Agenda of Strategy and Policy Committee

Item No.	Subject of each matter to be considered	Reason for passing this resolution in relation to each matter	Grounds under Section 48(1) for the passing of this resolution	When the item can be released into the public
9.1	Public Excluded Strategy and Policy Committee Minutes - 16 February 2021	As noted in the relevant Minutes.	As noted in the relevant Minutes.	To remain in public excluded.

Strategy and Policy Committee Minutes

16 February 2021

Strategy and Policy Committee

Open Minutes

Commencing: Tuesday 16 February 2021, 9.30 am

Venue: Council Chambers, Ground Floor, Regional House, 1 Elizabeth Street, Tauranga (Zoom recording)

Chairperson: Cr Paula Thompson

Deputy Chairperson: Cr Stuart Crosby

Members: Chairman Doug Leeder

Cr Jane Nees

Cr Matemoana McDonald

Cr Toi Kai Rākau Iti (via Zoom)

Cr Te Taru White

Cr Kevin Winters (via Zoom)

Cr Lyall Thurston

Cr David Love

Cr Norm Bruning

Cr Bill Clark

Cr Stacey Rose

Cr Andrew von Dadelszen

In Attendance: Fiona McTavish – Chief Executive; Namouta Poutasi – General Manager, Strategy and Policy; Chris Ingle – General Manager, Integrated Catchments; Mat Taylor – General Manager, Corporate; Julie Bevan – Policy & Planning Manager; Ruth Feist – Team Leader Urban; Karen Parcell – Team Leader Kaiwhakatinana; Mark Hamilton – Senior Policy Analyst; Elsa Weir – Planner; Jessica Durham – Committee Advisor

1. Chair’s Announcement

The Chair announced the meeting would be recorded and available on YouTube, in accordance with Council’s Live Streaming and Recording of Meetings Protocols and as noted within the Agenda.

2. Declaration of Conflicts of Interest

Cr Crosby declared an interest in Agenda Item 8, Change to the Rotorua Airshed Boundary, and would abstain from discussion and voting on the Item.

3. Minutes

Minutes to be Confirmed

3.1

Strategy and Policy Committee Minutes - 3 November 2020

Resolved

That the Strategy and Policy Committee:

1 Confirms the Strategy and Policy Committee Minutes - 3 November 2020 as a true and correct record.

Rose/von Dadelszen

CARRIED

4. Reports

Strategy

4.1

Operating Environment Report

Presentation: Operating Environment and RMA Reform Process: Objective ID A3738530

Presentation: Council's role in Urban Growth and Development: Objective ID A3738533

Presented by: Julie Bevan – Policy & Planning Manager and Ruth Feist – Team Leader Urban

Key Points – Staff:

· Council's role in urban growth and development.

· Upcoming work programme.

· RMA reform process.

Key Points - Members:

· Local Government New Zealand (LGNZ) had considered management of the workload that would feed out of Resource Management Act 1991 (RMA) reforms.

· Freshwater work was expected to continue as planned.

· Territorial Local Authorities (TLAs) have various work occurring on managing natural hazard risks and climate change adaptation.

· The One-Region; One-Plan approach did not have a clear outcome yet.

· Preserving local democracy and the public’s ability to influence and input on decision making, particularly regarding the regional natural hazards plan was key.

· Stormwater work within the Three Waters would be complex and challenging.

· Management of the Three Waters had changed to an opt-out, rather than opt-in scheme, with models for management being discussed. A local government model, prioritising efficient and effective delivery rather than profit was likely.

· RMA reforms would increase workloads in local government.

· Public, tangata whenua, and stakeholders needed to be engaged and consulted meaningfully and thoroughly on changes.

· Regional Sector Group (RSG) was considering RMA reforms and whether to react to, or attempt to pre-empt changes.

· Recruiting and retaining qualified people was a challenge.

· Otago Regional Council would be the first to implement Regional Policy Statement (RPS) changes and RSG would be looking at lessons to learn from their experience.

· Decisions must be based on expertise, sound science and public engagement.

· Councils around the country were concerned with the amount of change and consequential resourcing requirements for implementation within the required timeframes.

Items for Staff Follow Up:

· Detail matters dealing with climate change within the work programme.

· Overarching timeline of the work programme as a whole.

· Seek to integrate with and input into SmartGrowth Leadership Group agendas.

· Provide the presentation, Council's role in Urban Growth and Development: Objective ID A3738533 to Tauranga City Council Commission.

Resolved

That the Strategy and Policy Committee:

1 Receives the report, Operating Environment Report.

Thompson/Crosby

CARRIED

10:30am - The meeting adjourned.

10:45am - The meeting reconvened.

Regulatory Policy

4.2

Process to change the Regional Policy Statement to implement the National Policy Statement on Urban Development 2020

Presentation: National Policy Statement - Urban Development Responsive Planning: Objective ID A3738531

Presented by: Ruth Feist – Team Leader Urban

Key Points:

· Preliminary discussion whether a Schedule 1 Process, or Streamlined Planning Process to be used for the formal part of the plan change.

· Scoping was underway on the RPS change for urban development in relation to the requirements of the National Policy Statement (NPS) – Urban Development.

· Staff recommended early consultation and the Streamlined Planning Process, which they expected the Minister would approve given resourcing requirements, and that it implements the NPS – Urban Development.

Key Points - Members:

· Engagement should address why the RPS change was necessary.

· Consultation must include iwi partners, the community, stakeholders, and landowners, as well as property developers.

Items for Staff Follow Up:

· Report to the Committee once further scoping, consultation, and refinement of plans and processes were available before any planning process decisions.

Resolved

That the Strategy and Policy Committee:

1 Receives the report, Process to change the Regional Policy Statement to implement the National Policy Statement on Urban Development 2020.

2 Agrees in principle to Council using a combination of both Section 55 of the Resource Management Act 1991 and the Streamlined Planning process to implement the responsive planning requirements of the National Policy Statement on Urban Development 2020.

3 Notes subject to endorsing the above process for RPS changes staff will develop a detailed Project Plan, Communications and Engagement Plan, draft policy framework and a proposal to use the Streamlined Planning Process to be reported the Strategy and Policy Committee for consideration in the first quarter of 2021.

4 Notes use of the Streamlined Planning Process must be approved by the Minister for the Environment.

Thompson/von Dadelszen

CARRIED

4.3

Mount Maunganui Airshed – Direction and Scope

Presented by: Julie Bevan – Policy & Planning Manager, Karen Parcell – Team Leader Kaiwhakatinana and Mark Hamilton – Senior Policy Analyst

Key Points:

· Mount Maunganui Airshed was introduced to improve air quality around the industrial area and Port of Tauranga, and to help address community concerns.

· Staff proposed a plan change to the Regional Natural Resources Plan to further improve air quality, and sought Committee direction on the scope of the plan change.

· The plan change would be independent of the Plan Change 13 appeal and Plan Change 13 rules.

· Proposed scope would address sources of particulate matter from log handling and fugitive emissions, odour from industrial sources, and include specific policies and permitted, controlled, and restricted discretionary activity rules.

Key Points - Members:

· National air quality standards were under review and amendments were expected; the proposed plan change would elaborate on any changes to these standards and further specify limits and mitigation on certain contaminants, filling any gaps.

Items for Staff Follow Up:

· Clarify Council’s ability to review consents prior to their expiry, and whether such review provision would be included within the plan or within the consent.

Resolved

That the Strategy and Policy Committee:

1 Receives the report, Mount Maunganui Airshed – Direction and Scope; and

2 Provides guidance on the matters recommended for inclusion in the draft provisions to be later approved for community engagement.

Thompson/Rose

CARRIED

11:29am - The meeting adjourned.

11:31am - The meeting reconvened.

4.4

Approval of Plan Change 17 (Awatarariki Fanhead)

Presented by: Julie Bevan – Policy & Planning Manager

Key Points:

· Due process was followed throughout the plan change and approval was the final step.

· Acknowledged the long and difficult process residents had endured.

· Must ensure future developments avoid similar issues.

Resolved

That the Strategy and Policy Committee:

1 Receives the report, Approval of Plan Change 17 (Awatarariki Fanhead).

2 Approves all provisions of Proposed Plan Change 17 (Awatarariki Fanhead) to the Regional Natural Resources Plan and any consequential changes to the Regional Natural Resources Plan, to be effected by affixing the seal of the Regional Council.

3 Delegates to the Group Manager Strategy and Science to make minor corrections to Proposed Plan Change 17 (Awatarariki Fanhead) to the Regional Natural Resources Plan and any consequential changes if required.

4 Delegates to the Chief Executive the authority to set the date to make Proposed Plan Change 17 (Awatarariki Fanhead) to the Regional Natural Resources Plan operative.

Clark/White

CARRIED

4.5

Change to the Rotorua Airshed Boundary

Presentation: Changes to Rotorua Airshed Boundary: Objective ID A3738532

Presented by: Julie Bevan – Policy & Planning Manager and Elsa Weir – Planner

Cr Crosby declared an interest in this item and abstained from discussion and voting.

Key Points:

· Provided background to the air quality issues in Rotorua and the history of the removal of wood burners.

· Outlined options proposed within the report.

· Moving the boundary would continue to improve public health and compliance with the National Environmental Standards for Air Quality (NESAQ).

· Current incentive schemes would conclude in April 2021.

· Airshed-specific rules only applied to domestic burners - region-wide rules and responsibilities for other activities, including industrial, would continue to apply in conjunction with the boundary extension.

Key Points - Members:

· Concerned with the cumulative effects of pellet burners if usage increased, staff advised pellet burners offered a clean and controlled resource.

Items for Staff Follow Up:

· Engage with Rotorua Lakes Council prior to 25 April 2021 regarding changes to Rotorua Airshed Boundary.

Resolved

That the Strategy and Policy Committee:

1 Receives the report, Change to the Rotorua Airshed Boundary to extend the Rotorua Airshed boundary.

2 Directs that staff seek clarification from the Ministry for the Environment as to the level of consultation required prior to beginning the formal re-gazettal process, to ensure the application for re-gazettal is approved by the Minister.

3 Subject to timely engagement with Rotorua Lakes Council and Ngāti Whakaue, and subject to further reassurance and confirmation from scientists on the science behind the exclusion of the area surrounding Rotorua Airport, approves extending the Airshed boundary now based on a combination of topography, and growth and development areas as defined by Rotorua Lakes Council.

4 Approves application to the Minister for the Environment to re-gazette the Rotorua Airshed once consultation with affected parties is completed.

Thurston/Winters

CARRIED

5. Public Excluded Section

Resolved

Resolution to exclude the public

1 Excludes the public from the following parts of the proceedings of this meeting as set out below:

The general subject of each matter to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds under section 48(1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:

Item No.	Subject of each matter to be considered	Reason for passing this resolution in relation to each matter	Grounds under Section 48(1) for the passing of this resolution	When the item can be released into the public
5.1	Public Excluded Strategy and Policy Committee Minutes - 3 November 2020	As noted in the relevant Minutes.	As noted in the relevant Minutes.	To remain in public excluded.
8.1	Operating Environment – Verbal Update on Regional Sector Group	Withholding the information is necessary to enable any local authority holding the information to carry out, without prejudice or disadvantage, commercial activities.	Section 48(1)(a)(i) Section 7 (2)(h)	To remain in public excluded.

Thompson/Rose

CARRIED

12:04pm – the meeting closed.

Confirmed

Cr Paula Thompson

Chairperson, Strategy and Policy Committee



Report To:	Strategy and Policy Committee
Meeting Date:	4 May 2021
Report Writer:	Julie Bevan, Policy & Planning Manager and Namouta Poutasi, General Manager, Strategy & Science
Report Authoriser:	Namouta Poutasi
Purpose:	To provide an update on the operating environment and to provide a signal to the Committee of the upcoming workstream.

Operating Environment

Executive Summary

This report covers operating environment areas that influence and inform Council’s policy direction and work. This report provides information on the operating environment and upcoming reforms that will potentially have considerable impact on our local government form and functions.

It covers:

· Government reforms and change proposals

· Strategy and Policy Committee Indicative Work Programme 2021

· Geothermal Workstream Update

Recommendations

That the Strategy and Policy Committee:

1 Receives the report, Operating Environment.

1. Introduction

This report provides a briefing on the range of Government proposals that might impact on the future scale and scope of our work. Also included in the report is a summary of the Strategy and Policy Committee Tentative Work Programme 2021 which sets out the process stages for proposed changes to Regional Policy Statement (RPS) and Regional Natural Resources Plan (RNRP) changes to ensure that Councillors are aware of the upcoming reporting and decision making programme. Also an update is provided on the geothermal workstream.

1.1 Alignment with Strategic Framework

A Healthy Environment	We develop and implement regional plans and policy to protect our natural environment.
Freshwater for Life	We collaborate with others to maintain and improve our water resource for future generations. We deliver solutions to local problems to improve water quality and manage quantity. We listen to our communities and consider their values and priorities in our regional plans. Good decision making is supported through improving knowledge of our water resources. We recognise and provide for Te Mana o Te Wai (intrinsic value of water). We listen to our communities and consider their values and priorities in our regional plans.
Safe and Resilient Communities	We work with communities and others to consider long term views of natural hazard risks through our regional plans and policies.
A Vibrant Region	We contribute to delivering integrated planning and growth management strategies especially for sustainable urban management.
The Way We Work	We use robust information, science and technology. We honour our obligations to Māori.

The delivery of RPS and RNRP Changes are an integral part of the Long Term Plan’s Regional Planning activity which sets Council’s strategic planning and policy direction. The RPS identifies how the integrated management of the region’s natural and physical resources is to be managed by establishing policy direction for regional and district plans. The RNRP is focussed on promoting the sustainable management of land, water and geothermal resources, achieving integrated management and improving environmental quality in the Bay of Plenty Region.

2. Operating Environment

2.1 Government Reforms and Change Proposals

2.1.1 Background

Government is considering a number of reforms and proposals that may impact on the way in which government delivers services across Aotearoa, and the way in which local government may deliver functions across cities, districts, and regions.

The Government proposals (including those announced and those that are in the pipeline) will impact the way we operate. The Government is leaning towards aggregation, independent governance, and increased national consistency as solutions. This is especially relevant in some of the larger changes – the proposals within the reform of Three Waters, health system, and resource management most include aggregation across a region or regions, and shifts towards forms of more independent governance.

2.1.2 Future of Local Government

The future of Local Government - The Minister of Local Government and Department of Internal Affairs have been progressing work on a process to reimagine the role of local of government. On 23 April 2021 Cabinet released its Terms of Reference for this work.

In summary, the Minister of Local Government is establishing a Ministerial review into the Future of Local Government. The Review will consider, report and make recommendations on this matter to the Minister. The key purpose is to identify how our system of local democracy and governance needs to evolve over the next 30 years, to improve the wellbeing of New Zealand communities and the environment, and actively embody the Treaty partnership. The scope includes a future looking view of: roles, functions and partnerships; representation and governance; and funding and financing.

The review will be undertaken by a five person panel (including chair) which will be appointed by the Minister.

The review commences on 1 May 2021. Other key dates include:

• 30 September 2021: an interim report presented to the Minister signalling the probable direction of the review and key next steps;

• 30 September 2022: Draft report and recommendations to be issued for public consultation;

• 30 April 2023: Review presents final report to the Minister and Local Government New Zealand.

2.1.3 Three Waters Reform

In July 2020, the Government launched the Three Waters Reform Programme a three year programme to address the challenges facing council owned and operated three waters services. The Government’s starting intention is to reform local government’s three waters services into a small number of multi-regional entities (possibly between two and eight across New Zealand) with a bottom line of public ownership.

The reform seeks an aggregated service delivery of drinking water and wastewater services, with stormwater potentially following, on a voluntary, opt-out basis. Independent, competency-based governance has been identified as critical. The new water services entities will have to meet existing drinking water standards and the new regulatory environment proposed in the Water Services Bill – Taumata Arowai (drinking water quality regulator). The reform presents a significant opportunity to address and protect Treaty rights and interests through a high-level principle of partnership with iwi/Māori to be reflected in the new service delivery system.

Regional Councils will continue regulation of wastewater and stormwater networks, including effects under the Resource Management Act, develop Regional Plans and manage consents.

In April-May 2021 Cabinet will make decisions on the design, numbers and boundaries of the new water services entities.

2.1.4 Resource Management Reform

The Government plans to repeal the Resource Management Act 1991(RMA) and replace it with three new pieces of legislation. The three proposed new pieces of legislation to replace the RMA are as follows:

Natural and Built Environments Act (NBA)

This is the core piece of legislation to replace the RMA. The purpose of this Act is to enhance the quality of the environment to support the wellbeing of present and future generations.

This would be achieved by:

· promoting positive outcomes for both the natural and built environments

· ensuring that use, development and protection of resources only occur within prescribed environmental limits ensuring adverse effects of activities on the environment are avoided, remedied or mitigated.

Under the Act, central government’s proposed new National Planning Framework will provide a set of mandatory national policies and standards on specified aspects of the new system. These will include environmental natural limits, outcomes and targets.

The proposed Natural and Built Environment Act is the primary piece of legislation in the reform package and will be progressed initially through an exposure draft. An exposure draft refers to legislation that has not yet formally been introduced into parliament.

Strategic Planning Act (SPA)

The purpose of this Act is to provide a strategic and long-term approach to how we plan for using land and the coastal marine area. Long-term spatial strategies in each region would be developed to identify areas that:

· will be suitable for development

· need to be protected or improved

· will need new infrastructure and other social needs

· are vulnerable to climate change effects and natural hazards such as earthquakes.

The regional strategies would enable more efficient land and development markets to improve housing supply, affordability and choice, and climate change mitigation and adaptation.

Climate Change Adaptation Act (CAA)

This Act would support New Zealand’s response to the effects of climate change. It would address the complex legal and technical issues associated with managed retreat (where it is required for climate change adaptation or to reduce risks from natural hazards) and funding and financing adaptation.

The way forward for reform

The exposure draft of the NBA will include the most important sections of the Bill such as the overall purpose of the Bill and what it aims to achieve, the Treaty clause, the National Planning Framework and region-wide plans. The Ministry for the Environment website indicates that Cabinet approves final exposure draft of the NBA and consultation material and presents it to House in May 2021. From May to September 2021 the exposure draft will be referred to special select committee inquiry and from June to December Cabinet will consider remaining policy decisions.

In December 2021 the NBA will be introduced into the House and then follows standard legislative process.

The SPA will be developed in parallel to the NBA and will be closely aligned to the development of the CAA.

A standard legislative and select committee process will follow with the aim of the NBA being passed into law in by the end of 2022 and the SPA and CAA in 2023.

2.1.5 Health System Reforms

On 21 April the Minister of Health announced that the 20 district health boards which run services for individual areas around the country will be replaced by one new body, a Crown entity Health NZ, which will instead plan services for the whole population. Health NZ will have four regional divisions but also district offices.

There will also be a new Māori Health Authority, sitting alongside that, to both set policies for Māori health and to decide and fund those who will deliver services.

New legislation for Health NZ and the Māori Health Authority will be worked on and the Health Minister expects that legislation to be passed by April 2022 and the new system to come into effect in July 2022.

2.1.6 Other Possible Reforms/Changes

Emergency Management reforms – as a result of a Technical Advisory Group report a process of emergency management reforms was commenced in August 2018.

2.2 Strategy and Policy Committee Tentative Work Programme 2021

The tentative work programme for the Strategy and Policy Committee Meetings and Workshops for 2021 are set out in Attachment 1.

Staff have reviewed the work programme focusing on what mandatory requirements and what can be slowed or stopped, in recognition of the upcoming RMA reform timing.

The work programme has been updated with to reflect work that:

· must be done to give effect to the Resource Management Act s79.

· involves recently gazetted NPS’s and NES’s requirements. More specifically Freshwater (Implementing NPSFM, also refer to the agenda item on the inclusion of OSET plan change) and NPS-UD implementation.

· involves a commitment to partnerships with Māori implementing Treaty Settlement Act legislation, more specifically RPS Change 5 Kaituna River.

· where we have had clear direction from the Minister for the Environment such as the Mount Airshed.

Further opportunities for review include:

· National Planning Standards (refer to agenda item seeking alignment with Freshwater timing in slowing down and streamlining)

· Rotorua Geothermal (guidance to be sought on next steps at the 15 June Strategy and Policy workshop, also see update in Section 2.3 below)

The work programme includes two pages the first covers the 2021 calendar year and the second page indicates the possible timeframes for these projects through 2022 to 2024. A number of possible national direction instruments are included in the work programme based on the status of national direction under development noted in the Ministry for the Environment webpage however the final gazettal timelines are not currently confirmed.

The work programme will be updated once further national direction is received and reviewed in full annually. It is anticipated that further review will occur once the new acts are brought into law.

2.3 Geothermal Update

Staff provided an update on the regional geothermal plan change process in December 2020, with a focus on the Rotorua System. Staff outlined the science inputs and outcomes of engagement to date and Councillors gave direction on several policy issues, including allocation principles and Mātauranga Māori. Staff have progressed drafting of the Rotorua System Management Plan and we have strengthened the team with the addition of a geothermal scientist to provide necessary technical support for the next two years. Considerable momentum has been achieved on modelling, monitoring provisions, efficiency measures, and actual use monitoring to inform the plan change. For ‘rest of region’ plan change, a section 35 plan effectiveness assessment has been completed, and a Science Snap Shot report and Issues and Options document is nearing completion in preparation for the next phase in engagement.

A comprehensive update of the work programme, legislative requirements and any implications of reviewing the timeframe for delivery of the plan change will be presented at the Strategy and policy Committee Workshop in June.

3. Considerations

3.1 Risks and Mitigations

This is an information only report and matters of risk in relation to the tentative programme package of RPS and RNRP changes and possible updated National Policy Statements and National Environmental Standards will be outlined in the separate reports when reported to the Committee for decision making purposes.

3.2 Climate Change

The matters addressed in this report are of a procedural nature. Climate Change is a key matter that will be considered in the implementation policy development and analysis process of the proposed RPS Changes and RNRP Plan Changes and will be reported to the Committee during the process.

3.3 Implications for Māori

The RMA processes, RPS Changes and Plan Changes indicated in this report all involve consideration of implications for Māori, engagement and consideration of iwi planning documents.

3.4 Community Engagement

The RMA processes, RPS Changes and Plan Changes discussed in this report all involve consideration of community engagement undertaken through those processes.

3.5 Financial Implications

The matters addressed in this report are of a procedural nature and information only. There are no material unbudgeted financial implications and this fits within the allocated budget

4. Next Steps

Further updates on operating environment areas that influence and inform Council’s policy direction and work will be provided at future Strategy and Policy Committee Meetings.

The Strategy and Policy Committee Tentative Workstream Programme will be updated and reported to the Strategy and Policy Committee at each Committee Meeting and Workshop through 2021.

Attachments

Attachment 1 - Strategy and Policy Committee Tentative Work Programme 2021 ⇩



Report To:	Strategy and Policy Committee
Meeting Date:	4 May 2021
Report Writer:	Jane Palmer, Senior Planner Climate Change
Report Authoriser:	Chris Ingle, General Manager, Integrated Catchments
Purpose:	Provide a summary of the latest climate change developments at a national level

Climate Change Overview: Implications of Climate Change Commission's Advice and Legislative Changes

Executive Summary

The Climate Change Commission released its first package of draft advice to Central Government for consultation in February 2021. In response to this advice, the Government will set Aotearoa’s first emissions budgets by the end of 2021, along with an Emissions Reduction Plan which will outline policies and actions to achieve these budgets. In parallel with this, the RMA reforms will introduce three new pieces of legislation, all of which will have implications for climate change, particularly the Climate Change Adaptation Act.

This report provides an overview of the potential implications of the Commission’s draft advice, along with an emerging picture of how the various pieces of legislation that relate to climate change fit together.

Recommendations

That the Strategy and Policy Committee:

1 Receives the report, Climate Change Overview: Implications of Climate Change Commission's Advice and Legislative Changes.

1. Introduction

The Climate Change Response (Zero Carbon) Amendment Act 2019 (the Act) came into force in November 2019 and provides Aotearoa New Zealand with a framework towards reducing emissions by 2050 and achieving a climate resilient future. The Act established the Climate Change Commission, tasked with providing independent expert advice to the Government, as well as monitoring and reviewing the government’s progress towards its emission reduction and adaptation goals.

The Climate Change Commission released its first package of draft advice to Central Government for consultation in February 2021 which will inform the first three emissions budgets (2022-2025; 2026-2030; 2031-2035) which will be set by Government at the end of 2021. Alongside this, the RMA reforms will introduce three new pieces of legislation in 2022, all of which will have significant implications for how New Zealand responds to climate change, particularly the Climate Change Adaptation Act. There are also climate change aspects within other new policy areas relevant to Council, such as transport, urban form and biodiversity. This creates a complex and interlinked emerging legislative environment.

1.1 Legislative Framework

New Zealand’s response to climate change at a national level is framed by Central Government’s Climate Change Response (Zero Carbon) Amendment Act 2019, which covers both mitigation (reducing greenhouse gas emissions) and adaptation (building resilience and managing the impacts of climate change). Under this Act, the Government will establish a system of emissions budgets and reductions plans and a series of national climate change risk assessments and national adaptation plans.

The Resource Management Amendment Act (RMA) came into force on 30 June 2020, with the climate change provisions applying from 31 December 2021. These will require councils to have regard to emissions reduction plans and national adaptation plans when making and amending regional policy statements, regional plans and district plans. The provisions also enable councils to consider greenhouse gas emissions when consenting discharges to air under the RMA. The Resource Management Act reforms, announced in February, will repeal the current Resource Management Act 1991 and replace it with three new pieces of legislation, all of which will have implications for climate change, particularly the Climate Change Adaptation Act.

1.2 Alignment with Strategic Framework

A Healthy Environment	We develop and implement regional plans and policy to protect our natural environment.
Freshwater for Life	We collaborate with others to maintain and improve our water resource for future generations.
Safe and Resilient Communities	We provide systems and information to increase understanding of natural hazard risks and climate change impacts.
A Vibrant Region	We work with and connect the right people to create a prosperous region and economy.
The Way We Work	We look to partnerships for best outcomes.

Climate Change is identified as one of the Council’s strategic challenges. The context for Council considering climate change continues to change, with the Commission’s draft advice, forthcoming emissions budgets and RMA reforms all impacting on the legislative landscape in which Council operates, which will be felt across all the Community Outcomes.

1.2.1 Community Well-beings Assessment

Dominant Well-Beings Affected

þ Environmental

High - Positive

þ Cultural

Medium - Positive

þ Social

Medium - Positive

þ Economic

Medium - Positive

Climate change has wide ranging effects on all aspects of our society. The Climate Change Commission’s advice and the forthcoming RMA reforms will similarly have some effects. Whilst the overall impacts on the well-beings are expected to be positive due to these reforms, the substantial shifts needed to transition to a low carbon and climate resilient society will involve trade-offs that may negatively impact the well-beings of particular sectors at certain points in time. For example, as the Commission highlights in their draft advice, there will be some areas, such as the fossil fuel industry, where job losses will occur. However, these may be counterbalanced by increased job opportunities in other areas such as the renewable energy sector.

2. Climate Change Commission’s draft advice

2.1 Background

The Climate Change Commission released its first package of draft advice to Central Government for consultation in February 2021. Their advice is focused on the steps Aotearoa must take to reduce greenhouse gas emissions and address climate change, which includes suggestions for high level policy direction. The Government will set the first three emissions budgets (covering 2022-2035) by the end of 2021 in response to the Commission’s advice. The Government is working on the first Emissions Reduction Plan which will describe how Aotearoa is going to meet the emissions budgets and make progress towards meeting the zero carbon 2050 target.

Bay of Plenty Regional Council prepared a submission on the Commission’s draft advice and also co-ordinated a joint Bay of Plenty local authority submission which presented a high level position for the region. As part of the submissions process, staff have considered the possible implications of the draft advice (and likely emissions budgets) for the Regional Council.

Staff will revisit specific implications at the end of the year, once there is certainty around the final emissions budgets set by Government and associated policies that Government decides on.

2.2 Implications of the draft advice for Regional Council

Regional Council operations impacted by the draft advice are transport and urban form. Region-wide impacts may also fall on the agriculture and forestry sectors. The following sections identify potential implications for Council, noting that at this early stage we do not yet know the final form of the Commission’s advice and how it will translate into Government policy.

2.2.1 Transport and urban form

Transport is a key area of focus in the Commission’s advice. There is no specific target set for the sector, but their modelling indicates around 40% of emissions reductions would come from transport. The Commission’s view is that these reductions would be delivered through:

1. Reducing travel demand through more compact urban form coupled with quality infrastructure, and an increase in remote working.

2. Encouraging mode shift to increase walking, cycling and public transport via the development of an integrated national transport network and switching some freight movements from road to rail and coastal shipping.

3. Reduction in vehicle CO₂ levels via accelerated uptake of electric light vehicles and increased use of low carbon fuels for trains, ships, heavy trucks and planes.

The Commission does not clearly compare the relative emissions impact of their recommendations, so it is not possible to assess the level of reductions delivered under these three areas.

2.2.2 Potential implications for the Regional Council

The Regional Council has a direct role in the provision of public transport for the region, although this represents only a small proportion of our region’s transport greenhouse gas emissions. The major shifts need to occur in the transport planning and urban planning sectors, through key planning instruments such as the Regional Land Transport Plan, the Western Bay of Plenty Transport System Plan and the proposed regional spatial strategies signalled through the RMA reforms. These plans and strategies need to consider the Commission’s draft advice, which indicates the direction Central Government will be taking over coming months.

Commission recommendation	Potential implications for the Regional Council
Reducing travel demand	This is a key area in which BOPRC has influence and has a strong connection with mode shift, with interdependencies between transport and urban planning. This will require a clear policy timed to coincide with confirmed Government direction. Possible areas of influence for BOPRC: · Prioritisation of Regional Land Transport Plan (RLTP) proposed projects and targets to support reduced travel demand (next RLTP will be adopted in 2024). · Ensure the Western Bay of Plenty Transport System Plan (TSP) delivers effective appropriate projects to reduce travel demand, especially in new growth areas. · Improve understanding of how we can incentivise behaviour change and collaborate across our region (through the Travel Demand Management Behaviour Change Programme). · Use planning tools to encourage higher density (and energy-efficient) housing development in mixed use centres and along key public transport corridors. Internally: · Regional Council will continue to support remote working for staff and to implement the Staff Travel Plan.
Encouraging mode shift	This is a key area in which BOPRC has influence and is where transport and urban planning can be considered as a whole. A coherent policy approach across the sectors is needed, for instance aligning the Land Transport Management Act, NPS on Urban Development and proposed Regional Spatial Strategies signalled in the coming RMA reform process. At an operational level, the Travel Demand Management Behaviour Change Programme will promote an integrated series of interventions to support mode shift to walking, cycling and public transport. Possible areas of influence for BOPRC: · Provision of a low emissions public transport fleet (in conjunction with service/infrastructure improvement). · Continue to support reduced bus fares for targeted groups (e.g. school children, mobility impaired). · Regional Land Transport Plan proposed projects and targets to prioritise supporting increased mode shift (next RLTP will be adopted in 2024). · Ensure the Western Bay of Plenty Transport System Plan (TSP) delivers effective projects to support mode shift. · Undertake a comprehensive and robust assessment of the contribution that both transport and non-transport interventions can make to meet emissions budgets. · Make travel plans a planning requirement for new developments. · Lobby for legislative changes to enable the consideration of road pricing tools to manage travel demand, influence mode shift and encourage ride sharing. · Support rail electrification options and introduction of new rail services. Internally: · BOPRC will continue to support staff using alternative modes of travel, both for work travel and commuting options through the Staff Travel Plan.
Reduction in vehicle CO₂ levels	Note that the Commission’s advice is primarily focused on electric light vehicles, with medium and heavy trucks assumed to be slower to electrify. A shift to electric passenger cars will be primarily driven by central government policy. BOPRC could play a supporting role through: · Facilitating an increase in electric vehicle charging infrastructure. · Support local initiatives around low carbon fuels e.g. green hydrogen development in the Western Bay for use in heavy transport (trucks) and public transport (buses). · Advocating for increased efficiency of New Zealand’s car fleet. Internally: · BOPRC will continue to decarbonise its own fleet.

2.2.3 Agriculture and forestry

Agriculture and forestry are two significant sectors covered in the Commission’s advice. Emissions reductions in agriculture are focused on biological methane, whereas the forestry sector is focused on carbon removal (rather than emissions reductions per se).

The Commission’s modelling indicates that changing on-farm management practices will be sufficient to achieve the 2030 biogenic methane target (10 per cent reduction below 2017 levels). The Commission’s view is that the biological methane reductions would be delivered through:

· Stock reductions: a 15% reduction (from 2018 levels) in the numbers of dairy cows, beef cows and sheep by 2030, while maintaining current production levels.

· Selective breeding: progressive adoption of selective breeding for lower emission sheep, reducing total biogenic methane emissions from sheep and beef farming by 1.5% by 2030 and 3% by 2035.

· Land use change from dairy farming to horticulture at around 2000 hectares per year from 2025 onward.

The farm level pricing emissions system being developed through He Waka Eke Noa Partnership is expected to help incentivise on-farm efficiency improvements and technology uptake.

The Commission notes that diversifying land uses and switching land that is currently in livestock agriculture to uses like horticulture or arable cropping could reduce emissions. However, the Commission’s view is that transforming to alternative farming systems is unlikely to play a large role in the first few emissions budgets as the land area converted is likely to be a small percentage of that currently in pastoral farming.

Within the forestry sector, the Commission’s modelling indicates on overall increase in carbon sequestration from around 9.5 MtCO₂e in 2018 (100% from plantation forest) to around 14 MtCO₂e in 2035 (around 14% of which is from native forest). This would be delivered through:

· Exotic plantation forests: an average of 25,000 hectares planted per year up to 2030, resulting in around 380,000 hectares of new exotic forestry established by 2035. Planting would then reduce down to no new exotic afforestation for carbon removals by 2050.

· Native forests: at least 16,000 hectares planted per year by 2025, ramping up to 25,000 hectares per year from 2030. In total, close to 300,000 hectares of new native forests would be established by 2035, with no further native deforestation occurring after 2025. The Commission suggests native afforestation could occur in areas of less productive land where exotic afforestation is inappropriate.

These figures are provided at the national level, with no regional breakdown as to where the planting might occur. The Commission envisages the main mechanism to drive this scale of afforestation would be the emissions price in the Emissions Trading Scheme. Other financial incentives, such as the One Billion Trees programme, land and export prices, would also play their part.

2.2.4 Potential implications for the Regional Council

Within the agriculture sector, Regional Council has a less direct role in relation to emissions reductions, with the opportunities to influence primarily through targeted advice, and in some cases financial incentives, to landowners. In the forestry sector, Regional Council has direct and indirect opportunities to support increased afforestation, depending on whether this occurs on Council owned land or private land.

Through the implementation of the Essential Freshwater package (NPS, NES, stock exclusion and farm plan regulations), Regional Council could potentially have significant influence on emissions from, and sequestration by, these sectors. Measures giving effect to the package will most likely require improvements in farming practice and targeted land use change, consistent with reductions in agricultural emissions and increased sequestration through forestry. When assessing freshwater management options, Regional Council should consider co-benefits in terms of greenhouse gas emissions.

Commission recommendation	Potential implications for the Regional Council
Stock reductions	This will be primarily driven by decisions at the farm level in relation to pricing and legislation. BOPRC could play a supporting role through: · Advice to landowners and supporting the development of Farm Environment Plans. There are other areas where climate change is not the primary focus, e.g. water quality, where BOPRC has influence such as: · The requirement for nutrient management plans under Plan Change 10 also influences stock numbers and has an emissions reduction effect. Overall water quality objectives where bacterial, sediment and nutrient reductions will be required to give effect to the NPS-FM.
Selective breeding	Primarily driven by decisions at the farm level. BOPRC could play a supporting role through: · Advice to landowners and supporting the development of Farm Environment Plans.
Land use change	Diversifying land use includes switching land that is currently in livestock agriculture to uses like horticulture or arable cropping, or to forestry. Areas of influence for BOPRC include: · Planning rules that enable, encourage or require land use change. · Monitoring and enforcement of compliance with such rules and/or resource consent conditions. · Advocacy on current Resource Management Act reforms to facilitate desirable land use change. · Addressing barriers to desirable land use change (e.g. water allocation for irrigation). BOPRC could play a supporting role through: · Advice to landowners (such as science information).
Exotic plantation forest	Primarily driven by the forestry industry and individual landowners. BOPRC could play a supporting role through: · Supporting local voluntary carbon offsetting programmes. · Facilitating land use change, where appropriate. · Advice and financial incentives to landowners.
Native afforestation	This would be a stronger focus for BOPRC. Possible areas of influence for BOPRC include: · Planting of natives on Council owned land. · Purchase of additional land specifically for native afforestation or wetland restoration/creation. · Participating in funding programmes from Central Government as they become available, e.g. One Billion Trees, Jobs for Nature, and Fresh Water Improvement Funds. BOPRC could play a supporting role through: · Direct grants to support native afforestation on private land. · Advice to land owners on suitable plantings and land use. · Detailed mapping of the region to identify suitable areas for native afforestation. · Supporting local voluntary carbon offsetting programmes.

2.2.5 Other areas of interest

Potential implications for Regional Council in other areas of the Commission’s advice include:

o Central and local government partnership: the Commission recommends aligning legislation and policy to enable local government to make effective decisions for climate change mitigation and adaptation, along with implementing funding and financing mechanisms. This is essential to effective climate change action going forward and is an area that Regional Council will continue to lobby for and be involved with.

o Geothermal energy: the Commission’s draft advice does not envisage a strong role for geothermal. However, staff see a greater role for geothermal in the transition to renewable low carbon energy, with the Bay of Plenty having the potential to playing a strong part through the geothermal fields in Kawerau, Rotomā, Tikitere and Taheke. This would have positive economic outcomes for our region, alongside the decarbonisation benefits.

o Investments: One of the Commission’s recommendations is the extension of the proposed mandatory financial disclosures regime to cover public entities at the local level. These disclosures are likely to include information about an organisation’s exposure to transition risks such as ownership of emissions intensive assets, physical risks from climate impacts, as well as information about how the risks will be managed.

o Corporate emissions reductions: the primary purpose of the Commission’s draft advice is how to achieve emissions reductions at the national level. This will require action across all sectors, communities and individuals, including Council as an organisation. Council’s emissions are being monitored and reported through the Toitu Certification Programme.

3. Legislative landscape

3.1 Background

Climate Change is an issue which has implications and linkages across a wide and diverse range of sectors and policies. Until recently, Central Government direction in this area has been lacking. The Climate Change Response Act originally came into force in 2002, creating a legal framework to enable New Zealand to meet its international obligations, but it did not include effective climate change policies.

The introduction of the Climate Change Response (Zero Carbon) Amendment Act in 2019 included the introduction of the national emissions reductions targets, the establishment of the Climate Change Commission and the requirement for Government to develop and implement policies for climate change adaptation and mitigation.

Policy direction in this space is still evolving. The Climate Change Commission’s draft advice on emissions budgets is a critical step towards establishing a suite of policies that are focused on delivering the required emissions reductions. In parallel, the RMA reforms should provide greater clarity around the role of local government in climate change adaptation.

3.1.1 Central Government agency responsibilities

The lead Government agency for climate change is the Ministry for the Environment. This Ministry provides advice and support to the Minister for Climate Change who has responsibility for developing Central Government’s climate change policy. Other Ministries also work on climate change related issues, such as Ministry for Primary Industries (through Te Uru Rākau) with responsibility for the One Billion Trees Programme and Ministry of Business, Innovation and Employment leading on the Provincial Growth Fund and the Just Transitions Unit.

3.1.2 Climate Change Commission’s perspective

In its advice, the Commission highlights the challenge presented by the “current siloed nature of Aotearoa government machinery” with policy levers for different sectors currently sitting with a range of other agencies, and recommends that “Government policy making is integrated across climate change and other domains” (Necessary Action 15 in the draft advice).

The Commission recommends alignment of legislation and policy at the local government level through ‘Enabling recommendation 4’: “Align legislation and policy to enable local government to make effective decisions for climate change mitigation and adaptation, including aligning the Local Government Act, the Building Act and Code, national direction under the RMA, the proposed RMA reforms, implementation of the freshwater management framework and the 30-year infrastructure plan.”

Whilst both these recommendations are provided in the context of emissions reductions, the same issues apply within the adaptation space, with a need for greater clarity on roles and responsibilities and policy alignment in both areas.

3.2 Legislative overview

The current state of flux in the climate change policy space is illustrated in the diagram below, along with the linkages across key sectors for Council. This highlights the current state of uncertainty (hopefully to be resolved over the next few years as legislation is finalised) and the interdependencies between different pieces of legislation.

We can expect to see greater clarity around the specific roles for local government in both mitigation and adaptation as Central Government policies are developed. However, the signals through the Climate Change Commission’s draft advice and the RMA reform process mean that local government can have some confidence in undertaking initiatives now, that are in line with this overall direction.

At this stage, the implications on the roles and responsibilities of local government are expected to be:

· Greenhouse gases will be a policy/consenting consideration for local government in terms of managing discharges (effective from 31 December 2020). MfE is currently undertaking consultation on an NES or NPS to help councils' decision-making on greenhouse gas discharges to air.

· Local government must ‘have regard to’ emissions reduction plans and national adaptation plans when preparing RMA plans and policy statements (effective from 31 December 2021).

· Undertaking local risk assessments and adaptation plans within specific timeframes. MfE are currently preparing guidance for local government risk assessments – Regional Council staff are part of the working group developing this guidance which is due to be released in July or August 2021.

· Explicit consideration of climate change policies in the new generation “RMA” plans and policy documents.

· Consideration of emissions reduction plans and budgets within transport planning documents.

Staff are involved in several working groups and interest groups at a national level. This enables very timely knowledge transfer and ability to influence and sense check thinking of government officials in the policy development space. Staff will continue to monitor developments across the legislative landscape to ensure that Council has a good understanding of the implications for the Regional Council and across the region as these become clearer.


2020
2021
Jan-Mar
Apr-Jun
Jul-Sep
Oct-Dec
2022
2023
2024
2025
2026

4. Considerations

4.1 Risks and Mitigations

This is an information only report and therefore there are no specific risks associated with a decision.

4.2 Climate Change

Mitigation			Adaptation
Reduce GHG emissions	Produce GHG emissions	Sequester carbon	Anticipate climate change impacts	Respond to climate change impacts
☒	☐	☒	☒	☒

This report considers the national legislative landscape for climate change and is relevant to both mitigation and adaptation actions that Council may undertake.

4.3 Implications for Māori

The Commission’s draft advice specifically addresses issues and challenges for Māori in relation to emissions reductions and the climate transition. The RMA reforms will also give proper recognition to the principles of Te Tiriti of Waitangi and provide greater recognition of Te Ao Māori including Mātauranga Māori. This is an area that Council will need to monitor closely to ensure that we meet our responsibilities to Māori in relation to climate change.

4.4 Community Engagement

Engagement with the community is not required as the report is for information only

4.5 Financial Implications

There are no material unbudgeted financial implications and this fits within the allocated budget.

5. Next Steps

Staff will continue to monitor and assess the national level initiatives associated with climate change and their implications across Council.



Report To:	Strategy and Policy Committee
Meeting Date:	4 May 2021
Report Writer:	Jo Watts, Senior Planner (Water Policy)
Report Authoriser:	Namouta Poutasi, General Manager, Strategy & Science
Purpose:	To approve and make operative Proposed Plan Change 10 (Lake Rotorua Nutrient Management) to the Regional Natural Resources Plan

Approval of Plan Change 10 (Lake Rotorua Nutrient Management) to the Regional Natural Resources Plan

Executive Summary

Proposed Plan Change 10 (Lake Rotorua Nutrient Management) (PPC10) to the Regional Natural Resources Plan (RNRP) has been through the full plan change and public notification process prescribed by Schedule 1 of the Resource Management Act 1991. All appeals have been resolved either by Environment Court assisted mediation, agreement reached as outlined in the two consent orders issued by the Environment Court, and the Environment Court’s decisions - interim, final and approval of final wording of PPC10.

This report recommends the Committee progress the final steps needed to make PPC10 operative which is to approve PPC10 (and consequential amendments) and authorise recommended delegations to staff to:

· make minor alterations to the plan change (including rehousing and consequential amendments to enable insertion into the RNRP as National Planning Standards compliant as possible within the current plan structure); and

· set the operative date.

Recommendations

That the Strategy and Policy Committee:

1 Receives the report, Approval of Plan Change 10 (Lake Rotorua Nutrient Management) to the Regional Natural Resources Plan.

2 Approve all provisions of Proposed Plan Change 10 (Lake Rotorua Nutrient Management) and its consequential amendments to the Regional Natural Resources Plan, to be effected by affixing the seal of the Regional Council.

3 Delegates to the Group Manager Strategy and Science the authority to make minor alterations or corrections to Proposed Plan Change 10 (Lake Rotorua Nutrient Management), including rehousing and consequential amendments as outlined within the report.

4 Delegates to the Chief Executive the authority to set the date to make the plan change operative.

5 Disestablish the Plan Change 10 Appeals Subcommittee.

1. Introduction

Proposed Plan Change 10 (Lake Rotorua Nutrient Management) (PPC10) was prepared as a proposed change to the then Regional Water & Land Plan (RWLP). As the committee are aware, the plan change is the regulatory part of an integrated framework aimed at improving the quality of the water in Lake Rotorua. Together, we’re working to remove 320 tonnes of nitrogen from Lake Rotorua by 2032 to achieve a sustainable nitrogen limit of 435 tonnes per year set by the community in the Regional Policy Statement (refer RPS Objective 28 and Policies WL 3B, WL 5B and WL 6B).

The plan change introduces rules to limit (reduce) the amount of nitrogen entering Lake Rotorua from rural land use within the Lake Rotorua groundwater catchment (within the Bay of Plenty region). The provisions replace ‘Rule 11’ of the RWLP for rural land in the Lake Rotorua groundwater catchment. Implementing the National Policy Statement for Freshwater Management 2020 (NPSFM) will build further on the PPC10 provisions. Lake Rotorua catchment is part of the Rotorua Te Arawa Lakes draft Freshwater Management Unit.

1.1 Legislative Framework

Schedule 1 of the Resource Management Act 1991 sets out the process for changing regional plans which has been followed to progress PPC10. All appeals have now been resolved, and the Environment Court has approved the final wording of PPC10 in its last decision of 12 April 2021. Key decisions and dates are outlined below.

In this case, staff will need to rehouse the Environment Court approved final wording of PPC10 (and its consequential amendments) to enable it to be inserted into the RNRP, and also to comply with the National Planning Standards(NPStds) (as far as possible within the current structure of the RNRP). Schedule 1 Clause 16 RMA allows alterations of minor effect (such as rehousing, reformatting), correction of minor errors and also mandatory directions in the NPStds, so long as alterations do not change intent of the provisions.

The final steps for the Council to attend to are set out in Schedule 1 Clauses 17 and 20:

· approval of the plan change, to be effected by affixing the seal of the local authority; and

· publicly notify the date on which the plan change becomes operative.

1.2 Alignment with Strategic Framework

A Healthy Environment	We develop and implement regional plans and policy to protect our natural environment.
Freshwater for Life	We listen to our communities and consider their values and priorities in our regional plans.

As outlined in the introduction PPC10 is the regulatory part of the integrated programme aimed at improving the quality of the water in Lake Rotorua. It replaces ‘Rule 11’ of the RWLP and is the precursor to fully implementing the NPSFM so it well aligned with the Essential Freshwater Policy Programme, the Rotorua Te Arawa Lakes Programme and Strategy group’s activities.

1.3 Community Well-beings Assessment

Community well-beings have been assessed at several points during the extensive plan making process, including prior to and since public notification of PPC10 in April 2016, during the original Section 32 assessment and Section 32AA assessment following the Council decisions. Furthermore the Environment Court has also considered community well-beings including fairness and equity of the nitrogen allocation methodology and reallocation of an appropriate amount of nitrogen for Settlement land.

2. Key decisions and dates at a glance:

Feb 2016 Public notification of Proposed Plan Change 10.

Aug 2017 Council decision on recommendations from Independent Hearing Panel. Public notification of Council decisions 15 Aug.

Sept 2017 Four appeals lodged with the Environment Court and several s274 notices.

26 June 2018 Environment Court issued consent order – resolving appeal points relating to infrastructure and wastewater treatment.

4 to 8 Mar 2019 Environment Court stage one hearing.

9 Aug 2019 Environment Court Interim Decision – decision in favour of Regional Council’s proposed nitrogen allocation methodology - [Stage 1 Decision].

2 June 2020 Environment Court issued consent order - resolving all outstanding appeal points except those relevant to nitrogen allocation for treaty settlement land.

7 to 10 Sept 2020 Environment Court stage two hearing.

21 Dec 2020 Environment Court Final Decision and directions for regional council to provide final wording of PC10 to the Court for approval by the end of January 2021 - [Stage 2 Decision].

29 Jan 2021 Final version of Plan Change 10 provided to Environment Court for approval.

12 April 2021 ‘Decision of the Environment Court on the Final Wording of Plan Change 10’ received.

Copies of Council’s decision, appeals, s274 notices, consent orders issued by the Environment Court and each of the three decisions made by the Environment Court are all available on Council’s website.

3. Nitrogen reallocation to Treaty Settlement land

The Environment Court (EC) heard evidence relevant to outstanding appeals about allocation of nitrogen to Māori settlement land from the 7th to 10th September 2020. All parties agreed that an additional allocation of nitrogen to Treaty Settlement land could be made within the planning framework, but disagreed on the appropriate amount of nitrogen. ‘Settlement land’ for the purpose of PPC10 provisions and the Environment Court decision is rural land within the Lake Rotorua groundwater catchment returned via Treaty Settlements to Ngāti Rangiwewehi and CNI Iwi Collective before 31 December 2019.

The Environment Court decided that a nitrogen reallocation of 5 tonnes of nitrogen a year from existing dairy and drystock farms in the Lake Rotorua groundwater catchment to Settlement land shall apply from 1 July 2032. The Court found the reallocation of 5 tonnes of nitrogen is appropriate and gives better effect to the relevant objectives and policies of the RPS and sections 6(e), 7(a) and 8 of the RMA. The method of reallocation is to be by way of a percentage reduction across the dairy and drystock sectors, transferred to two identified Settlement land parcels.

The reallocation will apply to the Nitrogen Discharge Allocations (NDA) from 1 July 2032. To enable this re-allocation, the 2032 NDA will be reduced by less than 1% (0.98%) across both dairy and drystock sectors (except that the lower range boundaries are maintained at their original positions). The readjustment is only required from 1 July 2032 and does not apply to the Managed Reduction Targets set before then. Current consents will be reviewed to adjust the NDAs, the Environment Court has specifically added a rule to support this action (Rule LR R11C).

The reallocated nitrogen will enable the owners of Settlement land to apply for a controlled activity consent to use the nitrogen to convert some land currently in forestry or bush to different land uses. This may enable for example, Papakāinga, marae, housing, tourism ventures, or various forms of horticulture providing social and economic benefits. Trading of the reallocated nitrogen can occur in accordance with the rules.

4. Rehousing of PPC10 provisions into RNRP format

As outlined in the introduction and legislative framework sections, PPC10 and its consequential amendments was prepared as a proposed change to the then RWLP.

In 2017, Council decided to amalgamate all regional plans (except the Regional Coastal Environment Plan) into the one Regional Natural Resources Plan (RNRP). The content of the former RWLP was rehoused into the current RNRP structure which anticipated the inclusion of PPC10 alongside other Rotorua Lakes provisions within the Water Management Area - RL Rotorua Lakes chapter. This chapter contains a blank place holder LR Lake Rotorua Nutrient Management heading for PPC10 content.

The first set of National Planning Standards came into force on 3 May 2019, which includes mandatory direction relevant to regional plan structure and formatting. PPC10 and its consequential amendments will be reformatted to comply as far as possible with the National Planning Standards 2019 (NPStds) (within the current RNRP structure). Another paper on this agenda is about options and timing for NPStds compliance.

PPC10 contains introductory text, policies and methods which were designed to be introduced into Part II of the RWLP. It also contains rules, definitions and schedules which were to be housed within Part III of RWLP. The key changes between the RWLP and RNRP is these catchment specific policies, rules, methods and schedules will now be located within the RNRP WMA RL Rotorua Lakes chapter in LR Lake Rotorua Nutrient Management section. The definitions will need to be incorporated into the existing Definitions of Terms chapter rather than as a separate standalone list of definitions sitting within the Lake Rotorua provisions. Minor reformatting and renumbering is anticipated to more closely align with the NPStds.

5. Plan Change 10 Appeals Subcommittee

As is standard practice with appeals processes, a subcommittee was formed to provide guidance to staff through the appeals process. The Plan Change 10 Appeals Subcommittee was established on 17 September 2019 by the Regional Direction and Delivery Committee.

The nature of the appeals that were made on PPC10 (for example, that PPC10 should have been based on an entirely different framework of natural capital) meant that there was essentially limited guidance that could be provided. Mediation where it did occur during the appeals process focussed on technical matters.

Staff have appreciated the support of the Plan Change 10 Appeals Subcommittee and note the usefulness of discussions with Councillor members where these did occur. In approving the provisions of PC10 the Subcommittee can now be disestablished by the Committee.

6. Considerations

6.1 Risks and Mitigations

Risks and mitigations have been considered throughout the plan change process. The matters addressed in this report are the final administrative steps in the process, namely minor rehousing and reformatting, approval of and making the plan change operative. These are of a procedural nature and no further risks and mitigation need be considered.

6.2 Climate Change

As outlined under risks and mitigations, the matters addressed in this report are the final administrative steps in the plan change process and are of a procedural nature. Because of this there is no need to consider climate change impacts. These will be considered as part of fully implementing the NPSFM for the Rotorua Lakes.

6.3 Implications for Māori

Implications for Māori have been considered throughout the plan change process, including as part of an extended consultation process, making decisions on submissions, and throughout the appeals resolution process. Appeal points raised by Ngāti Uenukukōpako Iwi Trust in respect of infrastructure and wastewater treatment plant topics were resolved by agreement between parties and consent order signed by the Environment Court dated 26^th June 2018.

The Environment Court’s stage one hearing heard evidence on the alternative nitrogen allocation methodology sought by CNI Iwi Land Management Limited and the Māori Trustees supported by a number of iwi and forestry interests. During stage 2, the Environment Court considered evidence about an appropriate nitrogen allocation for settlement land and decided reallocating 5 tonnes of nitrogen a year from existing dairy and drystock farms in the Lake Rotorua groundwater catchment to settlement land would give better effect to the relevant parts of the Regional Policy Statement, in particular RPS Policies IW 1B, 2B and 3B.

The additional nitrogen allocation will enable the owners of settlement land to convert some land currently in forestry or bush to different uses such as Papakāinga, marae, housing, tourism ventures, or various forms of horticulture providing social and economic benefits. On the flip side, the reallocation will result in a reduction of nitrogen discharge allocations for existing Māori dairy and drystock farms in the catchment in 2032 as is the case with all farmers in the catchment.

6.4 Community Engagement

CONSULT

Whakauiuia

To obtain input or feedback from affected communities about our analysis, alternatives, and /or proposed decisions.

As outlined under risks and mitigations, the matters addressed in this report are the final administrative steps in the plan change process and are of a procedural nature and no further community engagement is required.

6.5 Financial Implications

There are no material unbudgeted financial implications and this fits within the allocated budget.

7. Next Steps

Once the Committee approves the recommendations, staff will:

· make minor alterations to PC10 (including rehousing and consequential amendments) to enable insertion into the RNRP as NSPtds compliant as possible within the current plan structure;

· publicly release PC10 along with notification of the operative date; and

· update the RNRP.

Attachments

Attachment 1 - Environment Court Approved Final Wording of Plan Change 10



Report To:	Strategy and Policy Committee
Meeting Date:	4 May 2021
Report Writer:	Nicola Green, Principal Advisor, Policy & Planning; Jill Owen, Planner; Julie Bevan, Policy & Planning Manager and Sharlene Pardy, Team Leader Policy (Environmental)
Report Authoriser:	Namouta Poutasi, General Manager, Strategy & Science
Purpose:	To provide Essential Freshwater Policy Programme (EFPP) update, and seek agreement to include On-site Effluent Treatment

Essential Freshwater Policy Programme: Update and Inclusion of OSET Plan Change

Executive Summary

This report seeks a decision to confirm that the On-site Effluent Treatment Plan Change should be brought in to the Essential Freshwater Policy Programme (EFPP) to achieve integration.

This report also provides an progress update for the EFPP, which focuses on implementing the National Policy Statement for Freshwater Management 2020 (NPSFM), giving effect to Te Mana o te Wai.

Progress is being made across all workstreams according to plan. In particular, after informal discussion, support was indicated by councillors:

· a Te Ao Māori-RMA technical advisory group called Ngā Kaitohutohu is being established to advise on how Te Ao Māori matters are integrated in to plan changes. Ngā Kaitohutohu does not provide advice on tangata whenua values, interests and Mātauranga – this can only be provided by tangata whenua (iwi and hapū);

· a Rural and Environmental Sector Organisation Forum is being established (replacing the former Regional Water Advisory Panel); and

· thirteen working draft Freshwater Management Units for discussion with tangata whenua and public engagement are now posted on our Essential Freshwater project page.

· Online engagement about vision, values and outcomes is being planned for later in 2021 as set out in the agreed programme plan.

Recommendations

That the Strategy and Policy Committee:

1 Receives the report, Essential Freshwater Policy Programme: Update and Inclusion of OSET Plan Change.

2 Agrees the On-site Effluent Treatment plan change will be integrated in to the Essential Freshwater Policy Programme.

1. Introduction

This report provides a progress update on Council’s Essential Freshwater Policy Programme (EFPP). The EFPP is focussed on delivering implementation of the National Policy Statement for Freshwater Management 2020 (NPSFM), giving effect to Te Mana o te Wai, and will result in notified proposed changes to the Regional Policy Statement (RPS) and Regional Natural Resources Plan (RNRP) in July 2024 (noting December 2024 is the statutory deadline).

This update includes a progress summary table, and further explanation about advisory groups being established and working draft Freshwater Management Units, for information only.

It also includes a proposal to integrate the draft plan change for On-site Effluent Treatment in to the EFPP, for Committee decision.

A separate report addresses a high level new structure for the Regional Policy Statement and Regional Natural Resources Plan to comply with the National Planning Standards.

1.1 Legislative Framework

The EFPP is primarily driven by the requirements of the Resource Management Act 1991 and the National Policy Statement for Freshwater Management 2020. It will also implement requirements of the National Planning Standards.

Importantly, even though the Resource Management Act is to be replaced, the Minister for the Environment has made it clear in cabinet papers that existing new national direction will be carried over. In a recent letter to regional councils he stated “your current work in implementing national direction on freshwater … is essential and will be transitioned to the NBA” (National and Built Environment Act).

1.2 Alignment with Strategic Framework

A Healthy Environment

We develop and implement regional plans and policy to protect our natural environment.

Freshwater for Life

Good decision making is supported through improving knowledge of our water resources.

We listen to our communities and consider their values and priorities in our regional plans.

We collaborate with others to maintain and improve our water resource for future generations.

We recognise and provide for Te Mana o Te Wai (intrinsic value of water).

The Way We Work

We deliver value to our ratepayers and our customers.

We honour our obligations to Māori.

We use robust information, science and technology.

The EFPP is founded in Te Mana o te Wai principles and hierarchy of obligations. It is primarily focussed on maintaining and improving outcomes for freshwater ecosystems and freshwater bodies, and then providing for human health needs (e.g., drinking water supply), and finally enabling communities to provide for their social, economic and cultural wellbeing within this context.

1.2.1 Community Well-beings Assessment

Dominant Well-Beings Affected

þ Environmental

High - Positive

þ Cultural

Medium - Positive

þ Social

þ Economic

2. Progress Update

2.1 Overview

All EFPP workstreams are making progress in accordance with briefs, involving a large spectrum of detailed work. A brief summary of highlights is provided in Table 1. More detailed updates, notices and key achievements can be provided to Strategy and Policy Committee via informal briefings and workshops. Committee meeting reports will focus on matters requiring decision.

Table 1: Council’s Essential Freshwater Policy Programme implementation progress

Key workstreams	Progress Highlights
RNRP design and integration	See RPS and RNRP structure Agenda Report. Insertions required immediately to the RNRP are complete.
Kaupapa Maori	Tangata Whenua engagement and involvement progress was reported to Komiti Māori on 20 April 2021 via the Chairperson’s report. In summary, staff have met with more than 45 iwi and hapū organisations about how they would like to be involved. Most recently, the following have progressed: · Discussions continue with co-governance bodies, iwi and hapū about how they would like to be involved. · A RMA-Te Ao Māori technical advisory group called Ngā Kaitohutohu is being established. · A Plan Change 9 appellants focus group met with the consultant reviewing the water quantity and allocation chapter of the RNRP. · An initial meeting was held with the newly appointed lead for Te Arawa Lakes Trust’s Taiao Hub project, Te Papa Ahurewa. · Several kaitiaki led projects are initiating, with council support. · Sub-regional hui and online engagement about values is being planned for the second half of 2021. · A pilot project on the interests of Māori Land Trusts will progress shortly.
RPS and RNRP chapter reviews	Chapter review work has been outsourced and is in progress. This will deliver draft issues and options papers later in 2021.
National Objectives Framework: vision, values and outcomes	Working draft Freshwater Management Units have been made public on the Essential Freshwater web-page and will be the subject of upcoming discussions with tangata whenua and online engagement. Preparation is underway for online engagement on vision, values and outcomes in the second half of the -year
Water Quality	Science reporting on baselines and current state is in progress
Surface water quantity	Minimum flows for ecology technical reporting will be published shortly. A surface water accounting tool well progressed.
Groundwater	Modelling of Kaituna-Pongakawa-Waitahanui is complete. Other areas are progressing. Some data challenges are being worked through.
Communications and Engagement	Online engagement and presentations at ‘Business as Usual’ events is progressing as planned for 2021: · The Essential Freshwater project web-page is updated · Working towards online engagement on vision, values and outcomes mid-year · Freshwater Fridays campaign progressed[1]. · Freshwater Flash[2] released Monday 12 April 2021. · Presentations made this year to Rotorua Lakes Water Quality Society, Beef + Lamb NZ Manawahe farmer group, Tauranga Continuing Education, NZ Landcare Trust Rural Professionals day. · Meetings held this year with Zespri, KGI, NZ Avocado, B+L NZ, Dairy NZ. · TLA Freshwater Collaboration Forum workshop held 8 April 2021. · The Regional Water Advisory Panel is being replaced with the Rural and Environmental Sector Organisation Forum.

2.2 Advisory groups

Councillors have provided informal advice and support for establishing Ngā Kaitohutohu, a RMA-Te Ao Māori technical advisory group. This group will help Council to appropriately integrate Te Ao Māori and mana whenua input into the Regional Natural Resources Plan. It will compliment engagement with tangata whenua, and will not provide values and interests or Mātauranga that can only be provided by tangata whenua. Staff have sent letters to iwi organisations inviting them to suggest suitably experienced and committed members.

Councillors have also provided informal advice and support for establishing a Rural and Environmental Sector Organisation Forum (that will replace the Regional Water Advisory Panel (RWAP)), to provide early and “without prejudice” advice on a large quantum of policy topics, in the next 3 years. This is specifically a forum for national primary sector organisations and environmental NGOs, creating a clear distinction between these and (a) our developing partnership relationships with tangata whenua, and (b) FMU/catchment based engagement with local community and interest groups that will progress in 2023 in particular.

The intention is to establish both of these groups and hold initial meetings by the end of May 2021.

The Territorial Local Authorities Freshwater Collaborative Forum established several years ago continues to function well.

2.3 Working draft Freshwater Management Units for Discussion

The NPSFM requires Bay of Plenty Regional Council (Council) to identify FMUs for the region, and every water body must be within at least one FMU^{^[3]}.

Freshwater management unit, or FMU, means all or any part of a water body or water bodies, and their related catchments, that a regional council determines … is an appropriate unit for freshwater management and accounting purposes; and part of an FMU means any part of an FMU including, but not limited to, a specific site, river reach, water body, or part of a water body^{^[4]}.

Freshwater Management Units FMUs are the primary scale for implementing the National Objectives Framework (NOF), but it can also be applied to any part of an FMU. There will always be connections between FMUs, and these must be properly considered during NPSFM implementation. In particular, FMU boundaries will not constrain the ability of tangata whenua to express their values and interests across and within catchments, and these will be appropriately considered and reflected.

After informal discussions with Councillors, the working draft FMUs shown in Figure 1 have been posted on the Essential Freshwater project page, along with explanation of how FMUs are to be used, and principles applied to FMU delineation. These will be discussed with tangata whenua, and feedback will be recorded, considered. FMUs will remain in working draft form until the planning framework and public engagement is well progressed. Future reports to council will traverse sub-FMUs within each FMU, and also whether any changes to FMUs are needed. No formal decision is sought from Strategy and Policy Committee yet.

Figure 1: Option 2 -FMUs reflect catchments of sensitive receiving environments and large rivers

3. Draft On-site Effluent Treatment (OSET) plan change

Councillors have previously indicated support for Plan Change 14 – OSET (PC 14) to be incorporated into the Essential Freshwater Policy Programme (EFPP), and formal approval is now sought. This will enable more integrated implementation of Te Mana o te Wai and other policy direction in the NPSFM, as well as tangata whenua involvement and public engagement. OSET provisions will therefore be notified with other changes to the RNRP and RPS in mid-2024 to fully address requirements of the NPSFM and also align with other upcoming legislation changes required as part of the Three Waters Reform.

As PC 14 relates to the protection of water quality (and public health), any OSET provisions cannot appropriately be considered separately from all other freshwater related provisions, especially as the NPSFM directs activities to be managed on an integrated basis. By incorporating PC 14 into the wider EFPP requirements of the NPSFM and Three Waters Reform can be fully addressed. Staff are working on a review of draft proposed PC 14 to align it with provisions in the RNRP.

4. Considerations

4.1 Risks and Mitigations

The decision sought is to progress the OSET plan change as part of the EFPP process. While progressing it ahead of the EFPP plan changes would provide some additional clarity for consenting, there are several significant risks of doing so, as follows:

1. OSET focussed engagement ahead of, and separate from NPSFM implementation engagement, may be confusing and increase the load of input required from tangata whenua and the public;

2. Submitters may not support the OSET plan change as it will precede, as it will not fully address requirements of the NPSFM, particularly requirements to set Te Mana o te Wai objectives and water quality objectives for FMUs (and methods to achieve them). This is similar to the situation that occurred for withdrawn Plan Change 9 (Region-wide Water Quantity);

3. There will be additional pressure on staff and financial resources as they implement a plan submission and hearing process at the same time as the EFPP plan development process;

4. Further changes to the OSET provisions will be needed when the Water Services Bill is enacted, and amendments to the National Environmental Standard for Sources of Human Drinking Water are gazetted.

4.2 Climate Change

The matters addressed in this report are of a procedural nature and there is no need to consider climate change impacts. However, the Essential Freshwater Policy Programme will include and integrate consideration of the implications of Climate Change for freshwater management.

4.3 Implications for Māori

Tangata whenua engagement and involvement in freshwater management is a key part of the EFPP. This is being progressed under the direction of Te Hononga, Council’s tangata whenua engagement plan for this work programme. Staff have provided advice on resourcing requirements in papers for Council’s LTP deliberations relating to supporting tangata whenua involvement and capacity building.

In relation to draft Freshwater Management Units:

· Council should remain flexible about sub-FMUs as this process advances. In some cases, specific cultural values or interests may necessitate a sub-FMU with specific management approaches.

· the draft FMUs align with the Te Ao Māori concept of ki uta ki tai.

· multiple rohe exist and overlap within many freshwater catchments, and may cross multiple catchments and FMUs, or sit within one. When BOPRC engages with iwi and hapū, discussions can traverse all water bodies within their respective rohe, and can consider implications up and down-stream of a rohe, i.e, discussion is not constrained by FMU boundaries.

· all iwi and hapū with interests in an FMU are enabled to either work together collaboratively to advise, or for each to advise separately.

· co-governance areas are set by treaty settlement legislation and, to date, are catchment-based and bring together multiple iwi whose rohe or area of interest lie partially or fully within that area. As noted above, option 2 aligns with these boundaries, whereas options 1 and 3 do not consistently.

4.4 Community Engagement

CONSULT

Whakauiuia

To obtain input or feedback from affected communities about our analysis, alternatives, and /or proposed decisions.

During 2021 and 2022 community engagement in the EFPP will largely be via online information provision and surveys, as well as presentations and discussions at events council attends as part of usual business (such as, rural advisory group and focus catchment group meetings). A brief summary is listed in Table 1. Active public engagement with communities within FMUs, about draft options will occur throughout 2023.

4.5 Financial Implications

There are no material unbudgeted financial implications and this fits within the allocated budget. Further advice on future budget requirements for Māori engagement will be provided to Council for LTP deliberations.

5. Next Steps

1. Staff will continue their strong focus on timely delivery of the EFPP, including OSET.

2. Staff aim to establish and hold initial meetings with Ngā Kaitohutohu and the Rural and Environmental Sector Forum by the end of May 2021.

3. Draft FMUs will be discussed with tangata whenua at upcoming meetings, and feedback will be recorded and considered.

4. Upcoming Strategy and Policy committee discussions will cover:

a. online engagement and communications about values and vision setting that will occur in late 2021

b. Initial indication of large policy shifts / options for region wide RNRP chapters.

5. Staff will contribute to six monthly Regional Sector progress reports to Regional CEOs and this will be circulated to Councillors.



Report To:	Strategy and Policy Committee
Meeting Date:	4 May 2021
Report Writer:	Jo Watts, Senior Planner (Water Policy)
Report Authoriser:	Namouta Poutasi, General Manager, Strategy & Science
Purpose:	Seek direction on options for progressing compliance with the National Planning Standards for the Bay of Plenty Regional Policy Statement and Regional Natural Resources Plan

National Planning Standards Compliant Regional Policy Statement and Regional Natural Resources Plan

Executive Summary

The National Planning Standards (NPStds) set specific structural, formatting, definition and ePlan requirements for the regional policy statement and regional plans. The timeframe set in the NPStds requires an NPStds compliant RPS by 3 May 2022 (except ePlan requirements) and regional plans by 3 May 2029.

High-level NPStds compliant draft structures for the Bay of Plenty Regional Policy Statement (RPS) and Regional Natural Resources Plan (RNRP) are presented for endorsement in Attachment 1. These will enable compliance with the NPStds structural requirements utilising the existing content while avoiding the need to undergo formal Schedule 1 processes. This also provides a holding pattern bearing in mind the existing programme of RPS and RNRP changes and the full RPS review pending in 2024.

Significant Resource Management reform is underway which includes potential for the RPS to be replaced by a requirement for a single combined One Plan (i.e. a single region wide resource management plan combining the RPS, regional plans and district plans). National Policy Statements on Indigenous Biodiversity (NPS IB) and Highly Productive Land (NPS HPL) are also due for gazettal later this year and will require additional RPS and RNRP changes.

Staff recommend Council align the timing of the RPS and RNRP compliance with the NPStds with notification of the National Policy Statement for Freshwater Management 2020 (NPSFM) changes in July 2024. This approach is mindful of the raft of additional changes/implications RM reform, NPS HPL and NPS IB will place on the RPS and RNRP work programme, but would mean not meeting the 2022 timeframe. Meanwhile staff will remain agile and flexible continuing efforts to progress compliance with the NPStds as national led changes take shape.

There is a real risk efforts to comply with the NPStds will result in duplication, inefficient and ineffective resource use without understanding the complete package of national level changes pending. Working in RPS NPStds compliance with changes to implement the NPSFM (to be notified in July 2024), will enable a more integrated, resource efficient and deliberate effort to comply with the myriad of central government enforced RPS and RNRP changes.

Recommendations

That the Strategy and Policy Committee:

1 Receives the report, National Planning Standards Compliant Regional Policy Statement and Regional Natural Resources Plan.

2 Endorses the high-level RPS and RNRP working draft structures presented in Attachment 1 for further progressing compliance with the National Planning Standards.

3 Agrees in principle to align timing to give effect to the first National Planning Standards for the RPS and RNRP with notification of changes to implement the National Policy Statement for Freshwater Management in July 2024.

4 Endorses staff working closely and, where practicable, in partnership with the region’s territorial authorities to implement the National Planning Standards for the region’s RPS, regional and district plans.

1. Introduction

This report presents options for progressing compliance with the first set of National Planning Standards (NPStds) for the Bay of Plenty Regional Policy Statement (RPS) and Regional Natural Resources Plan (RNRP). The NPStds sets specific structural, formatting, definition and ePlan requirements for all RMA policy statement and plans. The timeframe set in the NPStds requires an NPStds compliant RPS by 3 May 2022 (except ePlan requirements) and by 3 May 2029 for NPStds compliant regional plans (including ePlan requirements).

There is considerable resourcing and potential for rework required to comply with the NPStds for the RPS as a standalone task rather than alongside/aligned with the Essential Freshwater Policy Programme (EFPP) changes. Pending RM reform has signalled the RPS could be replaced by a requirement for a single combined One Plan (i.e. a single region wide resource management plan combining the RPS, regional plans and district plans). Given the significant pending RM reform staff consider a ‘wait and see’ approach and working NPStds compliance in with timing for NPSFM implementation is warranted for the RPS. Particularly given the potential for duplication in effort given significant changes required to implement the NPSFM being notified in July 2024, the full RPS review commencing in 2024.

Despite the ‘wait and see’ recommendation for the NPStds compliant RPS, this report also provides draft high-level NPStds compliant RPS & RNRP structures for endorsement. Feedback is invited on the working draft high-level structures contained in Attachment 1.

Staff seek the Committee’s agreement in principle to align the timing for complying with the NPStds requirements for both the RPS and RNRP with notification of the NPSFM changes in July 2024. In other words this involves:

· Producing NPStds compliant RPS and RNRP (except ePlan requirements) by July 2024 (instead of by May 2022 for the RPS and May 2029 for the RNRP);

· Publicly notifying Essential Freshwater Policy Programme (EFPP) RPS and RNRP changes in July 2024; and

· Publicly notifying any RPS non-freshwater related ‘beyond consequential’ changes required to comply with the NPStds alongside the EFPP changes, (noting these would need to follow the standard Schedule 1 process and would not be able to be heard by the Freshwater Hearing Panel).

· Consider also publicly notifying any RNRP non-freshwater related ‘beyond consequential’ changes required to comply with the NPStds alongside the EFPP changes, (as above these would also need to follow the standard Schedule 1 process).

This paper is part of the EFPP which is tasked with delivering implementation of the NPSFM, reviewing water related chapters of the RPS and RNRP and also complying with the NPStds. A reminder Council has already approved notifying EFPP changes to the RPS and RNRP by July 2024.

1.1 Legislative Framework

The NPStds are national directions introduced through Resource Management Act (RMA) amendments in 2017 and are in sections 58B – 58K RMA. The first NPStds came into force on 3 May 2019, (with minor amendment in November 2019). Their purpose is to set mandatory direction for the structure and format for all policy statements and plans, common definitions, spatial/mapping and online interactive functionality (i.e. ePlan) requirements.

1.2 Alignment with Strategic Framework

A Healthy Environment	We develop and implement regional plans and policy to protect our natural environment.
Freshwater for Life	We deliver solutions to local problems to improve water quality and manage quantity.
The Way We Work	We look to partnerships for best outcomes.

1.2.1 Community Well-beings Assessment

Regional Council’s policy statement and plans promote the purpose of the RMA being the sustainable management of the region’s natural and physical resources. Through this purpose each of the Council’s RMA policy statement and plans collectively seeks to promote the four well-beings, especially environmental.

2. National Planning Standards

2.1 Mandatory Policy Statement and Plan Structures

The first NPStds set mandatory direction for the structure and format for all policy statements and plans, common definitions, spatial/mapping and online interactive functionality (i.e. ePlan) requirements. Attachment 1 includes the recommended NPStds compliant RPS and RNRP structures. The NPStds also provides a combined structure for combinations of an RPS, regional plan and district plan. Staff have worked within previous Council decisions to have separate RPS, RNRP and RCEP as outlined in section 2.4.

2.2 Timing

The NPStds Implementation Standard specifies the timeframes that apply to the first set of planning standards. Regional councils have until 3 May 2022, (three years from when the planning standards came into effect) to have an NPStds compliant RPS (except ePlan requirements), and up to ten years (by 3 May 2029) for NPStds compliant regional plans (including ePlan requirements).

If a council undertakes a full policy statement or plan review within these timeframes the new policy statement or plan must meet the NPStds when notified for submissions. While the July 2024 RNRP EFPP change is expected to include substantial changes to most operative RNRP chapters, it will not be a full plan review. Some chapters such as Air (PC13), parts of Geothermal and content such as the Awatarariki Fanhead (PC17) are not being reviewed as part of the EFPP Programme. This gives Council the choice to decide when to make the RNRP NPStds compliant.

2.2.1 Timing for ePlans

Regional councils must comply with the NPStds ePlan requirements by May 2029 for the RPS, Regional Coastal Environment Plan (RCEP) and RNRP. All other operative regional plans, such as the Tarawera River Catchment Plan and the Regional River Gravel Management Plan are programmed to be reviewed and replaced as part of the EFPP notified by July 2024 RNRP.

2.3 Process

Section 58I RMA requires mandatory NPStds directions, (including consequential amendments), to be made without using the Schedule 1 process and in the time specified in the standard.

An example of a consequential amendment is where a definition in the NPStds is different to one in the RPS or regional plan. The definition must be amended to reflect the NPStds version. Consequential amendments may be required to the text to ensure that changing the definition does not alter the effect or outcomes of the RPS or regional plans. Changes ‘beyond consequential’ (i.e. changes that do alter the effect of the policy RPS or plan provisions) will require a Schedule 1 process to be followed.

If changes are ‘related to freshwater’ or ‘implementing the NPSFM’ the Freshwater Planning Process (FPP)^{^[5]} must be used (i.e. a streamlined hearing and decision process, with limited rights of appeal). This analysis has not yet been undertaken although staff expect there may be a ‘handful’ of RNRP changes which may need to follow the standard Schedule 1 process (rather than the FPP). The timing of this will be determined once staff receive guidance and direction on a preferred option.

2.3.1 Process for NPStds Compliant RPS

The process for the RPS effectively involves ‘rehousing’ the operative RPS content into the NPStds compliant RPS structure and format. This also, includes complying with the NPStds for definitions, mapping, regional spatial layers, and making any consequential amendments before reissuing the RPS. At this stage, it isn’t envisaged any Schedule 1 process will be needed as there are very few RPS defined terms which are also NPStds defined terms. Rather the operative RPS contents would be rehoused to comply with the NPStds requirements as a holding pattern awaiting a formal Schedule 1 process to update relevant policy content.

Any RPS changes going forward, such as incorporating Proposed Change 5 (Kaituna River) when operative, and the EFPP RPS change will be drafted NPStds compliant.

2.4 Previous Council Decisions on Regional Plan Structure and Content

2.4.1 Amalgamation of Regional Plans

Council’s Regional Direction and Delivery Committee (RDD) considered format, structure and content of Bay of Plenty regional plans in 2016 and 2017. The decision was made to keep the RPS separate from the regional plans and also to keep the proposed RCEP separate from the other six regional plans. Reasons included the RPS contains direction for district and city plans and the proposed RCEP was much newer and under appeal at the time.

The former Regional Water and Land Plan (RWLP) and the five other regional plans are all much older, making it complicated to amalgamate all into a combined regional plan with the RCEP. Staff were directed to work towards amalgamation of all regional plans, except the Regional Coastal Environment Plan (RCEP) into the one Regional Natural Resources Plan (RNRP).

2.4.2 Streamlined Regional Plan Content

Alongside the decision to amalgamate all regional plans except the RCEP into one, Council also considered streamlining plan content for future regional plan changes^{^[6]}. On 29 March 2017 RDD decided to limit future plan content to only that required by the RMA (i.e. objectives, policies and rules only) and utilising separate supporting documents like user guides and implementation plans for other non-essential plan content where necessary (e.g. issues, explanations and most methods).

The streamlining content policy acknowledges there may be exceptions to this, for example, if national direction such as the NPSFM requires methods they would need to be included.

2.4.3 RNRP Structure Anticipated By NPStds

The RNRP structure and framework used the former RWLP as its base, with placeholder chapters built in to receive relevant content from the other five operative regional plans (i.e. Air Plan, Rotorua Geothermal Plan, River Gravel Management Plan, Tarawera River Catchment Plan, and the On-Site Effluent Treatment Plan) as they are reviewed and incorporated. It also includes separate chapters for each of the nine Water Management Areas (WMAs) anticipating NPSFM water management area scale provisions and a placeholder heading sub WMA part to include Plan Change 10 - Lake Rotorua Nutrient Management provisions within the Rotorua Lakes WMA chapter.

The former RWLP content was rehoused into the current RNRP structure with no change to content other than minor amendments which did not require a Schedule 1 process. One of the more significant changes was moving the rules from their original standalone chapter to sit alongside the relevant objectives, policies, and methods which aligns well with NPStds direction.

Material no longer required by the RMA, was relocated to the Appendices in a holding pattern awaiting a Schedule 1 process to remove it. Provisions currently held in appendices include:

• Explanation/Principal Reasons

• Financial Contributions

• Resource Consent Information

• Anticipated Environmental Results

• Cross Boundary Issues; and

• Plan Review Process.

NPStds regional plan structure requirements were anticipated when setting up the RNRP structure & format, and making the decision to amalgamate the regional plans. Most changes now required to fully comply with the regional plans related NPStds are reasonably cosmetic such as moving the location of existing chapters, renumbering, formatting, introductory and general content changes. The exception is likely to be consequential amendments to incorporate NPStds defined terms. Some ‘beyond consequential’ amendments maybe required where definitions in the Plan differ in more than a minor way to those in the NPStds. These will need to follow a Schedule 1 process. Option 2 allows this work to be considered alongside the extensive EFPP changes notified in July 2024.

2.4.4 Alignment With Indicative Policy Work Programme

The Indicative Policy Work Programme was received by the Strategy and Policy Committee at their 16 February 2021 meeting. Attachment 1 contains working draft high-level structures for both the RPS and RNRP. The draft high-level RPS and RNRP structures anticipate NPStds compliant structure requirements for the wider policy work programme.

RMA changes being progressed in addition to the EFPP include:

RPS Proposed Change 5 (Kaituna River) and Proposed Change 6 (NPS Urban Development). Full review of the RPS commences in 2024 (chapters not already reviewed through the EFPP programme).

RNRP Geothermal (excluding Tauranga which is part of the EFPP), Mt Maunganui Airshed.

A separate paper recommends inclusion of the OSET review as part of the EFPP.

PC13 – Air is close to being operative and there is a separate paper on the agenda to make PC10 - Lake Rotorua Nutrient Management operative. Both will be inserted into the operative RNRP as NPStds compliant as possible.

2.4.5 Anticipating RMA Reform and possible new NPStds

As the Committee is aware, central government plans to repeal the RMA and replace it with new legislation. Their intention is to progress RMA reforms swiftly resulting in three new Acts, namely the:

1. Strategic Planning Act (SPA)

2. Natural and Built Environment Act (NBA) to provide for land use and environmental regulation - primary replacement for the RMA

3. Climate Change Adaptation Act (CAA)

Central government has indicated the aim is to have the new Natural and Built Environment Act passed into law by the end of 2022 and the Spatial Planning Act and Climate Change Adaptation Acts in 2023.

The reform is based on the recommendation of the RM Review Panel set out in their New Directions for Resource Management in NZ (i.e. Randerson) report. Under the NBA, regional councils and territorial authorities could be required to work together to produce one combined regulatory plan for each region.

Recommendations in the report state ‘combined plans will cover the same range of policy and planning functions as at present. They will include a regional policy statement, a regional coastal plan (where relevant), a regional plan and district plans that include both common content for all territorial authorities as well as specific local content.’ The report also signals higher-level content for combined plans would be determined through mandatory national direction and regional spatial strategies. Further national planning standards will play an important role in the reformed system by further supporting consistent plan format and structure. Although outside of the Panel’s scope thoughts on the transitioning to the reformed system include mention of sequencing of spatial plans and combined plans and a pragmatic staged approach over a number of years.

The Minister has been clear current law still exists and implementation of NPSFM and NPSUD direction (as examples) should continue. Government is mindful of the need to work together on transitioning policy statements and plans into the new planning system. Agility and flexibility in policy and plan making going forward will be needed as detail of the RMA reform emerges and timing for transition becomes clear. All indications are central government intends to build on the first set of NPStds. Moving towards a NPStds compliant policy statement and plans is likely to set the region up to transition more easily.

Given the considerable expense, resourcing and time involved with complying with the NPStds requirements as stand alone task rather than part of the EFPP change, staff consider a ‘wait and see’ approach and working NPStds compliance in with the timing for NPSFM implementation is warranted for the RPS. Particularly given the potential for duplication in effort given the significant changes required to implement the NPSFM being notified in July 2024, the full RPS review commencing in 2024 and pending RM reform.

2.5 Timing Options For NPStds Compliant RPS and RNRP

Three timing options are presented for progressing an NPStds compliant RNRP and RPS:

Option 1 Develop and release a ‘rehoused’ NPStds compliant’ operative RPS by May 2022. Include any freshwater related ‘beyond consequential changes’ in the EFPP RPS and RNRP changes to be notified in July 2024.

Option 2 Go early for RNRP only and later for the RPS (i.e. in July 2024) aligned with notification of both EFPP RPS and RNRP changes in July 2024. Both notified RPS and RNRP changes will be fully NPStds compliant and include freshwater related ‘beyond consequential’ changes. Notify any non-freshwater related RPS changes in July 2024 and consider also notifying any non-freshwater related changes alongside the EFPP changes, noting these would need to follow the standard Schedule 1 process.

Option 3 RNRP NPStds compliant by May 2029 deadline and by May 2022 for RPS (as required by the NPStds). Notify the EFPP RNRP change in the operative RNRP structure/format and NPStds compliant EFPP RPS change in July 2024. Wait until after the EFPP process to progress the NPStds compliant version of the RNRP (i.e. between EFPP decisions and May 2029 and while implementing the ePlan).

The table in Attachment 2 provides a fuller description of each of the three options and sets out advantages and disadvantages of each. Staff recommend Option 2 – Go early for RNRP and later for RPS.

Please note, this paper and options analysis within it does not consider timing or structure for the RCEP other than briefly mentioning Council has decided to keep the RPS, RCEP and RNRP separate and also recommending kōrero with tangata whenua about NPStds structure and content should ideally include all regional documents for completeness and consistency across all regional documents.

2.5.1 Consulting the Region’s TAs and Informing MfE

As earlier mentioned the Resource Management reform signals a combined region-wide plan determined through national direction and regional spatial strategies. The structure and layout of the combined plan is likely to be further prescribed through NPStds.

If the Committee support recommended Option 2, staff consider consultation with the region’s territorial authorities is in order to inform them of Council’s intention to delay making the RPS NPStds compliant until 2024 and its reasons. Further to ascertain whether general consensus or support for this approach is forthcoming. Following consultation Regional Council should inform the Ministry for the Environment of its intention to delay making the RPS NPStds compliant until 2024 and its reasons.

3. Considerations

3.1 Risks and Mitigations

There are no significant risks associated with this matter/subject/project/initiative.

S58I RMA requires Council’s recognise national planning standards and amend policy statements and plans as required by mandatory direction without using any of the processes set out in Schedule 1 and within the time specified.

There is small a risk someone may wish to challenge Council’s decision to align compliance with the NPStds for the RPS with implementing the NPSFM as it effectively, delays compliance with the NPStds until notification in July 2024 (instead of within the time specified - by May 2022). Overall this risk is considered very low, given:

(a) the first NPStds are only about structure, formatting, definitions, mapping and the like - ie. comestic matters rather than national direction to change content;

(b) Option 2 proposes alignment of RPS & RNRP NPStds compliance alongside changes required to implement the NPSFM. This will allow opportunity for a more holistic integrated consideration of structure and format likely to be need to give effect to Te Mana o te Wai , embed the ki uta ki tai concept; and

(c) the RM reforms signal some significant changes that will affect the way RM policy and plans are structured (and whether indeed an RPS will exist into the future).

Staff recommend Regional Council liaise with its constituent territorial authorities and tangata whenua to determine whether there are any concerns about delaying RPS compliance with the NPStds until July 2024 to align the two processes.

3.2 Climate Change

The matters addressed in this report are of a procedural nature and there is no need to consider climate change impacts. Regardless, making the RPS and regional plans NPStds compliant will ultimately result in a reliance on ePlans only with limited hard copies longer term. This will reduce printing and publication costs and resourcing including electricity.

3.3 Implications for Māori

Council is establishing engagement relationships with tangata whenua for the EFPP (outlined in the EFPP update paper) Engagement will include discussing the National Objectives Framework steps (vision, objectives, etc), the draft Freshwater Management Units (FMU’s) as well as the planning framework and structure of provisions in due course.

Matters that will most likely shape the structure of the RNRP is the planning framework needed to implement the NPSFM. For example, discussion about what Te Mana o te Wai means for our region, both with tangata whenua and the wider community, as well as working together on how we effectively adopt an integrated approach using the Te Ao Māori concept of ki uta ki tai into the RPS and RNRP.

Alongside the freshwater conversations, the NPStds requires engagement with ‘affected groups’ to determine the appropriate name to call the Tangata Whenua / Mana Whenua chapters in the RPS and regional plans and also consideration of the prescribed matters for content.

The Tangata Whenua/Mana Whenua chapter must only contain ‘context and process related provisions’ of the nature outlined in the NPStds. It directs all other tangata whenua provisions must be integrated throughout the policy statement or plan.

The existing RPS iwi resource management issues, objectives and policies remain equally valid today as they were in 2016 when the second generation RPS was made operative. The question is not whether they should be included in the reformatted NPStds compliant RPS but how they are included in the new structure and format.

Some of the ‘matters to consider’ listed in the NPStds may be better provided for as links to material outside of the RPS or plan, allowing tangata whenua and Council to keep material up to date without the need for a policy or plan change.

3.3.1 Treaty Co-Governance Considerations

Treaty Co-governance areas are set by Treaty of Waitangi settlement legislation. To date these have been catchment based. The RPS contains provisions to recognise and provide for the vision, objectives, and desired outcomes of the Rangitāiki River Document. Proposed Change 5 (Kaituna River) will recognise and provide for the vision, objectives, and desired outcomes of the Kaituna River Document and is progressing towards notification by June 2021.

The high-level draft RPS NPStds compliant structure includes an additional Treaty co-governance chapter to house Treaty Settlement legislation enacted provisions. It is proposed that the RNRP will have FMU chapters which will align with the Kaituna and Rangitāiki co-governance areas (and catchments). The timing in recommended Option 2 aligns well with providing for the Rangitaiki and Kaituna River documents and structure to house future co-governance documents.

3.4 Community Engagement

CONSULT

Whakauiuia

To obtain input or feedback from affected communities about our analysis, alternatives, and /or proposed decisions.

As outlined under Implications for Māori, the NPStds require engagement with ‘affected groups’ to determine the appropriate name to call the Tangata Whenua / Mana Whenua chapters in the RPS and regional plans and also consideration of the prescribed matters for content. That said, as outlined under the Process section, mandatory directions in NPStds must be made without using the Schedule 1 process and do not follow the plan change process.

Any ‘beyond consequential’ changes do need to follow a Schedule 1 process and all necessary consultation requirements as will all EFPP changes.

3.5 Financial Implications

The costs associated with complying with the NPStds was not provided for within the allocated RPS and RNRP budget within the Long Term Plan 2018-2028. Work to date has involved staff time analysing the NPStds requirements, restructuring and reformatting the existing RPS and RNRP content to comply with the NPStds abd carrying out internal and external consultation with other policy and planning personnel. The 2020/21 budget for the overall RPS programme is $221,301. There are no external costs associated with legal due diligence as this is being undertaken by Regional Council’s legal staff.

4. Next Steps

1. Staff will continue to refine the high-level RPS and RNRP working draft structures, fleshing out further layers of detail as parts of the puzzle are revealed.

2. The high-level structure of the RNRP will remain in working draft form until the planning framework and engagement is well progressed. No formal decision is sought from Strategy and Policy Committee yet.

3. Staff intend sharing the working draft high-level structures in kōrero with tangata whenua, particularly the proposed Ngā Kaitohutohu. Kōrero would include sharing NPStds requirements, particularly in relation to the RPS, RCEP, RNRP structures as well as naming and content of the Kaitiakitanga/Tangata Whenua/Mana Whenua chapters. Engagement is required under the NPStds

4. Staff also intend socialising the high-level RPS and RNRP working draft structures and iterations of them, in discussion with tangata whenua, internal discussion about reviewing RNRP chapters, as well as with key stakeholders such as the TLA Freshwater Collaboration Forum, other regional councils particularly neighbouring councils.

Attachments

Attachment 1 - High-level Working Draft Structures ⇩

Attachment 2 - Options Analysis - RPS and RNRP timing for NPStds Compliance ⇩



Report To:	Strategy and Policy Committee
Meeting Date:	4 May 2021
Report Writer:	Julie Bevan, Policy & Planning Manager; Stacey Faire, Senior Planner (Coastal) and Sharlene Pardy, Team Leader Policy (Environmental)
Report Authoriser:	Namouta Poutasi, General Manager, Strategy & Science
Purpose:	To provide an update on the Bay of Plenty Regional Coastal Environment Plan, including next steps and key messages

Bay of Plenty Regional Coastal Environment Plan Update,

Next Steps and Key Messages

Executive Summary

With the Minister of Conservation’s approval of the outstanding appeals, Motiti and Matakana, there are only two administrative steps that Council now needs to complete to make the Regional Coastal Environment Plan operative: establishing the notification date and the operative date. Staff recommend two separate timeframes for these cases with Matakana becoming operative first on the 18^th of May 2021 and a three month notification period for Motiti, becoming operative on 11^th of August 2021). The three month timeframe provides time for adjustment and a lead in period for all fishers and stakeholders and enables Council to continue to discuss the implications with tangata whenua. It also provides time for Council to run an education campaign to inform the public prior to next summer. Staff have included a summary of the Motiti Protection Area education campaign key messages.

Recommendations

That the Strategy and Policy Committee:

1 Receives the report, Bay of Plenty Regional Coastal Environment Plan Update, Next Steps and Key Messages.

2 Notes that the Chief Executive has the delegated authority to set the date to make the remainder of Bay of Plenty Regional Coastal Environment Plan operative.

3 Agrees that the Matakana provisions be made operative on 18 May 2021 and the Motiti provisions operative on 11 August 2021.

4 Disestablishes the Regional Coastal Environment Plan Appeal Subcommittee.

1. Introduction

The Bay of Plenty Regional Coastal Environment Plan (RCEP) sets out the objectives, policies and rules for managing the effects of use and development in the coastal marine environment. The journey of the RCEP started in 2011. The planning process took eight years of investment by Council to run an effective public process. The majority of the plan was made operative in December 2019 with the two outstanding appeals being resolved in June 2020. The Minister of Conservation approved the outstanding appeals under Clause 20 of the RMA on 25 February 2021. Councillors will recall that in the case of a regional coastal plan it is the Minister of Conservation who gives the final approval.

This paper briefly outlines the:

· next administrative steps Council needs to complete to make the plan operative,

· reasoning for the associated timeframes, and

· Motiti Protection Area education campaign key messages.

1.1 Alignment with Strategic Framework

A Healthy Environment	We develop and implement regional plans and policy to protect our natural environment.
The Way We Work	We continually seek opportunities to innovate and improve.

2. Notification Timeframes

In terms of the notification and the operative dates for the Matakana appeal, it is recommended that the standard timeframes should apply. This means the public notice would be in the newspaper on 11th of May 2021 and the provisions made operative on the 18th of May 2021.

In the case of the Motiti appeal, given it has largely been a Court led process, and that it will have direct impacts on the community, it is considered appropriate to provide a fair and reasonable notification period for people to adjust to the new rules. To determine what would be considered a fair and reasonable timeframe, staff evaluated the following matters:

· a comparison of associated regulatory timeframes, such as standard plan change timeframes, marine reserve notifications etc.,

· operational requirements of Council to prepare planning documentation, and advance notification of parties and tangata whenua,

· impact of the decision on customary fisheries as the decision will remove their previously agreed treaty rights in the areas of protection, and

· the high level of public interest over the court process and the impact on existing fishing interests both recreational and commercial.

The evaluation concluded that a fair and reasonable timeframe of three months would be appropriate. This would allow for:

· Council to continue educating customary and recreational fishers and divers about the new provisions,

· Commercial businesses to adjust their operations in time to comply with the rules, and

· Council to continue to share this journey with iwi/hapū.

The proposed three month period is legally robust as the schedule does not preclude a longer notification period. However, it is critical not to make the notification process too long or there would be a risk that Council would be seen as not fulfilling the Court’s direction. The proposed operative date is 11th of August 2021.

Table 1 outlines the administrative steps Council will need to take to meet this deadline.

Table 1 - Key Dates for Notification resolving the last two appeal points of the Bay of Plenty Regional Coastal Environment Plan

Key Dates for Notification Process	Tasks
4^th of May 2021	Strategy and Policy Committee meeting
5^th of May 2021	Council provides advance notice to parties involved with the Court proceedings and Iwi
7^th of May 2021	Mail out to stakeholders and the public
11^th of May 2021	Public notice notifying operative dates as follows: · 18 May 2021 ( Matakana) · 11 August 2021 (Motiti Protection Area)
May to August 2021	Education campaign is activated and focuses on target messaging prior to summer fishing season.
11^st August 2021	The new rule is operative and enforceable for Motiti Protection Area
August 2021 to April 2022	Operative education information is scaled up and active into the preceding summer months.

3. Appeals Subcommittee

As is standard practice with appeals process, a subcommittee was formed to provide guidance to staff through the appeal process. The Regional Coastal Environment Plan Appeal Subcommittee was established by the Regional Direction and Delivery Committee on 20 August 2015. As the appeal process is completed the formal requirement for an appeal subcommittee is no longer required and it is recommended that it be disestablished.

4. Considerations

4.1 Risks and Mitigations

The proposed education programme is staged to provide advance notice of the new rules to stakeholders and tangata whenua and to reach a wide audience, prior to the operative date.

4.2 Climate Change

The matters addressed in this report are of a procedural nature and there is no need to consider climate change impacts.

4.3 Implications for Māori

Council have existing relationships with iwi and hapū to maintain throughout the implementation of the new rule and associated methods. It is critical that these relationships are fostered and supported.

4.4 Community Engagement

INFORM

Whakamōhio

To provide affected communities with balanced and objective information to assist them in understanding the issue.

4.5 Financial Implications

The cost of notifying the plan and the associated education campaign is within the budget allocated to this work. As this is a new workstream staff are in the process of identifying future resources likely to be needed for this project through the Long Term Plan 2021-31.

5. Next Steps

The following is a summary of the Motiti Protection Area education campaign key messages.

The Motiti Protection Area education campaign will run from May to August 2021, up to when the new rules become operative on 11 August.

The purpose of the campaign is to provide the public with following information about the new rules:

· where the rules apply,

· how the rules apply equally, to all users,

· how the rules will help protect the reefs and their ecosystems, and

· when they will be operative (three month led in period).

Staff will keep Councillors informed of the notification process, the Motiti Protection Area education campaign and any responses received.

Updates will also be included on the Council website which is a useful reference for the public.

https://www.boprc.govt.nz/our-projects/motiti-protection-area.



Report To:	Strategy and Policy Committee
Meeting Date:	4 May 2021
Report Writer:	Moana Boyd, Senior Planner (RIN)
Report Authoriser:	Namouta Poutasi, General Manager, Strategy & Science Julie Bevan, Policy & Planning Manager Nassah Rolleston-Steed, Principal Advisor, Policy & Planning
Purpose:	To appoint two Council nominees for the Freshwater Hearings Panel for Proposed Change 5 (Kaituna River) to the Bay of Plenty Regional Policy Statement

Nominations for the Freshwater Hearings Panel to hear Proposed Change 5 (Kaituna River) to the Bay of Plenty Regional Policy Statement

Executive Summary

On 1^st April 2020 Council approved public notification of Proposed Change 5 (Kaituna River)(Proposed Change 5) to the Bay of Plenty Regional Policy Statement in accord with Schedule 1 to the Resource Management Act 1991 (RMA). Proposed Change 5 seeks to fulfil Council’s statutory obligation to recognise and provide for the vision, objectives and desired outcomes of the Kaituna River Document – Kaituna He Taonga Tuku Iho.

As Proposed Change 5 primarily relates to freshwater it is required to follow a new Freshwater Planning Process (FPP) which was introduced through the Resource Management Amendment Act 2020 (RMAA). This alternate planning process supports the need to improve freshwater management and outcomes in New Zealand by providing a more efficient decision making pathway.

This report provides an overview of the FPP with a focus on freshwater hearings panel provisions. The FPP is overseen by a Chief Freshwater Commissioner who convenes a Freshwater Hearings Panel (FHP) to conduct a hearing of submissions before making recommendations to Council. Appeal rights under the FPP are limited.

The FHP comprises freshwater commissioners as well as persons nominated by Council and local tangata whenua. This report seeks Council nominees to sit on the FHP for Proposed Change 5, it also requests support for a smaller FHP, and recommends a process to seek tangata whenua nominations.

Recommendations

That the Strategy and Policy Committee:

1 Receives the report, Nominations for the Freshwater Hearings Panel to hear Proposed Change 5 (Kaituna River) to the Bay of Plenty Regional Policy Statement.

2 Requests that the Chief Freshwater Commissioner establish a 3 person Freshwater Hearings Panel in accordance with Clause 59 (2)(b) of Schedule 1 to the Resource Management Act 1991 consisting of: 1 freshwater commissioner, 1 council nominee and 1 tangata whenua nominee.

3 Confirms the order of preference for Councillors to be nominated for the Freshwater Hearings Panel in accordance with Clause 59 (1)(b) of Schedule 1 to the Resource Management Act 1991.

4 Directs staff to provide a shortlist of Independent Commissioners for consideration by the Strategy and Policy Committee as prospective Council nominees if there are insufficient Councillor nominations under recommendation 3 above.

5 Approves the recommended process set out in Section 5.1.3 for inviting Tangata Whenua nominations for the Freshwater Hearing Panel at the time of public notification of Proposed Change 5 (Kaituna River) to the Bay of Plenty Regional Policy Statement.

1. Introduction

Regional Council approved Proposed Change 5 for public notification on 1^st April 2021. This follows a series of Strategy and Policy Committee (and its predecessor the Regional Direction and Delivery Committee) and Te Maru o Kaituna River Authority (TMoK) meetings, hui and workshops.

Staff are now working with an external supplier (Isovist) to install ePlan and associated submissions management software modules to facilitate managing and reporting on the Schedule 1 process.

As the policy framework for Proposed Change 5 relates to freshwater it is required to follow the new FPP which was introduced through the RMAA.

This report provides an overview of the FPP and seeks direction on:

1. Council nominations for the Freshwater Hearing Panel (FHP); and

2. A process for inviting tangata whenua nominations to the FHP.

Proposed Change 5 is one of the first freshwater planning instruments to go through the FPP. Staff are liaising with the office of the Chief Freshwater Commissioner regarding the process and timing.

1.1 Legislative Framework

Proposed Change 5 seeks to fulfil Regional Council’s responsibilities under the Tapuika Claims Settlement Act 2014 which requires the RPS to recognise and provide for the vision, objectives and desired outcomes of ‘He Taonga Tuku Iho – a treasure handed down’ (the Kaituna River Document). Section 123(4) of the Tapuika Act contains two conditions to this obligation being that:

1. They apply only to the extent that the contents relate to the resource management issues of the region; and

2. Recognising and providing for these is the most appropriate way to achieve the purpose of the RMA in relation to the Kaituna River.

Proposed Change 5 introduces a new Kaituna River section into the Treaty Co-Governance section 2.12 of the RPS. It includes:

· 6 significant resource management issues for the Kaituna River

· 7 Kaituna River objectives

· 9 Kaituna River policies

· 6 Kaituna River methods of implementation; and

· Expansion of 5 existing Rangitāiki River methods to also apply to the Kaituna River.

1.2 Alignment with Strategic Framework

A Healthy Environment	We develop and implement regional plans and policy to protect our natural environment.
Freshwater for Life	We collaborate with others to maintain and improve our water resource for future generations.
A Vibrant Region	We work with and connect the right people to create a prosperous region and economy.
The Way We Work	We honour our obligations to Māori.

Proposed Change 5 directly contributes to a Healthy Environment, Freshwater for Life, a Vibrant Region and The Way We Work Community Outcomes in the Council’s Long Term Plan 2018 – 2028.

2. National Policy Statement for Freshwater Management

The National Policy Statement for Freshwater Management (NPS-FM) 2020 along with other freshwater regulations came into effect on 3 September 2020. The NPS-FM 2020 requires a specific process for engagement and development of RPS and Regional Natural Resources Plan (RNRP) changes to give effect to its directions.

Council has formally endorsed aligning the RPS and RNRP change process through an Essential Freshwater Policy Programme which will deliver region wide NPS-FM 2020 implementation through RPS and RNRP changes to be notified in July 2024.

The purpose of Proposed Change 5 is not to implement the NPSFM 2020. The primary purpose of Proposed Change 5 is to recognise and provide for the Kaituna River Document – Kaituna He Taonga Tuku Iho in accordance with Tapuika Iwi treaty settlement legislation. That legislation is “iwi participation legislation” under the RMA and is to be considered as part of the freshwater planning process.

3. Freshwater Planning Process

The FPP provisions are set out in Section 80A and Part 4 Freshwater planning process in Schedule 1 to the RMA having been introduced as part of the RMAA which came into effect on 1 July 2020. Regional councils are required to use this planning process to implement changes required by the NPS-FM 2020 and for any change to a regional plan or RPS if it ‘otherwise relates to freshwater’^{^[7]}. Proposed Change 5 meets the second criterion. It recognises and provides for the vision, objectives and desired outcomes for the Kaituna River and its tributaries. Because it relates to freshwater it is a ‘freshwater planning instrument’ and it must follow this compulsory process.

The FPP is overseen by the Chief Freshwater Commissioner (CFC) who is appointed by the Minister for the Environment. The CFC is Professor Peter Skelton CNZM , the Deputy CFC is Alternate Environment Court Judge Craig Thompson. The FPP commences when a change is notified and must be completed within two years.

Proposed Change 5 will follow the standard Schedule 1 process for submissions and further submissions. Then as shown in Attachment 1 Council must submit the freshwater planning instrument (i.e. Proposed Change 5) and the documents specified in cl 37(1) and also give nominations for the members of the FHP no more than 6 months after public notification. It must also give nominations for the members of the FHP at least 20 working days before Council submits the documents in cl 37(1). This includes the nominations by Council as well as nomination(s) by local tangata whenua.

For Proposed Change 5 ‘required documents’ to be submitted include:

- Notified Proposed Change 5, the Section 32 report, submissions and further submissions, the summary of submissions, late submissions, planning documents recognised by an iwi authority, relevant iwi participation legislation and other relevant information including the Kaituna River Document, Kaituna Action Plan etc.

The CFC has been advised that Regional Council is preparing to publicly notify Proposed Change 5 and commence the Schedule 1 process. This has been acknowledged by the Secretary for the CFC who advised that their office will make contact to discuss appointing the FHP and scheduling of hearings in due course.

Section 80A (5) of the RMA includes the following outline for the rest of the FPP as set out in Part 4 of Schedule 1:

(a) the Chief Freshwater Commissioner must convene a freshwater hearings panel to conduct the public hearing of submissions on the freshwater planning instrument:

(b) the freshwater hearings panel must conduct the public hearing of submissions in accordance with its powers and the procedures set out in Part 4 of Schedule 1:

(c) after the public hearing of submissions is concluded, the freshwater hearings panel must make recommendations to the regional council on the freshwater planning instrument:

(d) the regional council may accept or reject any recommendation. However,—

(i) the regional council must provide reasons for rejecting a recommendation; and

(ii) a person who made a submission on the freshwater planning instrument may make an appeal in accordance with subpart 2 of Part 4 of Schedule 1.

Appeal rights are limited under the FPP. The ability to appeal depends on whether Council accepts or rejects the FHP’s recommendation.

Further detail about the Freshwater Planning Process is available here. There is also a guide to procedure and practices which is to be followed unless there is good reason to do otherwise. This is the Chief Freshwater Commissioner and Freshwater Hearings Panels Practice and Procedures Note 2020.

4. Freshwater Hearings Panel

Proposed Change 5 is one of the first ‘freshwater planning instrument’ to be heard through the FPP. (Otago Regional Council intends to notify the Proposed Otago Regional Policy Statement 2021 in late June 2021 and it will include freshwater related provisions that will also go through the FPP).

The FHP functions are set out in Clause 39 of Schedule 1 to the RMA. For Proposed Change 5 this will include:

- Conducting a hearing of submissions on Proposed Change 5;

- Making recommendations after the hearing has concluded to Council; and

- Hearing any objections made in accordance with clause 40(2) (objections relating to struck out submissions).

FHP have additional duties and powers compared to the standard Schedule 1 plan making process as illustrated below.

Table 1: Duties and Powers of Freshwater Hearings Panels

· Standard duties and powers (also applicable to freshwater hearings panels)

· Additional duties and powers that apply to Freshwater hearings panels

· hearings to be public and without unnecessary formality (s39, except restrictions on cross- examination)

· limit number of parties with the same interest to speak or call evidence (s40)

· exercise powers under the Commissions of Inquiry Act 1908 (s41 e.g. power to maintain order and summon witnesses)

· direct applicants to provide briefs of evidence before the hearing (s41B)

· direct order of business, take evidence and submissions as read, and limit speaking time (s41C)

· request further information (s41C)

· strike out a submission (s41D)

· protect sensitive information (s42)

· commission hearings reports (s42A).

· permit, regulate or prohibit cross examination (clause 48(2))

· convene pre-hearing meetings (clause 41)

· direct a conference of experts (clause 43)

· refer submitters to alternative dispute resolution, such as mediation (clause 44)

· commission reports (clause 45)

· appoint a special advisor(s) (clause 46)

· appoint a friend of the submitter (clause 46)

· accept or reject any late submissions (clause 40(3))

· recommend to the relevant regional council that a variation be made to a freshwater planning instrument (clause 40(4)).

Sourced from A new Freshwater Planning Process: Technical guidance for councils (Mfe, Sept 2020), p16

4.1 Freshwater Hearing Panel Appointment and Composition

The CFC must convene a FHP as soon as practicable after receiving the documents in cl37.

The FHP is to comprise:

· 2 freshwater commissioners who are appointed by the Minister (Cl 65, current freshwater commissioners are listed here)

· 2 persons nominated by the Regional Council, and who may or may not be elected Councillors; and

· 1 person with an understanding of tikanga Māori and mātauranga Māori nominated by local tangata whenua (with appointment to be by the CFC if no nomination is made).

The CFC can however appoint more or fewer than 5 members to the FHP. The FHP may be fewer than 5 if the CFC considers that the scale and complexity of the freshwater planning instrument does not warrant the appointment of 5 members. In that instance the panel must include as a minimum: a freshwater commissioner, a tangata whenua nominee and, a council nominee.

A new Freshwater Planning Process: Technical guidance for Councils (Ministry for the Environment, September 2020), p17 includes this statement:

‘if a regional council considers that there is a good reason to have more, or less than the default of five members, it should provide this information to the Chief as soon as possible in the process, and at least at the time of providing nominations …’^{^[8]}

Staff recommend that Council ask the CFC to establish a smaller hearings panel made up of 3 members (1 freshwater commissioner, 1 council nominee and 1 tangata whenua nominee) for the following reasons:

· The limited scope of Proposed Change 5 being a change for a single catchment with the purpose of reflecting the Kaituna River Document (i.e. it is not a full RPS review);

· It does not have the purpose of implementing the NPS-FM 2020;

· As it is an RPS change it does not contain any regulatory methods (i.e. rules) which limits its complexity;

· Such an approach is consistent with the first RPS Treaty co-governance change, with the hearings panel for RPS Change 3 (Rangitāiki River) comprising 3 panel members;

· It has been through a full draft comment process involving community and tangata whenua input, and based on the comments received by 12 parties via that process Council considers that it is likely to attract limited submissions; and

· To limit hearing and procedural costs, avoid hearing panel member availability clashes and to increase administrative efficiencies. The Council is responsible for all costs incurred by a FHP.

4.2 Skills and Experience

All FHP members must be accredited under section 39A of the RMA (Making Good Decisions certified) unless the CFC is satisfied there are ‘special circumstances’ in relation to the freshwater hearings panel to which the commissioner is appointed. It is not clear yet what this could include, but perhaps this could apply to people with specialist skills, such as those with mātauranga Māori expertise, hydrologists and other scientists.

In appointing members to a FHP the CFC will consider the need for collective knowledge and expertise (clause 59(6)) across the following areas:

· judicial processes and cross-examination;

· freshwater quality, quantity and ecology;

· the RMA;

· tikanga Māori and mātauranga Māori;

· Te Mana o te Wai;

· water use in the local community; and

· subject areas likely to be relevant to the work of the panel.

5. Council nominations for the Freshwater Hearing Panel

5.1 Council Nominees

The collective knowledge referred to above should be considered as part of the process for selecting Council nominees. Under Clause 37(2)(b) Council must provide the CFC with two nominations for the FHP to hear Proposed Change 5. As per Clause 59(1)(b) these persons may or may not be elected regional council members.

Staff recommend that the Committee nominate three Commissioners and advise their order of preference. This information can then be provided to the CFC.

The purpose of providing the CFC with three nominees in order of preference is to ensure that, in the event he does not accept that fewer than 5 members are appropriate, the CFC is still in a position to convene the FHP. It also ensures that there are no delays caused by needing to identify another nominee if required.

5.1.1 Nominations for Elected Members

Councillors who have accreditation along with certification expiry dates are listed below^{^[9]}:

Councillor Iti	31 December 2023
Councillor McDonald	31 December 2025
Councillor Nees	30 June 2021
Councillor Thompson	30 June 2024
Councillor von Dadelszen	30 June 2024

5.1.2 Nominations for Non-Elected Members

In the absence of Councillor elected member nominations the Committee will need to consider nominating Independent Commissioners. If this is required then staff will provide a shortlist of potential candidates for consideration at the next Strategy and Policy Committee workshop (4 August 2021).

Alternatively, expressions of interest could be requested via the Council website (this being the example set by Otago Regional Council).^{^[10]}

Staff preference is to generate a short-list for the Committee to consider and have therefore made their recommendation accordingly. Staff are familiar with the potential candidates and their experience and understanding of regional issues, and this would also avoid a further process and delays.

5.1.3 Tangata Whenua Nominations

Council must also provide the CFC with the local tangata whenua nominations for appointment for the FHP. Council must decide a process for seeking nominations from local tangata whenua. Staff propose tangata whenua nominations be invited from persons/organisations in the Māori contacts directory for the Kaituna River catchment^{^[11]}. Nominations can be sought at the same time that Proposed Change 5 is publicly notified. Staff will start making contact with tangata whenua representatives to advise them that this invitation will be forthcoming.

The request for local tangata whenua nominations will set out relevant information on the FPP process and the function and role of the FHP as well as criteria including those set out in 4.2 but with particular emphasis on:

1. Proven experience and expertise in tikanga Māori and mātauranga Māori;

2. Current s39A hearing commissioner accreditation; and

3. Previous hearing commissioner experience, being desirable but not essential.

Tangata whenua nominations received will be reported to TMoK following the close of submissions. TMoK iwi members will be asked to recommend their preferred tangata whenua FHP nominee(s). The CFC will then be provided with the full list of tangata whenua nominations received during submissions along with the preferred TMoK nominee(s).

Staff consider this to be the appropriate process as it provides the opportunity for all local tangata whenua to nominate their preferred candidates (and for this information to be provided directly to the CFC), ensures there is a role for TMoK in the nomination process, and that the CFC is provided with information to assist him with the appointment process in the event there are a number of nominees he must select from.

6. Considerations

6.1 Risks and Mitigations

There are no significant risks associated with Proposed Change 5. There is an expectation Council will act in accordance with the Treaty of Waitangi principles of ‘good faith’ and ‘partnership’ by continuing to progress Proposed Change 5 without delay.

6.2 Climate Change

Proposed Change 5 seeks to recognise and provide for the vision, objectives and desired outcomes of the Kaituna River Document. The Kaituna River Document lists as a key issue to respond to ‘pressure on the Kaituna River due to land use intensification, urban growth and climate change’. In addition, existing RPS provisions, will continue to apply to the Kaituna River catchment including RPS Policy NH 11B ‘Providing for climate change’ and Policy IR 2B ‘Having regard to the likely effects of climate change’.

6.3 Implications for Māori

Proposed Change 5 is the second RPS Treaty co-governance change. It has significant implications for Tapuika Iwi in particular as it relates to their Treaty settlement legislation and strategic cultural aspirations. It also has cultural significance to other Te Maru o Kaituna iwi members namely Ngāti Pikiao (through Te Pumautanga o Te Arawa Trust member), Waitaha, Ngāti Rangiwewehi and Ngāti Whakaue.

Kaituna is considered a tupuna and is revered as a living entity. Statutory acknowledgements exist along the Kaituna River and its tributaries that recognise the mana of Waitaha, Tapuika and Ngāti Rangiwewehi and particularly the cultural, spiritual, historical and traditional associations they have with these specified areas. There are also numerous sites of significance to Māori within and adjacent the Kaituna River and its tributaries many of which are described in rich detail in iwi and hapū resource management plans and the aforementioned statutory acknowledgements.

Proposed Change 5 is intended to reflect the vision, objectives and desired outcomes of the Kaituna River Document within the RPS. Iwi and hapū have high aspirations in terms of the practical effect of Proposed Change 5. District and regional plans will need to give effect to, and resource consent decision making processes will need to have regard to, the RPS policy framework.

6.4 Community Engagement

Now the process is entering into a formal Schedule 1 process there is limited opportunity for community engagement. People can make submissions on Proposed Change 5. There are appeal rights, although these are limited under the FPP.

Draft Proposed Change 5 was open for informal consultation from Monday 24 August to Friday 16 October 2020 and written comments were received from 12 parties. Most comments received generally support the draft change although concerns are raised on specific provisions.

TMoK members and Regional Council, via the Regional Direction and Delivery Committee and more recently the Strategy and Policy Committee, have been regularly updated and involved in the progress of Proposed Change 5 since its inception in October 2018.

6.5 Financial Implications

The cost of developing Proposed Change 5 is budgeted in the Long Term Plan 2018 – 2028 within the Regional Planning activity. Costs to date have involved consultant fees, staff time, printing and publication associated with releasing Draft Proposed Change 5 for informal comment in 2020. The process has involved reporting to and workshopping with the Strategy and Policy Committee (and its predecessor Regional Direction and Delivery Committee) and TMoK members.

The remaining 2020/2021 budget for Proposed Change 5 is $93,674. Future costs will include printing and publication costs associated with public notification of submissions (original and further) estimated to be around $1,500 for each notification process and contractual commitments with Isovist to, supply, deploy and train staff to implement their ePlan and associated submissions management software. The significant costs for Proposed Change 5 will relate to the FHP because regional councils are responsible for all costs incurred by the FHP including remuneration and expenses of FHP members, any experts or mediators engaged by the panel, administrative costs for holding the hearing etc. (see Clause 63).

The FHP is a new process and these costs will in part be dependent on the number of submissions, number of FHP members, FHP costs and appeals. Costs once known can be updated and provided to Council as Proposed Change 5 moves through the FPP.

7. Next Steps

The proposed timeframe for notification is late May 2021 and the submissions process is anticipated to be completed by September 2021. Staff propose inviting persons in Council’s Māori contacts database to put forward tangata whenua FHP nominations at the time of public notification of Proposed Change 5 (see section 5.1.3 Tangata Whenua nominations).

Staff will notify further submissions in an expedient manner following the close of submissions on Proposed Change 5. An update report providing a high level overview of submissions received and tangata whenua FHP nominations will be provided to the 14 September 2021 Strategy and Policy Committee Workshop.

Council must provide the CFC with the required documents no more than 6 months after public notification, being November 2021. Council must also provide the CFC with council and tangata whenua FHP nominations at least 20 working days in advance of the required documents being submitted. After receiving the required documents and nominations the CFC must then convene a FHP ‘as soon as practicable’.

Tuhinga Tautoko
Attachments

Attachment 1 - The Freshwater Planning Process

Attachment 1: The Freshwater Planning Process

[1] A social media campaign in which MfE’s film clips about Te Mana o te Wai were posted.

[2] BOPRC’s regional e-newsletter about freshwater.

[5] A separate agenda report on Proposed Change 5 deals with the FPP in more detail.

[6] The Regional Air Quality Plan Change 13 was the first to use the streamlined content policy.

[7] Section 80A (2)(c)(ii) of the Resource Management Act 1991 (RMA)

[8] Mfe ‘A new Freshwater Planning Process: Technical guidance for councils, Sept 2020’, p17.

[9] As listed on the MfE ‘Certificate holders – local body elected members’ website on 9 April 2021.

[10] As an example this is a link to Otago Regional Council’s call for Expressions of Interest

[11] This is the same Māori contacts list used during the informal consultation period during 2020.

Chairperson	Cr Paula Thompson
Deputy Chairperson	Cr Stuart Crosby
Members	All Councillors
Quorum	Seven members, consisting of half the number of members
Meeting frequency	Six weekly rotation between committee meetings and strategic sessions