Getting transition right critical to success of significant RM reform

Councils are welcoming the move towards more clarity, but funding to implement it will be necessary to do it well — without putting the burden on ratepayers, according to LGNZ.

The Government unveiled its new Resource Management system this afternoon.

LGNZ Vice President Rehette Stoltz says the RM changes will result in a ‘fundamentally different’ way of working for New Zealand.

“New Zealand has been talking about RM change for decades; councils want to get on with delivering it well,” says Rehette Stoltz.

“It’s good that we are moving towards more certainty and everyone wants a system with less red tape. Councils also want an enduring system.

“The transition consenting regime, which will see some consents extended and elements of the new system apply to new RMA consents from the passing of this legislation, will likely be a surprise to councils.

“The extension of some consents will likely have workforce impacts for councils in the regions.

“We need to transition to the new system with care. Local priorities need to be reflected within national frameworks.

“We will have opportunities next year to help shape those.

“This reform means less local voice and more central direction, which means decisions around trade-offs are largely made at a national level, or through plan making, rather than through consenting. It’s vital the public are aware that they need to participate in the development of combined plans if communities want to have their say on the outcomes they want in their regions.

“The implementation timeframe is rapid and transition and implementation costs will be significant, particularly the development of Regional Combined Plans and their independent hearings process.

“LGNZ will be advocating for funding and support to manage these changes effectively, and we’ll be asking the Government to make this a focus in Budget ’26.”

LGNZ Regional Sector Chair Dr Deon Swiggs says these reforms will have a major impact on regional councils.

“We know it’s a difficult period for staff and elected members. Regional councils still have a critical job to do for New Zealand,” says Dr Deon Swiggs.

“Jobs, trade and the economy rely on New Zealand’s natural resources; the work to protect the environment will still need to be done by regional councils until the new system is in place.”

Mayor Rehette Stoltz says other settings need to be fixed to get the most out of this reform.

“Planning reform allows more development but councils still need to provide the infrastructure for those developments. We need new funding and financing tools, like development levies and Infrastructure Funding and Financing Act changes, to service this growth, especially as requirements to free up more land challenge councils' ability to plan.

“We welcome new development levies and IFF changes to fund development. Implementing the coalition’s GST sharing on new builds policy is needed to unleash the reform’s full potential,” Rehette Stoltz said.