The New Zealand Government has decided to discontinue existing agreements between local councils and iwi under its ongoing resource management reforms. These agreements, known as Mana Whakahono ā Rohe, outline how iwi participate in local decision-making processes. Originally intended to be incorporated into the new framework, the Government has reversed course following a surge in new agreements and criticism from groups such as the Taxpayers’ Union and Federated Farmers.

Chris Bishop, Minister for Resource Management Reform, announced that current Mana Whakahono ā Rohe agreements will not be carried forward. Instead, councils will have the option to engage in narrowly defined iwi participation agreements specifically detailing iwi involvement in statutory planning and matters related to Treaty settlement redress, with legislative safeguards to limit their scope.

Bishop expressed concern over the rapid growth in such agreements since the introduction of the Resource Management Act (RMA) replacement bills late last year. At that time, only eight agreements were in place; the number has since increased significantly, with the Ministry for the Environment listing 14 new negotiations since the start of this year and over 20 active in total.

Cabinet endorsed the decision to scrap the existing deals as Bishop and Prime Minister Christopher Luxon outlined the next steps for the reform programme, which aims to pass the Planning Bill and the Natural Environment Bill before Parliament concludes its session. Despite tight timelines, Bishop expressed confidence that the legislation would pass.

The reform initiative, a key policy priority for the current National-led Government, seeks to replace the Resource Management Act with two new laws designed to simplify and streamline environmental and planning processes. The Government cites economic benefits of up to $3.1 billion annually by 2050 from the new system, including $13.3 billion in savings over 30 years due to reduced administrative and compliance costs. Officials estimate that nearly half of current consent and permit applications could be eliminated under the new regime.

The Government has agreed to a number of practical improvements recommended by Parliament’s Environment Committee, including extending the transition period to 39 months to facilitate a smoother shift to the new system. Parliamentary Under-Secretary Simon Court highlighted committee recommendations such as reintroducing controlled activity categories to provide greater certainty for farmers, simplifying wildlife approvals, and ensuring environmental limits balance environmental, social, and economic considerations while remaining feasible in practice.

Notably, the reforms remove explicit requirements for planning decisions to address emissions reductions, citing existing frameworks such as the Climate Change Response Act and the Emissions Trading Scheme as better suited to tackle those issues.

Reactions from opposition parties have been mixed. Labour leader Chris Hipkins indicated that Labour would not repeal the reforms if elected but expressed serious reservations, particularly concerning regulatory relief measures that require councils to compensate landowners affected by new regulations. Estimates suggest these costs could range significantly and place a financial burden on ratepayers.

The Green Party strongly criticized the packages, warning that the proposed legislation could lead to weakened environmental protections. Green Party environment spokeswoman Lan Pham condemned the reforms as enabling a "race to the bottom," where environmental safeguards are stripped away while the public bears the consequences of environmental degradation and the costs associated with regulatory relief.