Last Friday the government made a heartening announcement that its phase 3 reforms to the Resource Management Act will make property rights a ‘guiding’ principle.
The RMA has failed in good part because of two fundamental flaws from a property right perspective: first, it allowed all and sundry to object with impunity to a changed land use; second, it denied compensation for the lost value from a successful objection.
Both flaws are bad for New Zealanders’ wellbeing. Unaffordable housing, over-crowded homes and people sleeping in cars is one result. Consenting costs for infrastructure projects exceed $1.3 billion per year and can add many months to getting them built.