A practical approach to freshwater policy

Farmers need certainty about the rules they must follow and the clear, measurable outcomes they should be aiming for.

Inside Dairy

2 min read

DairyNZ anticipates the revised National Policy Statement on Freshwater (NPS-FM) will bring much-needed clarity and simplicity to freshwater regulations. Farmers need certainty about the rules they’re working within, and the current system is too complex and difficult to navigate.

We want to see a shift away from arbitrary numbers and rigid limits. Instead, freshwater policy should focus on real, measurable improvements – outcomes that benefit both ecosystems and human health, while delivering pragmatic and efficient solutions.

It’s not just about setting limits. It’s about identifying the outcomes communities and tangata whenua want to achieve and ensuring those goals translate into meaningful, on-the-ground actions. A well-structured framework would help farmers take the right steps at the farm and catchment level, turning values and limits into practical action plans.

Focus on what you can control – your farm plan, good management practices, and involvement in catchment groups.

That means regulations should take an outcomes-based approach, combining clear rules with non-regulatory actions and including an important role for freshwater farm plans. When farmers sit down to plan their next steps, they need the correct information to assess risks at the farm and catchment levels and put effective solutions in place.

For freshwater regulations, this would require a shift in focus. Instead of simply setting numerical limits, they should be aimed at specific ecosystem and human health outcomes, identifying the actions that farms in each area can take to meet those goals.

Even with pending changes, freshwater farm plans remain critical. We expect they will continue to play a key role, and there needs to be a clear transition from existing sector plans. We also anticipate a greater role for catchment groups, which are already making a difference by working together on local solutions to improve freshwater outcomes.

Our advice to farmers remains the same: focus on what you can control – your farm plan, good management practices, and involvement in a local catchment group.

Another key question is how freshwater bottom lines will change. Officials have signalled that changes are coming, but we want to see a shift towards meaningful ecosystem and human health outcomes rather than defaulting to numerical targets that can correlate poorly to those outcomes. The current approach of maintaining or improving water quality where degraded should remain central. Stepping away from that would be risky.

The NPS-FM is just one part of broader legislative reform, including ongoing Resource Management Act (RMA) changes. The second phase of RMA reform is underway, including the Resource Management (Freshwater and Other Matters) Amendment Act, which came into force in late 2024. This Act prevents councils from notifying freshwater plans until the revised NPS-FM is in place or until the end of 2025, whichever comes first, to ensure regional and national policy alignment.

A key part of this phase is the Resource Management (Consenting and Other System Changes) Amendment Bill, which closed for submissions in February. This Bill includes provisions to recognise industry-led farm plans and certification processes better – a positive signal that government ministers want to integrate existing farm plans more closely into freshwater regulations.

Beyond this, the third phase of RMA reform will soon be underway, and debate continues over how hands-off or prescriptive regulations should be. Where the NPS-FM ultimately lands within this broader resource management overhaul remains to be seen.

Under the current legislation, regional councils already have the power to go beyond national rules, as we’ve seen with Waikato Regional Council’s Plan Change 1. Whether future reforms will affect these powers – through changes to the RMA or the Local Government Act – is still unknown.

In the meantime, our focus remains on advocating for fair, enduring regulations that give farmers the certainty they need. DairyNZ is committed to ensuring farmers have a strong voice in this process and that the final policy is practical and effective for improving freshwater outcomes.

Find the latest information on our website at dairynz.co.nz/freshwater-policy