New RMA Efficiency Measure Takes Effect

New regulations requiring councils to provide a discount for late processing of resource consents come into effect tomorrow and will reduce delays and help the economic recovery, Environment Minister Nick Smith says.

The Resource Management (Discount on Administrative Charges) Regulations 2010 take effect on 2 August and require a minimum of a 1% discount for each day a consent is processed beyond the 20-working day statutory requirement up to a maximum of 50%. Councils may provide a more generous discount policy if they wish.

“There is a real cost in jobs and economic activity in having nearly a third of all resource consents delayed. These financial penalties on councils for late consents will help focus officials on the wider importance of timeliness,” Dr Smith said.

“Between 1999 and 2008 there was an appalling deterioration in the efficiency of resource consent processing with the number of consents where councils granted themselves an extension growing from 3% to 28% and those processed late increasing from 18% to 31%. Historically less than half of consents have been processed within the 20-day statutory period.

“I know some councils are uncomfortable with these financial penalties for lateness but if it is good enough for the goose it is good enough for the gander. Councils put penalties on rates if they are paid late so it is fair enough that when councils are late, they too face financial penalties.

“Ministry for the Environment officials have held well attended council presentations in all regions to explain the regulations and provide guidance on how they are to be implemented. Feedback from councils is that they are now considering how they can make their processes more efficient to ensure they meet RMA timeframes.

“I am confident these new regulations will drive a substantial improvement in timeliness, enabling businesses to get on and create the jobs and economic activity needed to help the economy recover.”

ENDS

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