In the News
Royal Commission of Inquiry into lessons learned from Aotearoa New Zealand's response to Covid-19
The Royal Commission of Inquiry into lessons learned from Aotearoa New Zealand's response to COVID-19 (Royal Commission) was established in late 2022. As reported in our earlier update, the Royal Commission is tasked with examining New Zealand's COVID-19 response and making recommendations to better position New Zealand to respond to any future pandemic.
The Royal Commission provided a progress update earlier this month. It reported that while the Secretariat for the Royal Commission was still being established, two recent appointments had been made:
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Anita West as Executive Director of the Royal Commission's Secretariat; and
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Jane Meares as Legal Counsel assisting the Royal Commission.
The Royal Commission is currently focussed on planning its work programme and identifying publicly available information relevant to the scope of inquiry. The Royal Commission has not yet reported what method of evidence gathering it will employ, but it could begin considering evidence as of 1 February 2023. Professor Tony Blakely, chair of the Royal Commission, recently advised that a public announcement providing further detail as to the Royal Commission's operations can be expected in late February.
The final report is due on 26 June 2024. Until then, the Royal Commission must continue to provide quarterly progress updates to the Minister of Internal Affairs under the Terms of Reference. Those updates will outline the Royal Commission's expected costs and timing to deliver the final report, and the Royal Commission's overall progress more generally.
Offshore renewables explored as part of transition to clean energy
The Government is currently exploring the role that offshore renewable energy can play in supporting New Zealand's transition to net zero carbon emissions by 2050. Offshore renewable energy refers to energy generated in, or on, the sea from sources such as wind, ocean currents, solar rays, rain and geothermal heat. To encourage investment in these energy sources, with the aim of reducing reliance on fossil fuels, the Government has committed to implementing a regulatory regime by 2024.
The Government considers that there are a number of opportunities and risks that need to be carefully examined before it can determine how this regime will operate. With the intention of supporting the development of fit-for-purpose regulations, the Ministry for Business, Innovation and Employment (MBIE) is seeking feedback on proposed approaches to identifying suitable areas for developing offshore renewable energy and managing feasibility activities in the short-term.
A discussion document is available on MBIE's website, and submissions are due on 14 April 2023. While this consultation is limited to the initial stages of offshore renewable energy development, further public consultation on remaining issues relating to the regulation of construction, operation and decommissioning will occur in mid-2023.
Three Waters Reform Programme
As above, new Prime Minister Chris Hipkins has committed to continuing on with the proposed reforms of water service delivery across Aotearoa New Zealand, subject to a review and potential 'refocus'.
The Water Services Entities Act 2022, which establishes the four publicly-owned water services entities to provide water services in place of local authorities, was passed into law on 14 December 2022. The Act is the first of three pieces of legislation in these reforms.
The remaining two pieces of legislation are currently before the Finance and Expenditure Select Committee. The first of these Bills, the Water Services Legislation Bill, provides the operational detail of the water services entities, including:
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the transfer of assets, liabilities and other matters from local government organisations to the entities;
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the entities' service delivery and regulatory functions and powers;
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pricing and charging arrangements;
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changes to Treaty settlement legislation, to ensure settlement obligations are transferred from territorial authorities to the entities; and
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consequential amendments to local government legislation, and other legislation relating to the regulation and delivery of water services.
The second of these Bills, the Water Services Economic Efficiency and Consumer Protection Bill, establishes an economic regulation and consumer protection regime for the three waters sector, with the Commerce Commission as the regulator.
Public submissions on both Bills closed on Sunday, 12 February 2022, and the Finance and Expenditure Select Committee is expected to hear oral submissions over the coming weeks.
501 deportees' case
The Court of Appeal recently heard the Crown's appeal against the High Court ruling on the 501 deportees' case. “501” refers to the section of the Australian Migration Act that sets out grounds for deportation. The respondent in the appeal (G) was a New Zealand citizen who had been convicted of serious drug offending in Australia and, having served his sentence there, was deported to New Zealand as a “501” deportee. Under New Zealand's Returning Offenders (Management and Information) Act 2015 (ROMI Act), G was determined to be a "returning prisoner" under s 17 of the ROMI Act and therefore subject to standard and special release conditions that included limits on association, residence, and other freedoms. Returning prisoners are also liable for breaches of those conditions, may be required to provide identifying particulars (including photographs and fingerprints) and bodily samples, and may potentially be made subject to the provisions of an extended supervision order or a public protection order. Information about 501 deportees is stored on a register of deported offenders, which is accessible to nine New Zealand agencies.
G was convicted and sentenced in Australia prior to the ROMI Act coming into force in 2015. He argued that, in making the determination that he was a returning prisoner under the ROMI Act, the Commissioner of Police (Commissioner) was unlawfully applying the ROMI Act with retrospective effect. G also made an overlapping claim of double jeopardy, arguing that the consequences that flow from determination as a returning prisoner amount to the imposition of a further penalty, in New Zealand, for the same conduct for which he was convicted and had served his sentence in Australia. He therefore submitted that the imposition of the standard and special release conditions amounted to double jeopardy in breach of his rights under the New Zealand Bill of Rights Act 1990 (BORA).
The High Court held, per Gwyn J's judgment released in December 2022, that the determination that G was a returning prisoner amounted to a punishment with retrospective effect. The lack of express wording or a clear legislative intent as to retrospectivity, alongside the common law presumption against retrospectivity and provisions of BORA and the Sentencing Act (which affirms the right to the benefit of the lesser penalty between varied penalties), meant that s 17 of the ROMI Act did not apply to G. Therefore, the Commissioner's determination that G was a returning prisoner was invalid and it was quashed by the court. Gwyn J also accepted that the imposition of the standard and special release conditions amounted to double jeopardy and breached his rights to freedom of movement, rights against unreasonable search and seizure, liberty of the person, right against retroactive penalties and double jeopardy, right to justice and other rights and freedoms. Additionally, the requirements to provide identifying particulars and bodily samples was a significant intrusion on his privacy. The High Court ordered a declaration by the Commissioner that the determination was unlawful, quashed the determination and ordered all information relating to the determination including the identifying particulars and bodily samples collected about G to be removed.
Following the High Court decision, the Crown was granted an interim stay in proceedings so that the Government could address the legal and operational implications for the management of the returning offenders regime arising from the decision. Justice Minister Kiri Allan announced that the Government would take immediate action to ensure legislation can be introduced when Parliament next sits so the law has a retrospective effect, which would mean the determination would no longer be unlawful. Crown Law also filed an appeal against the decision and the matter was heard in the Court of Appeal on 2 February 2023. The Court of Appeal reserved its decision, meaning its decision will be delivered later in 2023.
Forestry and Wood Processing Industry Transformation Plan
The Government launched the Forestry and Wood Processing Industry Transformation Plan on 30 November 2022, with aims of processing more wood onshore, producing more high-value wood products, and using residues to grow the forest-based bioeconomy. The plan seeks to emphasise the utilisation of renewable resources to grow and diversify New Zealand's low carbon economy.
This will see a series of initiatives rolled out from 2023, including:
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Launching forest diversification and native afforestation programmes;
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Developing the business case for Crown investment;
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Researching and developing biomass regimes to decarbonise and stimulate biomass supply;
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Establishing post-graduate qualifications in wood engineering and biochemical engineering;
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Enabling forest aggregation opportunities for small woodlot foresters;
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Forming collaborative working groups with industry;
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Establishing funding options that aim to reduce some of the risks from investing in wood processing;
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Investigating options to reduce emissions and increase sustainability;
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Scaling up the 'Wood – Our Low-Carbon Future' campaign;
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Establishing an offshore market presence;
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Expanding MPI’s forestry-based advisory services;
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Aiming to support co-location and collaboration between firms; and
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Supporting a Māori forestry strategy.
Some actions in the plan are already underway. This includes the launch of the Timber Design Centre in March 2022. The centre gives advice on timber use in the design and construction of buildings, focusing on structures such as offices, hotels, and multi-storey apartments.
Recent investment in transport
Over December last year, the Government announced the completion of major roadworks and committed investments into various transport projects:
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On 4 December, the Government announced that forty-six councils will receive funding to implement more transport options for communities, as part of the Transport Choices package 2022-24. It aims to fund additional bus stops, bus prioritisation lanes, new cycleways, improvements to transport infrastructure around schools and improved walking access for neighbourhoods.
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On 7 December, work commenced on a $41 million programme to improve road safety in the Waimakariri district. The funding will go towards safety upgrades on SH1, including flexible median barriers and wide centrelines, and cycle and shared paths.
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On 10 December, the Government confirmed an additional $200 million investment in the next phases of the Eastern Busway in Auckland. This brought the Crown contribution to the Eastern Busway project to over $600 million.
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On 10 December, construction commenced on the O Mahurangi – Penlink connection to north Auckland. This project falls under the Government's New Zealand Upgrade Programme, which is a $8.7 billion investment in infrastructure such as roads, rail, hospitals and schools.
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On 18 December, State Highway 6 between Blenheim and Nelson reopened after seven weeks of repairs following an August weather event.
- On 21 December, the Peka Peka to Ōtaki expressway was opened. By connecting the MacKays Crossing to the Peka Peka Expressway and Transmission Gully Motorway, the Government aims to make it more reliable and safer for people and goods to travel through the lower North Island.
Clean Car Standard phase-in
The Clear Car Standard (Standard) is a government initiative aimed at addressing transport sector CO2 by encouraging a greater supply of low/zero emission vehicles into the country. The Standard began phasing in on 1 December 2022, and since 1 January 2023 most imported light-vehicles (excluding mopeds, motorcycles, and trailers) incur a credit or a charge based on the CO2 emissions ratings. Payments for any charges incurred are due by 1 June 2023 and credits will be transferrable from the same date.
The rationale for the Standard is to incentivise importers to bring in a higher ratio of low/zero emission vehicles to earn credits to offset charges from higher emitting vehicles. Vehicle importers are required to gradually reduce CO2 emissions of the light vehicles they bring into New Zealand via CO2 targets, which will get tighter every year. Pre compliance tools for importers, including an estimate calculator for vehicles' CO2 values, are available at importer.fuelsaver.govt.nz.