Natural Environment Bill
Thank you, Madam Chair. This is a very important part of the bill because it goes to enforcement, and we know with any regulatory regime that it doesnât work if thereâs no enforcement. Thatâs what Part 6 is about. Yeah, I donât believe there are any schedules related to Part 6, so itâs just Part 6.
Now, on the big Amendment Paper that we haveâAmendment Paper 710âthere is a lot of crossing out about the role of the EPA. The EPA is the Environmental Protection Authority. Thereâs lots and lots crossed out. My question is a very simple one: it is for the member in the chair, the Hon Simon Court, to explain what has happened. Is it that the crossed out parts are all put back in later on at clause 273A, and, in fact thereâs no policy change, or is there a policy change? If so, can the member take us through what that is?
Whilst weâre waiting for the member, then, Iâll keep talking. Iâll keep talking if I can, if Iâve got any voice left. Letâs go through to declarations. Now, declarations have always been an important part of the resource management system because, of course, you can apply to the Environment Court for a declaration. I guess the question here is to be clear that it is only the Environment Court that can make a declaration rather than the newly formed planning tribunal. That is because the planning tribunal is there to work with more nuts and bolts issues, but a bigger issue such as a declaration needs to be from the court. We heard in another part of another related bill that there can be 10 Environment Court judges, so that is the place for the declaration.
I guess another question on declarations would be whether or not the member anticipates the need for more declarations with this new legislation and if he thinks that declarations would apply and, indeed, if they could be a useful tool. Thank you.
Just in response to the member Rachel Brookingâs questions around the deletions at the start of Part 6, from old clause 243 onwards, Iâm advised that from clauses 243 to 252, those provisions have been deleted and moved to subsequent clauses from around about 237, so they are retained. Itâs just making sure that we work through the process, getting the report back from the Environment Committee and identifying ways that we could make the bill more efficient if they have been moved.
Thank you, Madam Chair. I want to ask about the enforcement orders provisions. These are clauses 258 to 265. The first question is about the serial offenders provisions that are earlier in the bill. But weâve got the old formulation of clause 258(6), which was sort of the old and only power to deal with serial offenders, which now seems a bit heavy-handed because youâve got the other powers.
I want to ask whether thatâs deliberate to keep that in there and whether it should go because, essentially, the question is why should an enforcement order relating to non-compliance in one sense then mean that the Environment Court can revoke a different permit? If you have a factory thatâs discharging into the Manukau Harbour and has breached its discharge permit, why should the Environment Court also be able to take away its water take permit? Under the old system, that was kind of the only enforcement mechanism that that factory would have had if it was constantly breaching its discharge conditions, but that would, effectively, shut the factory down. Under the old system, the Environment Court didnât have to have regard to all of the things that it now does around economic development, but it does now. That power seems to be something which needed to exist under the old system, but shouldnât any more.
Clause 259, âCompliance with the enforcement orderâ: now, this is where you might update this for serial offenders, because the serial offenders provisions leave, say, abatement notices out of the scheme. If youâve been a serial offender but youâve had a number of abatement notices, those donât count towards your kind of tally of being a bad guy who wonât get a new one. That doesnât make sense any more if enforcement orders like this should also be in that zone. If youâve had an enforcement order against you, you should need to comply with that. I just want to check with the member Simon Court whether enforcement orders go to your tally. Usually, weâre getting there from, say in the water discharge context, having done that several times, having the abatement notices, and then having the enforcement. It is at a higher level than just an abatement notice and we want to put it in there.
I appreciate the member Arena Williamsâ deep and broad understanding of regulation, but at this late stage we will not be accepting any further amendments to the legislation from the Opposition.
In answer to the member Rachel Brookingâs question about can the planning tribunal makeâoh, sorry, it could have been actually, forgive me, the member Arena Williamsâ question aboutâ
Hon Rachel Brooking: It was mine.
SIMON COURT: Oh, it was Rachel Brooking; thank you. Can the planning tribunal make a declaration or enforcement? No, only the Environment Court, but the planning tribunal can make a declaration on consent conditions. In response to the member Arena Williamsâ question about revocation and whether, say, a permit thatâs been revoked for some egregious breachesâshe described a factory discharging into the Manukau Harbour. I certainly do remember as a young environmental engineer, when it was cool to be environmental, visiting premises that might have been described as having egregious discharges and monitoring those. Iâm familiar with how bad that was. The legislation provides for revocation only for the most egregious offending. The memberâs question was, well, if revoking the discharge permit is sufficient to stop the breach or the harm, why should the court have discretion to revoke other permits? Well, the court does have discretion to respond to facts.
Thank you, Madam Chair. I wanted to pick up on a very substantive part of Part 6, and that is around natural resource levies. That is clauses 313 onwards, on pages 244. This was an area that, when it was first introduced, held a lot of promise, and it held a lot of promise because there is so much amazing work that is going on, particularly at the catchment scale, where groups of farmers and landowners are able to come together, often with the wider community, with iwi and hapō, and actually make progress in the areas where they live, particularly in terms of figuring out ways to improve the environment.
Now, what is really disappointing, then, are the changes that were made by the Government to limit these clauses. When we know that this whole system is moving towards a much more permissive frameworkâthat there will be the reliance particularly on freshwater farm plans, an area which we were unable to examine even though there have been substantive changesâthose are the areas where the actual changes are meant to happen. Now, unfortunately, the Government has come in and amended the natural resource levies to limit the ability for councils to use this framework to actually support and fund the administration of catchment groups.
CHAIRPERSON (Maureen Pugh): Is there a question?
LAN PHAM: My question is: when this was the entire intentâcatchment groups being able to take much more control of the situation given the hugely permissive nature of this new legislationâwhy did it make sense to the Government to then limit that when it comes to catchment groups?
I know from being on the select committee that there was appetite from select committee members, particularly those of the Government in the farming sector, to enable this, and yet it was limited. Why was it limited? What is actually envisaged when we have things like the rates cap on councils to actually fund and enable catchment groups to work together?
I appreciate the member Lan Pham understands well the role of catchment groups and the benefits that they bring to communities. Iâve been and visited farms where catchment groups have delivered some fantastic improvements to the natural environment. They are some of our best people: farmers and growers who get together voluntarily, using their own resources and time, to restore the natural environment, in a complementary way to primary production activities. Itâs a wonderful example of how pioneering New Zealanders can organise themselves to achieve both economic and environmental objectives.
To the memberâs questionââWhy have the levy arrangements been changed?ââwell, the changes respond to concerns that levies could be used to fund wider resource management costs than what was originally intended, and we donât want to charge resource users to pay someone to tell them how to do their job.
To the question around why levies canât fund catchment groups, well, catchment groups are not a defined term under the Natural Environment Bill, so enabling levies to fund catchment groups could allow a wide and potentially poorly controlled use of funds. Levies must be to fund specific functions or objectives set out in legislation and subsequent instruments. Catchment groups are not restricted to functions or objectives set out in legislation, and we have no wish to define what a catchment group is or can or canât do; that would potentially impact on their grassroots nature and the good work they do. We are being very careful to make sure that this is a narrow levy to fund specific costs, rather than a tax.
Thank you. I have just two very little questionsâone is just thinking about what the member Simon Court was saying about the levies, then, and what they can be used for, and that they are narrow and not a tax. I noticed that he emphasised that point. Where does he see the levy-setting fit with the comments he was making last night about environmental limits and the cost benefit and the costs and the community paying? We had an exchange last night, and I was more focused on ratepayers, because, of course, we all know that this Government loves putting more work on rates on councils, but if he can comment on where he sees levies fitting with it, that would be useful.
Then my second question, which is a very small question, but is, I think, quite delightful, is whether the member can confirm for me, in Subpart 3, âRegulationsââclause 307 is âRegulationsâ, and if you turn over to page 234, at paragraph (f) it says, âspecifying the offences under this Act (including offences prescribed under paragraph (x)) âŚâ. I thought, when I first looked at this, âOh, my goodness, what has happened to PCO? Why are they just putting Xs everywhere? Is that something that they need to come back for?â But in factâin factâthere is a paragraph (x). If he can just confirm that it is just a delight that we donât normally often see Xs in legislation, but here we goâhere we are.
I thank the member the Hon Rachel Brooking for her diligence as a parliamentarian for having detected what may well be a drafting error. Iâm sure I will get advice from officials on that.
Before I get to the memberâs question around the use of levies in relation to limits, I just want to advise the committeeâif the committee hasnât been advised prior and in good faith, with regard to Minister Bishopâs commitment to tell the committee when an amendment is tabledâan amendment was tabled at what appears to be 9.05.00 a.m. onâwell, the date says â28 August 2026â, but in the Doctor Who / Hogwarts environment of Parliament, it still says â25 Augustâ on the wall.
There is a proposed amendment to Amendment Paper 710: âThe Hon Chris Bishop in committee to move the following amendments: clause 2, âdelete 243, 252, andâââthat was an incorrect cross-referenceââand, in clause 30, âreplace âall coastal permitsâ with âcoastal permits or land use permitsâââ. That was an omission and corrects an error, because land use permits are referred to elsewhere in the bill.
Hon Rachel Brooking: Who picked it up!
SIMON COURT: I can see the member Arena Williams taking credit for that. She is an incredibly diligent parliamentarian and is always focused on the details.
If I could just come back to the âxâ, it turns out that that was not an error; it is a reference to a paragraph number.
Hon Rachel Brooking: Thatâs rightâthat is the delight. It is a delight.
SIMON COURT: And the member is delighted. Potentially, sheâll be delighted to help us move through the rest of the committee stage.
I will attempt to be brief in my response. Levies versus limits: thereâs two different types of levies in the bill, one to fund the cost of a specified list of activities involved in managing a resource, and the other one is to fund activities to resolve over-allocation issues and provide efficient resource-use within management units. I think that addresses the memberâs question. If environmental limitsâecological limitsâare exceeded and there needs to be funding to resolve over-allocation issues, levies can be used for that purpose.
Thank you, Madam Chair. This will be a brief question about the enforcement functions of the Environmental Protection Authority (EPA) that begins at new clause 273A. Itâs just a lift and shift situation thatâs going on here in the Ministerâs Amendment Paper. I just want to ask specifically about the thing that I care most about, which is the new power for the EPA to take enforcement action against regional councils itself. Has that remained from that deletion and the reinsertion here?
Thank you, Madam Chair. My question is in relation to the scope of awards that can be made if a case is moved from the Environment Court to the District Court, which is permitted under clause 253(5). Clause 252(1) sets out what an Environment Court can do and the awards that they can make, and that includes the cost of investigating the offence and any associated costs, and that being payable to the EPA.
Now, if the case was transferred then to the District Court, thereâs a question about the scope and the scale of awards that can be made. On first view, one would assume that thereâs a broader mandate in terms of the ability to make those awards, but the language isnât specific in relation to the District Court that that power is available. Iâm just confirming with the member in the chair that indeed, if a case was shifted between those two courts, that explicit power in clause 252(1) with the Environment Court would also exist with the district court under clause 253(5).
Then in relation to the scope and effect of a declaration, which is in clause 254, my first question was just about the potential to have an injunction if thereâs a sense that something is likely to contravene the current rules and potentially have quite detrimental impacts. So, presumably, that injunction canât still exist. If an omission is found, is there a direction power as well or is this purely a declarative powerâwould be my other part of that?
In response to the member Vanushi Waltersâ questions, I found it confusing to try to understand what clause and provisions the member is referring to. She referred to clause 251. This is struck out, and I would just have to confirm whether thatâs been moved to another part of the legislation, so if you could bear with me for one moment. The provisions deleted from clause 251 are moved to clause 273G. All of these provisions the member referred to still exist. They have just been moved. In response to the member Arena Williamsâ question on clause 273A, the answer is yes.
Thank you, Madam Chair. I want to move to clause 323A, and this is theâ
CHAIRPERSON (Maureen Pugh): Can you repeat that, please?
LAN PHAM: Clause 323A. This is in Part 6 and itâs about contaminated land. This is a very important area around the contaminated land framework, and what struck me about it and what Iâm interested to hear from the member is about its relation to the rest of the natural environment domain. What is really clear in this contaminated land area is that it spells out that the entirety of this provision is based on the principle that those who actually produce the pollution should bear the cost of managing it both to prevent damage to human health and the environment. There is a really clear obligation as we go through this part of the bill, and it touches on how also the polluters must be liable for cost recovery.
Why Iâm really interested in this clause and its application to the rest of the domains within the bill is: why have we been so clear when it comes to contaminated land about the âpolluter paysâ principle but we are not applying that to the rest of the domains when it comes to particularly water but it could also be biodiversity destruction? Why is it that the Government has picked up specifically on contaminated land in this space?
I want to acknowledge that this has been a real area of incredible work that has gone on, particularly with councils picking up responsibility for polluters who have often either left the country or simply just left a mess for the public to clean up. I understand why we and the Government have a focus of clarity on the âpolluter paysâ principle here. Why does it not have the same application outside of the contaminated land framework?
I understand at an intimate level the problem that the member describes. Before I was a member of Parliament I worked as a civil environmental engineer cleaning up some of New Zealandâs most hazardous sites, some of which were orphan sites where the person who polluted could not be held liable. So itâs important that we do have a regime for that. The purpose of the contaminated land framework as set out in clause 323A and clause 323B is that it provides for obligations when land is contaminated and used for hazardous activity, and clause 323C provides that the polluter may be liable for cost recovery.
Last night in the debate on procedural principles I think it might have been the member the Hon Rachel Brooking who proposed that a âpolluter paysâ principle be added to the procedural principles. The reason that we havenât elected to do that and the reason it sits specifically here under âcontaminated landâ is because there are many other matters covered in the Natural Environment Bill. The member mentioned oneâindigenous biodiversity. Clearing vegetation is not pollution and so it would be unhelpful to have a âpolluter paysâ principle throughout the Act that needed to be applied to many other different circumstances. Weâre really focusing on discharges to land and making sure that those who are responsible for those discharges are responsible for managing them.
Thank you, Madam Chair. In Amendment Paper 710 âat the start, on page 6âI think I flipped over this explanatory note at the startâit says, about the changes to Part 6, that they âamend provisions relating to infringement offences toâalign more closely with the approach under the RMA; and avoid disturbing the position under Down v R12] NZSC 21:ââthat is the New Zealand Supreme Court.
So Iâm interested in what changes have been made to infringement offences, because when you go to clauses 288 to 297, they look to be dealing with infringement offences. On the face of it, it doesnât look like there have been too many changes to the infringement offences, so Iâm wondering if the member can explain what the changes are that are referred to in the explanatory note.
When it says, âtoâalign more closely with the approach under the RMA;â what does that mean in a policy sense? Infringement offences normally rely on some secondary legislation and it can be the most useful tool, but often regulators donât have access to infringement offences because the regulations donât exist or something else happens. My recollection of discussion of this bill as it was progressing through was that we had stronger enforcement provisions, that the Minister in charge is very interested in good compliance monitoring and enforcement, that we want better data and we want better information to do that monitoring but also to actually do the enforcement when itâs needed.
And whilst infringement offences are a small part of an enforcement regime, they are often an important part of it, and they are quick. They are stealthy. They are stealthy in terms of offences. So can the member tell me what the changes are and if the consequence of the changes is to make it more difficult for a regulator to use an infringement offence or if itâs going in the other direction and it will be easier to use an infringement offence.
The changes in clause 289 is that subclause (3) is deleted and replaced with clause 296(b) to preserve the position of the Supreme Court decision on Down v R.
That doesnât answer my question about what direction itâs going in. Can he tell us what that position is that is being preserved? We donât have the court case in front of us.
It will make it easier for enforcement operators, regulators, to provide infringements rather than having to rely on the tedious process under the Resource Management Act leading to abatement, which often meant that pollution and contamination went unresolved before a high threshold for action was taken.
Thank you, Madam Chair. I want to pick up on the memberâs responses to my questions on the contaminated land framework. Heâs made it very specific that theyâre focused on discharges to land, and I think that absolutely makes sense. He also picked up on the fact that the clearance of biodiversity is not pollution. It is entirely possible to provide for that very thing, so if the concern is how does a âpolluter paysâ principle apply to biodiversity clearance, you can make up a rule around that, and a principle around that.
What Iâm interested in hearing from the member when he talked about discharges to land is why does that not apply to other domains, because we know, for example, that the costs of discharges to land in areas that are outside the contaminated land framework are making communities face costs right now. We know that in Ashburton, for example, Tinwald is looking at millions of dollars to seek new drinking water sources; Selwyn District Council is looking at hundreds of millions of dollars for treating their drinking water; Christchurch City Council, from land discharges just north of their drinking water sources in the Waimakariri is looking at hundreds of millions, if not billions; so why is that same principle not applying to those costs when they are discharges to land, but theyâre outside of the contaminated land framework?
The member may recall that the member and I discussed this extensively last night in a previous part of the debate, so what I will say, again, is that this provision provides specifically for contaminated landâthe âpolluter paysâ principleâand that the matters that the member referred to are covered by other parts of the Natural Environment Bill legislation, including national policy direction, national standards providing for discharges through the effects management regime, through rules and plans, and through consenting and conditioning of consents.
I move, That debate on this question now close.
A party vote was called for on the question, That debate on this question now close.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Motion agreed to.
CHAIRPERSON (Maureen Pugh): The question is that the Ministerâs tabled amendment to Amendment Paper 710 amending clause 307 be agreed to.
A party vote was called for on the question, That the amendment to the amendments be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Amendment to the amendments agreed to.
CHAIRPERSON (Maureen Pugh): Arena Williamsâ tabled amendment to Amendment Paper 710 amending clause 307 is out of order as being the same in substance as a previous amendment.
The question is that the Ministerâs amendments to Part 6 set out on Amendment Paper 710 as amended be agreed to.
A party vote was called for on the question, That the amendments as amended be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Amendments as amended agreed to.
A party vote was called for on the question, That Part 6 as amended be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori1; Kapa-Kingi.
Part 6 as amended agreed to.
CHAIRPERSON (Maureen Pugh): We move to the Schedules.
A party vote was called for on the question, That Schedule 1 be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Schedule 1 agreed to.
CHAIRPERSON (Maureen Pugh): The question is that the Ministerâs amendments to Schedule 2 set out on Amendment Paper 710 be agreed to.
A party vote was called for on the question, That the amendments be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Amendments agreed to.
A party vote was called for on the question, That Schedule 2 as amended be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Schedule 2 as amended agreed to.
CHAIRPERSON (Maureen Pugh): Schedule 2A. The question is that the Ministerâs amendments to Schedule 2A set out on Amendment Paper 710 be agreed to.
A party vote was called for on the question, That the amendments be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Amendments agreed to.
A party vote was called for on the question, That Schedule 2A as amended be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Schedule 2A as amended agreed to.
CHAIRPERSON (Maureen Pugh): Moving to Schedule 3, the question is that the Ministerâs amendments to Schedule 3 set out on Amendment Paper 710 be agreed to.
A party vote was called for on the question, That the amendments be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Amendments agreed to.
A party vote was called for on the question, That Schedule 3 as amended be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Schedule 3 as amended agreed to.
CHAIRPERSON (Maureen Pugh): Moving on to Schedule 4, the question is that the Ministerâs amendments to Schedule 4 set out on Amendment Paper 710 be agreed to.
A party vote was called for on the question, That the amendments be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Amendments agreed to.
CHAIRPERSON (Maureen Pugh): The question is that Lan Phamâs amendments to Schedule 4 set out on Amendment Paper 725 be agreed to.
A party vote was called for on the question, That the amendments be agreed to.
Ayes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Noes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Amendments not agreed to.
A party vote was called for on the question, That Schedule 4 as amended be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Schedule 4 as amended agreed to.
CHAIRPERSON (Maureen Pugh): Weâre on to Schedule 5. The question is that the Ministerâs amendments to Schedule 5 set out on Amendment Paper 710 be agreed to.
A party vote was called for on the question, That the amendments be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Amendments agreed to.
CHAIRPERSON (Maureen Pugh): The question is that the Hon Rachel Brookingâs amendments to Schedule 5 inserting clause 9(4) and deleting clause 13, set out on Amendment Paper 705, be agreed to.
A party vote was called for on the question, That the amendments be agreed to.
Ayes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Noes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Amendments not agreed to.
A party vote was called for on the question, That Schedule 5 as amended be agreed to
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Schedule 5 as amended agreed to.
A party vote was called for on the question, That Schedule 6 be agreed to.
Ayes 67
New Zealand National 48; ACT New Zealand 11; New Zealand First 8.
Noes 48
New Zealand Labour 34; Green Party of Aotearoa New Zealand 12; Te PÄti MÄori 1; Kapa-Kingi.
Schedule 6 agreed to.
Committee of the whole House
Clauses 1 and 2
CHAIRPERSON (Maureen Pugh): Members, we come now to our final debate, which is clauses 1 and 2, âTitleâ and âCommencementâ.