STANDARDS. Standards New Zealand's submission on the Resource Management (Simplifying and Streamlining) Amendment Bill 2009

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1 STANDARDS NEW ZEALAND PAEREWA AOTEAROA Standards New Zealand's submission on the Resource Management (Simplifying and Streamlining) Amendment Bill 2009 To the Local Government and Environment Committee Introduction This submission is from Debbie Chin, Chief Executive, Standards New Zealand. We wish to appear before the committee to speak to our submission. Contact details: Brian McMillan Phone: Standards New Zealand Level 10, 155 The Terrace Private Bag 2439 Wellington

2 Submission Standards New Zealand welcomes the opportunity to provide a submission to the Local Government and Environment Committee. We support the Resource Management (Simplifying and Streamlining) Amendment Bill's overarching aim, namely, To reduce delays, costs and uncertainty associated with RMA processes, and thereby help to improve environmental, social and economic outcomes'. New Zealand Standards New Zealand Standards are a type of 'national instrument' that exist for the purpose of providing guidance and/or standardisation where this is required. Standards may be referenced in regulation or voluntarily adopted as best practice. New Zealand Standards are developed through a consensusbased process that follows international best practice. This approach taps into the best available expertise, distils out its key elements, includes public consultation, and creates Standards that last. The Standards development process offers a powerful tool to depoliticise issues through stakeholder engagement and consensus the collaborative nature of the process means that regulators, industry, and other interested parties are brought together in a neutral environment that encourages constructive dialogue and builds positive longer term relationships. There are Standards that need to have the force of regulation, backed up with resources to monitor and ensure compliance with 'bottom line' requirements, such as air and water quality standards to protect human and ecological health. They provide the means by which the Government's resource management and environmental policy objectives are implemented. There are other Standards that do not necessarily need the backing of regulation and the associated compliance costs to achieve their purpose. These include Standards on processes, prescribed methods, and guidelines on better practice they provide assurance of an outcome when followed, or support regulation by providing 'how to' solutions. Improvin,q decisionmakinq processes It is the last point noted above that makes New Zealand Standards a suitable tool to support the Bill's intent to improve and streamline decisionmaking processes namely the ability to codify processes and methods to aid in their dissemination and ready reference, thereby ensuring consistency in approach. By providing a trusted, readily usable methodology, Standards help deliver certainty in the quality of outcomes, while reducing overall transaction costs. An example of a processbased Standard that is adaptable to suit a range of circumstances, and which helps to ensure consistent and effective decisionmaking, is NZS 9401:2008 Managing flood risk (see Appendix A). Other Standards that offer an example of guidance on decisionmaking, which are also widely used by local authorities and the Environment Court, are those on acoustics for example, NZS 6802:2008 Environmental noise, NZS 6805:1992 Airport noise management and land use planning, and NZS 6808:1998 The assessment and measurement of sound from wind turbine generators. The Standards development process incorporates public consultation through facilitated feedback that ensures genuine opportunities for consumer and community representation,

3 and helps support more widespread 'buy in' to the final Standard and further assurance in the quality of the outcomes supported by the Standard. Improvinq national RMA instruments The explanatory note to the Bill points out that national RMA instruments 'can be cumbersome, inflexible and difficult to implement'. New Zealand Standards can help address these difficulties, particularly with regard to national environmental standards, by offering an efficient and effective nonregulatory mechanism for achieving what national RMA instruments set out to achieve through regulation. To consider each of the difficulties noted, or more particularly the inverse advantages offered by New Zealand Standards, in turn: Fit for purpose New Zealand Standards are developed by a representative committee of key stakeholders tapping into expert knowledge, as well as the specific requirements of endusers, to provide a useful and readily accessible solution. Standards are also able to include the sort of detail (for example, the means of compliance, and methods of assessment and measurement) not usually included in regulation. Flexibility Standards can be organised in a variety of styles based on the intended purpose, for example: Performance based specifying that certain outcomes must be met, but allowing the user to determine their own technique for achieving the outcome. Prescription based specifying the means for attaining a specified outcome. Verification methods providing the means of determining whether a system will meet a predefined performance criterion. New Zealand Standards have a proven review process that is, among other things, consensusbased and transparent, and allows them to be updated and revised to align with new developments, emerging issues, and improvements in knowledge. Ease of implementation Standards can be applied in a variety of ways to support policy (see Appendix B), including: incorporated by reference in regulation, making them legally mandatory cited as 'acceptable solutions' or means of compliance' selfregulation within a sector, or industryaccepted best practice methods for predicting, measuring, and assessing effects. As the above points highlight, the potential of New Zealand Standards in the resource management area has not yet been fully realised. We would be happy to provide further information to the Select Committee regarding the opportunities for Standards and the consensusbased Standards process to support the Bill's overarching aim of reduced delays, costs, and uncertainty, and help to achieve good environmental, social, and economic outcomes.

4 Appendices A. NZS 9401:2008 Managing flood risk NZS 9401:2008 Managing flood risk, is an excellent example of a Standard developed to support robust, effective decisionmaking. The Standard guides decisionmaking on flood risk, to ensure all flood risk components are considered when making key land use decisions. Intended users include local authorities, central government, communities, engineers, and developers. Making a decision to build or develop in a flood zone or catchment area requires indepth knowledge of the potential hazards. This Standard presents a best practice approach to managing flood risk to be used as the standard process approach, nationwide. The committee overseeing the development of the Standard represented a strong mix of technical expertise, policy setting, infrastructure, and planning, and included the Centre for Advanced Engineering, Department of the Prime Minister and Cabinet, Environment Waikato, Federated Farmers, Insurance Council, Ministry for the Environment, Ministry of Agriculture and Forestry, Earthquake Commission, Ministry for Civil Defence and Emergency Management, Ontrack, Otago Regional Council, ThamesCoromandel District Council, and Whakatane District Council. Awareness of the Standard's processes provides confidence and peace of mind for planning, and helps to establish sound flood hazard risk management practices within all relevant organisations. B. Examples of Standards in practice The Standards New Zealand development structure provides policy makers with a range of implementation options, from prescriptive and performancebased Standards, mandatory or voluntary Standards, or a combination. Uses include: Standards cited in Acts or regulations, making them legally mandatory. An example is the disability Standard NZS 4121:2001 Design for access and mobility: Buildings and associated facilities cited in the New Zealand Building Code. Standards cited in Acts or regulations as 'acceptable solutions' or 'means of compliance'. When used, this type of Standard ensures compliance with the legislation but does not prevent the use of an alternative method, provided it meets the specified legislative criteria. For example, the Building Code cites a number of Standards that are published in the NZS 3604:1999 Timber framed buildings series. A Standard that is not cited may be seen by a particular sector or industry as an appropriate means of selfregulation and become industry accepted best practice. AS/NZS ISO 14001:2004 Environmental management systems is a good example of this. Use of a Standard may be required by a government agency as a condition of contract with an external supplier such as the Ambulance and paramedical service Standard (NZS 8156:2008) and the Health and disability services Standards set (NZS 8134:2008). 4

5 A Standard may be employed as a means of compliance for industry oversight. For example, the Standard NZS ISO 15189:2007 Medical laboratories particular requirements for quality and competence is tied to audits for certification. A Standard may be encouraged by being strongly recommended as a guide for better practice, and mentioned in publicity and other materials relating to policy, such as the joint Australia/New Zealand Risk management Standard (AS/NZS 4360:2004). Use of a Standard may be promoted as a means of dealing with legal liability issues. For example, compliance with risk management Standards may be cited in court as proof that all reasonable steps were taken. C. Benefits of Standards 'Lighter touch' tools to support regulation and reduce compliance costs.,/ v" Faster turn around than regulations, for example New Zealand Standards have an average development time of only 13 months. A consensusbased approach, including public consultation, for wide stakeholder buy in. Standards can be mandatory when referenced in legislation or regulations; they are not only voluntary tools. Improved safety, quality, welfare, and convenience making life simpler and safer for all New Zealanders Market confidence through international best practice measurement, monitoring, and verification. D. About Standards New Zealand The Standards Council is New Zealand's peak national standards body. Its primary function, as a crown entity operating under the Standards Act 1988, is to develop Standards and to promote, encourage and facilitate the use of Standards in New Zealand. The Standards Council and its operating arm Standards New Zealand meets national needs for contemporary, internationally aligned Standards that boost New Zealand's economy and advance the welfare of all New Zealanders. To ensure this, as a member of the World Trade Organization (WTO), New Zealand has agreed that no New Zealand Standard will contravene the WTO requirements that national Standards should not be used as nontariff barriers to free trade; and that no new New Zealand Standard will be developed where an acceptable international Standard already exists. Standards New Zealand is New Zealand's member of the International Organization for Standardization (ISO), and the International Electrotechnical Commission (IEC). It is New Zealand's main point of contact with other national Standards bodies around the world. Through this role, it works to ensure New Zealand participates, influences, and displays leadership in international and national Standards harmonization. For general information on Standards please see: 5