Infrastructure, development and primary sector national direction

Electricity networks – which include infrastructure for both electricity transmission and distribution networks – needs to be developed, operated, maintained, upgraded and protected to ensure continuity of electricity supply and network resilience. Electricity networks are planned for and managed under the RMA.²⁶ Often, multiple resource consents must be obtained under the RMA to carry out works on electricity networks, despite the existence of national direction in the form of the:

• National Policy Statement on Electricity Transmission 2008 (NPSET)
• National Environmental Standards for Electricity Transmission Activities 2009 (NESETA).

Electrifying the energy and transport sectors could deliver almost a third of the emissions reductions New Zealand needs to reach net zero by 2050.²⁷ The Supercharging EV²⁸ programme proposes a ‘no consents’ regime to develop and operate electric vehicle (EV) charging stations.

In April 2023, a proposed NPSET draft and a discussion document,²⁹ including amendments to NESETA, were released for public consultation. Submissions were received but the instruments were not finalised before the 2023 General Election, and the NPSET proposed in 2023 has now been withdrawn.³⁰ The proposal has been informed by this earlier work.

^{26 In addition to regulation under the Electricity Act 1992, Commerce Act 1986 and Public Works Act 1981.}

^{27 Boston Consulting Group. 2022. The Future is Electric. A Decarbonisation Roadmap for New Zealand’s Electricity Sector (PDF, 13.8MB). p 14.}

^{28 The programme focuses on enabling the roll-out of charging infrastructure to support New Zealanders to shift to electric vehicles.}

^{29 Ministry for the Environment. 2023. Proposed National Policy Statement on Electricity Transmission (PDF, 364KB). Wellington: Ministry for the Environment. Ministry of Business, Innovation & Employment. Consenting improvements for renewable electricity generation and transmission. Retrieved 28 April 2025.}

^{30 Under section 51A of the RMA.}

Transitioning away from using fossil fuels and towards more REG will require a significant increase in the number of REG sites and a proportionate increase in the capacity of the electricity network.

The following resource management problems have been identified for electricity networks.

• The national significance and benefits of electricity networks are not sufficiently recognised in resource management decisions.
• Inconsistent policies, processes and rules add unnecessary complexity, cost and delay.
• Decision-makers lack guidance to balance competing interests and environmental values.
• Protecting electricity networks from the effects of other activities is time-consuming and more costly than it needs to be.

Proposed amendments to the NPSET will expand its scope to include electricity distribution. To reflect this broader application, the instrument would be renamed the National Policy Statement for Electricity Networks (NPS-EN).

The proposed NPS-EN will include:

• an amended objective to recognise and provide for the national significance and benefits of the electricity network
• a new objective and associated policies to recognise and provide for the electricity distribution network
• amended and new policies to support route selection and manage environmental effects
• a new policy to recognise and provide for tangata whenua interests
• policy amendments to provide greater protection of electricity networks
• updated references to the electric and magnetic fields international guidelines (from the currently referenced 1998 guidelines to the 2010 guidelines)
• alignment of the policy directions of the NPS-EN and the proposed National Environmental Standards for Electricity Network Activities (NES-ENA).

More detail on the proposed provisions is included in attachment 1.3 of this document. No existing provisions of the NPSET beyond those included in this proposal are open for public consultation.

Increasing the scope of the national policy statement is intended to better enable electrification and recognise the importance of electricity distribution to electricity networks. The different scales and types of electricity distribution infrastructure will require specific approaches.

Several new definitions are proposed to ensure the new and amended policies are sufficiently precise and can deliver on the proposed NPS-EN objectives. For example, ‘routine activities’ and ‘non-routine activities’ will be redefined to distinguish regular activities that are part of the lifecycle of electricity networks. The effects of routine activities are typically less than those resulting from non-routine activities.

Proposed amendments to the NPSET objective recognise national emissions reduction targets and the need to ensure energy resilience and security. The proposed objective is that electricity networks are developed, operated, maintained, upgraded and protected in a manner that:

1. recognises and provides for its national significance
2. secures the resilience of electricity networks, including in relation to the effects of natural hazards and climate change
3. provides for the wellbeing and needs of present and future generations, including by increasing and improving the capacity and delivery of electricity networks over time
4. recognises and provides for the role of electricity networks in achieving New Zealand’s emissions reduction and renewable energy targets, and associated commitments in any relevant plan prepared under the Climate Change Response Act 2002
5. manages adverse effects on the environment in a proportionate and cost-effective way
6. protects electricity networks from the adverse effects of other activities.

The proposal is to strengthen Policy 1 of the existing NPSET so that decision-makers on electricity networks proposals must recognise and provide for the national significance and benefits of electricity networks to be realised at national, regional and local levels. The proposed policy will also list additional benefits, such as emissions reduction and energy security, as well as recognise the contribution of electricity networks to modern life and the functioning of the community and economy.

The proposal is to strengthen the requirement in the NPSET for decision-makers to recognise and provide for electricity networks which have a functional or operational need to be in particular environments, including in areas with section 6 RMA values, and with unavoidable adverse effects on those environments.

The definitions of functional need³¹ or operational need³² will be the same as the definitions in the National Planning Standards.

This proposed policy recognises that the electricity network often needs to traverse a wide range of environments (eg, urban, rural and coastal), and that the system is interconnected across New Zealand. It also recognises the need to maintain and upgrade an ageing network, and that REG needs to connect directly to the electricity network.

^{31 Defined as “the need for a proposal or activity to traverse, locate or operate in a particular environment because the activity can only occur in that environment”. Ministry for the Environment. 2019. National Planning Standards (PDF, 933KB). Wellington: Ministry for the Environment. p 58.}

^{32 Defined as “the need for a proposal or activity to traverse, locate or operate in a particular environment because of technical, logistical or operational characteristics or constraints”. Ministry for the Environment. 2019. National Planning Standards (PDF, 933KB). Wellington: Ministry for the Environment. p 62.}

A new policy is proposed to ensure resource management decisions recognise the role of Transpower and electricity distribution businesses in selecting a preferred route for electricity networks. The proposed policy requires that decision-makers have regard to how much adverse effects have been managed through route selection and that some effects are unavoidable.

The route and site selection process should also consider the operational or functional need of electricity networks development.

The NPSET published in 2008 contains no Māori policy, creating uncertainty on how Māori interests may be considered in decision-making on electricity networks.

The proposal to provide for Māori interests is based on current policy in the NPS-UD. The intent is to apply a consistent approach across the proposed NPS-I and proposed amendments to the NPS-REG and NPS-EN. Nothing in these proposals is intended to override any Treaty settlement requirement or other relevant arrangement.

It is proposed that decision-makers must recognise and provide for Māori interests in relation to electricity networks, including by:

1. taking into account the outcome of any engagement with tangata whenua on a resource consent, notice of requirements or request for a private plan change, including through the site, route and method selection process
2. recognising the opportunities tangata whenua may have in developing and operating their own distribution infrastructure at any scale or in partnership
3. avoiding where practicable, or otherwise mitigating, the adverse effects of electricity networks’ activities on sites of significance to Māori
4. operating in a way that is consistent with iwi participation legislation.³³

^{33 Iwi participation legislation is defined in section 58L of the RMA to mean any legislation, including legislation listed in Schedule 3 of the Treaty of Waitangi Act 1975, that provides a role for iwi or hapū in processes under the RMA. Note that item (d) does not exclude participation provided under the Marine and Coastal Area Act 2011 or under Mana Whakahono ā Rohe.}

Existing policy to manage environmental effects currently in the NPSET (Policy 8) will be retained with some amendments, and some new policies are proposed.

Although route and site selection policies can manage some effects, other effects will be unavoidable. A proposed new policy will support effects management decisions for electricity network development. The policy directs decision-makers to consider:

• constraints imposed by the technical and/or operational requirements of electricity networks
• the need to increase network capacity
• that changes in amenity are unavoidable
• adopting international or national standards or best practice to manage effects
• financial or timing implications from measures or conditions to manage effects (and to ensure these are proportionate and cost effective).

A proposed new policy enables infrastructure for electricity networks with adverse effects on environmental values not in section 6 of the RMA or covered by national direction, so long as these effects are avoided, remedied or mitigated, where practicable.

Another new proposed policy directs routine activities associated with electricity networks to be enabled in all environments, provided adverse effects are avoided, remedied or mitigated, where practicable.

Policy 8 in the NPSET manages effects on areas with significant environmental values. The current drafting proposes removing the reference to ‘sensitive activities’ and retaining the remainder of the policy. Previous policy work had developed a draft ‘effects management hierarchy’ to address adverse effects on values in section 6 of the RMA and other national direction. The Government has now decided to focus on resolving these major tensions between infrastructure and natural environmental values in the replacement of the RMA, rather than through the current proposed changes to national direction.

A new proposed policy requires decision-makers to consider the urban environment in relation to electricity network decisions, to:

• recognise the role of electricity networks as part of a well-functioning urban environment
• enable changes in amenity
• recognise that sometimes adverse effects are unavoidable
• recognise that electricity network development may be appropriate in the context of protecting historic heritage.

To fulfil this policy, decision-makers would need to ensure the plan-making process considers on-site space for distribution assets at the development site. The proposed policy requires developers to consult with the electricity distribution provider to determine whether sufficient space has been provided.

Amendments are proposed for Policies 12, 13 and 14 of the NPSET, to ensure spatial planning documents (ie, future development strategies) consider electricity networks, particularly in urban areas over the long term. The proposed changes would require councils to:

• engage with electricity network operators to promote strategic planning over the medium-to-long term
• recognise that the designations process can also support long-term planning.

Table 4 outlines the anticipated impacts of the NPS-EN proposal on various parties, with more detail available in the Interim Regulatory Impact Statement: National direction for electricity networks (updating NPSET 2008 and NES-ETA 2009) on the Ministry for the Environment’s website.

Table 4:         Overview of anticipated impacts of the proposed amendments to NPS-EN

The Minister Responsible for RMA Reform considers the proposals to be consistent with the purpose of the RMA, because they:

• enable the use and development of natural and physical resources to develop, operate, protect, maintain and upgrade electricity transmission and distribution networks (collectively referred to as the electricity network) while managing effects on the environment by providing clear and directive objectives and policies to decision-makers
• support people and communities to provide for their social, economic and cultural wellbeing, and for their health and safety, by contributing to maintaining and increasing electricity networks capacity which will improve electricity security and meet emissions reduction targets
• strengthen New Zealand’s ability to meet the electricity needs of future generations by improving the capacity of electricity networks, by:

      - enabling upgrading and new development

      - protecting electricity networks from direct and reverse sensitivity effects from third parties.

Changes to electricity networks can have both positive and adverse effects for tangata whenua and for land, water and other taonga. Although the proposals may have impacts on taonga, decision-makers will be required to consider the national significance and benefits of electricity networks alongside other national direction (eg, the NZCPS and NPS-FM), regional policy statements, and regional and district plans. This helps decision-makers to effectively weigh up the effects of proposed changes to electricity networks when considering a consent application.

The proposals improve on the existing NPSET, which does not include any policies that provide for Māori values, aspirations and engagement.33F³⁴The proposals will not directly impact the decision-making process requirements under the RMA, Treaty settlements or other legislative arrangements, including the Marine and Coastal Area (Takutai Moana) Act 2011 and the Ngā Rohe Moana o Ngā Hapū o Ngāti Porou Act 2019.

Treaty settlement agreements and related legislation continue to apply. Some Treaty settlements place obligations on councils, including involving iwi/Māori in plan development and decision-making and inclusion of policies in plans. The proposals do not present a risk to the operation of these Treaty settlement commitments.

Consultation is necessary to test whether iwi, hapū and other Māori groups have concerns about the proposal or any perceived impacts on sites of significance to Māori, marae, Māori land, land returned under Treaty settlements, or other matters of significance to Māori groups.

^{34 As required by section 8 of the RMA.}

General material on implementation supporting the proposed NPS-ET, including the statutory requirements, is provided in section 4 of this document. Specific implementation provisions proposed for this national policy statement are as follows:

• the provisions in the NPS-ET would affect decisions on policy statements and plans, notice of requirements, and decisions by consent authorities. The recent Gibbston Vines¹⁶ case has shown that each part of the instrument should be clear about what decisions are being made and by whom
• no provisions in the proposed NPS-ET provide further direction on implementation beyond what is provided by the RMA (as described in section 4 of this document).

^{16 Gibbston Vines Limited v Queenstown Lakes District Council [2023] NZEnvC 265.}