The legislation is part of the coalition agreement between National and New Zealand First. The government’s stated purpose for the Fast Track Approvals Act is to make it quicker and easier to build the projects New Zealand needs to grow its economy. It aims to cut through the “thicket of red and green tape” and approvals processes that the government believes has held New Zealand back from much needed economic growth. It is intended to create a ‘one stop shop’ consenting process for gaining approvals under the Resource Management Act 1991 and related legislation.
There are two main routes for projects to be eligible for fast-tracking. Firstly, Schedule 2 of the Act lists 149 projects for which a substantive consent application can be made directly to the Environmental Protection Authority (EPA). These include projects in the following sectors: infrastructure (43), housing and land development (58), renewable energy (22) and mining (11).
Secondly, if you have a project that is not one of the listed projects, you can make a referral application to the EPA; it will refer the application to the Minister of Infrastructure if it is complete and within the scope of the Act. Any referred projects must have significant regional or national benefit. The minister must consider whether referring the project for the fast track approvals process will facilitate its development and would materially affect the operation of the approval process as a whole.
Offshore renewal energy projects, offshore petroleum decommissioning activities or activities relating to certain types of Māori land (without the approval of all landowners) are among the projects not currently eligible for fast track approval.
Expert panels will ultimately decide whether applications are approved. These panels will be appointed by a panel convenor, who is in turn appointed by the minister. Currently one panel convenor and two associate panel convenors have been appointed.
There are a few steps involved, each of which has a timeframe:
The factors that could delay this process are the time taken to receive a ministerial decision on a referral application and the appointment of a panel by the panel convenor.
The Act provides for the minister to determine a project to be a ‘priority project.’ A panel for that priority project will be established in priority to other projects already lodged to enable the application processing to be expedited.
There will not be any public notification of applications or any right to lodge a submission in relation to an application. However, affected persons, iwi, relevant ministers and government departments will be invited by the panel to comment on the application. As we’ve noted above, those invited parties have only 20 working days to provide comment on applications. There is also no requirement to hold a hearing, but the panel may choose to do so.
The legislation requires all persons exercising functions under the Act to act consistently with the obligations arising from Treaty of Waitangi settlements and customary rights recognised under relevant legislation. It also mandates engagement with particular Māori groups or interests at various stages of the application and decision-making process.
Before a panel can decline your project, it must first provide you with a copy of their draft decision to give you the opportunity to amend your proposal.
For example, you will be able to withdraw parts of your application, propose changes to the project or to the proposed conditions. The panel can only decline your application if it decides that the adverse impacts of your proposal are sufficiently significant to outweigh the benefits. You can only appeal a decision to decline your application on a point of law.
Similar to your ability to appeal a negative decision, any appeals in relation to a successful application are limited to points of law and can only be made by the relevant local authority, the Attorney General, any persons with an interest greater than the public generally and anyone who provided written comments on your application.
The timeframe to apply for a judicial review of a decision is limited to 20 working days after the publication of the decision.
While the fast track process offers potential time savings it comes with substantial processing fees; these are anticipated to be close to $400,000. This is, of course, in addition to the costs of obtaining professional advice in preparing and presenting the application.
A number of parties have raised concerns that the environmental impacts of projects will be ignored or undervalued in the interests of expediency and meeting economic objectives. Others have questioned whether the government will be able to establish a sufficient number of expert panels to meet the demand. Failure to do so could undermine the Act’s aim to speed up the approvals process.
The Fast Track Approvals Act certainly represents a significant shift in New Zealand’s approach to infrastructure and development project approvals. Time will tell whether the government will resource the fast track process sufficiently to dramatically cut the time process. It will also test whether the legislation will meet the government’s objective of accelerating economic growth in a way that does not materially harm New Zealand’s natural environment. Its success will no doubt be measured not only by the speed of the project approvals, but also by the quality of the resulting developments.
If you have a project that you believe could benefit from the new fast track process, please let us know as we can help prepare your application.
DISCLAIMER: All the information published in the Property eSpeaking, Commercial eSpeaking, Trust eSpeaking, Rural eSpeaking, and Fineprint newsletters is true and accurate to the best of the authors’ knowledge. It should not be a substitute for legal advice. No liability is assumed by the authors or publisher for losses suffered by any person or organisation relying directly or indirectly on this article. Views expressed are those of individual authors, and do not necessarily reflect the view of this firm. Articles appearing in Property eSpeaking, Commercial eSpeaking, Trust eSpeaking, and Fineprint may be reproduced with prior approval from the editor and credit given to the source. Copyright, NZ LAW Limited, 2019. Editor: Adrienne Olsen. E-mail: [email protected]. Ph: 029 286 3650 or 04 496 5513.