Federated Farmers – Government must urgently rule out controversial water tax

Source: Federated Farmers

Federated Farmers is calling on the Government to immediately and categorically rule out any form of ‘water tax’ in its proposed RMA replacement bill.
“There’s absolutely no way we’re going to support any laws that open the door to taxing water,” Federated Farmers RMA reform spokesperson Mark Hooper says.
“A water tax would be a nightmare for farmers and growers, undermining confidence in our productive sectors and pulling a handbrake on economic growth.
“The Government needs to move quickly and strike out any wording that would allow water rights to be auctioned, tendered, levied or taxed.”
In December, the Government released two major pieces of legislation, the Planning and the Natural Environment Bills, to replace the Resource Management Act (RMA).
Federated Farmers policy staff spent the summer break trawling through 744 pages of complex legislation and have serious concerns about what they’ve uncovered.
“It’s incredibly alarming to find clauses that give Ministers sweeping powers to tax water as a tool for managing demand,” Hooper says.
“Based on every conversation we’ve had with the coalition Government, we don’t believe it was ever their intent to impose a water tax on farmers.
“Unfortunately, it seems bureaucrats have snuck this one past Ministers, because that’s exactly what these provisions enable – it’s all there in black and white.”
Previous National Party Prime Ministers, including John Key and Bill English, explicitly ruled out water taxes in their day.
Federated Farmers is now calling on Prime Minister Christopher Luxon to urgently do the same – because rural New Zealand needs to clearly understand his position.
“Federated Farmers strongly supports the objectives of the Government’s RMA reforms: growing productivity and making it easier to get things done,” Hooper says.
“We are in total alignment that there needs to be a stronger focus on property rights, a tighter scope, fewer resource consents, and far less expensive litigation.
“The Government’s messaging has been bang-on but, unfortunately, we don’t think the legislation as currently drafted matches the political rhetoric.”
Hooper says this may be a case of ‘officials gone rogue’, but serious questions remain about how such dangerous provisions have progressed this far.
“The Prime Minister needs to step in now, make a captain’s call, and categorically rule out any possibility of water taxes to give farmers and growers certainty.” 

Appointments – CAA appoints new Deputy Chief Executive – Gayle Holmes

Source: Civil Aviation Authority (CAA) 

After a thorough recruitment process, the Civil Aviation Authority (CAA) is pleased to announce the appointment of Gayle Holmes as our new Deputy Chief Executive, Regulatory Enablement and Response, to the Executive Leadership Team.

Gayle is currently a member of the executive team as General Manager, Compliance, Monitoring and Enforcement Environmental Protection Authority (EPA), where she’s been since 2020.

During her time at the EPA, Gayle led several significant regulatory and organisational initiatives. These included leading the Hazardous Substances Modernisation Programme, which aligned New Zealand’s hazardous substances classification regime with the UN Globally Harmonised System (GHS) and replacing legacy data systems with a new chemical management database.

She also led the establishment and maturation of the EPA’s Compliance, Monitoring and Enforcement function, bringing together previously separate compliance teams across a range of legislation into a single, integrated group. She led the establishment of the EPAs intelligence function, introduction of a new compliance case management system, and the first prosecutions under both HSNO and the Climate Change Response Act.

Gayle is recognised for her strong, values based leadership, particularly through periods of organisational change and heightened regulatory complexity. She has a strong track record in building capable, multidisciplinary teams, fostering a culture of professionalism, collaboration and continuous improvement. Gayle has also made significant contributions to enterprise wide strategy, programme governance, and health and safety leadership.

We’re looking forward to her joining the team and getting to know the people and the business. Gayle starts in the role on 7 April 2026.

Weather News – Wet and windy weekend for many – MetService

Source: MetService

Covering period of Thursday 12 – Monday 16 February
 

  • Orange Heavy Rain Watch on Friday for eastern Bay of Plenty/northern Gisborne/Tairawhiti
  • Yellow Heavy Rain Watches on Friday for much of the North Island
  • Lower temperatures expected from Saturday.

MetService is predicting the run of warmer-than-average temperatures will end this weekend, as a front moves over the South Island and a low pressure system starts to develop east of the North Island. Both features are expected to bring rain in their wake, as well as strong winds for the North Island and upper South Island. Thunderstorms with localised downpours are also possible for much of the North Island on Friday. Heavy Rain Watches have been issued over most of the North Island from Friday, with an Orange Heavy Rain Warning for eastern Bay of Plenty and northern Gisborne/Tairawhiti.

MetService meteorologist Alwyn Bakker states, “Warm and humid conditions over the North Island on Friday are likely to generate thunderstorms, with the potential for localised intense bursts of rain.”

The front moving up the South Island on Friday will bring a burst of heavy rain to western areas, with some rain making it east of the Alps. A southerly moving through on Saturday brings heavy showers and potential thunderstorms for Otago and Canterbury during the second half of the day.

While the low centre developing east of the North Island will be driving much of the weekend weather, its exact position is still uncertain. This means it is tricky to nail down the intensity and location of potential severe weather. The forecast position may change from one day to the next, so if you have plans over the weekend, it’s a good idea to keep checking the forecast.

“We’re currently predicting the rain will stay away until the tail end of Wellington’s Round the Bays on Sunday, which should motivate participants to keep up the pace. However, there will still be strong southerlies during the races, so take advantage of those tailwinds when you can,” advises Bakker.

We still have a couple of days of warmer temperatures and high humidity ahead of us, but things are set to change this weekend as cooler air pushes in from the south. A lot of the South Island will have a cooler-than-average weekend, with a few locations seeing a difference of more than ten degrees between Friday’s and Sunday’s maximum temperatures. Cooler temperatures move up the North Island through Saturday and should stick around into early next week.

For media enquiries or to arrange an interview with one of our meteorologists please call 04 4700 848 or email metcomms@metservice.com

Understanding MetService Severe Weather Warning System

Severe Thunderstorm Warnings (Localised Red Warning) – take cover now:

This warning is a red warning for a localised area.
When extremely severe weather is occurring or will do within the hour.
Severe thunderstorms have the ability to have significant impacts for an area indicated in the warning.
In the event of a Severe Thunderstorm Red Warning: Act now!

Red Warnings are about taking immediate action:

When extremely severe weather is imminent or is occurring
Issued when an event is expected to be among the worst that we get – it will have significant impact and it is possible that a lot of people will be affected
In the event of a Red Warning: Act now!

Orange Warnings are about taking action:

When severe weather is imminent or is occurring
Typically issued 1 – 3 days in advance of potential severe weather
In the event of an Orange Warning: Take action.

Thunderstorm Watch means thunderstorms are possible, be alert and consider action

Show the area that thunderstorms are most likely to occur during the validity period.
Although thunderstorms are often localised, the whole area is on watch as it is difficult to know exactly where the severe thunderstorm will occur within the mapped area.
During a thunderstorm Watch: Stay alert and take action if necessary.

Watches are about being alert:

When severe weather is possible, but not sufficiently imminent or certain for a warning to be issued
Typically issued 1 – 3 days in advance of potential severe weather.
During a Watch: Stay alert

Outlooks are about looking ahead:

To provide advanced information on possible future Watches and/or Warnings
Issued routinely once or twice a day
Recommendation: Plan.

Employment Disputes – New Zealanders warned about escalating NZPFU strike action

Source: Fire and Emergency New Zealand

Fire and Emergency New Zealand is warning New Zealanders about the increasing threat posed by the New Zealand Professional Firefighters Union (NZPFU) escalating its industrial relations activity to two one-hour strikes per week. 
Strikes are currently planned between midday-1pm this coming Friday and Monday, with subsequent strike notices in place for 20, 23 and 27 February, and 2 March. 
During the strikes Fire and Emergency will still respond to emergency calls but is warning responses will be delayed in areas covered by professional firefighters as the closest, available volunteers will be responding from their stations. 
“We think striking when both parties are actively involved in facilitation needlessly puts the community at risk,” Deputy National Commander Megan Stiffler says. 
“We asked for facilitation as there was a significant gap between what we were offering and the NZPFU’s expectations.
“Our offer at the time amounted to a 6.2 percent average increase over 3 years and compared favourably with equivalent recent public sector agreements, but this was three times less than the NZPFU’s settlement proposal.” 
 Fire and Emergency’s pre-facilitation offer would have taken average senior firefighter salaries from a range of approximately $81,000-$87,000 to $86,000-$93,000 at the end of the period, excluding overtime and allowances, which currently add an average of almost $39,000 to annual remuneration.
Over the past decade average senior firefighter pay has cumulatively increased by 37 percent, which is more than 10 percent above the average increase for all workers. 
“We continue to call on the NZPFU to call off its now twice-weekly strikes while the process of facilitation takes place. We remain committed to a fair, sustainable, and reasonable settlement so we can continue working to keep our communities safe.” 

Legislation – Still time for NZ First to do the right thing by workers and vote down Fire at Will Bill – PSA

Source: PSA

The PSA is calling on New Zealand First to stand by New Zealand workers and vote down the most draconian anti-worker legislation since the notorious Employment Contracts Act in 1991.
The Employment Relations Amendment Bill was set to pass today but has now been removed from the Order Paper.
“Now is the time for NZ First to do the right thing and stand by New Zealand workers as this anti-worker bill goes through its final stages in Parliament,” said Fleur Fitzsimons, National Secretary for the Public Service Association Te Pūkenga Here Tikanga Mahi.
“The bill amounts to a radical change to every workplace and fire at will for each worker, it is a recipe for exploitation.
“There is nothing in the Coalition Agreements that would stop NZ First voting against the Bill at the conclusion of the Third Reading expected next week.
“NZ First has talked about being the party of ‘the responsible face of capitalism’. Responsible capitalism means basic protections for workers from unfair treatment which is what personal grievance remedies and contractor protections and are all about.
“The responsible thing to do right now is to vote against this bill which effectively allow employers to fire workers at will.
“NZ First indicated it wanted to make changes to these provisions at the Bill’s committee stages this week, believing they created a power imbalance but chose not to.
“It’s not too late. We urge NZ First to listen to the concerns of unions and workers before this bill becomes law and hands more power to employers to sack workers.
“We have already seen a huge shift in power to businesses. Workers have been penalised by the Government through 90-day trials, the scrapping of pay equity, the suppressing of minimum wage rises, and the axing of Fair Pay Agreements.
“Now is the time for NZ First to support New Zealand workers – the PSA urges NZ First to vote against the Employment Relations Amendment Bill.”
ENDS
Background Employment Relations Amendment Bill
In summary, the changes will:
– mean workers who are legally unfairly dismissed will have no proper remedies if they have contributed to the situation, however minor.
– allow employers to fire at will workers who are unjustifiably dismissed and earn more than $200,000 – they cannot access a personal grievance process for unjustified dismissal.
– remove the provision that automatically enrols new employees in collective agreements for 30 days. This means new workers will risk being exposed to 90-day fire-at-will trials before understanding the protections offered by collective agreements.
– allow employers to deem workers contractors removing their right to holiday and sick pay and means they can be fired at will – the law change written by multi-national ride share company Uber.
Previous statement
The Public Service Association Te Pūkenga Here Tikanga Mahi is Aotearoa New Zealand's largest trade union, representing and supporting more than 95,000 workers across central government, state-owned enterprises, local councils, health boards and community groups.

Economy – Interim Financial Statements of the Government of New Zealand for the six months ended 31 December 2025

Source: The New Zealand Treasury

The Interim Financial Statements of the Government of New Zealand for the six months ended 31 December 2025 were released by the Treasury today. The December results are reported against forecasts based on the Half Year Economic and Fiscal Update 2025 (HYEFU 2025), published on 16 December 2025, and the results for the same period for the previous year.

The key fiscal indicators for the six months ended 31 December 2025 were overall favourable compared to the forecast. The Government’s main operating indicator, the operating balance before gains and losses excluding ACC (OBEGALx), showed a deficit of $5.2 billion. This deficit was $1.6 billion smaller than forecast. Net core Crown debt was lower than forecast by $2.0 billion at $191.4 billion, or 43.5% of GDP.

Core Crown tax revenue, at $60.0 billion, was $0.1 billion (0.2%) higher than forecast.

Core Crown expenses, at $71.4 billion, were $1.0 billion (1.3%) below forecast, reflecting lower spending across a range of functional classifications.

The operating balance before gains and losses excluding ACC (OBEGALx) was a deficit of $5.2 billion, $1.6 billion less than the forecast deficit. The ACC deficit was close to forecast. As a result, the OBEGAL deficit was $5.5 billion, $1.6 billion lower than the forecast deficit.

The operating balance was a surplus of $4.3 billion compared to a forecast surplus of $0.2 billion. The variance of $4.1 billion is due to a combination of the OBEGAL variance of $1.6 billion noted above, and stronger valuation gains compared to forecast on non-financial instruments ($2.2 billion) and financial instruments ($0.2 billion).

The core Crown residual cash deficit of $10.1 billion was $1.2 billion smaller than forecast, largely owing to lower-than-forecast net core Crown operating cash outflows of $0.6 billion and higher-than-forecast net core Crown capital cash inflows of $0.6 billion.

Net core Crown debt at $191.4 billion (43.5% of GDP) was $2.0 billion lower than forecast. This variance was largely due to the lower-than-forecast core Crown residual cash deficit of $1.2 billion noted above, as well as higher-than-forecast issuances of circulating currency of $0.6 billion.

Gross debt at $219.6 billion (49.9% of GDP) was $3.3 billion below forecast, largely owing to lower-than-forecast issuances of Euro Commercial Paper (ECP) and Treasury bills of $1.9 billion and $1.2 billion, respectively.

Net worth attributable to the Crown at $183.7 billion (41.8% of GDP) was $4.2 billion higher than forecast. This favourable variance largely reflects operating balance discussed previously.

  

  Year to date Full Year
December
2025
Actual1
$m
December
2025
HYEFU 2025
Forecast1
$m
Variance2
HYEFU 2025
$m
Variance
HYEFU 2025
%
June
2026
HYEFU 2025
Forecast3
$m
Core Crown tax revenue 59,993 59,855 138 0.2 124,198
Core Crown revenue 66,083 66,154 (71) (0.1) 136,919
Core Crown expenses 71,399 72,358 959 1.3 149,047
Core Crown residual cash (10,135) (11,345) 1,210 10.7 (14,802)
Net core Crown debt4 191,440 193,439 1,999 1.0 196,987
          as a percentage of GDP 43.5% 44.0%     43.3%
Gross debt 219,607 222,943 3,336 1.5 227,225
          as a percentage of GDP 49.9% 50.7%     50.0%
OBEGAL excluding ACC (OBEGALx) (5,160) (6,755) 1,595 23.6 (13,852)
OBEGAL (5,494) (7,046) 1,552 22.0 (16,934)
Operating balance (excluding minority interests) 4,277 162 4,115 –  (6,547)
Net worth attributable to the Crown 183,659 179,505 4,154 2.3 172,693
          as a percentage of GDP 41.8% 40.8%     38.0%
  1. Using the most recently published GDP (for the year ended 30 September 2025) of $439,709 million (Source: Stats NZ).
  2. Favourable variances against forecast have a positive sign and unfavourable variances against forecast have a negative sign.
  3. Using HYEFU 2025 forecast GDP for the year ending 30 June 2026 of $454,497 million (Source: The Treasury).
  4. Net core Crown debt excludes the NZS Fund and core Crown advances. Net core Crown debt may fluctuate during the year largely reflecting the timing of tax receipts.

Ready-mixed concrete: December 2025 quarter – Stats NZ information release

Lease agreement for Kawerau site a major step forward for integrated biomass manufacturing facility

Source: Foresta Group Holdings

Message: Plans to build New Zealand’s first integrated biomass manufacturing facility to produce pine-based chemicals and low emissions fossil-free fuel to replace coal, have moved a step closer with the signing of a lease at a site at Kawerau.
ASX-listed Foresta Group Holdings Limited (“FORESTA”) has executed a formal lease with the local Māori land trust Putauaki Trust following satisfaction of the conditions precedent under the previously announced Agreement to Lease for a 9.6 ha site at Kawerau.
The lease will officially commence on 1 March 2026 for an initial term of 30 years with an option to extend the lease for another 20 years.
“This is another important milestone for the company that brings us significantly closer to breaking ground on this project which represents the first step in our vision to establish sustainable, pine chemicals and low-emissions fuel production across New Zealand,” said Foresta Executive Chairman Henry Cheng.
FORESTA’s state-of-the-art integrated biomass manufacturing facility is expected to directly employ more than 70 people as well contributing to employment in the region for businesses supporting the manufacturing facility. FORESTA intends to begin earthworks over the next summer period.
FORESTA's directors, Executive Chairman Henry Cheng and Executive Director Dr Maurizio Fabiani, were present for an official signing ceremony on 9 February 2026 to formally execute the lease together with Putauaki Trust Chairman Tiaki Hunia and CEO John O'Brien.
The signing ceremony was hosted in the Beehive by The Hon. Shane Jones MP – Minister for Regional Development, Minister for Resources and Associate Minister for Energy.
FORESTA is set to revolutionise the energy landscape in New Zealand by manufacturing torrefied wood pellets – an eco-friendly replacement for coal, producing 90% fewer emissions. The innovative manufacturing process also generates renewable pine chemicals, which can substitute petrochemicals derived from fossil fuels in a variety of everyday products, from car tyres to cosmetics. All wood feedstock will be sourced from renewable Forest Stewardship Council-certified forests.
“By processing and adding value to local wood resources, we aim to drive economic growth in the region and contribute to New Zealand's climate emissions targets by providing a renewable energy source that can be used in existing coal boilers,” said Henry Cheng.
“We are proud that our project has received recognition by the New Zealand Government as a project of regional and national importance, allowing us to fast-track resource consents and approvals.”
FORESTA's scalable manufacturing process allows for the establishment of additional facilities close to forests across New Zealand, which have the potential to eliminate the need for coal to be burned domestically and have surplus production available for export to Asia.

New approach for Carillon at National War Memorial reflects Anzac connection

Source: Ministry for Culture and Heritage

The iconic Carillon bells have not sounded out across Pukeahu National War Memorial Park since 2020, due to earthquake strengthening to the carillon tower. Manatū Taonga Ministry for Culture and Heritage has revealed a new approach to ensure visitors hear the instrument played again soon.
“Earthquake strengthening work at the National War Memorial is progressing well and we are planning to reopen before Anzac Day 2026,” says Secretary for Culture and Heritage Leauanae Laulu Mac Leauanae.
“We’ve been able to draw upon the expertise of carillonists from the Carillon Society of Australia as we plan for future recitals – a fitting connection as we approach Anzac Day.
“Last year, I decided the Ministry would look at new ways to secure more sustainable services for playing the Carillon. Australia provides a useful model. There are more than 20 carillonists in Australia who share the workload between three carillons in Canberra, Sydney, and Bathurst.
“Our plan is to develop local talent and capability over time, so there is a pipeline of future musicians that can play one of the world’s largest instruments, and a taonga of remembrance in the heart of our capital.
“The National War Memorial Carillon is a key part of commemorations at Pukeahu National War Memorial Park. We look forward to sharing the schedule for regular recitals once it’s finalised.”
Leauanae acknowledged the long-term service of recently retired National Carillonist Timothy Hurd QSM.
“Timothy has been an important part of Pukeahu National War Memorial Park for more than four decades. We thank him for his dedication and wish him the best for the future,” says Leauanae.

BusinessNZ – Amid tough energy decisions, LNG plan has potential

Source: BusinessNZ

The Government’s announcement that it will proceed with the procurement of an LNG terminal has the potential to lower the extreme electricity prices NZ experiences in a dry year when the lakes are low, the BusinessNZ Energy Council (BEC) says.
Director of Advocacy Catherine Beard says the economic analysis indicates a net benefit to all electricity consumers, including industrial and commercial energy users.
“BEC supports steps made to increase security of supply, and the greater energy security provided by adding another fuel source to the mix is welcome. But it is regrettable that this decision has had to have been made.
“There are no easy choices to get through the energy transition from declining natural gas supplies to renewables. In the current context, LNG appears to have been the necessary course of action.
“As everyone is finding out the hard way, energy is not 'a nice to have' but a critical service that enables economic activity and social wellbeing. Without reliable and affordable energy, growth and investment stall.”
Beard says the risk of de-industrialisation in New Zealand is real without policy certainty and strategic direction required to unlock investment in new supply. 
“A comprehensive energy strategy is essential to give the sector clarity and ensure long-term affordability and reliability.
“BEC has long called for such a strategy, one with bi-partisan support. We cannot lurch from pillar to post on the future of energy, with every change of Government. Energy is a fundamental need for a functioning economy and healthy society, and we need to plan for a successful supply of energy with a regulatory environment that gives predictability and encourages investment.
“We look forward to the Government releasing more information as the procurement process moves forward.”
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