Select Committee publishes final report on the Resource Management (Extended Duration of Coastal Permits for Marine Farms) Amendment Bill

The Primary Production Select Committee has published its final report on the Resource Management (Extended Duration of Coastal Permits for Marine Farms) Amendment Bill.

The Government’s proposed Resource Management (Extended Duration of Coastal Permits for Marine Farms) Amendment Bill seeks to provide further stability and certainty for marine farm consent holders by extending the duration of existing coastal permits by 20 years but not beyond 31 December 2050.  This could see 1,200 marine farms obtain a 20-year extension. The Bill also contains a bespoke mechanism that allows consent authorities to review the conditions of coastal permits extended under this Bill. You can read about the Bill here.

The Primary Production Select Committee has now released its final report on the Bill. The report includes some amendments to the Bill and records the views held from the Labour and Green Parties. The Committee recommendation is the  Bill should be passed subject to some drafting amendments. The key amendments are set out below.

Simplifying how the extension will apply to coastal permits

Section 165ZFHB of the Bill sets out the types of permits that the extension would apply to and section 165ZFHA defines the permit types.

The Committee’s proposed amendments clarify how the extensions (which occur under subpart 1A) are intended to apply to these coastal permits. Under subpart 1A a coastal permit is eligible for an extension under subpart 1A if it is for an aquaculture activity in the coastal marine area, is current on the day the Bill comes into force and expires earlier then 31 December 2050. The Committee had concerns that the Bill was not clear on whether permit holders who had applied for a new coastal permit under section 165ZH could then extend their existing permit under this Bill. Subsequently, the Committee proposed changes to 165ZFHB to make it clear that all coastal permits in force under section 165ZH are included in the extension.

The Committee also recommends a further amendment to section 165ZFHB so it is clear that coastal permits within the meaning of section 87(c) of the Resource Management Act 1991 (permits for activities in the coastal marine area that otherwise contravene sections 12, 14, 15, 15A, and 15B of the RMA) are also included in the extension if they meet the criteria in subpart 1A.

Ensuring conditions apply to all coastal permits

Section 165ZFHC extends coastal permits either by 20 years or to 31 December 2050. Subsection (3) states the conditions of ‘extant’ permits still apply except in circumstances such as a change to a condition is required as a result of extending the permit or the permit is subject to an appeal at the date on which the Bill comes into force in which case the conditions are those set by the decision made on final appeal.

The Committee recommend removing the word ‘extant’ so the conditions apply to all coastal permits under the subpart.

Amendments to the review mechanism

Currently, section 165ZFHJ states the purpose of the bespoke review mechanism is:

“to better promote the sustainable management of the natural and physical resources associated with the marine farm, without preventing the permit holder from carrying out the aquaculture activity to which the permit relates”

The Committee recommend amending this purpose so it is clear the review purpose will be interpreted and undertaken alongside the purpose and principles set out in Part 2 of the RMA but in a way that does not prevent carrying out the activity the coastal permit pertains to.

The Committee also recommend amending the parties intended to be notified of the review. Currently section 165ZFHL of the Bill states the review may begin once the consent authority receives the Director-Generals concurrence and notice is given to specified groups or persons. These people include “rights and title holders” under the Marine and Coastal Area (Takutai Moana) Act 2011.  The Committee believe this provision needs to be clearer about which rights and title holders are referred to. They propose the Bill is amended so customary marine title holders and applicants are notified and can make a submission on a review of consent conditions if the extended coastal permit applies in their rohe (area under the Marine and Coastal Area (Takutai Moana) Act).

The Committee also proposed amendments to clarify the application of section 131 of the RMA in the review decision stage. Section 131 of the RMA sets out matters to be considered by a consent authority when reviewing conditions of a resource consent. Section 165ZFHM(2)(a) of the Bill provides that section 131 applies with any necessary modification, to the consent authority’s decision-making on review. The Committee recommend amending this so that section 131 in its entirety applies (except for subsection (1)(aa) which applies to Court-ordered reviews and is not applicable under this review process). The Committee recommendation is to amend section 165ZFHM so it reads that section 131 is applied as far as it is relevant to a review under subsection (2).

Next steps

The Bill is now due for its Second Reading in the House of Representatives. The Bill was intended to be passed at the end of July so it is expected to make its way through the rest of the parliamentary process and into law quickly.

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