OIAD 4801 Documents for Release.pdf

Item 1
Out of
Scop
e
Attachments:
Talking points for Cabinet papers at 6 November ECO Committee - DOC-7791666.pdf
Talking points for Cabinet papers at 6 November ECO Committee - DOC-7791666.docx
Importance:
High
From: Amanda Peterson <[email address]>
Sent: Monday, 4 November 2024 12:35 pm
Act
To: Peter Galvin Sec 9(2)(a)
Cc: Ruth Isaac <[email address]>; Siân Roguski <[email address]>; James Johnson
(Policy Manager) <[email address]>; Caroline Reid <[email address]>;
Government Services <[email address]>; Climate Change Response Team
<[email address]>
Subject: RE: Talking points for other Minister's Cabinet papers - ECO 6 November
Importance: High
Kia ora Peter
Information
Please see attached the document requested ahead of the Officials meeting (talking points
for ECO 6 Nov).
Ngā mihi
Amanda
Amanda Peterson
Official
Senior Policy Advisor | Kaitohutohu Kaupapa Mahere
Conservation House | Whare Kaupapa Atawhai
www.doc.govt.nz
the
From: Peter Galvin Sec 9(2)(a)
Sent: Thursday, October 31, 2024 5:52:22 pm
under
To: Government Services <[email address]>; Siân Roguski
<[email address]>; James Johnson (Policy Manager) <[email address]>;
Caroline Reid <[email address]>
Cc: Kayla Wilson Sec 9(2)(a)
>
Subject: Talking points for other Minister's Cabinet papers - ECO 6 November
Kia ora koutou
Released
Can we please commission the below – realisng these are underway eh? No other
memo needed thanks, and a single document will be perfect for tabling at the
Officals hui on Monday 4thin support of the agenda item.

Item 1
Cheers
Peter

Cab paper talking points
Paper title/subject
Three Cabinet papers led by other Ministers:
Act
·
Options Relating to the Sale oif Ruapehu
Alpine Lifts (RAL) Whakapapa Ski Field
·
Afforestation on Crown-Owned Land
·
NZ’s Second Emissions Reduction Plan:
Finalising and Publishing the Plan
Due to Office
Monday 4 November
Information
Context
The Minister has had regular brieinfgs on the above papers,
incluidng advice for Ministerial consultation. The Talking
Points are as a prompt for him to recall the key interests he
has in the papers, and to highlight any matters in them for his
colleagues.
Officials needed
Yes
No
Official
☐
☐
If officials needed,
the
describe
For ECO on the 6th at 9am
ENDS
under
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Item 1A
Talking points for the Minister of Conservation at 6 November ECO Committee
This note provides talking points to support you at the 6 November ECO Committee. There are
three papers being presented by other Ministers that have relevance to the Conservation
portfolio. The talking points highlight the key interests you have in the papers and matters that
you may wish to highlight to your col eagues.
Act
Out of Scope

Information

Official
the
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Item 1A
Out of Scope

Act
Options Relating to the Sale of Ruapehu Alpine Lifts (RAL) Whakapapa Ski Field (Minister of
Regional Development)
• Sec 9(2)(h)
• DOC estimates that decommissioning al infrastructure at Whakapapa could cost as
much as
Information
Sec 9(2)(j)
.
• Any money spent on decommissioning redundant ski ﬁeld infrastructure wil be money
that can’t be spent on conservation.
• I would make the fol owing observations/comments about the different options before
us:
Option 1: No Crown support for WHL’s bid
Official
• Sec 9(2)(j), Sec 9(2)(f)(iv)
the
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Item 1A
• Sec 9(2)(f)(iv)
Option 2 – Crown provides WHL with a loan of up to $5 mil ion
• Supporting WHL’s bid would delay the need to fulﬁl the decommissioning obligation but
Act
would not remove it.
• If we support WHL’s bid, I wil  ensure that DOC processes their concession application
by 31 March 2025.
• DOC wil  be responsible for removing infrastructure not included in the sale and
purchase agreement, which DOC estimates would cost around Sec 9(2)(j),   and wil  be
meet from within baselines.
Sec 9(2)(g)
Information
Official
the
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Item 2
From:
Stacey Wrenn
To:
Sec 9(2)(a)
; Sec 9(2)(a)
Cc:
Ruth Isaac; Government Services; Rebecca Worthington
Subject:
24-B-0574 - Email - Options relating to the sale of RAL"s Whakapapa ski field
Date:
Friday, 8 November 2024 1:14:00 pm
Attachments:
image001.png
24-B-0574 - Email - Options relating to the sale of RAL"s Whakapapa ski field - Attachment A - DOC-
7807458.docx
Hi Peter,
Act
Please see below DOC’s advice to support the RAL Cabinet paper on Monday, and
attached talking points.
Ngā mihi,
Stacey
FOR DISCUSSION OF RAL PAPER AT CABINET MONDAY 11 NOVEMBER - DOC ADVICE:
Information
Purpose
To provide you with additional information and talking points (Attachment A) on the Minster
of Regional Development’s Cabinet paper ‘Options relating to the sale of Ruapehu Alpine
Lifts Limited’s Whakapapa ski field’ following the Economic Policy Committee’s (ECO)
discussion on 6 November 2024. We previously provided you with advice and talking points
prior to ECO (24-B-0548 refers).
Official
We proposed updated recommendations for the Cabinet paper that have not been
incorporated
Sec 9(2)(f)(iv)
the

We proposed to include:
under
Substance of recommendation
Comment
A noting recommendation that under
The decision maker must give effect to the
existing legislation a lease or licence
principles of the Treaty when making their
concession can be granted for a term
decision on the application. We know iwi are
of up to 30 years, or 60 years in
not likely to support a concession term that
exceptional circumstances
extends beyond the likely timeframe for Treaty
(exceptional circumstances could
settlement for Tongariro National Park. The
include to provide certainty required
decision maker would need to consider this
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for investment).
when making their decision.
Sec 9(2)(f)(iv), Sec 9(2)(j)

Item 2
Sec 9(2)(j), Sec 9(2)(f)(iv)

Act

9(2)(f)(iv)
9(2)(f)(iv)
Information
Sec 9(2)(h)
Official
the
9(2)(f)(iv)
under
Sec 9(2)(g)(i)
You may wish to speak to these points at Cabinet.
Sec 9(2)(f)(iv)
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Proposed recommendation
Comment
Sec 9(2)(f)(iv)

Item 2
Sec 9(2)(f)(iv)
Sec 9(2)(f)(iv)
Act
Stacey Wrenn (she/her)
Information
Chief Advisor, Regulatory Modernisation
Whare Kaupapa Atawhai | Conservation House
Phone: Sec 9(2)(a)
www.doc.govt.nz
Official
the
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Act
Information
Official
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Item 4
Following the meeting between you, Minister of Finance, Minister for Regional
Development and Minister for Social Development today, we understand MBIE is redrafting
the Cabinet paper to reflect the recommendation Ministers are collectively making to
Cabinet. We recommend still submitting comments through Ministerial consultation, as
the feedback below will also be relevant for the updated Cabinet paper.
Concession process
The paper should include that you (or your delegate) will be the decision maker on
Act
the concession application, that Cabinet cannot direct the outcome of the
concession decision, and that the concession decision must be made in line with
the substantive and procedural requirements of the Conservation Act 1987 and Te
Awa Tupua (Whanganui River Settlement Claims) Act 2017.
The paper could include more detail about engagement with iwi and hapū in the
concession process (that we must give effect to the principles of the Treaty and
meet the requirements of Te Awa Tupua; Sec 9(2)(h)
) and be stronger about the feedback iwi and hapū have given to date
about not supporting a concession with a term longer than ten years. DOC has
previously provided feedback about this to MBIE.
Information
Paragraph 88 should note that the time required to process the concession is to
ensure all statutory requirements are met (including public notification, hearings
and iwi engagement).
We do not recommend you comment on this, but want to draw your attention to it – please
note that the paper currently sets out timeframes for processing the concession
Official
application by 30 April 2025. This is later than earlier versions of the paper, that set out
timeframes for processing an application by 31 March 2025 if publicly notified by 25
November 2024 at the latest. As we were unable to publicly notify the application by 25
the
November, we do not think it is possible to make a robust and lawful decision by 31 March.
Sec 9(2)(b)(ii)
We will provide you with detailed timeframes for processing WHL’s concession application
tomorrow as discussed.
Financial impacts on DOC
under
The paper could be clearer about the impact of the make good provisions, including
that Cabinet will be able to make decisions about when to remove infrastructure
from the ski field and that the wide range of potential make good costs is due to us
not knowing how much infrastructure will be DOC’s responsibility to remove after
the proposed wind up process if this option is progressed.
While the paper includes a recommendation that Sec 9(2)(f)(iv) in outstanding
concession revenue is paid to DOC if the sale to WHL is progressed, this is not
completely clear in the body of the paper. We recommend making it clearer that
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outstanding concession revenue will be paid to DOC (paragraph 85 of current
version of paper).
Sec 9(2)(f)(iv), Sec 9(2)(j)

Item 4
Sec 9(2)(j), Sec 9(2)(f)(iv)
The paper notes that it will cost DOC approximately
per annum to
Sec 9(2)(j), Sec
9(2)(g)(i)
maintain the ski field and manage hazards if RAL is wound up and that this will be
met from DOC’s baseline. We recommend you seek funding from Cabinet to cover
this cost rather than meet it from DOC’s baseline.
Sec 9(2)(f)(iv)
Act
Other
The paper recommends the Minister of Finance and Minister for Regional
Development are delegated to make further funding decisions related to Cabinet’s
decision. We recommend you are delegated alongside these Ministers.
Information
Stacey Wrenn (she/her)
Chief Advisor, Regulatory Modernisation
Whare Kaupapa Atawhai | Conservation House
Phone: Sec 9(2)(a)
www.doc.govt.nz
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Act
Information
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Item 5
Sec 9(2)(f)(iv)


4.
There are three options broadly available to Cabinet:
• Do not provide WHL with funding and move to wind up RAL. Note that WHL
may choose to continue with the sale and purchase agreement without Crown
funding (and potentially seek a concession with a longer term to compensate
Act
for the lack of funding) as part of the wind up process, Sec 9(2)(f)(iv), Sec 9(2)(b)(ii)
• Sec 9(2)(f)(iv)
• Agree to provide Crown funding to Whakapapa Holdings Limited (WHL). If this
option is supported, we will process the application for a ten year concession
that WHL has already submitted to us.
5.
The  draft  Cabinet  paper  has  been  sent  to  you  for  Ministerial  consultation.  We  are
reviewing the paper and will provide you with feedback on 3 December 2024.
Information
6.
We will brief you prior to EXP and Cabinet.
Strategic objectives
7.
The  main  objective  of  this  meeting  is  for  the  primary  Ministers  with  an  interest  in
Whakapapa  ski  field  to  discuss  the  proposed  options  in  detail  and  potentially  reach
agreement about their preferred options, before the paper goes to EXP.
Official
8.
Your  objectives  for  the  meeting  are  to  be  clear  about  the  requirements  of  the
Conservation  Act  1987  (and  related  legislation  including  Te  Awa  Tupua  (Whanganui
River Settlement Claims) Act 2017) when considering the proposed options and explain
the potential impacts of each option on DOC, including financial impacts.
the
Likely areas of discussion
Concession requirements
9.
Any  operator  of  Whakapapa  ski  field  will  require  a  concession.  A  concession  can  be
granted for up to 30 years, or 60 years in exceptional circumstances (such as security
of tenure to justify investment).
under
10.
You, or your delegate, will make the decision on any concession application. Cabinet
cannot  direct  on  the  decision.  The  decision  maker  must  make  their  decision  in
accordance with the substantive and procedural requirements of the Conservation Act,
including giving effect to the principles of the Treaty of Waitangi,  and Te Awa Tupua.
Under Te Awa Tupua the decision maker must recognise and provide for the Te Awa
Tupua status and Tupua te Kawa.
11.
Sec 9(2)(h)
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[24-B-0149] – [Whakapapa ski field sale options]
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Item 5
Iwi and hapū feedback on the two proposals to date
12.
We are aware iwi and hapū do not support a concession term over ten years, as a longer
term  would  exceed  expected  timeframes  for  Treaty  of  Waitangi  negotiations  over
Tongariro National Park.
13.
We understand WHL has engaged with all iwi and hapū with an interest in Whakapapa,
and  has  included  a  cultural  impact  assessment  from  Ngāti  Hikairo  as  part  of  its
concession  application.


Sec 9(2)(g)(i)
Act
14.
Sec 9(2)(ba)(i), Sec 9(2)(g)(i)
Timeframe for processing a concession application
15.
We have previously set out timeframes in the earlier version of the Cabinet paper that
would  allow  us  to  process  WHL’s  concession  application  by  31  March  2025.  This
timeframe required us to publicly notify the application by 25 November 2024.
Information
16.
Based on the paper being considered by Cabinet on 16 December 2024, we will not be
able  to  publicly  notify  the  application  before  the  statutory  shut  down  period  (20
December  to  10  January  inclusive).  This  means  that  the  20  working  day  public
notification period would, in the best case scenario, start on 11 January 2025. This will
not give us enough time to engage meaningfully with iwi and hapū, run the notification
process,  analyse  submissions,  hold  hearings  and  analyse  the  application  in  time  to
make a robust decision by 31 March 2025.
Official
17.
We  have  updated  the  Cabinet  paper  to  include  timeframes  that  would  allow  a
concession decision to be made by 30 April 2025, if Cabinet directs us to do this.
18.
Sec 9(2)(g)(i), Sec 9(2)(b)(ii)
the
Urgent legislation an alternate option to processing a concession
under
19.

Sec 9(2)(f)(iv),

Sec 9(2)(h)
Whatever outcome, it is likely there will be some activities at Whakapapa that require a
concession
20.
Sec 9(2)(f)(iv), Sec 9(2)(j)
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[24-B-0149] – [Whakapapa ski field sale options]
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Item 5
Potential impacts of the proposals on DOC
21.
Some of the impacts of the proposed options on DOC:
Sec 9(2)(j), Sec 9(2)(f)(iv), Sec 9(2)(g)(i)
Act
Information
Official
the
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1 Based on a desktop assessment.
[24-B-0149] – [Whakapapa ski field sale options]
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Item 5
Sec 9(2)(j), Sec 9(2)(f)(iv), Sec 9(2)(g)(i)
Act
22.
$Sec 9(2)(j)  is an estimate to remove all current infrastructure on the ski field, at today’s
prices. Sec 9(2)(f)(iv), Sec 9(2)(j)
Costs for Vote Conservation
Information
23.
If  Whakapapa  ski  field  is  closed  and  DOC  is  responsible  for  managing  the  site,  our
immediate  priority  would  be  addressing  any  immediate  health  and  safety  risks.  Our
current estimate for the ongoing management and maintenance cost is Sec 9(2)(j)
per
annum, to cover essential services and hazard management.
24.
There are over 50 ski club huts located on and around Whakapapa ski field. Two club
huts have recently closed, and it is highly likely many other club huts will also close if
there is no longer a ski field at Whakapapa. Sec 9(2)(g)(i), Sec 9(2)(f)(iv)
Official
25.
It is important to ensure any costs associated with Whakapapa ski field are funded by
the Crown for DOC, rather than by reprioritisation of other DOC resources.
the
26.
Sec 9(2)(g)(i), Sec 9(2)(f)(iv)
Risks & implications
under
27.
Sec 9(2)(h)
28.
Sec 9(2)(g)(i)
The
Cabinet  paper  recommends  Cabinet  directs  the  application  is  processed  by  30  April
2025. This will help us to communicate that we do not have discretion about the speed
of the concession process.
29.
Sec 9(2)(g)(i)
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MEMO ENDS
[24-B-0149] – [Whakapapa ski field sale options]
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Act
Information
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Item 6
Appendix 1: Talking points
Concession requirements and timeframe
• WHL has already submitted its concession application to DOC. If we
support WHL’s bid,  I will instruct  DOC  to  process  its  concession
application by 30 April 2025 and communicate this to iwi and hapū.
This wil  make our expectations of timeframes clear to everyone that
Act
DOC consults with on the application.
• DOC has advised me a robust concession decision cannot be made
by 31 March 2025.
• Sec 9(2)(h)
• Sec 9(2)(f)(iv), Sec 9(2)(h)
Information
Financial implications
Official
• DOC wil  be responsible for removing infrastructure not included in
the sale and purchase agreement, which DOC estimates would cost
the
around Sec 9(2)(j) . This wil  require reprioritisation of conservation
resources on top of significant existing cost pressures.
• If we do not support WHL’s bid, there wil  be significant costs to
DOC, including annual costs of approximately $Sec 9(2)(j)
and
under
significant costs to remove infrastructure. These costs cannot be
absorbed by DOC. Sec 9(2)(j), Sec 9(2)(f)(iv)
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