The Government has announced plans to open up 7000ha of conservation land for mining in a “discussion document” that also proposes adding 12,400ha to the conservation estate.
The move comes after a ‘stocktake' of Schedule Four of
The Government has announced plans to open up 7000ha of conservation land for mining in a “discussion document” that also proposes adding 12,400ha to the conservation estate.
The move comes after a ‘stocktake’ of Schedule Four of the Crown Minerals Act last year.
It plans to investigate other areas not included in the stocktake because more technical data is needed.
Energy and Resources Minister Gerry Brownlee, along with Conservation Minister Kate Wilkinson, this afternoon said New Zealand’s mineral resources are worth $194 billion – without coal or hydrocarbon.
The areas the Government proposes to open (representing 0.2% of Schedule 4 land) include:
Details were released last week by Forest and Bird, which said it would not reveal its source if investigated.
The government will also spend about $4 million from existing budgets on researching areas of potential, including areas in Northland, the Coromandel, (including the Southern Coromandel volcanic zone), Rakiura National Park, carbonite rocks north of the Haast River and other areas of the South Island.
Mr Brownlee said the suggested areas were only a small percentage of a potentially significant resource.
"We acknowledge mining is an emotive issue but we hope a rational conversation can now take place about the potential for utilising more of the country’s valuable natural resources for the greater good.
“We now have the parameters for a constructive discussion about the role mining might play in helping grow the economy and the value of our exports to help improve living standards for New Zealanders."
Decision welcomed
Business New Zealand chief executive Phil O'Reilly said the move could create a "step change" in the country's prosperity.
He said New Zealand has in-ground natural resources worth thousands of billions of dollars.
“These resources belong to all New Zealanders and should be used carefully in creating new industries and growing our economy.
“In taking stock of resources below the conservation estate the Government is acting judiciously on behalf of all New Zealanders.
“The ability of New Zealanders to contribute to decision-making over how our resources are developed is a feature of the Government’s approach to this issue and is also a part of normal Resource Management Act processes."
The Petroleum Exploration and Production Association (PEPANZ) welcomed a "rational debate" about the development of significant mineral resources.
“There has been widespread reporting that DOC lands contain significant mineral resources about to be extracted but this is not the case," executive officer John Pfahlert said.
“One third of New Zealand is held in the DOC estate and not all of it is comprised of pristine tourist areas, or is even necessarily environmentally sensitive.
"We should not just assume that the only use for every section of DOC lands is nature conservation and tourism or that mineral extraction can’t co-exist environmentally with those activities.
Mr Pfahlert said the petroleum exploration and production sector paid the crown $511m in royalties last year - sufficient to pay for Transmission Gully in three years, or build a new Wellington Hospital every year.
Other proposals
The discussion document includes setting up a standard operating procedure for access to land for mining - expected to be finalised in the next two months.
A Department of Conservation review already underway will review the concession process, to simplify it, cut compliance costs and timeframes.
As part of the Resource Management Act phase two review work, DOC is also working on a 'single process' for nationally significant proposals where concessions and resource consents are needed.
Conservation fund
A conservation fund will comprise 50% of royalty revenue from minerals from conservation areas. This will be a minimum of $2 million a year for the first four years and a maximum of $10 million a year.
The fund, allocated by the Ministers of Energy and Resources and Conservation, would be contestable.
The 'Maximising our Mineral Potential' document is open for submissions until May 4, 2010.
To read a question and answer document, click here.
