The Fire and Emergency New Zealand (FENZ) is funded almost entirely by a levy on insurance, and this setting will continue for the next five years.

“This time will allow for a first-principles review of how FENZ is funded,” Internal Affairs Minister Tracey Martin said.

Her comments follow the FENZ (Levy) Amendment Bill passing its third reading and receiving Royal Assent. Martin said present arrangements will largely continue and that people will not notice any difference to what they are paying in levies in the immediate future.

“The government wants to look at the funding structure of FENZ to see if we can provide a stable, simple funding system that is fair to individuals and businesses,” Martin noted.

Read more: FENZ levy: what are the alternatives?

The minister explained the bill ensures that FENZ will continue to be funded beyond July 1, 2019 and extends the transitional levy provisions currently in place through to July 1, 2024.

The legislation exempts collections of cultural heritage items from the fire and emergency levy from July 1, 2019. It also exempts the New Zealand Defence Force (NZDF), as recognition of its firefighting capability and contribution to the community, the minister added.