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Environmental Publication 2014/12 - Tarawera Lakes Restoration Plan 1

Part 1: Background

Introduction 1

1.1 Purpose

The Tarawera Lakes Restoration Plan seeks to identify actions to cap the total nitrogen and reduce total phosphorus concentrations in Lake Tarawera to improve water quality.

1.2 Scope and approach

Lake Tarawera receives the water from all the lakes in the Ōkataina Caldera. Lakes Ōkāreka, Ōkataina, Rotokakahi, Rotomahana and Tikitapu all drain into Lake Tarawera either via surface water or groundwater flows. Lake Ōkaro and Lake Rerewhakaaitu drain first to Lake Rotomahana, then to Lake Tarawera. Because of this interaction between lakes the catchment of Lake Tarawera (the Tarawera System) is made up of an inner catchment and an outer catchment: Inner catchment – includes the land, surface water and groundwater that drain

directly to Lake Tarawera. Outer catchment – includes the land, surface water and groundwater that drain to

the seven other lakes in the Tarawera System before draining to Lake Tarawera. The approach up until now has been to address each lake in isolation without consideration of the interaction between lakes1. This approach is effective, as a reduction in nutrients in the catchment of any of the outer lakes will benefit both the immediate lake and Lake Tarawera. However it doesn’t consider the interactions between lakes or Lake Tarawera as the final destination of the nutrients. Work is also underway to build a groundwater model of the area which will provide more information on the interactions between lakes. This work is expected to be completed in about twelve months at which time a more accurate nutrient budget can be prepared with updated reduction targets. In the meantime, the best information available recommends capping nitrogen at its current level, and focusing resources and effort on reducing phosphorus. Actions to reduce phosphorus will be split between the inner and outer catchment, proportional to the total load contributed by each catchment.

1.3 A brief history

Unless otherwise referenced, the information in this section was sourced from Tarawera: The Volcanic Eruption of 10 June 18862. Before colonisation, the Rotorua lakes provided food, shelter, economic resources and primary transport routes for Te Arawa. The iwi used Mount Tarawera as a burial ground for chiefs and other persons of importance and the mountain is considered tapu.

1 Four lakes in the Tarawera system already have Approachs in place (Ōkāreka, Ōkaro, Ōkataina, and Tikitapu) and investigations are underway to develop actions for the remaining lakes (Rotokakahi, Rotomahana and Rerewhakaaitu). 2 Keam, R. G., 1988 Tarawera: The Volcanic Eruption of 10 June 1886.

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2 Environmental Publication 2014/12 - Tarawera Lakes Restoration Plan

Te Arawa is made up of iwi and hapu based predominantly in Rotorua tracing their ancestry back to the Arawa waka. Presently, Te Arawa has a population of about 35,1273. After colonisation, the “Hot Lakes” district attracted tourists from all over the world as stories of the boiling mud, geysers and other geothermal wonders spread. In particular, the Pink and White Terraces (Otukapuarangi and Te Tarata) on the shores of Lake Rotomahana were becoming known as one of the natural wonders of the world. Te Arawa played a major role in developing tourism in Rotorua, and acted as guides for visitors. They kept a significant degree of control over access and transport to the attractions of the area. Settlers introduced trout and other exotic species into the Rotorua lakes which depleted indigenous fish stocks and forced a reliance on the introduced species. The introduction of fishing licences led to further hardship for some members of Te Arawa already affected by the reduction of indigenous species. Over the years, Te Arawa negotiated with the Crown for customary fishing rights, trout fishing licences and burial reserves in the lakes. Developments in the late 19th century led to an increase in nutrients flowing into the lakes from clearing forestry, farming and septic tanks. The environmental degradation of the lakes has affected their mana and wairua4.

1.3.1 Mount Tarawera eruption

Mount Tarawera has three domes – Wahanga (bursting open), Ruawāhia (the split hole), and Tarawera (the burnt cliff). Prior to its eruption in June 1886, Mount Tarawera was believed to be extinct. At the time, most volcanoes in New Zealand other than White Island (Whakaari) and Tongariro were considered dormant. Visitors to the Pink and White Terraces started at the town of Te Wairoa, located at Lake Tarawera. A steep track went from Te Wairoa to Lake Rotomahana for those who hired horses, but the preferred travel route was by boat across Lake Tarawera to Te Ariki and then up the Kaiwaka Stream. About two weeks prior to the eruption unusual events created unease. Tourists and locals noticed strange surges in lake level, and at the Terraces there was evidence of recently ejected mud from the geysers. The most unusual event was the sighting of the waka, or “phantom canoe” as it became known. Eyewitnesses in a tourist boat, both Māori and Pakeha, saw a large war canoe with a high prow and stern being paddled on the main body of Lake Tarawera. The day was clear and bright with no clouds, and they could see the waka and the flashing of the paddles clearly. The canoe did not respond to hails and disappeared around a headland. Local Māori regarded the canoe as an apparition, as they had no waka like the one seen on the lake. Spectral appearances such as this indicated calamity. Mount Tarawera erupted in the very early hours of 10 June 1886. Strong earthquakes were felt in the Rotorua area and lightning was seen around Mount Tarawera. By 2:30 am all three peaks had erupted, sending ash and smoke thousands of metres into the air. A rift tore open the domes of Ruawāhia and Tarawera and a large new crater emerged at Rotomahana. The Rotomahana crater generated a surge of hot scoria, mud pellets, and balls of fire that destroyed Te Wairoa and other surrounding villages. Buildings collapsed and were buried under mud and ash. Approximately 120 people were killed.

3 Statistics New Zealand Census 2006. 4 The New Zealand Government, 2006 Te Arawa Lakes Settlement Act 2006.

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Lakes Rotomahana and Rotomakariri were now one crater which later filled with water to become the present day Lake Rotomahana. There was no trace of the Pink and White Terraces and they were long believed to be destroyed. In 2011 researchers mapping the bottom of Lake Rotomahana found their remnants5. They are now believed to be buried in sediment under the lake, rather than destroyed.

1.4 Te Arawa Lakes Treaty Settlement

On 18 December 2004, a Deed of Settlement was signed between The Crown and Te Arawa for the cultural, financial and annuity redress and the transfer of 13 lake beds to Te Arawa6. These 13 lakes include Lake Tarawera and six other lakes of the Ōkataina Caldera – Ōkataina, Ōkāreka, Rerewhakaaitu, Rotomahana, Tikitapu and Ōkaro. The content of the Deed is enshrined in legislation which was passed in 2006. The Te Arawa Lakes Settlement Act returns the title of the lakebeds to Te Arawa. This includes the ownership of the lake beds (including plants attached to the lake beds) and the subsoil of the lake. At this stage the water column and the airspace remain in Crown ownership. The water itself is a public asset and continues to be regulated according to the Resource Management Act 1991. The Settlement Act protects all existing rights, including public access and use of the lakes. Any new structures or modification to existing structures need the consent of both Te Arawa and the Crown. In 2007 a Memorandum of Understanding (MoU) was signed between the Crown, Te Arawa Lakes Trust, Rotorua District Council and Bay of Plenty Regional Council. The MoU acknowledged that although the lake beds had been returned to Te Arawa ownership, the water quality was poor and the lakes infested with exotic weeds. It recognised that these legacy issues were created over a long time and that restoration of the lakes would take significant time, effort and financial resources. The MoU also set out the roles for each of the four parties.

1.5 Legislation

In May 2010 the government released the National Policy Statement for Freshwater Management (the NPS) which was updated in 2014. The policy explicitly requires regional councils to improve the water quality of degraded water bodies and make changes or variations to plans to introduce policies and rules7 to achieve this. According to the definition in the NPS, most of the Rotorua Te Arawa Lakes are degraded. The Regional Council has also identified the Rotorua Te Arawa Lakes as at risk in the Regional Policy Statement.8The Bay of Plenty Regional Water and Land Plan (the RWLP) contains objectives, policies and methods to specifically address the issue of declining water quality in these lakes. The Regional Plan for the Tarawera River Catchment (the Tarawera River Plan) has provisions that control activities within the catchments of lakes Ōkaro, Ōkāreka, Ōkataina, Rotokakahi, Rotomahana, Tarawera, Tikitapu and the catchment of the Tarawera River. The main focus of this plan is to control discharges in the lower reaches of the river. Many of the provisions have been superseded by the RWLP. The Tarawera River Plan is being reviewed according to the Resource Management Act (requirements for regional plans).

5 www.gns.cri.nz/Home/News-and-Events/Media-Releases/Scientists-find-part-of-Terraces. 6 The New Zealand Government (2006) Te Arawa Lakes Settlement Act 2006. 7 The New Zealand Government (2011) National Policy Statement Freshwater Management 2011. 8 The Bay of Plenty Regional Council (2010) Bay of Plenty Regional Policy Statement October 2014.

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The current intention is to incorporate the Tarawera River Plan into the RWLP9 however the final decision will be made once the review is complete. Currently Te Arawa and Affiliate Te Arawa Iwi and Hapū have statutory acknowledgments in place that cover Lake Tarawera and its catchments10. A Statutory Acknowledgment is a formal acknowledgement by the Crown of the mana of tangata whenua over a specified area. It recognises the particular cultural, spiritual, historical and traditional association of an iwi with the site, which is identified as a Statutory Area. These statutory acknowledgments require consent authorities, the Environment Court and the Historic Places Trust to have regard to the statutory acknowledgement, to forward summaries of all applications for resource consents to the trustees and enable the trustees and members to cite the statutory acknowledgment as evidence of their association with the Statutory Area.

1.6 Importance to the community

The community of Lake Tarawera (both permanent residents and visitors) is passionate about the lake and is anxious to keep it in good condition. The aspects of the lake that the community like are: Native bush and scenery. Water quality good enough to allow fishing, boating and swimming. Iconic features like Mount Tarawera and Hot Water Beach. The community’s main concerns are: Declining water quality – once water quality has deteriorated it may never recover. Number of pests, both aquatic and land-based (pest trees on Mount Tarawera,

catfish, hornwort, rats, wattles, possums, swans).

1.7 Importance to tangata whenua

1.7.1 Māori environmental management

The relationship of Māori and their culture and traditions with their ancestral lands, water, sites, waahi tapu and other taonga is recognised as a matter of national importance in the RMA. The concept of kaitiakitanga and the ethic of stewardship are included as other matters to consider when carrying out duties under the RMA. For Māori, water is a taonga, a treasure, and is very highly regarded. Māori identify themselves in terms of their ancestors and their rivers and mountains. Māori consider water bodies to be their ancestor, a part of their family and a part of them. When a freshwater body is mismanaged, it hurts not only the water body itself, but the tangata whenua who identify with it. In the past when travelling away from the coast, Māori relied heavily on freshwater bodies as a source of food including tuna (eels), kakahi (mussels) and koura (crayfish) as well as edible plants. Māori of today still use freshwater bodies as important food sources as well as for ceremonial purposes. Rivers, lakes and streams are an important part of their cultural heritage and identity.

9 The Bay of Plenty Regional Council (2012) Ten Year Plan 2012-2022 Page 95. 10 The Bay of Plenty Regional Council Nga Whakaaetanga-a-Ture ki Te Taiao a Toi – Statutory Acknowledgments in the Bay of Plenty.

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In Māori environmental management, all resources have mauri (an energy which binds and supports life). The mauri of each water body is a separate entity and cannot be mixed with the mauri of another. This conflicts with the traditional western view that water can be diverted, dammed and used to take away waste. The pollution and alteration of a water body diminishes its mauri and affects its ability to provide food from this source. Practices, or tikanga, are used to maintain the mauri of resources. The ongoing observation of these tikanga has led to the development of the ethic of kaitiakitanga. Kaitiakitanga is most simply translated as guardianship, but it also includes care, wise management and the use of resource indicators (where resources themselves indicate the state of their own mauri). The degradation of Lake Tarawera and its surrounding catchments is of concern to all tangata whenua who are connected to the lake by whakapapa (genealogy) within their rohe. The extent to which the land-use changes and declining water quality has impacted on tangata whenua values is currently unknown. This has been identified in this document as an area for further investigation and action.

1.7.2 Iwi and hapū of Lake Tarawera

This section discusses the issues of the three core iwi and hapū that identify Lake Tarawera as part of their rohe. There are many other iwi and hapū which have an interest in Lake Tarawera who have not been included here.

1.8 Te Arawa

Te Arawa is one of seven Māori Tribes of New Zealand whose rohe extends from Maketū to Tongariro in the central North Island. Te Arawa has a long history with the Rotorua Te Arawa Lakes and Lake Tarawera, as summarised in the sections above. The Te Arawa Lakes Trust is a partner in the Rotorua Te Arawa Lakes Strategy Group (alongside Rotorua District Council and the Bay of Plenty Regional Council). As a partner they are committed to ensuring the lake water quality does not decline further, and that action is taken to improve Lake Tarawera.

1.9 Tūhourangi Tribal Authority11

Tūhourangi Tribal Authority was established to manage the Treaty of Waitangi settlement benefits relating to the Hapū of Tuhourangi (part of the Te Pumautanga o Te Arawa settlement in 2008). Their rohe is from Moerangi (including the Whakarewarewa forest), Haparangi and Horohoro bluffs to the west, south to Kakaramea (Rainbow Mountain) and east to Ruawāhia (Mount Tarawera). Hapū of Tūhourangi also reside in the Te Puke area. Environmental concerns include the contamination of the Puarenga Basin, the geothermal fields and the health of waterways, including Lake Tarawera and Lake Rotokakahi.

11 Tūhourangi Tribal Authority (2011) Enhanced Iwi Environment Resource Management Plan.

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1.10 Ngāti Rangitihii12

Ngāti Rangitihi is descended from Rangitihi, the great-great grandson of Tametekapua, the commander of Te Arawa Waka. Although he was born at Maketū, he and many of his descendants moved inland to other areas, including Lake Tarawera. They resided at the inland lakes for hundreds of years alongside Tūhourangi and other Te Arawa iwi. In 1886 the Tarawera eruption caused significant loss of life as well as devastating villages, pā, gardens and the landscape. Whānau gathered at Matatā and travelled inland to look for survivors. The survivors and their whānau settled at Matatā and remain there to this day. Their rohe covers the Maketū area (the birth place of Rangitihi and the arrival place of Te Arawa waka), the Kaituna River, Lake Tarawera, Tarawera River, Kāingaroa Plains, Rangitaiki River and south to specific places on the Waikato River. The Ngati Rangitihi Iwi Environmental Management Plan includes objectives to address the issues of alteration of water bodies and their ability to support fish and bird habitats. The restoration and enhancement of specific water bodies, including Lake Tarawera, is identified as an objective. Other objectives relating to water concern the issue of the discharge of contaminants and the overuse of finite freshwater resources.

Lake characteristics 2

2.1 The lake today

Lake Tarawera is the second largest lake of the twelve Rotorua lakes managed for water quality by the Bay of Plenty Regional Council (the largest is Lake Rotorua). At a glance: Lake size: 4,138 ha Catchment area: 14,472 ha Elevation: 298 m Average depth: 50 m Deepest point: 87.5 m Formed: 5,000 years ago Outflow: Surface via the Tarawera River About 391 houses are located at the lake with about 25% occupied all year round by 290 residents. The remaining 75% of houses are used as holiday accommodation. There are anecdotal reports of an emerging trend of bach owners that have been holidaying at the lake for the past few decades, retiring and living at the lake permanently.

12 Te Mana o Ngāti Rangitihi Trust (2011) Te Mahere a Rohe mo Ngāti Rangitihi – Ngāti Rangitihi Iwi Environmental Management Plan.

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Lake Tarawera is a popular lake, providing a variety of recreational uses for residents and visitors: Water activities – kayaking, sailing, water-skiing, ski-biscuiting, jet-skiing, swimming. Fishing – Lake Tarawera has a well-stocked trout fishery. Walking, tramping and camping – there are several walking and tramping tracks

around Lake Tarawera with camping grounds located at The Outlet, Humphries Bay and Hot Water Beach.

Tourist attractions – the Buried Village of Te Wairoa, Hot Water Beach, trout fishing and an ascent of Mount Tarawera attract visitors to the lake.

General activities – parks and reserves adjacent to the lake provide public facilities such as boat ramps, playgrounds and public toilets.

Map 1 shows the main recreational uses of Lake Tarawera.

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8 Tarawera Lakes Restoration Plan

Map 1 Lake Tarawera – Recreational uses.

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2.2 Land-use (inner catchment)13

The inner catchment includes the land, streams, and groundwater that run directly into Lake Tarawera. Land cover in the inner catchment is mostly native and exotic forest with some pasture as shown in Figure 1 and Map 2 (information sourced from the 2012 nutrient budget).

Figure 1 Graph of land cover in the inner catchment of Lake Tarawera.

2.3 Inflows

An estimated 20% of the water entering the lake is from rainfall and surface water flows. Groundwater is the dominant source of inflow to Lake Tarawera with 80% of water entering the lake from sources other than streams. Surface water flows into Lake Tarawera predominantly from Lake Rotokakahi via Te Wairoa Stream and from Lake Ōkāreka via the Waitangi Stream. A number of minor inflows also contribute freshwater to the lake, with one stream intermittently sourced from Lake Rotomahana when the lake level is high. Sub-surface inflows connect to Lake Tarawera from lakes Tikitapu, Ōkataina and Rotomahana. Lake Ōkaro and Lake Rerewhakaaitu flow to Lake Rotomahana, then to Lake Tarawera via sub-surface flows. This represents a particular challenge for the lake as it can take several decades for groundwater to reach the lake. Any changes made within the groundwater catchment to improve water quality will take many years to show a measurable effect. With the dominant inflow to Lake Tarawera coming from groundwater, the lake will respond slowly to any land-use changes. Septic tanks are generally closer to the lake edge and their effluent affects the shallow groundwater. The removal of this source would most likely lead to quicker improvements in water quality.

13 McIntosh, J. (2012) Lake Tarawera Nutrient Budget, Bay of Plenty Regional Council.

Pasture1,965 ha19%

Exotic forest1,524 ha15%

Native forest6,421 ha62%

Other330 ha3%

Urban94 ha1%

Land‐use ‐ Lake Tarawera Catchment

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10 Tarawera Lakes Restoration Plan

Map 2 Land Cover in the Lake Tarawera Catchment.

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2.4 Lake dynamics and sediments

During spring, the water in deep lakes like Lake Tarawera stratifies into two layers and remains stratified throughout summer and autumn. The layers remain separate until the surface cools again in June of the each year. The bottom layer of water is isolated from the air and oxygen cannot be replenished for the whole nine months of stratification. During this time the decomposition of dead algal cells in the bottom layer uses up the oxygen. There is a risk that with increased algal concentrations that the bottom layer oxygen could be used up, releasing nitrogen and phosphorus from the lakebed into the water column. During winter (July to September) the surface waters cool to the same temperature as the bottom waters. All water mixes from top to bottom and any nutrients that have been released from the lake bed during stratification may be brought to the surface where they can stimulate algal blooms during the following summer. Increased algal growth in the surface waters results in further deposition of algae on the lake bed, further fuelling the cycle. A diagram of this process is shown in Figure 2 below.

Figure 2 Diagram of lake dynamics during mixing and stratification.

Currently in Lake Tarawera there is insufficient algal matter dropping into the bottom layer to use up all the oxygen. However, if water quality continues to decline and algal matter in the lake increases, there may be enough matter dropping into the bottom layer to use all the oxygen during the stratification months. If this happens, nitrogen and phosphorus in the lake bed is released into the water. This leads to an algal cycle as illustrated in Figure 3 (page 17). Lake Tarawera has the most phosphorus enriched sediments of any of the Rotorua Te Arawa Lakes. If the bottom waters of the lake were to become deoxygenated this phosphorus would release from the sediment and further contribute to the phosphorus levels.

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Figure 3 Nutrient cycling within lakes during stratification.

2.5 Outer catchment – the interaction between lakes in the Tarawera System

Lake Tarawera is downstream of the eight lakes in the Tarawera System. Lakes Ōkāreka, Ōkataina, Rotokakahi, Rotomahana and Tikitapu all drain directly into Lake Tarawera either via surface or sub-surface flows. Lake Ōkaro and Lake Rerewhakaaitu drain into Lake Rotomahana, then to Lake Tarawera. The outer catchment of Lake Tarawera is estimated at 50,000 ha and the full extent of the groundwater boundary is unknown. A project is currently underway to investigate the groundwater relationships in the Tarawera System. Map 3 shows the ground and surface water flows as they are currently understood.

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Map 3 Ground and surface water flows to Lake Tarawera.

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Defining the problem 3

3.1 The target

The Trophic Level Index (TLI) is the indicator used to indicate the health of lakes. The poorer the water quality, the higher the number. The TLI is calculated using four separate water quality measurements: total nitrogen, total phosphorus, water clarity and chlorophyll-a. Total nitrogen and total phosphorus are nutrients that plants thrive on. Large

amounts of these nutrients in the lakes encourage the growth of algae, which can lead to poor water quality.

Water clarity is how clear the water in the lake is (measured by secchi disk). Clear water usually means better water quality.

Chlorophyll-a is the green colour in plants. Knowing how much chlorophyll-a is in a lake gives us a good idea of the concentration of algae in the lake. The greater the concentration of algae, the poorer the water quality.

These four measurements are combined into one number which is the Trophic Level Index. During development of the Bay of Plenty Regional Water and Land Plan (RWLP), the community set target TLIs for each of the Rotorua Te Arawa Lakes and the RWLP contains objectives, policies and methods to specifically address the issue of declining water quality in these lakes. Objective 11 of the RWLP is to maintain or improve water quality in the Rotorua Te Arawa Lakes to meet the Trophic Level Index (the TLI) for each lake. If the TLI is not met, Method 41 of the plan requires the development and implementation of an action plan to maintain or improve lake water quality to meet the three year average index.14 The target TLI for Lake Tarawera is 2.6. The current TLI is 3.0. Table 1 summarises the most recent TLIs. Table 1 Summary of TLIs for Lake Tarawera.

TLI 2008 2009 2010 2011 2012 2013

Three-year average TLI 2.9 2.9 2.8 2.8 2.9 3.0 Annual TLI 2.9 2.9 2.6 3.0 3.0 3.0

An increasing trend of phosphorus and nitrogen concentrations was recorded from 1994 to 2008. Since 2009, nitrogen concentration fell, but the phosphorus concentration remains high and is increasing15. The main cause of the increasing TLI (indicating declining water quality) in Lake Tarawera is the increase in nitrogen and phosphorus flowing to the lake. This is caused by changes in land-use within both the inner and outer catchment of Lake Tarawera. This increase, combined with the characteristics of Lake Tarawera, has the potential to lead to an increase in algal blooms.

14 Environment Bay of Plenty (2008) The Bay of Plenty Regional Water and Land Plan. 15 Scholes, P. (2011) 2010/2011 Rotorua Lakes TLI Update Environmental Publication 2011/1 Bay of Plenty Regional Council.

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Nutrients can take several years to reach the lake through groundwater and surface water. Developments and activities that occurred decades ago have caused the state of the lake that we are measuring today. This means that if no action is taken, and/or further land-use change occurs that increases the nutrients going to the lake, then the lake will not improve or further water quality degradation may occur over the coming decades.

3.2 Nutrient sources

The following sources contribute to the total nutrient load of the lake.

3.3 Pasture

Sheep and beef farming is the main land-use (after native bush) in the Lake Tarawera inner catchment. Nutrient loss comes from a number of sources: Erosion and sediment run-off – phosphorus attached to the soil flows to the lake. Urine patches and dung – the nitrogen concentration in a patch of urine or dung is

far greater than what the grass can use. Fertiliser spray drift – application of fertiliser when the soil is waterlogged and

excessive fertiliser application, can all cause nitrogen and phosphorus leaching and run-off.

There are four main agricultural land-uses in the Lake Tarawera Catchment; mixed scrub/pasture, mixed sheep/beef/deer, beef, and horse/lifestyle grazing. The outer catchment, particularly the land around Lake Rerewhakaaitu, is used for dairy farming. Dairy farming has a much higher rate of nutrient loss than sheep and beef.

3.4 Urban

The predominant source of urban nutrients are septic tanks. The Lake Tarawera community in the inner catchment is the only urban community in the greater catchment that still uses septic tanks. Most of the homes within the Lake Tarawera catchments discharge their wastewater to conventional septic tanks. These effectively break down organic matter and filter bacteria as the fluid passes through the ground, but do not remove nitrogen and phosphorus. The nutrient load from septic tanks is difficult to estimate due to the large proportion of holiday homes at the lake. The average occupancy has been estimated as 775. This amount takes into account the permanent population of 291 and an additional annual visitor load of 484. This number differs from Rotorua District Council’s estimates which are derived from the anticipated maximum load. The urban area also increases stormwater run-off from the impermeable surfaces such as roofs and roads into the lake, carrying nutrients (and other contaminants like heavy metals) with it.

3.5 Native and exotic forest

Nutrient loss from native bush and scrub reflects nutrient loss to the lake before human activity. Lakes Tarawera, Tikitapu, Ōkataina and Ōkāreka have large proportions of their catchments in native forest.

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Exotic forest includes commercial plantations of trees that are harvested approximately every 30 years. All lakes in the Tarawera System have some proportion of their catchment in exotic forest. Lake Rotokakahi has the highest proportion, with 50% of its catchment in exotic forestry.

3.6 Other sources

Other sources of nutrients include rainfall on lake, bare land (Mount Tarawera) and recreation/other grass. Rainfall adds nitrogen and phosphorus directly to the lake from dissolved gases in the air.

3.7 Nutrient loads – inner catchment

The most recent nutrient budget for Lake Tarawera was prepared in 201416. The nutrient budget calculated nutrient inflows to the lake from the inner catchment a shown in Table 2 and in figures 4 and 5. Table 2 Summary of nutrient sources and loads from the inner catchment.

Land-use

Rate of loss (kg/ha/year) Total load (kg/year)

Area (ha)

Phosphorus Nitrogen Phosphorus Nitrogen

Pasture

Mixed scrub/pasture 137 0.5 5 68 683Mixed sheep/beef/deer

1,726 1 10 1,726 17,259

Beef 81 1 15 81 1,217Horse/lifestyle grazing

21 0.8 8 17 169

Total pasture 1,965 1,892 (42%) 19,328 (29%)

Total exotic forest 1,524 0.18 2.81 274 (6%) 4,283 (6%)

Total native forest 6,421 0.12 3.67 771 (17%) 23,565 (35%)

Other sources

Bare ground 280 1 5 280 1,398Rainfall on lake 4,139 0.17 3.5 704 14,486Recreation/other grass

50 0.3 4 14 200

Total other sources 4,469 1,183 (27%) 16,583 (25%)

Urban

Urban (stormwater) 93.5 0.7 3 66 281Urban (septic tanks) 775

(people) 283 2,829

Total urban 94 348 (8%) 3,109 (5%)

Total nutrient sources

14,473 4,469 kg/year 66,868

(kg/year)

16 Hamilton, D. (2014) Memo: Nutrient Budget for Lake Tarawera.

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Figure 4 Graph of total phosphorus load from land-use in the Lake Tarawera

Catchment.

Figure 5 Graph of total nitrogen load from land-use in the Lake Tarawera

Catchment.

3.8 Nutrient loads – outer catchment

Although information on the outer catchment is still incomplete, it is possible to estimate the contribution of nutrients from the lakes that flow to Lake Tarawera as shown in Table 3.

Other1183.1 kg/year

27%

Exotic forest274.4 kg/year

6%Native forest770.5 kg/year

17%

Pasture1892.2 kg/year

42%

Urban348.3 kg/year

8%

Inner Catchment ‐ Total Phosphorus

Other16583 kg/year

25%

Exotic forest4284 kg/year

6%Native forest23565 kg/year

35%

Pasture19327 kg/yearw

29%

Urban3109 kg/year

5%

Inner Catchment ‐ Total Nitrogen

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Table 3 Summary of nutrient sources and loads from the outer catchment.

Lake Total load (kg/year)

Phosphorus Nitrogen

Tarawera (inner catchment) 4,690 66,868 Rotomahana (also includes loads from lakes Ōkaro and Rerewhakaaitu) 2,530 18,200 Ōkataina 630 10,500 Rotokakahi 190 3,500 Ōkāreka 110 3,400 Tikitapu 10 500 Buried Village septic tank 18 183 Total 8,178 kg/year 103,151 kg/year

As Table 3 demonstrates, the Lake Tarawera inner catchment contributes most of the nutrients to the lake. However, a significant proportion comes from the outer lakes, particularly Lake Rotomahana (which, in turn, receives water and nutrients from lakes Ōkaro and Rerewhakaaitu).

Solving the problem 4

The solution is to determine the sustainable load for the lake and reduce the inflow of nutrients from sources until the sustainable load is reached. The 2012 nutrient budget estimated reduction targets for Lake Tarawera as 1,200 kg of phosphorus per year and 12,000 kg of nitrogen per year.17 However, the 2014 nutrient budget indicates that these targets require further review.18 In particular, a greater focus on phosphorus may be necessary than is signalled by these targets. The recommendations were to focus the majority of resources on reducing phosphorus while capping nitrogen to ensure that further water quality decline does not occur as a result of an increase in total nitrogen. Therefore the interim reduction targets based on the best information currently available are: Phosphorus: at least 1,200 kg per year Nitrogen: no increase Nitrogen is still an issue for the lake therefore some actions are proposed that target nitrogen reductions, but the majority of actions focus on phosphorus. As the lake is impacted by the surface and ground water inputs from seven other lakes, the development of the groundwater model is vital in establishing more robust information on water and nutrient inputs and finalising nutrient reduction targets. Until these targets have been developed more thoroughly, the 1,200 kg reduction of phosphorus can be considered the minimum reduction required to stabilise water quality.

17 McIntosh, J. (2012) Lake Tarawera Nutrient Budget. 18 Hamilton, D. (2014) Memo: Nutrient Budget for Lake Tarawera.

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The solution must also fairly distribute the required reductions between the inner and outer catchments and between urban and rural sources (where applicable). Figure 6 shows the proportion of phosphorus load from the main contributors in the Tarawera System. Contributions from the Buried Village septic tank and from Lake Tikitapu are negligible and have not been included.

Figure 6 Graph of total phosphorus load from lakes within the Tarawera System.

Using the proportions as shown in Figure 6, interim phosphorus reductions from each lake can be calculated. These proportions have been taken into consideration when selecting actions (see Action 4).

Tarawera4,469 kg/year

57%

Rotomahana2,530, kg/year

31%

Okataina630 kg/year

8%

Rotokakahi190 kg/year

3%

Okareka110 kg/ear

1%

Whole Catchment ‐ Total Phosphorus

3 of 234


Part 2: Initial actions

Target reductions 1

Phosphorus: at least 1,200 kg per year Nitrogen: no increase One single intervention focussed on one nutrient source will not achieve the required reduction. To ensure the target is met and that costs are shared across the community, a range of actions have been selected for this document. The estimated cost of each intervention has been included in the key action areas, but where the costs may fall for each intervention has not yet been established. The initial actions have been developed to ensure that reductions in nutrient sources are started but a further review of the necessary actions will take place in 2016 once the groundwater model is available and the source of nutrients to Lake Tarawera is more certain from a revised nutrient budget.

Inner catchment 2

Land-use in the inner catchment is responsible for 57% of the phosphorus input to Lake Tarawera. Using the interim reduction target of 1,200 this equates to a reduction of 684 kg of phosphorus per year from the inner catchment. The two main sources of phosphorus in the inner catchment are urban wastewater run-off from pasture. If reductions are allocated proportionally to their input, urban wastewater should be responsible for removing 106 kg and pasture 578 kg. The best option to remove phosphorus from urban wastewater is to reticulate (see discussion below) which will remove 283 kg of phosphorus. This proportion is in excess of the urban community’s “share”. However, it would not be reasonable or feasible to reticulate only that proportion of the community that achieves the fair proportion (approximately 40%). Sewage reticulation will be installed for the entire Lake Tarawera community and remove all the nutrients from this source. The remaining reductions (401 kg/year) will be allocated to the rural sector to achieve. In future, the reduction target will be revised, and most likely increased. Once urban wastewater has been removed, the responsibility for any additional reductions within the inner catchment will fall to the rural sector.

2.1 Action 1 – Wastewater management

Reticulate houses in the Lake Tarawera urban community and upgrade conventional septic tanks outside the future reticulation zone.

Phosphorus removed: 283 kg Nitrogen removed: 2,829 kg

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2.1.1 Background

At present, the 391 houses in the Lake Tarawera community rely on conventional septic tanks to process their wastewater. This community is the only remaining lakeside community out of the eight lakes in the Tarawera System that relies on septic tanks to treat human sewage. Septic tanks are a source of both nitrogen and phosphorus. The total discharge is 283 kg of phosphorus and 2,829 kg of nitrogen based on estimated population of 291 permanent residents and 484 visitors. The preferred option to remove nutrients from this source is to reticulate sewage from all developed properties along the north-western shore of the lake and remove it for treatment at the wastewater treatment plant in Rotorua. This will permanently remove phosphorus and nitrogen from this source. The option to upgrade properties to advanced on-site treatment systems will not remove phosphorus from this source, and therefore is not a viable option to achieve the target. In addition, these systems require 400 m2 of undeveloped or hard surfaced land for a soakage field and reserve field. On that basis, about half of all sections at the lake would not be able to install these systems19.

2.1.2 Benefits and risks

Reticulation will remove the health issues associated with bacteria and other pathogens that may cause illness being discharged to land near the lake. It also removes the issue of shock loading – when septic tanks left dormant for long periods of time suddenly become active again (e.g. during holidays), sewage may not be treated properly before discharging to the water table. If reticulation goes ahead, it is likely that the wastewater will be treated at the wastewater treatment plant in Rotorua. Despite the issues associated with transferring the nutrients from one at-risk catchment to another, treating the waste at a modern plant is preferable to partial treatment on individual sites.

2.1.3 Financial cost

Although reticulation is the only feasible method to remove phosphorus from this source, it comes at a high cost. A feasibility study carried out by Rotorua District Council indicates that the total cost will be $12.4 million (plus GST). This equates to $24,453 per house. The Rotorua District Council or the Regional Council are currently consulting with the community about how and when this will be funded through the Long-Term Plan.

2.2 Action 2 – Agricultural land management (inner catchment)

All agricultural properties within the Lake Tarawera Inner Catchment to have farm nutrient plans by 1 December 2016.

Phosphorus removal target: 401 kg This target may be revised once further information becomes available.

19 Pers comm, Terry Long, October 2012.

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A farm nutrient plan is an agreement between the landowner and the Regional Council on what is the ideal nutrient discharge from the property, and sets out a pathway to achieve the required reductions. The farm nutrient plan must set out how phosphorus reductions will be achieved. Farm nutrient plans may include actions such as: Riparian protection – stream banks fenced and planted. Land retirement in steep areas. Sediment retention structures. Phosphorus reduction plan. This list of actions is not exhaustive and some actions may not be suitable for some farms within the catchment. The Regional Council will work directly with farmers to discuss options for farm nutrient plans. These plans will be similar to those developed for the farmers in the Lake Rotorua Catchment, but the focus for this lake is on phosphorus reductions rather than nitrogen reductions. The total reductions from all farms must be at least 401 kg.

2.2.1 Background

A third of all nutrients leaching to Lake Tarawera from the inner catchment come from agricultural land-use which includes sheep, beef and deer. The Regional Council will work with farmers on voluntary actions to minimise phosphorus run-off from their properties. This builds on actions that farmers have already carried at their own expense such as fencing and planting of streams, retirement of pasture to native bush, and detention dams in steep gullies.


Other council programmes have benefited from one on one relationships with stakeholders. These relationships are particularly effective when there are small numbers of stakeholders committed to solving the problem. Farm nutrient plans follow this same method of designing a tailored approach for each farm. This allows landowners to choose which nutrient management and reduction options will work best for them and help achieve the overall goal. It builds trust and respect between parties. However, any reductions in farm nutrient plans are will not have regulatory support at this stage. If necessary, rules can be introduced to alleviate this risk. The cost of employing a consultant to discuss options with landowners and assist with farm nutrient plans is estimated to cost $60,000.

2.3 Action 3 – Control of nitrogen fixing plants

Control nitrogen fixing pest plants in the Lake Tarawera inner catchment.

Nitrogen removed: 230 kg The Regional Council will work with landowners to target approximately 46 ha of silver wattle over a three-year programme. Initial treatment is by stem injection with herbicide. This is followed up after two years to treat re-emergent plants.

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2.3.1 Background

Nitrogen fixing plants come from the family of Fabaceae or legumes. These plants use the process of nitrogen fixation to take nitrogen from the air and convert it to a form that is used by the plant. Excess nitrogen is leached into the groundwater so these plants are an additional source of nitrogen. The current land-cover of silver wattle is estimated at 230 hectares throughout the southern part of the catchment. This is estimated to be leaching 1,150 kg of nitrogen per year. The full 230 ha would cost an estimated $805,000 to remove over a three-year programme. At this stage, resources are best spent on phosphorus removal. Therefore only 20% of the 230 ha will be targeted for this phase.


The total cost of removing 46 ha is $161,000. Removing these plants will also have a beneficial effect on the amenity value of the area. There is little risk in a three-year programme to control silver wattle. This is a non-native plant that has little to no amenity value for the area. Provided that landowners are in agreement for its removal, controlling wattle will have more benefits than risks.

Outer catchment 3

Land-use in the outer catchment is responsible for 43% of the phosphorus input to Lake Tarawera. Using the interim reduction target of 1,200 this equates to a reduction of 516 kg of phosphorus per year from the water flowing to Lake Tarawera from the lakes of the outer catchment. The amount phosphorus in the water flowing into Lake Tarawera is approximately one third of the total amount of phosphorus from the contributing catchment. Two thirds of the phosphorus that reaches the lake is deposited to the lake sediments20. To reduce phosphorus in the water flowing to Lake Tarawera the reduction from land-use in the catchments of the outer lakes must be three times the amount. Therefore, to achieve a reduction of 516 kg per year, land-use in the outer lakes catchments need to reduce their phosphorus discharges by a total of 1,548 kg. The main source of phosphorus in the outer catchment is from pastoral land-use. Farms range from dry stock (beef, deer and sheep) to dairy support and dairying.

3.1 Action 4 – Agricultural land management (outer catchment)

All agricultural properties within the Lake Tarawera outer catchment to have farm nutrient plans by 1 December 2020.

Land-use phosphorus removal target: 1,548 kg (equivalent to 516 kg flowing to Lake Tarawera)

This target may be revised once further information becomes available. The farm nutrient plans in this action should follow the same process as those developed for the inner catchment. The plans must set out how phosphorus reductions will be achieved in the outer catchment and the total reductions from all farms must be at least 1,548 kg.

20 Hamilton, D., Hamilton, M., McBride, C. (2006) Nutrient and Water Budget for Lake Tarawera, University of Waikato.

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The outer lakes should be prioritised and targets allocated according to Table 4, with the largest proportion of phosphorus addressed first. Inputs from Lake Tikitapu and the Buried Village septic tank are negligible and not targeted from reductions. Table 4 Summary of interim phosphorus reductions from the Tarawera System.

Lake Proportion of total

(%) Phosphorus

reduction (kg/year)

Rotomahana (also Ōkaro and Rerewhakaaitu) 73 1,130 Ōkataina 18 279 Rotokakahi 6 93 Ōkāreka 3 46 Total 100 1,548 kg/year

As Lake Rotomahana is itself a system of three lakes (water from lakes Ōkaro and Rerewhakaaitu both flow to Lake Rotomahana before flowing to Lake Tarawera), an action plan will be prepared to reduce phosphorus from Lake Rotomahana, taking into account the contribution from the two contributing lakes. Lake Rotokakahi is currently closed to the public and under legal guardianship of Ngāti Tumatawera and Ngati Wahiao/Tūhourangi. The Rotokakahi Board of Control and Regional Council are working together to draft an action plan. Lakes Ōkataina and Ōkāreka already have action plans in place and being implemented. As detailed in Section 6, these will be assessed and updated as part of the Tarawera Lakes System approach. Reduction required from land-use in these catchments will be considered at that time.

3.1.1 Background

Nutrients leach to Lake Tarawera from the outer catchment from agricultural land-use which includes sheep, beef, deer, and dairy. The Regional Council will work with farmers on voluntary actions to minimise phosphorus run-off from their properties.


This action has the same benefits and risks as Action 2 (above). The cost of employing a consultant to discuss options with landowners and assist with farm nutrient plans for the outer catchment is estimated to cost $120,000.

Whole catchment 4

4.1 Action 5 – Nutrient capping

Develop a rule to cap nutrients in the Tarawera System.

4.1.1 Background

Currently, land-use change in the catchments of any lake in the Tarawera System (except Ōkaro) is a permitted activity under Rule 12 of the Regional Water and Land Plan. A change of ownership and/or economic pressures may drive land-use change. This places the lakes at risk of increased nutrient loading if land is converted from a low impact activity to a high impact activity. The impact of these higher nutrient activities could completely negate all other actions completed at high cost.

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Research and development of these rules has already commenced. Once drafted, the rules will be included in a change to the Regional Water and Land Plan. Any change to a Regional Plan requires full public consultation and input under the Resource Management Act. The change, when prepared, will be notified to the community for submissions. If necessary, this change will include a regulatory mechanism to reinforce the farm nutrient plans of Actions 2 and 4.


The benefits and risks of rules will be considered as part of the assessment requirements for plan changes under the Resource Management Act 1991.

4.2 Action 6 – Groundwater modelling

Build a model of the Lake Tarawera groundwater system.

The Regional Council will continue with its groundwater investigations to identify relative sources of nutrients from all sources within the Tarawera System.

4.2.1 Background

Drilling and monitoring of the groundwater system of Lake Tarawera has been on-going for several years. The drilling and testing of groundwater to determine the depth, origin, age and nutrient level of the aquifers in the caldera is completed. The next phase is to build a model of the groundwater system of the area. This model can then be used to simulate land-use scenarios to determine the potential effect of different land-use changes on Lake Tarawera and to identify how actions throughout the outer and inner catchments will contribute to the water quality of Lake Tarawera. This information will take some time to process and we can expect a good scientific understanding of the groundwater system by early 2016.


This work is already substantially complete therefore an assessment of benefits and risks is unnecessary.

4.3 Action 7 – Cultural health assessment

Carry out a cultural health assessment of the Tarawera System.

A cultural health assessment carried out for Lake Tarawera and its surrounding areas would provide valuable information on the effects of land-use changes and declining water quality on tangata whenua values.

4.3.1 Background

Māori have a distinctive world view that is not necessarily reflected or measured by modern scientific techniques. For generations, Māori have been concerned with the degradation of the waterways within their rohe and have been seeking greater recognition of their cultural beliefs, values and practices.

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In 2003, the Ministry for the Environment (the Ministry) developed a model to carry out cultural health index assessments that collected data specific to Māori culture such as mauri, mahinga kai, wahi tapu and wahi taonga21.A recent assessment on the Puarenga River was carried out by tangata whenua. This assessment adapted the Ministry’s model to assess the cultural health of the river. The report provides an opportunity for the views of the tangata whenua to be heard and recorded, and is an extension of mana whenua and kaitiakitanga.22


Estimated cost to carry out this investigation is $60,000.

Contingency actions 5

Of the several interventions assessed for inclusion in this document, some options were not considered suitable for inclusion. For example, as water quality in the lake is generally good, chemical intervention is unsuitable at this stage. However, this document was prepared with a number of assumptions including the sewage reticulation project going ahead. If this situation were to change, additional actions may need to be investigated further.

5.1 Engineering solutions

This includes treatment of inflows, sediment capping of the lake bed. These types of interventions have been successful in lakes where water quality was extremely poor, algal blooms common, and rapid intervention necessary (e.g. lakes Rotorua, Rotoiti, Rotoehu). These lakes have improved in a short time due to this type of intervention, and this allows time to develop the long-term, sustainable solutions. However, scientists are unsure about the longevity of these treatments, but information is growing as the Regional Council’s programme progresses. For a lake such as Lake Tarawera that is generally still in good condition, chemical intervention within the lake is a less preferred option. If monitoring shows that Lake Tarawera is approaching a condition where these actions become more appropriate, they will be investigated further.

5.2 Weed removal

Weed removal targets nitrogen which is not a current concern for Lake Tarawera. It is also not a viable option as the hornwort beds are not of a suitable size or location. Accessing these beds on a regular basis using current technology makes their removal expensive and less effective. If technology improves and nitrogen removal becomes necessary, weed removal may become a more viable option and can be re-investigated.

21 Tipa. G, Teirney, L (2003) A Cultural Health Index for Streams and Waterways –Indicators for recognising and expressing Māori values, Ministry for the Environment. 22 Tangata whenua (2012) Cultural Impact Assessment – Adverse environmental effects on hapū communities, Tūhourangi Tribal Authority.

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5.3 Residential stormwater management

Residential stormwater has been highlighted by the community as an area of concern. This is not a significant source of nutrients to the lake and on its own is not a targeted area for action.

The Tarawera Lakes approach 6

Most lakes in the Tarawera System had action plans completed or substantially underway when this document was first drafted. These include: Lake Ōkāreka (2004). Lake Ōkaro (2006). Lake Tikitapu (2011). Lake Rerewhakaaitu (implemented by landowners in the catchment). Lake Ōkataina (2013). These action plans were prepared by assessing each lake in isolation and did not consider the interactions between the lakes, or the impact on Lake Tarawera. This approach is suitable at this scale, as each lake must meet its own water quality target. However, the development process for this Restoration Scheme has shown that in order to select appropriate actions to improve water quality in Lake Tarawera, all nutrients from the outer catchment must be considered, particularly phosphorus. Once the groundwater science is complete, this will also provide an opportunity to review the action plans for all lakes in the Tarawera System and potentially consolidate them into a single Tarawera Lakes Action Plan. The Tarawera Lakes Action Plan would: Assess current water quality and trends for each lake. Reassess nutrient budgets and targets. Track progress of actions completed and reductions achieved. Assess any further actions necessary to ensure each lake achieves its target. Assess actions necessary to ensure Lake Tarawera achieves its target, taking into

account all inputs, including surface and groundwater from the other lakes in the system.

Consolidate all action plans in the Tarawera System into one document. In the meantime the Regional Council will continue to implement actions currently included in the lakes’ action plans and will complete action plan development for the remaining lakes (Rotokakahi and Rotomahana). These action plans will be designed taking into account the Tarawera Lakes approach.

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Summary of actions 7

All actions included in the document including expected reductions and estimated costs are summarised in Table 5. Table 5 Summary of all actions.

Actions to reduce nutrients

Action Nitrogen reduction

kg/year Phosphorus

reduction kg/year Cost

Cost per kgN and kgP

Action 1 – Reticulate houses in the Lake Tarawera urban community and upgrade conventional septic tanks outside the future reticulation zone.

2,829 283 $12,400,000 (+GST) $43,816 /kgP $4,383 /kgN

Action 2 – All agricultural properties within the Lake Tarawera inner catchment to have farm nutrient plans by 1 December 2016.

n/a 389 $60,000* $154 /kgP

Action 3 – Control nitrogen fixing pest plants in the Lake Tarawera Catchment.

230 n/a $161,000 $700 /kgN

Action 4 – All agricultural properties within the Lake Tarawera outer catchment to have farm nutrient plans by 1 December 2020.

n/a 528 $120,000* $227 /kgP

Total reduction 3,059 1,200 $12,741,000 $10,618 /kgP

$4,165 /kgN

Actions with no reductions

Action Outcome Cost

Action 5 – Develop a rule to cap nutrients in the Tarawera System.

Cap on total nutrients in the catchment will safeguard the lake from increased nutrient loading.

Costs met by other council work streams or projects.

Action 6 – Build a model of the Lake Tarawera groundwater system.

Better understanding of the land-uses that contribute to water quality in Lake Tarawera.

Costs met by other council work streams or projects.

Action 7 – Carry out a Cultural Health Assessment of the Lake Tarawera Catchment.

Better understanding of the interrelationship between lake water quality and tangata whenua values.

$60,000*

* Includes cost of consultant only. Does not include cost of any nutrient reduction actions identified as a result of the assessment or farm nutrient plan.

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File Reference:

4.00842

Significance of Decision: Receives Only - No Decisions

Report To: Rotorua Te Arawa Lakes Strategy Group

Meeting Date: 10 December 2014

Report From: Helen Creagh, Manager, Rotorua Catchments

Programme Status Report - Rotorua Te Arawa Lakes Programme

Executive Summary

The purpose of this report is to provide an update on progress made in the Rotorua Te Arawa Lakes Programme as well as outlining any issues or actions which are not covered by other agenda items.

This Report covers the months of September to November 2014. During this period the Programme has focussed on its work delivering the integrated framework and engineering solutions for nitrogen reduction in the Lake Rotorua catchment. Specifically consultation on the draft rules, finalising the business case for the Tikitere De-nitrification plant, establishing the Incentives Board and completing the tender process and negotiations for the advice and support project.

1 Recommendations

That the Rotorua Te Arawa Lakes Strategy Group under its delegated authority:

1 Receives the report, Programme Status Report - Rotorua Te Arawa Lakes Programme.

2 Programme Highlights

Highlights for the Programme over the last few months:

Incentives Board selected and first meeting held on 17 November 2014.

A scope has been finalised for the Te Arawa Lakes Trust – Te Arawa Values Project.

Tarawera Restoration Plan finalised for consultation.

Tender presentations and negotiations completed for advice and support process.

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2

Consultation on draft rules for Lake Rotorua catchment completed, 330 submissions received. Specific marketing and communications plan developed for Lake Rotorua rules being developed.

Business Case for Tikitere De-nitrification Plant completed.

Successful science evening held on 20 November, presentations included one from Dr Dale Robertson from Wisconsin USA on the Importance of Biological Interactions in the Long-term Rehabilitation of Delavan Lake, Wisconsin, USA.

3 Land Operations Workstream

3.1 Lake Rotoehu Land Agreement

The formal agreement has been signed. The conditions of that agreement are currently being worked through.

3.2 Weed Harvesting

Weed harvesting works are currently complete.

The weed harvester is continuing to operate as per work schedule and is available for any emergency works that may occur.

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3

3.3 Gorse Conversion

Finalisation of three Draft agreements for conversion of gorse blocks is delayed while tax advice is sought.

Gorse assessment imaging to be completed by Landcare Research by 1 March 2015.

A proposal to remove nitrogen fixing legumes (Acacia Sp.) from a property within the Lake Tarawera catchment is currently with land owners for consideration.

4 Lake Operations Workstream

4.1 Tikitere Nitrogen Absorption

A decision paper and change request are presented to you as part of the Agenda for this meeting. It is considered that the business case for the plant remains viable, despite the increase in Capital cost to $4.8 million and the increase in operating cost to $730K. It is propose proposed to delay the construction of the plant. The expected N reduction to be achieved from the plant is now between 20 and 25 tonne.

Lake Ōkaro alum dosing has been is on hold, Lake at TLI.

Lake Rotoehu aeration is currently awaiting the final report and planning for the next season operation is being undertaken. University will complete one further year of monitoring to test the machines at higher air flow rate.

The Rerewhakaaitu nutrient treatment wall has been completed and is currently being managed under the monitoring programme.

The Rotorua Catchment Ground Water boundary work has also been completed and shows some overlap with Waikato Region. Regional Council staff have met with Waikato Regional Council staff to determine how this overlap can be managed.

The Land TAG committee has had two meetings.

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4

Tarawera Restoration Plan – Finalised for consultation.

Two very successful science evenings in October and November, reaching in excess of 200 people.

4.2 Ohau Diversion Wall Re-consenting

Re-consenting work is on hold while decision making in respect of erosion issues are addressed. A tender process is intended to provide reliable costs for the repairs and better inform the decision on the scope, if any, of a replacement resource consent application.

5 Planning Workstream

Consultation on the draft rules has closed, in excess of 300 submissions received.

The section 32 evaluation report is being prepared and new catchment modelling will provide critical information of the effect of different allocation scenarios on individuals and the district. Notification of rules on track for March 2015. Specific marketing and communications plan being developed.

6 Incentives Workstream

The Incentives Board has been appointed and the Board Members are Judith Stanway (Chair), Councillor Colin Holmes (Bay of Plenty Regional Council), Geoff Rice, Tanira Kingi, Tony Petch. Board Member profiles are provided as an Appendix to this report.

The first Board meeting have been held on 17 November and 2 December. Priorities for the Board are focussed on information gathering, strategy development and appointment of an operations manager and process development.

Whilst the board is being established Council Staff are continuing to work with willing land owners to investigate potential agreements in preparation for the management team establishment.

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5

7 Lakeside Sewerage Scheme Workstream

Land Treatment System (Rotorua) - The detailed feasibility investigation of treatment and ecosystem entry options is on track. Stakeholder consultation on the options has commenced.

Rotomā-Rotoiti - The Cultural Impact Assessment of the three options being considered has been provided and will be presented to RDC Committee in December. Positive progress has been made through working with the community to provide options.

8 Current Influences, Issues and Risks

Monitoring of all Risks and Issues to the Programme continues with a Risk and Issue Register being populated and updated regularly. See the following tables on the next page for the Major and Catastrophic Risks and High Issues for this Groups information.

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6

Rotorua Lakes Protection and Restoration Programme Risk Register Likelihood: 1 = Rare, 2 = Possible, 3 = Likely, 4 = Often, 5 = Frequent

Consequence 1= insignificant 2 = minor, 3 = moderate, 4 = major, 5 = Catastrophic

Risk

No.Date raised Risk description Type of risk Impact

Like

lih

oo

d

Co

nse

qu

en

ce

Tota

l

Mitigating actions

completed

Like

lih

oo

d

Co

nse

qu

en

ce

Tota

l

Risk

Treatm

ent

Future mitigating

actions

Statu

sWhen

Mitigator Lake Project

9 3/10/2012 If the communities expectations

for Lakes TLI levels change.

Reputation Programme

objectives

need to be

updated &

change

assessed.

2 3 6 Programme has

del ivered against

interventions noted in

action plans .

Note : For some lakes -

even though a l l

interventions

completed, TLI i s not

coming down as

quickly as community

would l ike (e.g.

Okareka). Also - for

some lakes we wi l l

need res idents to pay

targeted rates for

some interventions -

which may make

communities

recons ider their

aspirational targets

3 3 9 Mitigate (1) Determine when the

right time to re-engage

communities on this & re-

engage on action plans /

aspirational targets .

Open 1/12/2015 Warwick Murray Multiple Lakes

Programme

16 3/10/2012 If Lake Rotorua water qual i ty

continues to improve people wi l l

feel we won't need to do anything.

Environmental Land owners

wi l l not see

the need for

ni trogen

rules and

chal lenge

them.

2 2 4 Note : Due to the

success of Alum dozing

in the lake - the TLI

has reduced

s igni ficantly.

4 3 12 Mitigate (1) Ensure good science -

supported by

independent chair

(2) Ensure message from

IWI i s clear - not a long

term solution

(3) Provide good comms -

why we need to address

N&P in Lake Rotorua

Open 1/12/2017 Warwick Murray Rotorua Programme

113 7/04/14 Lack of uptake by farmers of

Incentives funding.

Project/

Programme

Management

Cannot

achieve N

Reductions

for

Programme.

2 5 10 2 5 10 Mitigate (1) Undertake market

research in effort to

discover barriers and to

pos i tion Incentives

Project as favourably as

poss ible.

(2) Flexibi l i ty into

Incentives Project

implementation.

(3) Fi rs t movers s trategy

Open 30/01/2022 Stephen Lamb Rotorua Incentives

Current RiskInherent Risk

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7

Helen Creagh Manager, Rotorua Catchments 2 December 2014

Click here to enter text.

Risk

No.Date raised Risk description Type of risk Impact

Like

lih

oo

d

Co

nse

qu

en

ce

Tota

l

Mitigating actions

completed

Like

lih

oo

d

Co

nse

qu

en

ce

Tota

l

Risk

Treatm

ent

Future mitigating

actions

Statu

sWhen

Mitigator Lake Project

138 3/10/14 Targets for incentives may not be

met. (PSG meeting)

Project/program

me

0 0 2 4 8 Accept Project Plan in place, KPIs

matched to targets

Open 30/06/2014 Helen Creagh Rotorua Incentives & Rules

139 3/10/14 The 14/15 annual work

programme has not been

approved by the Minis ter as yet.

Counci l have accepted to bare the

risk

Project/program

me

0 0 This has been ra ised

with counci l at the

August meeting and

they have agreed to

bare the risk

3 4 12 Accept MfE wi l l brei f Minster

shortly.

Open 28/02/2015 Helen Creagh Multiple Lakes

Programme

141 17/10/14 There are poss ible tax

impl ications related to the deals

gorse related ni rogen reduction

programme . Risks have been

ra ised related to capita l vs

current, and GST

Del ivery Gorse deals

may be

delayed and

we wi l l not

achieve the

planned

nitrogen

reductions

for the

financia l

reporting

year

3 3 9 This ri sk has been

ra ised by Greg Corbett

the CFO Matt Taylor.

Tax Advice currently

being prepared.

3 3 9 Mitigate 0 Open 1/12/2014 Richard Mallinson

Rotorua Gorse Conversion

142 30/10/14 Lack of compl iance enforcement

with Rule 11 affects community

trust of Programme – no routine

monitoring of compl iance (only

through compla ints/issues ra ised

by s taff)

Project/program

me

0 0 3 3 9 Mitigate reporting mechanism

through Pol lution

Prevention and fol low up

investigation


Programme

143 14/11/14 $1.381m needs to be invoiced by

the end of the year and have

minis teria l approval . Otherwise

funding wi l l be lost.

Project/program

me

0 0 2 4 8 Mitigate Helen to discuss with

Megan from MfE about

invoicing the remaining

amount.


Programme

144 19/11/14 The forecasted 30T of ni trogen

achieved by gorse is looking more

l ikely to be 20T.

Project/program

me

Wil l fa l l

short of the

overa l l 270t

target.

0 Change request to be

prepared and

confi rmed early 2015.

4 4 16 Mitigate Open 1/06/2015 Richard Mallinson

Multiple Lakes

Gorse Conversion

Current RiskInherent Risk

Page 209 of 234

of 234

APPENDIX 1

Incentives Board snapshot biography 2014

Page 211 of 234

of 234

Objective: A1906393Page 1 of 5

1 Judith Stanway

1.1 Governance

Deputy Chair of Scion - the Crown Research Institute centred on forestry research. Crown director of Wharerata Forest Ltd - an iwi settlement company From 2006 to 2011, Chairperson of BDO New Zealand Ltd. During this time the

network transitioned from 38 partners in 5 offices, to currently 72 partners in 14offices and 650 staff. A Board member for a number of years before that.

An Accredited Fellow of the Institute of Directors and until 2013 on the Branchcommittee

A Board member of the Charities Commission until it was wound up in 2012 Chaired Lakes District Health Board (and its forerunner) for several years and was Deputy Chair of Te Puia. Both of these were government appointments. A good understanding of government processes and also good experience working

with and alongside Maori organisations.

1.2 Leadership

In June 2012 received a Sir Peter Blake Leadership Award for services to businessand the community in Rotorua.

In October 2012 appointed the Rotorua Business person of the Year at the RotoruaBusiness Awards and became the 6th member of the Rotorua Hall of Fame

In 2013 made a Fellow of the New Zealand Institute of Directors

1.3 Current Employment

Partner of BDO Rotorua Ltd, Chartered Accountants and Advisers. A client base centred around farming, forestry, Maori organisations and light

manufacturing —audit and business advisory. Work experience largely in governance and one off project work, such as

restructuring, valuations, expert witness, etc.

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2 Councillor Colin Holmes

2.1 Education

BagCom (Econ), Agricultural Economics Masters of Business Administration (MBA11) 1987 - 1988

2.2 Governance

Mayor of Whakatane District Council 2004 – 2010 Councillor Whakatāne District Council 2001 – 2004 Chairman Bay of Plenty Electricity 1993 – 1999 Director Bay Milk Products 1990 – 1996 Director Bay of Plenty Electricity Government Appointee Bay of Plenty Electric Power Board 1989 – 1991 Director Rangitāiki Plains Dairy Company 1981 - 1987

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3 Tanira Kingi

3.1 Governance and Professional Experience

Government directorship appointments to national boards includingAgricultureITO (now PrimaryITO) and the NZ Qualifications Authority (NZQA)

Extensive board experience in agricultural/farming businesses in the Rotoruadistrict and Bay of Plenty region including the chair Waerenga Pukahukiwi Ltd(largest dairy farm in the Lake Rotorua catchment), Whakaue Farming Ltd (largestdrystock farm in the Lake Rotorua Catchment), Te Arawa Management Ltd (ownerof 2 dairy farms and a kiwi fruit orchard in the edge of the Maketu estuary)

Proven research track record in farm systems, agricultural economics,agricultural development, environmental and ecological sustainability, valuechain analysis and the sustainability of rural communities. Programme leader ofseveral research programmes including the current MPI SFF funded programmeon nutrient mitigation leaching in Lake Rotorua

Demonstrated ability to form collaborative structures and collectives includingthe establishment and past chair of Lake Rotorua Primary Producers Collective(est. 2011), establishment facilitator and chair of the Te Arawa Primary SectorGroup (est. 2011), current chair of the Lake Rotorua Stakeholder Advisory Groupand currently facilitating the establishment of the Tuwharetoa Collective.

Fluency in te reo Māori and extensive experience in Māori land legislation,Treaty settlements and working with post Treaty settlement entities in the returnof Crown land to iwi ownership

Extensive experience in working with farmers, land owners, policy makers, industry andrural communities to develop sustainable farming systems that are resilient to climaticvariability, market vagaries and responsive to regulatory challenges

3.2 Industry Membership

Membership of professional and academic societies: Senior Member of the New Zealand Institute of Primary Industry Management (NZIPIM) Member of the Society for Economic Anthropology, California State University (SEA) New Zealand Institute of Agricultural and Horticultural Science (NZIAHS) Senior Legal Research Fellow, Centre for International Sustainable Development Law (CISDL)

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4 Tony Petch

4.1 Projects, appointments and committee memberships

2014 – present Executive Mentor for senior staff member, Civil Aviation Authority 2014 – present Member, Evaluation Panel reviewing applications for funding from the Waikato River

Restoration Trust (Waikato River Authority) 2014 – Present Member, Technical Leaders Group supporting the Healthy Rivers project: Plan for

Change/Wai Ora: He Rautaki Whakapaipai project to restore and protect the Waikato River 2013 – present Chairman, Project Control Group and member of Governance Group for MBIE funded

DairyNZ research project ‘Forages for Reduced Nitrogen Leaching’ 2011 – 2014 Convenor, Technical Advisory Group to Waikato River Authority’s grant programme 2010 – 2014 Active observer National Land and Water Forum 2007 – 2014 Project Advisor, Lake Taupo Protection Trust 2005 – 2013 Member, Envirolink Governance Group and Science Advisory Group 2006 – 2009 Regional Government Representative, Dairy Industry Environmental Leadership Group 2005 – 2011 Member, AgResearch Industry Advisory Panel 2005 – 2011 Member, Ministry of Agriculture and Forestry Cadmium Working Group 2005 – 2008 Member, Sustainable Land Use Research Initiative Advisory Panel 2004 – 2005 Member, International Review Panel, West Australia Swan-Canning River Clean-up Project 2004 – 2005 Member, Steering Group, New Zealand’s Carbon Accounting System 2004 – 2005 Member, Dairy and Environment Review Group that produced the Dairy Industry Strategy

- Sustainable Environmental Management 2004 Member, MoRST review panel on the effectiveness of Government Funded Environmental

Research (portfolio $100 million pa) 2004 Member, Government’s Sustainable Programme of Action Water Quality 2001 – 2002 Leader, Technical Committee that developed the Fonterra Dairying and Clean Streams

Accord

4.2 Professional Qualifications

1984 - D.Phil, Earth Sciences, University of Waikato 1978 - B.Ag.Sc (Hons), Lincoln College, University of Canterbury Certified RMA Commissioner since 2009 Member, Institute of Directors

4.3 Employment History

Principal, Tony Petch Consulting Ltd, 2014 – present Group Manager, Resource Information, Waikato Regional Council, 1995 - 2014 Group Manager, Land and Water, Waikato Regional Council, 2011 - 2013 (internal secondment) Group Manager (acting), Policy and Strategy, Waikato Regional Council, 2009 - 2010 (internal

secondment) Section Manager, Natural Resources, Waikato Regional Council, 1989 - 1995 Scientist, Resource Hydrology, Waikato Valley Authority & Catchment Board, 1984 – 1989

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5 Geoffrey Rice

5.1 Trustee and Governance

Trustee and Claims Negotiator, Tapuika Iwi Authorityand Puwhenua Forestry Director

Trustee, Te Pumautanga O Te Arawa Trust Executive member, TA FOMA Rotorua Executive member, LWQ Society Rotorua Chairperson, Toi Tapui Tangata Trust Chairperson, Tokerau A14A2 Trust Chairperson, Retimana Whanau Trust, Chairperson, Ngati Marukukere Marae Committee Trustee, Ngati Tura Ngati Te Ngakau Hapu Trust

5.2 Business Ownership and Governance

Centre Produce Markets Ltd (Kiwi fruit orchardist) Gold Coast Investments Ltd (Property) Waikanae Finance Ltd (Lending)

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Te Arawa Lakes Trust Updateto the

Rotorua Te Arawa Lakes Strategy Group

10 December 2014

E nga Rangatira, tena koutou katoa

1 INCENTIVES BOARD APPOINTEDTALT is pleased to hear that Te Arawa Iwi members, Tanira Kingi and GeoffRice were appointed to the recently established Incentives Board. The Trustwishes Tanira, Geoff and the other members all the best in their new role.

2. TALT ORGANISATIONAL REVIEWThe review of the Trust is still ongoing and Price Waterhouse Cooper hopesto have a Review Report for the TALT Board to consider at its next meetingon 15 December 2014.

3. TE KOMITI WHAKAHAERE (TE ARAWA LAKES FISHERIESMANAGEMENT COMMITTEE)

The Komiti Whakahaere is responsible for managing the sustainable utilizationof five key taonga species within the Rotorua Te Arawa Lakes – the koaro,koura, kakahi, tuna and inanga.

The work of the Komiti Whakahaere regarding Bylaws and a FisheriesManagement Plan for the taonga species, is currently on hold until hui havebeen held between DOC, MPI and the Komiti

The next hui of the Komiti Whakahaere is set for 10 December 2014.

4 TE ARAWA CULTURAL VALUES FRAMEWORK – PROJECT UPDATEAs earlier advised to the RTALSG, TALT is leading a project to develop aframework based on Te Arawa Cultural Values for (but not limited to) theLakes Programme.

A Scoping Report has been completed and further information on the project isprovided on the following pages:

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Te Arawa Lakes Trust acknowledges the efforts of Iwi, Rotorua Te Arawa Lakes Strategypartners and the community to improve water quality for the benefit of current andfuture generations.

There remains significant work ahead in terms of implementing the strategy and thisproject is a key milestone as part of the lakes settlement and advancing Te Arawacultural, traditional and historic relationship with their taonga and lakes.

Te Arawa Lakes Trust is committed and recognises our shared partnership goals andaspirations moving ahead over and beyond the life of the strategy and the lakesprogramme.

No reira e nga Rangatira, e noho ora mai ra.

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Report to: Rotorua Te Arawa Lakes Strategy Group


Report From: Chairman Tanira Kingi and Secretariat Simon Park

Lake Rotorua Catchment Stakeholder Advisory Group Update

Executive Summary The Lake Rotorua Catchment Stakeholder Advisory Group (StAG) met on 22 October and 18 November since our last report to your 15 October meeting. StAG has focused on:

• Small block owner concerns

• The “starting point” for nitrogen reduction rules

• Farmer progress since 2004

• Nitrogen Management Plan requirements

• Economic analysis of the draft rules

Recommendation: That Rotorua Te Arawa Lakes Strategy Group receives the report.

Background The Lake Rotorua Catchment Stakeholder Advisory Group (StAG) Terms of Reference were endorsed by RTALSG in December 2012, with a primary purpose:

To provide oversight, advice and recommendations on “rules and incentives” options that will achieve the nutrient reduction targets needed from rural land in order to meet Lake Rotorua’s water quality target. This shall include advice on implementation options and District and Regional statutory plan changes.

The full StAG meets monthly and is supported by a “subcommittee” (StAG Chair, staff from BOPRC, RDC and TALT, a LWQS representative, the secretariat plus others as co-opted). StAG and subcommittee agendas and minutes are at http://www.rotorualakes.co.nz/stag.

StAG meeting summary

22 October 2014

Small block owner concerns: Karl Weaver, StAG’s small block member, resigned from StAG. Karl’s reasons included frustration with the policy direction, a misleading perception that he was a “representative” and the constraint of being the sole small block voice at StAG given the numerous and diverse small block community. StAG expressed its strong support for Karl’s contribution and integrity. Many small block owners only became aware of the draft rule impacts when a permitted activity stocking rate table was published in September.

It was agreed in principle to expand the small block membership from one to two members, with an additional deer sector member as well. A StAG member appointment process has been initiated for the following StAG nominees:

• Small Blocks: Angela Sharples and Don Hammond; Gina Butterworth as an alternate

• Deer Sector: Sharon Love from the Deer Farmers Association

Nitrogen reduction starting point: StAG agreed that progress towards NDAs could be assessed from a property’s Rule 11 benchmark (i.e. from 2001-2004) where it existed.

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However, the start point for non-benchmarked properties is not clear – this includes nearly all properties under 40 ha and properties captured by the new groundwater boundary. Further “start point” options will be considered at StAG’s February 2015 meeting.

Farmer progress since 2004: Lee Matheson presented an assessment of progress made by 13 dairy farms in the Lake Rotorua catchment since 2004. Total N losses reduced by 12%, with per hectare N losses down by almost 8%. Production lifted by 27% with little change in net stocking rate. Farmers had replaced some cropping with imported feed, reduced N fertiliser use and improved per cow production. The aggregate N reduction is a significant portion of the catchment-wide farm progress expected by 2022.

However, we do not have access to comparable data for drystock farms. Beef & Lamb NZ is liaising with BOPRC on funding a similar exercise in early 2015.

18 November 2014

Nitrogen Management Plan (NMP) requirements: A BOPRC-led working party that includes StAG members has developed a set of NMP minimum requirements. The Integrated Framework approved in September 2013 anticipated that NMPs will include staged N reduction actions and that NMPs would be mandated through resource consents.

Key NMP changes include narrowing the focus to nitrogen, consistent with the N-focused policy (hence dropping the more generic “farm nutrient plan” name). Farmer StAG members remain concerned that requiring five yearly NMP updates will undermine the certainty of a long-term resource consent, particularly given the “managed reduction” expectation. It will be important to maximise farm flexibility while still ensuring compliance with nutrient targets.

Economic analysis of the draft rules: Ollie Parsons from DairyNZ presented some interim farm analysis results. A key assumption is that farmer skill and productivity factors are held constant for future N mitigation scenarios. This enables a fair comparison with status quo scenarios, even though both factors will undoubtedly continue to improve. A consequence of this assumption is that reduced N loss correlates well with reduced profitability. This relationship is described in a series of “mitigation cost curves” which are applicable to the various representative farm systems being analysed.

The next steps are to apply the NDA constraints from six different NDA allocation options and model these across the whole catchment. The allocation options include: the dairy and drystock sector ranges used in draft rules consultation; a single NDA across all pastoral land; NDAs that reflect the underlying “natural capital”, using the Land Use Capability scheme and (separately) a slope-driven allocation.

Final comment on the draft nitrogen rules The recent consultation process revealed widespread opposition to the draft rules from landowners large and small. A common theme is that the economic cost is poorly understood and/or is likely to be unacceptable to farmers and the wider Rotorua community. I consider that we can continue to develop the rules while also completing the catchment economic analysis and improving our knowledge of current farm nutrient losses. The latter task will be greatly accelerated when the approved advisor scheme becomes operational.

We also need to ensure that we convey a balanced view of the integrated policy package. This includes the incentive scheme, advisory services, Transferable Development Rights and work to develop solutions through the recently formed Land Technical Advisory Group.

Regards Tanira Kingi, Chairman of the Stakeholder Advisory Group

Report dated 25 November 2014

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File Reference:

4.00842

Significance of Decision: Low




Landowner Support Framework for Lake Rotorua Rules

Implementation

Executive Summary

The purpose of this paper is to seek the approval of the Rotorua Te Arawa Lakes Strategy Group for the Programme’s approach to managing the development and implementation of the regulatory framework (rules) for removing nitrogen for the Lake Rotorua catchment. The proposed approach is a framework of support which focusses on providing landowners with tools to manage the change required by the rules. This paper responds to a request made at the last Strategy Group, requesting that staff report back on how the development and implementation of the rules will be managed to support the part of our community directly affected by the rules.

1 Recommendations


1 Receives the report, Landowner Support Framework for Lake Rotorua Rules Implementation.

2 Confirms that the decision has a low level of significance.

2 Introduction

At the 15 October 2014 Strategy Group meeting, Rotorua District Council Chief Executive Geoff Williams made the point that, in dealing with change, those affected need to have tools at their disposal to help them cope and adjust to that change. That is, they need to be able to see that there are options available for them to implement and deal with the change and have confidence in that altered future.

This explanation resonated with the Strategy Group and staff, it informs the explanation of the framework presented in this paper.

There are considered to be two key principles to support framework proposed in this paper:

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Landowner Support Framework for Lake Rotorua Rules Implementation

2

1 Ensuring that those affected understand that what the rules are asking is

reasonable (in the context of the goal), that the process that has bought the decision point of using rules has been robust and fair and that they understand how to have input into the rules (that there is clarity in the steps to the rule-making process).

2 Ensuring there are tools to enable those affected by the changes required by the rules, to implement them.

3 Background

The framework for establishing how the Programme will achieve the 320 tonne nitrogen reduction target from the Lake Rotorua catchment has been a two year collaborative process.

The Programme has worked with the Stakeholder Advisory Group (“StAG’) to debate, change and refine the framework to achieve the nitrogen reduction target for the Lake Rotorua catchment. Through this collaborative process the Integrated Framework was developed and approved by this Strategy Group as well as, by all Partners individually. The Integrated Framework spreads the responsibility for delivering the nitrogen reduction targets required to deliver sustainable water quality in Lake Rotorua amongst the community (taxpayers and ratepayers) and private landowners. The split is approximately 43% private (rules) and 57% community (from ratepayer and taxpayer funded interventions).

The benefits of this collaborative process is that private landowners interests can influence the design and decision making process. They are provided with information and support to understand the issues and options and are actively involved in debating solutions, bringing their perspectives to the table, but also having the opportunity to listen to and understand other’s perspectives. This is considered to be a powerful tool for ensuring views are understood and fair and robust solutions generated.

Importantly in the context of this paper, it is considered that the collaborative process assists in some way to preventing and minimising the anxiety and pressure of what could have been a purely regulatory framework when it is introduced.

4 Support Framework

It is considered that there are two principles behind a framework that will provide the required support to the rules project, (the Support Framework). It is suggested that the principles for the support framework are Prevention and Post-Prevention interventions.

4.1 Prevention

a) Communication

It is critical that there is an effective communication plan and mechanisms in place to ensure that the community understand the reasons for nitrogen reduction, the interventions for achieving the nitrogen reduction targets (including the rules) and, in particular, what the rules are and what they mean.

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3

Under the Programme’s approved Communication and Stakeholder Engagement Plan a communications package is being developed which will specifically address the topic of Nitrogen reduction in Lake Rotorua and the package of interventions intended to achieve the required target (rules, incentives, advice and support, gorse and engineering). It is intended that as a result of the implementation of this package the community will better understand the critical messages.

b) Consultation

It is crucial that extensive consultation is undertaken through the development of a regulatory framework to ensure that the assumptions behind the rules are correct. Also, in this case, to ensure that the reductions are reasonable, that all alternatives within the rules framework are debated and tested and that the rules adequately control the environmental effects in question. The consultation process that has been run to develop the rules for nitrogen reduction in Lake Rotorua, is substantially over and above the current legislative requirements of the Resource Management Act, primarily in two ways:

1. Rule development has been preceded by two years of extensive collaboration

through the StAG.

2. An extensive consultation process over and above legislative requirements (including drop in days, public meetings, letters and print media) has been undertaken on the draft rules, to test the assumptions and reasonableness of those rules. This has been a voluntary process, undertaken prior to the formal consultation and notification processes required by the Resource Management Act which will include two submission periods.

The outcomes sought from the additional consultation process recently run were intended to achieve the following in terms of the rules framework:

a) To understand whether it is reasonable. b) To ensure that those affected fully understand the impacts on them. c) To test that the balance of costs. d) To allow those affected and interested to influence the rules. To ensure they

understand that this is a public process that they are encouraged to have input into it.

e) To reduce anxiety and stress the rules may cause when they come into effect by allowing a longer time period to understand, engage and adjust.

The Programme is also committed to ensuring that the rules process is adaptive and regularly reviewed in light of new science. If there is a better way of doing it the Programme is open to that. In addition the Programme is committed to ensuring that those affected and interested by the rules are resourced to engage in the consultation and collaboration process. The Programme has, supported the Farmers Collective to engage and support farmers in a collective voice and are currently looking at how we can improve support for small block owners and māori land owners who are not covered by the collective support.

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c) Advice and Support Project

As part of the $5.5 million dollar funding secured to assist with the implementation of the rules, the Programme has allocated $2.2 million dollars to an Advice and Support project. The purpose of the Advice and Support project is to work with those affected by the rules to ensure they understand how the rules affect them and the ways in which they can comply with them.

The Advice and Support process essentially uses trained Regional Council staff to make contact with landowners and explain the solutions offered by the Programme. In-particular the project will make links between landowners and independent consultants funded by the Programme (who can be selected by the landowners) and can provide specialist, independent advice on relevant topics (e.g., nutrient management and business management). The purpose of the Advice and Support project is to assist landowners with meeting the requirements of the new rules. This service will be offered to all landowners affected by the rules and is considered an important and appropriate way for the Programme to provide individualised support and assistance to landowners.

As part of the Advice and Support project, those working within the Programme have been working closely with Dairy New Zealand and the Sheep and Beef Industry to develop template Farm Nutrient Plans (the Sustainable Milk Plan and Land Environment Plan respectively) that support the members of those industries. Engaging industry to provide additional support for its members is also considered a crucial part of the support framework for implementation of the rules and this engagement is well underway in the two most affected sectors.

Up-skilling Regional Council staff working with landowners in the Advice and Support project to understand sign of anxiety and stress and have training in how to guide the members of the community they are working with to seek help is also an important part of the advice and support project.

All of these initiatives should help prevent anxiety and stress by providing access to information, support and a vehicle to influence.

d) Alternatives and Solutions

Solutions to reduce nutrient is a key component of assisting land owners with this change. Some of the following initiatives will assist landowners understand their opportunities to change within the Integrated Framework.

Very timely is the establishment of the new Land Technical Advisory Group which will provide the Programme with independent advice and land based nutrient management solutions for water quality. This is an exciting development for the Programme which will provide a robust method for assessing the validity of nutrient management solutions to support the implementation of the rules for nitrogen reduction in the Lake Rotorua catchment. In addition the Land TAG has the expertise to evaluate the economic, social and cultural impacts of new land uses.

Grow Rotorua are investigating alternative low nitrogen land use opportunities and have commissioned preliminary reports on low nutrient horticulture, agriculture and geothermal heat greenhouse opportunities. More detailed investigations are also being made into fresh milk exports dairy exports and free stall barn systems, as well as manuka honey.

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As part of the funding that has already been secured to support the community in the implementation of the rules (often referred to as the above the line funding), there is currently $3.3 million dollars available to support management and land use change to lower nitrogen. How this $3.3 million will be spent has not yet been decided, but Programme staff have been working on preparing options for this with the aim of reporting back to Strategy Group in early 2015. In the mean-time, the Regional Council has commissioned some small scale investigation into alternative management regimes and uses and is happy to consider requests for small scale investigations until the $3.3 million spend is decided.

A Solutions Symposium which will assist the community to understand existing on farm mitigation options as well as new alternative land uses is being proposed by Partners and StAG members this will help disseminate information and generate new ideas, for the options to implement the requirements of the new rules. The symposium is expected to run in early 2015.

Early next year staff will look into opportunities for a ‘buddy’ system where landowners could travel to other catchments, e.g. Taupō, to meet one on one or in small groups with those who have experienced similar regulatory changes and understand how they have managed that change.

e) Incentives Scheme For those who decide that the rules are not feasible there is also support. The Incentives Fund offers them an option of selling nitrogen to the Programme through the $40 million Incentives Fund. This is a desirable, viable and economic option for some landowners and work has already started on registering interest from land owners in the scheme and will also be explained when Regional Council staff approach landowners under the Advice and Support project explained above. At a high level this reduces the rules burden on private land owners by taking on board a chunk of the nutrient and cost.

4.2 Post Prevention

There is the possibility that, for some landowners affected by the rules, the preventative measures explained above will not be enough for them to feel that they have all the tools to enable them to cope with the change. There may also be other extenuating personal circumstances which affect the ability of individuals to cope with this change, outside of any rules introduced by the Programme. Information has been added to the Lakes Programme website to provide information on seeking help for mental health issues. As mentioned above it is also proposed to up-skill Regional Council staff working with landowners in the Advice and Support project to understand signs of anxiety and stress and have training in how to guide the members of the community they are working with to seek help. The decision for the Programme here is whether it has responsibility for mental wellbeing in terms of the introduction of this legislation. Any legislation places responsibility on persons, these rules will place a responsibility on landowners to mitigate the environmental effects of their activity on the environment.

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6

There are issues of precedence and competency in the Programme offering such a support service to landowners affected by the rules. Therefore, the proposed focus is on prevention, offering a supportive framework which provides affected landowners with tools to cope with the change. This approach aligns to the experience and skill sets of the Programme and it is considered it is far better than focussing on the ‘ambulance at the bottom of the cliff’.

5 Financial Implications

Current Budget

The proposed framework is within current budgets.

Future Implications

The proposed framework will not affect future budgets.

Helen Creagh Manager, Rotorua Catchments

2 December 2014 Click here to enter text.

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1

File Reference:

4.00842

Significance of Decision: Receives Only - No Decisions




Update from Grow Rotorua

Executive Summary

The purpose of this report is to receive a presentation from a representative of Grow Rotorua on their Centre of Excellence for Freshwater.

1 Recommendations


1 Receives the report, Update from Grow Rotorua.

2 Background

Grow Rotorua is a Council Controlled Organisation formed in June 2012. It is a separate independently governed and focussed entity created to lead the implementation of the Rotorua Sustainable Economic Growth Strategy.

Anna Grayling Lakes Business Manager for Manager, Rotorua Catchments

2 December 2014 Click here to enter text.

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