16 Aug 2025

Councils warn civil defence plan upgrades will lead to higher rates

10:37 am on 16 August 2025
Flooding in Brightwater - Tasman District

As weather events become more frequent and extreme in New Zealand, councils are also increasingly bearing the brunt of emergency events, Local Government NZ said. Photo: RNZ/Mark Papalii

This story has been corrected to report that $82.8 million is the total cost for councils.

A group representing local councils is warning new rules to upgrade civil defence plans are unaffordable, and will lead to higher rates.

A Cabinet paper released on Thursday estimated the reforms would cost councils $82.8 million over four years, requiring updated civil defence plans and better engagement with communities and iwi.

The paper notes that cost would be offset in the long term, as for every dollar spent on preparedness, evidence suggested $4 would be saved in response and recovery costs.

But Local Government New Zealand chief executive Susan Freeman-Greene said councils could not afford this, and the only way would be to raise rates.

She said more assistance was needed from central government. Otherwise, a better alternative would be to fund civil defence work through a levy added to insurance premiums.

"As weather events become more frequent and extreme in New Zealand, councils are also increasingly bearing the brunt of emergency events. Currently, councils fund civil defence activities through rates, receiving some central government support to respond to and recover from civil defence events," she said.

"The actual bill for councils and their ratepayers could be much higher that the Cabinet paper implies, because it doesn't account for the ongoing resourcing implications of minimum service levels."

Emergency Management and Recovery Minister Mark Mitchell said the government intended to pass the new Emergency Management Bill during this term of Parliament, and the public would have another opportunity to make submissions during the select committee process.

The Cabinet paper also provided details on what the bill would seek to do; clarify who was in control during emergencies (particularly when undeclared) and accountabilities at the local level; improve how Civil Defence Emergency Management Group plans were developed and with whose input; provide for representation of iwi Māori, rural communities and the wider community; and expand the lifeline utilities/essential infrastructure providers recognised under the legislation (e.g. certain digital services and solid waste).

Gisborne Mayor Rehette Stoltz told Morning Report the cost would come as a massive cost burden to councils.

"We are all now focusing on basics and core [business], we are also accommodating the water reform, looking at the RMA reform, it will be a huge burden.

"At the end of the day, it's the ratepayer who'll have to pay that."

But Stoltz said she welcomed the reforms.

Rehette Stoltz, Mayor of Gisborne

Gisborne Mayor Rehette Stoltz. Photo: RNZ / Angus Dreaver

"Councils like the Gisborne District Council or the Tasman District Council, we've seen civil defence be a huge part of what we do every day, so we do want the system to be fit for purpose."

She said councils wanted the government to consider alternative funding models, such as a levy added to insurance.

"We want to work with them because we see the absolute value for our councils to do this right."

Levels of readiness and expertise differ across councils, she said.

"Some councils have had lots of civil defence emergencies, so they are relatively fit for purpose, but we need to make sure the whole country is fight ready."

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