(Section 27 of the RPS)

Minerals are important natural resources being used for a range of agricultural, building and manufacturing purposes. They are by their very nature non-renewable and limited in their distribution. The fixed location of minerals means that consideration needs to be given to land uses which may restrict or prevent their utilisation.

Northland can be considered reasonably well endowed with mineral resources, particularly of the non-metallic nature. It has a well established aggregate industry which serves not only the region but also the Auckland metropolitan area. The region's greywacke and volcanic rocks serve as a source of aggregate, whilst sand is extracted from several coastal locations. Limestone is also extracted for producing cement and agricultural lime. The cement works at Portland south of Whangarei, is the largest in the country. The other principal material currently extracted in the region is high quality clay which is used for ceramics and other manufacturing purposes. The largest operation is based at Matauri Bay.

No precious minerals are currently mined in the region. There is, however, significant interest in the region with a number of exploration and prospecting licences in existence. Other minerals which have been the subject of some interest in the past include coal, kauri gum, peat and oil.

Minerals are defined in the RMA as a natural and physical resource and the extraction of them is subject to most of its associated provisions. Because of their finite nature their use is excluded from that part of the RMA's principal purpose which relates to safeguarding the potential of resources to meet the reasonably foreseeable needs of future generations. One other important aspect of the RMA is that it does not deal with the allocation and pricing of Crown owned minerals and associated access to such minerals. Crown owned minerals include gold, silver, uranium and petroleum.

Anticipated Outcomes

· Increased public awareness of the minerals and contribution to the economic and social well being of the region.

· Continued access to regionally significant mineral resources and avoidance of loss of value or sterilisation through incompatible activities.

· Reduced environmental effects of mineral extraction related activities.

· Improved day-to-day management of extraction sites and rehabilitation following use.

Policy Mix

The objectives for the minerals section are:

· recognition of the distribution and value of the region's mineral resources and their potential utilisation;

· protection of mineral resources from activities which may compromise their future use;

· reduced reliance on aggregate from environmentally sensitive coastal areas, especially foreshores;

· avoid, remedy or mitigate the adverse effects of mineral extraction on the environment.

The policy approach for the identification and protection of significant mineral resources (Policy 27.4 (a)) is a regulatory approach primarily focused on provisions in the district plans. The policy approach for the utilisation of mineral resources (Policy 27.4 (b)) also focuses on a regulatory approach recognising the sensitivity of the receiving environments that are usually associated with mineral extraction.

The minerals section contains seven individual methods of implementation that flow from the policy direction discussed above.

What has worked well in this section

District plans generally include provisions that seek to maintain access to resources by controlling subdivisions and the adverse effects of mining operations.

The provisions of this section are helpful but could be rationalised/improved, if not to promote integrated management of all resources, including minerals, then to assist economic development of the Northland region.

The title of section (b) utilisation of mineral resources is significant – it reflects the purpose of the Act as far as minerals are concerned. However, there is support to see that the policy thrust is strengthened in the RPS.

What has not worked in this section?

The RPS contains useful provisions for the use of information and dealing with mining-related issues, reverse sensitivity in particular. However the district plans deal with these issues in ways that are not consistent with each other or the RPS. More consistency may help to reduce conflict and cost in the future.

The RPS recognises the value of information, but is silent on the question of exploration. Resource data is produced by Government funded surveys and research (by GNS Science and individual Universities), and by exploration results that are filed with Crown Minerals (MED) and become public, generally after a period of 5 years.

While district plans generally recognise and provide for existing mineral extraction activities, undeveloped resources do not receive the same protection. This requires identification/mapping of the resource and managing potential encroachment by incompatible land uses to protect future access.

General comments on this section:

The current wording in the RPS does not express particularly well the paradigm that the exclusion of minerals from section 5(2) of the RMA makes it clear that the use of minerals, especially their extraction, is to be managed sustainably in every way except by controlling the rate at which mineral supplies are exhausted. The RPS should provide a concise and accurate expression of Northland's endowment of mineral resources. One notable omission is any mention of Northland's potential petroleum resources that may be of enormous economic/social benefit to the future of the region. However, this potential has only recently come to the fore with offshore exploration on Northland's west coast.

The "reverse sensitivity" issue is a major and growing problem for mineral producers throughout NZ, particularly where urban expansion from population growth impedes the aggregate supply by restricting the accessibility of resources, while at the same time increasing demand (e.g. Auckland).

At present the three district plans have widely diverging policies and rules applying to exploration. Greater consistency across the region in the way exploration activities are provided for would be a positive step towards improving the availability of the mineral resource in the future.

Is this section Efficient and Effective?

The scarcity of high quality aggregate compounded by increasing demand from population growth has resulted in more focus on the effectiveness of this section. Access to minerals is not well co-ordinated across Northland currently and exploration for new minerals is not addressed.

The mineral resource assessment of Northland by GNS Science and NZIER provides data on the known and potential resources of the region, allowing more efficient implementation of this section. This information could form the basis of a regional mineral information system that could make the management of mineral resources much more efficient in the future.

Emerging Issues for this section?

The effects of population and economic growth will continue to increase the demand for aggregate while restricting the supply through intensification of land settlement adjacent to mineral deposits. Opposition to the effects of increased heavy traffic resulting from the transportation of bulky materials can also constrain mineral extraction, particularly on routes used to access mineral resources.

If small quarries and those that work intermittently close, transport distances will increase, adding to the cost of aggregate and wear and tear on the road network.

Aggregate Strategy

The improving availability of information based on the nature, distribution and potential value of mineral resources in the region, and the growing problem of aggregate availability that is recognised in the existing RPS (explanation sections), suggests the need for the region to develop an aggregate strategy. This could include an evaluation of potential sources of supply, projected demand both within the region and from the south, and investigate ways of managing the utilisation of resources and transport to minimise resource use conflicts, and cost to the region. The studies by GNS Science, Auckland University Geology Department and New Zealand Institute of Economic Research (NZIER) provide an indication of potential resources and costs to undertake a full survey of the mineral resource.

High Value Minerals

The RPS makes only passing reference to the potential of high value deposits such as metallic minerals (e.g. silver and gold). High value minerals (both metallic and non-metallic) have the potential to contribute significantly to the regional economy. The studies by GNS Science and NZIER quantify the potential value of these, based on existing knowledge.

Petroleum

The RPS is silent on petroleum resources, which are potentially significant in Northland's coastal marine area. The utilisation of petroleum resources usually requires associated land based and offshore facilities and infrastructure which should also be recognised and provided for.

Treaty Settlements (including statutory acknowledgements) could become an emerging issue, which might affect the ability to extract mineral resources throughout Northland.

Conclusions

The completion of several key reports by GNS and NZIER provide more information on the location and value of Northland's mineral resources. This would enable the 2nd Generation RPS to have a more comprehensive minerals section. Currently the minerals section focuses primarily on aggregates, with only passing reference to metallic minerals and is silent on petrochemical resources, both of which have potential for development in Northland.

While existing mineral extraction sites are generally recognised and managed in district plans, undeveloped mineral deposits are not and are therefore vulnerable to encroachment by incompatible land uses, which may restrict access/development. As such, promoting exploration to identify viable deposits and preserve the ability to develop the resource (including providing for development/use of associated infrastructure such as roads) is an emerging issue that the 2nd Generation RPS needs to address. A coordinated strategy to manage aggregate extraction and distribution should also be a priority given growing demand.