consideration.
  • Two bills to amend the Resource Management Act and changes to national direction (including NPS-FM, National Policy Statement for Indigenous Biodiversity and National Environment Standards for Drinking Water).
• Phase Three – legislation to replace the Resource Management Act introduced in 2025.

Key changes so far

• The Natural and Built Environment Act and the Spatial Planning Act that replaced the RMA in August last year have been repealed. We are back to the RMA and regional councils will have to assess resource consent applications based on the RMA when, for example, deciding on consent duration.
• The requirement to notify new regional freshwater plans by the end of 2024 at the latest has been extended to the end of 2027.
• Government is progressing a new Fast-track Approvals Bill, which introduces a new consenting regime for infrastructure and development.
• The Government is currently progressing changes to the Freshwater Farm Plan system to be more cost-effective and practical for farmers, whilst the current roll out of Freshwater Farm Plans is paused.

The Government has made a commitment to uphold Treaty of Waitangi settlements and other Treaty-related commitments and arrangements in all the reforms.

Target changes to the Resource Management Act (RMA) - first amendment bill

The Government introduced a new resource management amendment bill to Parliament. The select committee reported back in late September and proposed some changes be made to the bill. The proposed bill includes changes to:

• Make it clear that resource consent applicants no longer need to demonstrate their proposed activities follow the Te Mana o te Wai hierarchy of obligations, as set out in the National Policy Statement for Freshwater Management (NPS-FM).
• Amend stock exclusion regulations in relation to sloped land. The low-slope land map and associated requirements for stock exclusion is removed.
• Alter intensive winter grazing regulations.
• Suspend the requirement for councils to identify new Significant Natural Areas (SNAs) in accordance with the NPS-IB for three years, to give enough time for a thorough review of how they operate.
• Speed up the process to develop or amend national direction, such as national policy statements and national environmental standards.

DairyNZ’s response

DairyNZ submitted to the Select Committee process for both the Fast-Track Approvals Bill and the Resource Management (Freshwater and Other Matters) Amendment Bill. Both submissions focussed on improving the current system to be more pragmatic and to have enduring policy settings for farming. This included proposing changes to how consents are assessed (s107 RMA) since recent court decisions would affect farmers ability to gain a consent in certain circumstances. The select committee proposed amending s107 will allow consents to be granted with conditions in areas where there are significant adverse effects on aquatic life.

DairyNZ is advocating for regional councils to pause notification of their freshwater plan changes, wait for national clarity around a replacement national framework, and use the time to go back to communities for further discussion around the economic implications of their environmental limits.

We want to see a national policy framework that supports constant improvement focused on good practice implemented at the farm level and the development of solutions at farm and catchment scales. We want a new NPS-FM to survive any change in government.

We are advocating for targeted changes to the RMA in response to recent High Court decisions dealing with discharges from farming and consents (sections 70 and 107, RMA).

DairyNZ is providing feedback to officials on how improved objectives for Freshwater Farm Plans could best be achieved.

What it means for farmers

Significant changes may yet occur, but while the targets, methods and timeframes may change there will still be national and regional policy direction requiring improvement in some catchments.

For now, farmers need to keep working on and following national regulations brought in with the NES for freshwater, for example, Intensive Winter Grazing, the cap on nitrogen use and reporting, and stock exclusion requirement. The regional plans and rules also apply as before.