The new Planning and Natural Environment Acts establish the architecture of the new resource management system, but National Policy Direction and National Standards will supply much of the operational detail. The Government’s illustrative National Policy Direction gives an early indication of the issues likely to matter across sectors.
Illustrative National Policy Direction
National Policy Direction is intended as the translator of the goals in the new Planning and Natural Environment Acts. They direct how the goals are to be achieved and how conflicts between them should be resolved.
On 25 August 2026 the Ministry for Cities, Environment, Regions & Transport (MCERT) released an Illustrative National Policy Direction (Illustrative NPD). The Illustrative NPD is the Government’s early example of how National Policy Direction could look under the Acts.
Five themes for the first package
The Illustrative NPD is arranged around five themes:
- Housing and development;
- Infrastructure;
- Primary production;
- Resources (quarrying, mining, and waste); and
- Public values.
This thematic structure suggests that the first operative direction may be organised around activities and outcomes rather than simply reproducing the current collection of national policy statements.
Cross-cutting and system wide directives
The Illustrative NPD includes ‘cross-cutting’ and ‘system-wide’ directives, although the distinction between the two is unclear. The directives are designed to apply broadly to the themes and deal with:
- Private property rights;
- Economic growth;
- Reverse sensitivity and land-use compatibility;
- Regional spatial plans;
- Avoiding unnecessary duplication;
- Decision-making on consents and permits;
- Te Ture Whaimana;
- Māori interests; and
- Natural hazard risk management.
For applicants and councils, the interaction between these directives may be as important as the sector-specific content. Development may engage economic growth and property rights directions, for example, while also raising infrastructure compatibility, Māori interests or hazard issues.
Competitive urban land markets
A goal of the Planning Act 2026 is to enable competitive urban land markets through business and residential opportunities. The Illustrative NPD, rather than the Planning Act 2026, defines those markets as:
“a market in which there is an abundant supply of developable land suitable for different uses such that land prices do not materially and persistently reflect premiums caused by constraints on land use.”
The definition is likely to influence how urban capacity, zoning choices and constraints are evaluated. The eventual operative direction will determine what councils must do to demonstrate that their plans enable a genuinely competitive market.
Natural hazard risk
Long-term natural hazard constraints will be managed through regional spatial plans. Land-use plans must also not restrict infrastructure solely because it is exposed to natural hazard risks. Resilience to natural hazards should be addressed outside of the planning system, through asset management, design, and investment planning.
This approach places importance on coordination between spatial planning, infrastructure providers, funding decisions and technical design, rather than expecting regulation through land use plans to carry the full burden.
Infrastructure
Infrastructure is acknowledged as an enabler of economic growth, community wellbeing, and energy security and resilience through permissive directives. This is inclusive of direction for planning instruments to provide for the operation, maintenance, renewal, upgrading and development of infrastructure, while recognising its functional and operational needs to locate in certain areas.
Primary production and the rural economy
The farming and rural economy directives seek to protect and enable primary production activities by recognising their importance to New Zealand’s economy and export sector. The directives focus on maintaining productive rural land, supporting the ongoing operation and development of farming activities, and reducing planning constraints that could undermine rural productivity, while also recognising the need to manage natural hazards and other environmental considerations.
Feedback closes on 16 October 2026
The Illustrative National Policy Direction is not legally binding, but it provides an early opportunity to test the direction and workability of the new system. Feedback is open until 16 October 2026.
Organisations should consider whether the illustrative direction adequately recognises their activities, whether the cross-cutting directives are clear, and whether the proposed division between planning controls and non-planning tools is workable.
If you would like assistance reviewing the illustrative direction or preparing feedback, please contact Holland Beckett’s Environment and Planning team.





