Providing Settlement Assets

The Crown will provide Māori with the equivalent of 20 percent of all marine farming space created around New Zealand'ss coasts and harbours since 21 September 1992. The aquaculture settlement Act sets out two ways it will do this:

1. it will provide water-space rights for 20 percent of all 'new's space created;
2. it will provide either equivalent water-space rights or the financial equivalent for 20 percent of the 'pre-commencement space'⁴.

These assets will be provided to a Trustee³, on a region-by-region basis. The Trustee will then allocate these amongst each region's iwi, in accordance with the Act.

What is 'new' space?

Any marine farming space that becomes available under the new aquaculture regime (that came into effect on January 1^st 2005) is deemed to be 'new's space.

This includes space covered by any marine farm permit applications that did not get 'notified' by councils before the moratorium came in on 28 November 2001.

What is 'pre-commencement space'⁴?

Any marine farming space covered by permits, leases, or licenses first issued between 21 September 1992 and 1 January 2005 is referred to as 'pre- commencement space'. This includes any space that is first approved under the old legislation after 1 January 2005. So any authorisations issued in this way are deemed to be 'pre-commencement space' (even though they will have been issued after January 1^st 2005).

How will 'new' space be provided?

Wherever "new" aquaculture space becomes available, through the creation of new Aquaculture Management Areas, councils will identify 20 percent of the "new" space and provide the relevant resource consent application rights to the Trustee³.

Where possible, the space provided should be of economic size, and representative of:

• each farming type covered by the rules in the AMA's plan
• the overall productive capacity of the new space

If the Trustee cannot be provided with representative space of economic size for each of the farming types covered, the space provided does not need to be representative, but should be of economic size where possible. If that cannot be achieved, then the space should all be provided in one area.

If the space provided is not to be representative, then it must be of average, or better-than-average productive capacity.

Councils can create an Aquaculture Management Area specifically to provide new space for settlement purposes. When other AMAs are developed within their region, councils can draw on the new space in that special AMA to meet settlement obligations. It means that, over time, councils can provide iwi with adjoining sites in a single block.

Can anyone appeal these allocations?

If any party is unhappy with a council's identification of the space in the Aquaculture Management Area set aside for iwi, they can appeal this to the Environment Court.

How will 'pre-commencement space'⁴ be provided?

The Crown can fulfil its "pre-commencement space" obligations in one or a combination of three ways:

1. In addition to the 20 percent "new" space provided, the Crown can tell councils to make a further allocation to the Trustee³ (of up to 20 percent) from a newly-created Aquaculture Management Area. However, this only applies to AMAs created through a Council-initiated (rather than Private) Plan Change.
2. It can buy existing aquaculture space for settlement purposes on a willing- buyer, willing-seller basis, from 1 January 2008, and provide this to the Trustee.
3. It can provide the Trustee with the financial equivalent. However, this option can only be considered if there is still an outstanding obligation on 1 January 2013.

In 2007, the Ministry of Fisheries will begin reviewing the Crown's progress in completing this settlement. It will then consult with iwi, and come up with a plan on how further progress will be made.

Government will do its best to complete these settlement requirements for "pre-commencement space" by 31 December, 2014.

What about non-commercial aquaculture?

Claims relating to non-commercial aquaculture can be dealt with either through the Treaty of Waitangi historical claims settlement process, or under the Foreshore and Seabed Act 2004.

What about freshwater aquaculture and land-based marine farms?

The commercial aquaculture settlement only relates to commercial marine farming in coastal waters out to 12 nautical miles. The settlement does not relate to freshwater aquaculture, land-based marine (saltwater) farms, or aquaculture beyond councils" coastal jurisdiction (12 nautical miles).