BOI Report and Decision Structure

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BOI Report and Decision Structure Final Report and Decision of the Board of Inquiry into the Tauhara II Geothermal Development Project Final report and decision produced under section 149R of the Resource Management Act 1991 Volume 1 of 2 Prepared in December 2010 By the Board of Inquiry into the Tauhara II Geothermal Development Project ii BOARD OF INQUIRY TAUHARA II GEOTHERMAL DEVELOPMENT PROJECT In the Matter of the Resource Management Act 1991 And In the Matter of a referral to a Board of Inquiry under section 147 of the Act of an application for resource consents by Contact Energy Limited for the Tauhara II Geothermal Development Project THE BOARD OF INQUIRY Judge R Gordon Whiting (Chairperson) Dr Patrick Browne (Member) Mrs S Glenice Paine (Member) Mrs Jenni Vernon (Member) Mr Brian White (Member) HEARINGS at Taupo on the 13th, 14th, 20th and 21st of September and the 5th and 6th of October 2010 APPEARANCES T Robinson, K Smith and T Ryan Counsel for Contact Energy Limited S Hickman Counsel for Taupo District Council K Feint Counsel for Ngā Hapū o Tauhara R Feary Counsel for Energy Efficiency and Conservation Authority H Te Nahu and E Rongo Counsel for Harvey Karaitiana, Moyra Bramley, Natalie Healey, Joseph Karaitiana, Christine Karaitiana-Kidwell, Nigel Baker, Arapiu (Abe) Seymour S Ongley Counsel for the Department of Conservation R Devine Counsel for Opepe Farm Trust J Campbell Counsel for Mighty River Power Limited and Rotokawa Joint Venture C Whata and J Kirby-Brown Counsel for Wairakei Hapū Collective and Tauhara Moana Trust M Brockelsby for Waikato Regional Council FINAL REPORT AND DECISION OF THE BOARD OF INQUIRY This final report is made under section 149R of the Resource Management Act 1991 iii A. The application for resource consents under the jurisdiction of the Taupo District Council is granted generally in accordance with the application documents, subject to the terms and conditions of consent contained in Volume 2 of this decision. B. The application for resource consents under the jurisdiction of the Waikato Regional Council is granted generally in accordance with the application documents, subject to the terms and conditions (including General Conditions) contained in Volume 2 of this decision. C. The application to change the General Conditions is granted as per the terms and conditions contained in Volume 2 of this decision. D. The application to change the consent conditions of Waikato Regional Council Consent 961044 is granted by the insertion of the following additional condition: “Water taken from the Waikato River pursuant to this consent may only be used for purposes associated with Tauhara I and Tauhara II Geothermal Development Projects. Those Projects include the Tauhara I Binary Plant on Centennial Drive, the Tauhara II Power Station north of Mount Tauhara and existing and future direct heat supply utilising resource consents held by the consent holder”. iv Contents VOLUME 1 INTRODUCTION ........................................................................................................ 1 REFERRAL BY MINISTER TO BOARD OF INQUIRY AND COMMENTS ON THE DRAFT REPORT ....................................................................................................... 4 BACKGROUND ......................................................................................................... 7 Geology ........................................................................................................................................... 7 Sources of High Enthalpy Fluid ........................................................................................................ 8 Surface Features .............................................................................................................................. 9 Renewability of the Resource ......................................................................................................... 9 System Development .................................................................................................................... 10 Potential Adverse Effects of Development ................................................................................... 11 THE PROPOSAL ..................................................................................................... 12 The Overall Project ........................................................................................................................ 12 Power Station, Switchyard and Transmission Line ....................................................................... 15 Steamfield Infrastructure .............................................................................................................. 17 Power Station Technology ............................................................................................................ 17 Proposed Conditions of Consent ................................................................................................... 18 CONSENTS APPLIED FOR .................................................................................... 19 Taupo District Council – Landuse Consents .................................................................................. 19 Waikato Regional Council – Regional Consents ............................................................................ 20 Activity Status ................................................................................................................................ 24 STATUTORY REPORTS ......................................................................................... 25 Section 149G Reports .................................................................................................................... 25 Section 42A Report........................................................................................................................ 25 SUBMISSIONS ........................................................................................................ 26 FACILITATED PRE-HEARING MEETINGS ............................................................ 28 THE HEARING AT TAUPO ..................................................................................... 29 STATUTORY BASIS FOR DECISION ..................................................................... 31 PRINCIPAL ISSUES IN CONTENTION ................................................................... 33 THE PERMITTED BASELINE AND THE EXISTING ENVIRONMENT ................... 34 The Permitted Baseline ................................................................................................................. 34 v The Existing Environment .............................................................................................................. 35 EFFECTS OF THE TAUHARA II PROPOSAL ON THE ENVIRONMENT .............. 38 Approvals Gained .......................................................................................................................... 38 Positive Effects .............................................................................................................................. 38 Potential Adverse Effects .............................................................................................................. 39 Maori Matters ....................................................................................................................... 39 Effects on Sustainability of the Geothermal Resource .......................................................... 52 Efficient Use of the Resource ................................................................................................ 57 Effects on Other Users of the Geothermal Resource ............................................................ 58 Effects on Users of Neighbouring Assets and Infrastructure ................................................ 60 Effects of Subsidence ............................................................................................................. 61 Effects on Groundwater ........................................................................................................ 73 Amenity Effects...................................................................................................................... 74 CONSIDERATION OF STATUTORY INSTRUMENTS ............................................ 84 Waikato-Tainui Raupatu Claims (Waikato River) Settlement Act 2010 ........................................ 84 National Policy Statement on Electricity Transmission ................................................................. 85 National Environmental Standards for Electricity Transmission ................................................... 86 Regional Planning Instruments ..................................................................................................... 86 Proposed Waikato Regional Policy Statement ............................................................................ 102 Taupo District Plan ...................................................................................................................... 103 Overall Conclusion on the Relevant Planning Instruments ......................................................... 113 PART 2 OF THE RESOURCE MANAGEMENT ACT 1991 ................................... 114 Section 5 ...................................................................................................................................... 114 Section 6 .....................................................................................................................................
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