Ongoing flood events across parts of the South Island have placed renewed attention on the government’s proposed changes to natural hazard and freshwater management policies.
Environmental advocates are raising questions about the balance between property development and disaster risk reduction as climate-linked events grow more frequent.
Proposals under review by the Coalition Government would alter the Resource Management Act and related frameworks to increase the focus on property rights and economic development.
Environmental advocates say this shift may leave communities more exposed to flood hazards, and that key flood protection strategies could be undermined.
Tom Kay of Choose Clean Water, a freshwater advocacy group, said the policy direction appears to prioritise short-term economic gains over long-term safety and resilience.
“The Coalition Government has demonstrated across its resource management reform that they care more about the profits of commercial players than good governance for the health and stability of our communities. Their ‘growth at any cost’ agenda is not only thoughtless but downright dangerous,” he said.
Kay supports the concept of “Making Room for Rivers,” a land-use strategy designed to expand natural floodplains, reduce development in high-risk zones, and enhance river ecosystems. He said this approach is aligned with international best practice and provides dual benefits for both risk mitigation and environmental outcomes.
Kay cited recent weather events in Otago, the West Coast, and Canterbury as examples of the growing toll of climate-related hazards.
“We know our rivers need more space to carry floodwater safely, especially with the more extreme weather we’re getting as the climate continues to warm. But the government’s narrow focus on growth and private property rights through their resource management reform risks undermining progress towards this,” he said.
While several councils and private sector stakeholders have taken steps to adapt to increasing flood risk, Kay said that the proposed reforms could limit local authorities’ ability to implement effective hazard management strategies.
The latest draft of the National Policy Statement for Natural Hazards has removed provisions that previously required councils to adopt nature-based solutions or avoid development in vulnerable areas.
Instead, councils would be asked to “consider” risks and act in ways deemed “proportionate,” language that some stakeholders argue lacks specificity and may open the door for development in high-risk zones.
Moreover, the exemptions under the draft include infrastructure and sectors such as agriculture, aquaculture, mining, and forestry – some of the most asset-intensive and flood-impacted activities in the country.
Kay also pointed to proposed amendments to the National Policy Statement for Freshwater Management.
He noted that the concept of Te Mana o te Wai, which positions the health of water bodies and community safety at the forefront of freshwater governance, may be weakened under the current government’s plans.
“Flood managers have supported this idea as a way to help communities reconsider how they live with rivers, including their associated risks and hazards, and to make changes that increase flood resilience and river health together,” he said.
Kay warned that removing these measures could affect both flood safety and ecological health.
At the same time, public attitudes toward risk and insurance pricing are shifting. A recent survey conducted by Ipsos on behalf of AMI, State, and NZI found that 90% of New Zealanders believe extreme weather is increasing as a result of climate change. A majority – 60% – support insurance pricing that reflects the individual risk profile of the property.
More than 70% accept that higher-risk properties may face higher premiums. However, just 17% believe those in high-risk zones should receive subsidised cover. Only 10% of respondents supported flat-rate premiums regardless of exposure.
A separate study commissioned by IAG showed that New Zealand has spent approximately $64 billion responding to natural disasters since 2010. Of that amount, 97% was allocated to post-event relief, with only a small proportion directed toward mitigation and risk avoidance.
Submissions on the government’s natural hazard and freshwater policy proposals remain open until July 27.
