|
|
Extract from the prime minister’s Statement to Parliament earlier this year relating to mineral resources.
In general, the Government is in favour of unlocking resources for economic benefit and to create better-paid jobs for New Zealanders, where this is also consistent with our environmental, conservation and other objectives. This year we will be pushing ahead with the second phase of resource management reforms. Ten separate streams of work are underway, covering economic growth areas like infrastructure, urban design and critical work on improving New Zealand’s freshwater management. The Emissions Trading Scheme will be in effect, and government agencies will continue to implement our climate change policy in a way which encourages New Zealanders to make choices that further our climate change goals, like reducing emissions and planting trees, while also ensuring New Zealanders’ economic and job opportunities are preserved. Last year the Government set up the Environmental Protection Authority that allows resource consent decisions for nationally significant projects to be made more quickly while continuing to protect the environment. Later this year we will introduce legislation to extend the Authority’s mandate to oversight of hazardous substances and new organisms, as well as the administrative functions of the Emissions Trading Scheme. New Zealand’s natural resources have the potential to significantly raise New Zealand’s economic performance. It is a little-known fact that in 2008, New Zealand’s third-largest export earner was oil. Last year the Crown received nearly $1 billion from petroleum production with $543 million being from royalty payments alone. This is revenue that has benefited all New Zealanders. During this year the Government will progress an action plan to unlock New Zealand’s petroleum potential. Estimates are that the petroleum sector could generate many billions more in export revenues by 2025. There is also extraordinary economic potential in the mineral estate residing in Crown owned land. Mining in New Zealand uses just 40 square kilometres of land, less than 0.015 percent of our total land area. The export value of that land however is $175,000 per hectare, which makes mining an extremely valuable use of land. The Government will shortly be releasing a discussion document for public consultation on potential changes to Schedule 4 of the Crown Minerals Act. Schedule 4 is the part of the Crown Minerals Act which prohibits mining or prospecting on specified areas of Crown land. The discussion document will recommend that some areas of Crown land be removed from Schedule 4 and in addition that some areas currently not in Schedule 4 be added to it. Notwithstanding the public consultation process, it is my expectation that the Government will act on at least some of these recommendations and make significant changes to Schedule 4. This is because new mining on Crown land has the potential to increase economic growth and create jobs. I know some people have expressed concern about increased mining but I can assure New Zealanders that any new mines on conservation land will have to meet strict environmental tests. Moreover, the Government is also proposing to establish a new Conservation Fund, potentially drawing on royalty revenue from mining operations on Crown land. The Conservation Fund would resource special conservation projects around the country. That means that if there is an increase in mining activity, New Zealand’s natural environment would also be improved.
Q&M Vol.7 No.2 April-May 2010 |
This year the Government will be looking at regulations that may be preventing natural resources being used most productively, or in some cases being used at all.