What is the Fast Track legislation?

The Fast Track Approvals Act was introduced to Parliament under urgency in March 2024 as part of the Coalition Government’s plan for its first 100 days in office. It passed its third reading on December 17th.

The Act was aimed at establishing a permanent fast-track regime that would make it easier and quicker to gain approvals for development and infrastructure projects that would deliver regional and national benefits. The Act combines the multiple resource consents, notices, and certificates of compliance and approvals from the Resource Management Act 1991, and several other Acts (including the Crown Minerals Act, Conservation Act, and Fisheries Act). This ‘one-stop-shop' approach was intended to make it quicker and easier to get the approvals usually required for large and complex projects.  There are 149 fast track proposals being considered in this initial round with a further 300 on the next list.

McCallum Bros Limited submitted its application for Fast Track in May 2024.

It will submit its full proposal in the coming weeks, it could be as soon as March 2025.

Full fast track applications are now being accepted by the Environmental Protection Authority, who will provide administrative support for Expert Panels. A Panel Convenor will appoint Panel members for each project application. The names of the panelists will be made public.

The Panel must assess the proposal against the usual RMA criteria (including plans, policies, the RMA’s purpose, and sections 6, 7, and 8 RMA) but can choose how much weight to give the criteria. The Panel is also required to consider the purpose of the Bill above the purposes and provisions of other Acts, including that of the RMA. The ultimate decision lies with the panelists.

Who can have their say on a fast-tracked application?

Participation in the fast-track process is limited. The Panel may invite comment from several parties on a project, including local authorities, iwi authorities, Treaty settlement entities, and owners and occupiers of land on which the project is to be undertaken. The Panel may invite comments from other persons they consider appropriate. There is no requirement to hold a hearing on a fast-track application. If the Panel does hold a hearing, only the applicant, experts invited to commission a report by the Panel, and persons invited to comment, may be heard.

There is no provision for public consultation. Rights of appeal are extremely limited.

Can a decision be appealed?

Appeals on fast track are only possible on points of law, and only by the applicants, commenters, the Attorney General and any person with an interest greater than the general public. The Bill does not limit or affect any right of judicial review.

Who is the McCallum Bros Ltd?

McCallum Bros is a 120 year old family owned and operated mining business based in Auckland.

It began sand extraction in the Auckland region around the 1920s and has been sand mining for approximately a century. MBL has mined sand extensively from the seabed off the coast of Auckland, particularly from the areas around the Hauraki Gulf and the Kaipara Harbour and Omaha Beach.

MBL started the quarrying of red chert on Pakihi Island in 1906 and continued until 1927 after which the adjacent Karamuramu Island, is owned by the McCallum family, continued production from 1908 and continues to this day. This is the red chip many will have seen on driveways and footpath

MBL states on it website; ‘Quarrying continues today on Karamuramu Island with reserves of rock in excess of several million cubic meters.”

Here are pictures of the family’s privately owned island, one in 1950s and present day.

MBL was one of two companies that sand mined Omaha Beach.

Sand mining occurred at Omaha Beach, New Zealand, off Whangateau Harbour, before 1970. The mining contributed to the erosion of the Omaha sand spit and a change in its shape. Between 1966 and 1980, 480,000 cubic meters of sand were removed from Omaha Beach. 

MBL moved north to Pakiri Mangawhai and is now looking to expand operations into Bream Bay.

What is its application all about?

This sand is predominantly used for construction purposes, including concrete production and land reclamation projects. McCallum Bros do not pay for the sand. This article from Newsroom is a good introduction.

MBL wants to dredge 8,450,000 - 9,000,000 cbm of high quality marine sand from the sea floor over 35 years.

Their proposal includes dredging up to five days a week, for up to 6 hours at a time, although recent updates from the company have stated it has reduced this period to 3.5 hours.

The company will dredge a 17km2 strip which at its closest point will be 4.2km from shore at depths of approximately 30 meters.

The price per tonne of marine sand in New Zealand can vary based on several factors, including the location of the extraction site, the quality of the sand, transportation costs, and market demand. Bream Bay sand is of superior quality which could see MBL generate over $300,000,000 over 35 years.

What is the problem with mining sand and marine sand?

While mining marine sand can provide needed resources, it poses several environmental, economic, and serious social challenges such as;

• Habitat Destruction: The destruction of seabed habitats like seagrass beds, and the habitats of various marine organisms. These ecosystems are vital for biodiversity and the overall health of marine life.

• Biodiversity Loss: The disruption of habitats which many species depend on or breeding, feeding, and shelter. Sand mining can lead to the decline or extinction of vulnerable species. Scallop fisheries would be an example of this in Bream Bay. After extensive sand dredging in Pakiri-Mangawhai, scallops have not returned.

• Water Quality Degradation: Sand mining can increase the turbidity of the water, which reduces light penetration and affects photosynthesis in aquatic plants. Suspended sediments or a plume can drift for many kilometers further degrading water quality and smothering seabed life.

• Coastal Erosion: Removing sand from coastal areas can exacerbate erosion. Beaches, dunes, and coastal barriers play a critical role in protecting inland areas from storm surges and rising sea levels. Sand mining weakens these natural defenses.

Economic Consequences

• Impact on Fisheries: The degradation of marine habitats can adversely affect fisheries, which are crucial for the livelihood of many coastal communities. Decreased fish populations can lead to reduced catches and economic losses for fishermen.

• Tourism Decline: Bream Bay beaches took out two awards for best beaches in NZ in February. Waipu Cove won best family and camping beach. With its crystal clear turquoise water, fine golden sand and lined with Pohutukawa, it’s is the quintessential Northland beach and as such is an incredibly popular tourist destination. Tourism is an integral part of Northland economy with the tourism spend at $1.18m in 2023 and employing 8.8% of the workforce. The degradation of beaches and marine environments can deter tourists, impacting local economies that rely on this tourism revenue.

Social and Cultural Effects

• Displacement of Communities: Sand mining can lead to the displacement of local communities, particularly if the mining impacts land use or access to resources.

• Cultural Heritage Loss: Coastal and marine areas often hold cultural and historical significance for indigenous and local communities. Sand mining can threaten sites of cultural heritage and disrupt traditional practices. In December 2024, researchers discovered 200-year-old Maori middens on Ruakaka Beach, over looking the proposed dredge site. Middens are places where the remains of food (such as shellfish and bones), ash and charcoal from fires, and other traces of settlement can be found. The earliest have dated back to 500 years in Opotiki.

Regulatory and Governance Challenges

• Lack of Regulation: Historically sand mining has been under regulated, leading to unsustainable practices. This can exacerbate environmental damage. Over mining in Omaha caused the collapse of the Omaha spit. Pakiri residents say their beach is no longer safe for swimming due to changes on the seafloor.

• Enforcement Issues: Even where regulations exist, monitoring and enforcement is up to regional councils to carry out and enforce. Due to limited resources previous breaches have gone unprosecuted.

Why do companies like McCallums say we need to take sand from the sea?

We don’t. And we certainly don’t need to mine sand from Bream Bay.

All countries and most sectors need sand. Yet, sand in the natural environment supports fisheries, biodiversity against coastal erosion, and serves as a natural filtration of water.

Globally the utilisation of construction, excavation and demolition waste is being explored as a viable alternative to natural sand, as is recycling of other products such as crushed glass. One of the main, and growing, alternatives to natural sand is manufactured sand which is produced from the crushing of hard rocks.

Manufactured sand is suitable for the construction industry, and in fact McCallum purchased its consent to dredge at Pākiri from Kaipara Limited, who scaled down their mining operations in favour of manufacturing sand. By the end of 2025, Kaipara Ltd will be able to produce 300,000 tonnes or a quarter of Auckland’s construction needs, growing to 45%.

Kaipara now plans to expand production to 500,000 tonnes annually. This is significantly more than the 380,000 tonnes per year that MBL would be supplying from Bream Bay and is a clear market signal that customers are embracing this technology.

Other fast track proposals are on track to supply land based sand. In late 2024, fast-track approval was granted for a proposal to extract up to 300,000m3 of sand per year (for up to 35 years) from land-based sand mining operations in Te Arai, near Wellsford. Again exceeding the amount that MBL would be taking from Bream Bay each year.

To the extent that natural sand is required, it should be taken from the Kaipara Harbour, which is not a closed system. Much of the sand in Bream Bay came from a time when the Waikato River let out on the East Coast and will not be replenished. Kaipara Mayor Craig Jepson is on record stating; “There is plenty of sand that needs to be taken from Kaipara Harbor. There is no issue in taking too much from there.”

What are the risks?

McCallum Bros claims that there will be no effect to seafloor life and changes would be “minor and temporary in nature”. They claim that there would be no effect on fish life, commercial or recreational fishing, no impact on the seven surf breaks in Bream Bay, no impact on shore birds including the critically endangered Tara Iti, beachfronts and dunes would remain unchanged, and that it has a ‘clean slate’ in compliance and/or enforcement actions.

On the contrary:

McCallum accepted evidence in court that it had breached conditions of its resource consent at Pākiri by creating massive trenches nearly 3m deep, 15m wide and 3 kms long in the seabed.

Local fishers with forty-five years experience in the area say that the activity will decimate fishing in Bream Bay. Marine experts say it will disrupt bottlenose dolphins, orca and other marine mammals. Baby scallops are sucked up the dredge, larger scallops can be crushed against the mesh head of the dredge shattering their shells.

Third generation fishermen say in the last years they have been dredging mud, something that has never happened. They put this down to the massive deficit of sand created by mining.

Digging holes in the seabed affects wave refraction (bending) and dissipation as waves pass over the seabed and how wave energy focuses along the shore, creating patterns of coastal erosion along the shore and surf breaks.

Surfers who have grown up in the area, say in the impact of sand mining are now clear to see.

“There has been a huge reduction in sand bank formation over the years along the Te Arai coastline. Rocks have emerged off the actual structure of the point at Te Arai and Forestry where they once lay deep, buried by sand. Both points use to gather sand and banks would build up to form quality waves on either side of the headland. Both Te Arai and Forestry were renowned point breaks. They are now a shell of their former selves. The beach is essentially flat, with hardly any distinct sand banks and few gutters and holes, essentially creating a wave that has little shape to it. Most swells, the beaches here have few options for quality waves. This is not the way it was. This part of the coast had phenomenal wave quality. Bream bay is one of the last stretches of coast in the region to have consistent, high quality sand bank formations and this has a huge effect on wave quality. On any large swell, this coastline is phenomenal. It will become a shell of its former self if this sand mining goes ahead and will follow the same trajectory as Te Arai/Pakiri.” Nick.

In Mangawhai, surfers have outlined even more devastation.

“Twenty years ago we used to step off the grass at Mangawhai onto the sand and into the water, now there is an 8-10metre drop. Where has all the sand gone? There are now rocks on the beach that were never there and we hit rocks in the surf. To allow sand mining in Bream Bay with all its fish life along with all the other aspects is lunacy.” Heath

What happened at Pākiri?

MBL has mined for sand at Parkiri for 80 years. It was contracted to mine for Kaipara Ltd and then purchased the consent off them in 2021 and continued to mine under its own banner.

Pakiri and Mangawhai Iwi and locals have fought sand mining operations for decades.

At the end of 2024, the Environment Court awarded record costs against McCallums to the tune of $500,000. It is appealing to the High Court and continues to mine Pakiri on a reduced consent.

https://www.rnz.co.nz/news/national/533061/sand-mining-company-ordered-to-pay-500k-in-court-costs-in-pakiri-beach-case

The company was found to have breached conditions of its previous resource consent by digging deep trenches in the seabed at Pākiri. Seabed trenches left by McCallums’ operation were 3 km long and almost 3 m deep.

The Environment Court found evidence provided by the company about the ecological effects of the mining had been “patchy”, “inconclusive” and even “incorrect” in the past.

It also found the effects on mana whenua could not be mitigated.

MBL is also proceeding under the Fast Track Act for a new consent at Pākiri.

What is the timeline from here?

MBL is just days away from releasing 16 expert impact reports produced by Tonkin & Taylor. These are expected to provide justification for MBL assertion that its mining operations will not have any impact on the marine or coastal ecology.

It will then procure two Cultural Impact Assessments from tangata whenua to present to the panel that will make the decision. We expect that this will all happen by late March early April 2025.

Once again, there is no public consultation.

The full application will be submitted to the Ministry for the Environment for checking (15 days) and then on to the Environmental Protection Agency to select a panel.

Retired Environment Court Judge Jane Borthwick has been appointed as panel convener, with Helen Atkins and Jennifer Caldwell as associate panel conveners.

Once MBL’s application is received, it is suggested a decision could be given as soon as 65 days.

Who can we complain to?

The Northland Regional Council has a role to play in the Fast Track process, as they will issue the permit and be responsible for monitoring any conditions. The NRC’s official position is:
“Council has made a submission on the Fast Track Legislation. While we acknowledge that a fast-track process is an important part of a modern resource management system, we’ve also raised some concerns.  We believe the current Bill prioritizes expedient decision-making over the potential environmental and cultural impacts of activities, and lacks adequate provisions for the participation of those affected, including tangata whenua and local communities.”

You can contact NRC elected councillors:

• Chair Geoff Crawford geoff.crawford@nrc.govt.nz

• Councillor Amy Macdonald (Coastal Central General) amym@nrc.govt.nz

• Councillor Rick Stolwerk (Coastal South General) ricks@nrc.govt.nz

You can contact the following MPs:

• Shane Reti MP for Whangarei s.reti@ministers.govt.nz

• Grant McCallum MP for Northland Grant.McCallum@parliament.govt.nz

• Shane Jones NZ First list MP , Minister for Regional Development, Fisheries, Resources (a strong supporter of the sand mining fast track application) s.jones@ministers.govt.nz

• Huhana Lyndon Green list MP Huhana.Lyndon@parliament.govt.nz

• Mariameno Kapa-Kingi MP for Te Tai Tokerau, Te Pāti Māori Mariameno.Kapa-Kingi@parliament.govt.nz

• Willow-Jean Prime Labour list MP Willow-Jean.Prime@parliament.govt.nz

• Mark Cameron ACT list MP Mark.Cameron@parliament.govt.nz

What else can we do?

Over the coming days, McCallum Bros will start to make public the materials supporting its application. We need your help to respond to these with expert evidence. If you have expertise in these areas, know someone who does, or are prepared to donate to help fund response reports, please get in touch.