Iwi-council agreements 'narrowly scoped' in late change to new RMA system

Existing council agreements giving iwi a formal role in planning decisions will not be retained under a late change to the Government's RMA reforms, with the minister citing a "massive surge" in councils signing them.

Local authorities would instead be able to sign new "narrowly scoped" iwi participation agreements, setting out how iwi authorities take part in statutory planning processes and in the processes that give effect to Treaty settlement redress.

The Planning Bill and Natural Environment Bill, together replacing the Resource Management Act, were reported back to Parliament by the environment select committee earlier today, clearing the way for a second reading of the legislation.

The bills as introduced would have preserved existing Mana Whakahono ā Rohe agreements while not allowing new ones under the old framework.

But Cabinet has now gone further, deciding none will transfer into the new system.

RMA Reform Minister Chris Bishop said the Government had grown concerned by a "rapid increase" in new dealmaking since the bills were introduced.

"Since the bills were introduced, we have become concerned about the rapid increase in new agreements and initiated processes between councils and iwi.

"Eight existed when the bills were introduced late last year. Since then, several dozen more have been agreed or initiated."

The existing system and agreements have been opposed by Federated Farmers and the Taxpayers Union – the latter calling them "co-governance deals".

In the Government's new system, councils would instead be able to enter iwi participation agreements, recording how iwi authorities would participate in statutory planning processes and in the processes required to give effect to Treaty settlement redress.

Bishop noted today that the new agreements would be "narrowly scoped."

"Clear guardrails will be included in the legislation to prevent scope creep."

Bishop told media the original agreements had barely been touched before that surge, with "less than one per year" negotiated on average since they were created.

Pressed on whether he had acted in good faith by removing them, Bishop said the new agreements were designed to give effect to Treaty settlements.

"The Crown has, for 30 years, signed a succession of legally binding agreements with iwi that we intend to honour, and the system that we are building honours those agreements," he said in a post-Cabinet media conference.

"It's about actually streamlining and simplifying what that looks like in practice."

Bishop said the new agreements could set out how iwi were involved at the spatial planning level – identifying sites of significance such as urupā and areas of special significance – although he said the regulations had not yet been written.

"The iwi participation agreements will be a way to essentially put the process around how that will work, so it may be regular meetings, for example."

The environment select committee had recommended keeping the transition arrangements for existing Mana Whakahono ā Rohe agreements, with its majority concluding the bills gave iwi authorities sufficient mechanisms to work with councils.

Dissenting views in the report pushed back even before Cabinet's decision was revealed.

Labour argued removing the ability to make new agreements "is not in anyone's interests" given feedback "they assist with the timeliness and efficiency of the resource management system", according to its submission.

Te Pāti Māori said the committee had failed to account for inequities created by excluding the RMA's Māori participation tools.

Federated Farmers welcomed today's decision as a win for its lobbying.

"We're really pleased the Government has listened," RMA reform spokesperson Mark Hooper said. "Over recent months we've seen a big increase in councils rushing to sign these agreements before the law changes.

"That's created uncertainty for farmers and raised serious concerns about accountability."

Hooper added there was "absolutely a place" for relationship agreements between councils and iwi, but they needed what he called "appropriate safeguards".

"Decision-making powers that affect communities should remain with democratically accountable elected representatives," he said.

The bills now proceed to their second reading, with the Government planning further changes through an amendment paper and a third reading expected in September.

Mana Whakahono ā Rohe agreements were established under the Resource Management Act in 2017, under then-environment minister Nick Smith, to record how iwi authorities and councils would work together on resource management decisions.