RMA reform

Nick Smith announced earlier this week:

Dr Smith today also released an independent report by Motu Economic and Public Policy Research – commissioned by the Treasury and the Ministry of Business, Innovation and Employment – into the impacts of planning rules, regulations, uncertainty and delay in residential property development.
 
The report concludes that the is adding an extra $30,000 to the cost of an apartment, an extra $15,000 to the cost of a home, and that it is reducing the capacity of housing development by 22 per cent.
 
“This report is consistent with the conclusions of the Productivity Commission and the Organisation for Economic Cooperation and Development in highlighting the high administrative burden of our system of environmental regulations, but also adds new information by estimating the actual cost of its flaws. It indicates that over the last decade, the RMA has added $30 billion to the cost of building and reduced new housing stock by 40,000 homes,” Dr Smith says.

So the time has come to make significant changes I hope.

Dr Smith outlined ten major changes the Government would be including in its second phase of reforms in 2015:

  • Add natural hazards
  • Recognise urban planning
  • Prioritise
  • Acknowledge importance of infrastructure
  • Greater weight to property rights
  • National planning templates
  • Speed up plan-making
  • Encouraging collaborative resolution
  • Strengthening national tools
  • Internet for simplicity and speed

Pleasing to see that so far there has been support from the Auckland Council and Local Government NZ for the changes.

The question will be whether they will do enough. The greater weight to property rights and prioritisation of housing affordability look the most promising.

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