Fonterra Co-operative Ltd

Expansion to Milk Processing Site – Volume I

Packers Road, Studholme,

Resource Consent Applications to the Waimate District Council and Canterbury Regional Council

August 2015

Planz Consultants Quality Assurance Statement:

Application Prepared By: Planz Consultants Ltd, 124 Peterborough Street, PO Box 1845, 8140, www.planzconsultants.co.nz

Sam Flewellen (Senior Planner) DDI: (03) 372 2285 E: [email protected] AND

Dean Chrystal (Director) DDI: (03) 372 2280 E: [email protected]

Reviewed By:

Dean Chrystal (Director) DDI: (03) 372 2280 E: [email protected]

Project Number: 13618 Document Status: Final Date: August 2015

The information contained in this document produced by Planz Consultants Ltd is solely for the use of the Client for the purpose for which it has been prepared and Planz Consultants Ltd undertakes no duty to or accepts any responsibility to any third party who may rely upon this document. All rights reserved. No section or element of this document may be removed from this document, reproduced, electronically stored or transmitted in any form without the written permission of Planz Consultants Ltd.

Fonterra Co-operative Ltd August 2015 Expansion of Studholme Milk Processing Site

TABLE OF CONTENTS

VOLUME I: ASSESSMENT OF ENVIRONMENTAL EFFECTS

1.0 OUTLINE OF PROPOSAL – EXECUTIVE SUMMARY 1 1.1 Proposal 1 1.1.1 Stages 1 1.2 Milk Powder Production and Design Features 4 1.2.1 Existing Consents 5 1.3 Description of site 6 1.4 The Surrounding Environment 7

2.0 FRAMEWORK FOR THE REQUIRED RESOURCE CONSENTS 9 2.1 Report Contents 9 2.2 The Applicant 10 2.3 The Application in Brief 10 2.4 The Resource Consents Required 11 2.4.1 Relevant Documents 11 2.4.2 Consent Lapsing Period and Term of Consent 14 2.5 Legal Descriptions associated with the Proposal 14

3.0 THE EXISTING ENVIRONMENT 17 3.1 The Existing Environment 17 3.2 General Location and Context 17 3.3 Existing Land Use Patterns 22 3.4 Surface Flows 23 3.5 Climatic Conditions and Air Quality 25 3.6 Lighting and Glare 27 3.7 Economic Development 27 3.8 Landscape and Visual 28 3.9 Traffic and Roading Environment 28 3.10 Noise 29 3.11 Domestic Wastewater 30 3.12 Cultural, Historical and Archaeological Context 30 3.13 Recreational and Ecological Values 31 3.14 Existing Environment Summary 31 4.0 DETAILED DESCRIPTION OF THE PROPOSAL 34 4.1 Drivers for Development 35 4.2 Development Process 36 4.2.1 Design Process 36 4.3 Project Outline 36 4.3.1 Milk Power Plant Buildings 36 4.3.2 Milk Powder Plant Wastewater 37 4.3.3 Domestic Wastewater 38 4.3.4 Stormwater 38 4.3.5 Lighting 40 4.3.6 Transportation 41 4.3.7 Hazardous Substances 42 4.3.8 Earthworks 42 4.3.9 Signage 44 4.3.10 Landscaping 44 4.3.11 Construction Approach 44 4.4 Main Elements of proposed increased processing capacity of site 45

5.0 ASSESSMENT OF ENVIRONMENTAL EFFECTS 48 5.1 Introduction 48 5.2 Section 104,104B to C – Consideration of Applications 48 5.3 Relevance of Planning Documents 49 5.4 Permitted Baseline 49 5.5 Assessment of Environmental Effects 50 5.5.1 Introduction 50 5.5.2 Positive Effects 51 5.5.3 Economic Effects 51 5.5.4 Landscape and Visual Effects 55 5.5.5 Air Quality 62 5.5.6 Stormwater 68 5.5.7 Domestic Wastewater 72 5.5.8 Glare/Light Spill 74 5.5.9 Traffic Effects 77 5.5.10 Noise Effects 82 5.5.11 Hazardous Substances 85 5.5.12 Cultural and Archaeological Effects 86 5.5.13 Earthworks 88 5.5.14 Overall Conclusion 91 5.6 Consideration of Alternatives 91 5.6.1 Clandeboye Expansion 91 5.6.2 Greenfield Development 92 6.0 POLICY FRAMEWORK 93 6.1 Relevant Planning Documents 93 6.2 Relevance of Planning Documents 93 6.3 Relevant Issues 93 6.3.1 Landscape, Amenity and Rural Character 94 6.3.2 Noise 97 6.3.3 Lighting and Glare 97 6.3.4 Soils, Earthworks and Land Use 98 6.3.5 Air Quality 101 6.3.6 Water Quality (Stormwater and Domestic Wastewater) 105 6.3.7 Transport 110 6.3.8 Storage and Use of Hazardous Substances 112 6.3.9 Overall Summary of Objectives and Policies 114 6.4 Other Matters 114 6.4.1 Other Relevant Documents 114

VOLUME I – APPENDICES

Appendix A List of Studholme Milk Powder Plant principal activities and their compliance status Appendix B Plans and Elevations Appendix C Economic Impacts (Brown, Copeland and Co Ltd) Appendix D Assessment of Landscape and Visual Effects (Andrew Craig Landscape Architects) Appendix E Assessment of Environmental Effects for Discharge of Contaminants to Air (Golder Associates) Appendix F Assessment of Environmental Effects for Discharge of Odour (Golder Associates) Appendix G Assessment of Environmental Effects for Stormwater Discharge (Aurecon) Appendix H Assessment of Environmental Effects for Domestic Wastewater Discharge (Pattle Delamore Partners) Appendix I Assessment of Environmental Effects for Lighting (Aurecon) Appendix J Assessment of Traffic Impacts (Carriageway Consulting) Appendix K Assessment of Environmental Noise Effects (Marshall Day Acoustics)

VOLUME I - FIGURES

Figure 1 Location Plan of Fonterra’s Studholme Milk Processing Plant Figure 2 Location of Wastewater Treatment Plant Figure 3 Photo - Looking north-east across the development site towards Wainono Lagoon Figure 4 Photo - Existing site and Studholme Hotel Figure 5 Photo - Existing dryer Figure 6 Photo - Railway Platform Figure 7 Photo - Looking north-west towards The Hunter Hills

VOLUME I - TABLES

Table 1 Current consents Table 2 Consents required from the Waimate District Council Table 3 Consents required from the Canterbury Regional Council Table 4 Terms sought for various consents Table 5 Studholme Milk Processing Plant Legal Descriptions – Land Ownership and Adjoining Land Table 6 Distance from various aspects of proposal to closest residential dwellings Table 7 Summary of Notable Features of the Existing Environment Table 8 Additional Hazardous Substances Table 9 Main Elements of the proposed increased processing capacity of Studholme Milk Processing site Table 10 Landscape and Visual Mitigation Features Table 11 Summary of proposed emission consent rate caps and limits for individual stack sources Table 12 Air Discharge Mitigation Features Table 13 Stormwater Mitigation Features Table 14 Domestic Wastewater Mitigation Features Table 15 Glare and Light Spill Mitigation Features Table 16 Traffic Mitigation Features Table 17 Noise Mitigation Features Table 18 Hazardous Substances Mitigation Features Table 19 Cultural and Archaeological Mitigation Features Table 20 Earthworks Mitigation Features VOLUME II – OCEAN OUTFALL

VOLUME III – COMBINED REPORTS AND CONCLUSIONS

1.0 CERTIFICATES OF TITLE 1

2.0 CONSULTATION RECORDS 5 2.1 Approach 5 2.2 Consultation Objectives 5 2.3 Consultation Undertaken 6 2.4 Conclusions and Future Consultation Strategy 11

3.0 CULTURAL IMPACT ASSESSMENT 12

4.0 STATUTORY FRAMEWORK 13 4.1 Introduction 13 4.2 The Resource Management Act – Section 104D 13 4.3 Plan Integrity 13 4.4 The Resource Management Act – Part II Matters 14 4.4.1 Section 6 to 8 – Matters of National Importance, ‘Other Matters’ and the Treaty of Waitangi 14 4.2.2 Section 5 – Purpose and Principles 19

5.0 PROPOSED CONDITIONS 20

6.0 CONCLUSION 73 6.1 Proposed Development 73 6.2 Consents Required 73 6.3 Anticipated Effects and Mitigation Measures 75 6.4 Consultation 75 6.5 Overall Conclusions 75

GLOSSARY OF TERMS USED

AAQG means the National Ambient Air Quality Guidelines AEE means Assessment of Environmental Effects AEP means an Annual Exceedance Probability event DA means a Dissolve Air Flotation unit for plant wastewater treatment ECan means the Canterbury Regional Council / Environment Canterbury Fonterra means Fonterra Co-operative Group Ltd FTEs mean fulltime equivalent employees GDP means gross domestic product ha means hectare HSNO means the Hazardous Substances and New Organisms Act 1996 LOS means level of service MBR means a membrane bioreactor system for domestic wastewater treatment MfE means the Ministry for the Environment MW means mega watts NES means National Environmental Standards NRRP means the Canterbury Regional Council Natural Resources Regional Plan NZAA means the New Zealand Archaeological Association Incorporated HPT means the New Zealand Historic Places Trust NZTA means the New Zealand Transport Agency RAAQTs means the Canterbury Regional Ambient Air Quality Targets RLTS means the Canterbury Regional Land Transport Strategy RMA means the Resource Management Act 1991 RPS means the Regional Policy Statement District Plan means the Waimate District Council District Plan SH 1 means the State Highway 1 The Act means the Resource Management Act 1991 The Applicant means Fonterra The site means the Milk Processing Plant area, WWTP area and Ocean Outfall route TRONT means Te Runanga o Ngai Tahu vph means vehicles per hour WDC means the Waimate District Council WHO means the World Health Organisation

Fonterra Limited – Expansion of Studholme Milk Processing Site

1. OUTLINE OF PROPOSAL – EXECUTIVE SUMMARY

Section 1 describes in some detail the proposal and the production and design features and then briefly outlines a description of the ‘site’ (including the offsite wastewater treatment) and the surrounding environment.

1.1 Proposal

Fonterra proposes to advance the strategic expansion of its Studholme Milk Processing site (location shown in Figure 1) by applying for consent to further develop the site and increase its processing capacity over two stages (Stage 1 and Stage 2). The overall proposal will include the addition of two further dryers, with associated discharge stacks, capable of processing approximately 9000m3 of milk per day (4,500m3 each); two additional coal fired boilers which are capable of also burning biomass; new powder drystore buildings, associated rail sidings and loading facilities; a new milk reception and Clean in Place (CIP) facilities, a new tanker wash and the development of a new wastewater treatment plant and associated ocean outfall.

The proposal also includes a new off-site biological waste water treatment plant (WWTP) and expanded stormwater storage pond system. Separate consents are being sought for a pipeline and ocean outfall to discharge the treated wastewater, clean process water and at times stormwater. Further, the development will utilise many of the existing facilities already provided at the plant, albeit in an expanded scale and intensity, including increased rail use and additional vehicle movements.

1.1.1 Stages

Stage 1 of the proposal will include the development of the first of the two dryers (‘S2’), a new boiler, approximately 36,850m2 of drystore building, a new CIP, a new milk reception, expansion of the existing tanker parking area, new road access, the development of rail sidings, a new domestic wastewater disposal system, new stormwater ponds, a new biological treatment plant at the current WWTP and the development of a pipeline and ocean outfall.

Stage 2 of the proposal will include the development of the second new dryer (‘S3’), a further boiler, a further approximately 29,900m2 of drystore building, expansion of the milk reception area, and a new tanker parking area.

Consent for both stages is being sought as part of this application.

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Figure 1: Location Plan of Fonterra’s Studholme Milk Processing Site

The key elements of the full development proposal are:

 The construction of two new 30 tonne per hour dryers with a height of up to 56m and associated discharge stacks (4) 3m above this;  A new powder store building with a total area comprising 66,750m2;  Two additional coal/biomass fired boilers of 65 MW (Stage 1) and 50MW (Stage 2) respectively up to a height of 45m with a single stack height of up to 68m and associated coal handling facilities;  New milk reception and Clean in Place (CIP) facilities;  The recycling of condensate for use in the factory after reverse osmosis treatment;  Two new sealed tanker parking areas;  New rail sidings and loading facilities to enable a seven day a week/24 hour rail operation;  The construction of bunds for noise reduction;  An increase in onsite employees by approximately 50 operations staff for each stage and 66 more tanker drivers for Stage 1 and 75 for Stage 2. The total staff numbers for the completed development will increase from 50 to 150 operational staff and from 15 to 150 tanker drivers;  An increase in total vehicle movements from 162 per day to 529 per day (Stage 1) and ultimately 1237 (Stage 2);  A new access off State Highway 1 for milk tankers opposite Molloys Road;  New landscaping along State Highway 1, Foleys Road and on the noise bunds;  New on site stormwater retention ponds and the realignment of the northern drainage path;  A new sewage disposal system utilising 4000m2 for the disposal field and located on land to the south of Foleys Road;

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 The demolition of a number of existing buildings on the factory site;  An off-site biological wastewater treatment plant (WWTP);  A pipeline and ocean outfall; and  Extensive earthworks associated with the main site (note: a certificate of compliance has been obtained from the Waimate District Council for all earthworks on the milk processing site excluding those identified as HAIL sites or those within 20m of any existing river), the stormwater ponds, the realignment of the northern drainage path, the WWTP and pipeline/ocean outfall.

In total the proposed development incorporates approximately 105,000m2 (10.5ha) of new building area on the milk processing site. When combined with the remaining building area on site (approximately 9,400m2 after demolition) this gives a total of approximately 114,400m2 (11.44ha) of building area on a site of some 32.95ha (see Plans contained within Volume I, Appendix B).

As a part of the proposal there are significant alterations to be made to the vehicle access arrangements of the site. The existing State Highway 1 (SH 1) access point from Packers Road will be closed and a new access created some 500m further to the north opposite Molleys Road. All tanker access to and from the site will be via this new access point onto SH 1. A second access point into the site and to the Studholme Hotel will remain from Foleys Road. All existing public roads into the site off SH 1 and Foleys Road are proposed to be closed. This is the subject of a separate proposal being advanced by Waimate District Council.

The proposal includes the establishment of a biological WWTP to replace the existing treatment plant, an expanded stormwater storage pond, and an associated pipeline and ocean outfall. Details of the latter are shown in Figure 2 and contained in Volume 2. The recycling of condensate through the reverse osmosis treatment will mean that no increase in currently consented water take will be necessary for the expanded plant.

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Milk processing site

Pipeline

WWTP

Figure 2: Location of Wastewater Treatment Plant

1.2 Milk Powder Production and Design Features

The existing Studholme milk processing site at peak processes 900,000 litres of milk per day into milk powder, with the milk drawn from the general Waimate area.

The increased processing capacity at the Studholme Plant of the two new driers will be 9 million litres per day (4.5 million litres each) and will draw milk from a wider catchment area including North Otago and Canterbury. Milk powder produced from the expanded plant will be railed to Port for export, instead of being trucked.

Fonterra considers it necessary to increase the processing capacity at the Studholme milk processing site so as to:

(a) Provide capacity in milk processing plants to meet the expect expansion of milk supply in the South Island; and

(b) To optimise the transport of milk and milk products around the South Island.

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During the peak season, the combined Plant dryers will ultimately be capable of processing approximately 9.9 million litres of milk per day and produce approximately 65.5 tonnes of milk powder per hour (existing Dryer ‘S1’ – 5.5/hr, proposed Dryer ‘S2’ – 30T/hr, proposed Dryer ‘S3’ - 30T/hr).

The increased energy requirements for the expanded Plant are proposed to be provided by two new coal/biomass fired boilers of 65 and 50 megawatts (‘MW’) respectively. The boilers will be used to supply further energy to the Plant and will be capable of operating 24 hours a day, seven days a week during the production season.

Rail will be used to transport product and this factor in conjunction with the increased production results in a new powder store with an area of some 66,750m2 and associated load-out area and rail loops. The old powder store will be converted to a workshop.

In addition to the main features referred to above the building site layout includes associated buildings and ancillary facilities, these include:

 A laboratory;  Tanker workshop;  Tyre bay;  Water tanks and silos;  Coal and biomass storage area  A replacement above ground fuel storage tank capable of holding 50,000 litres of diesel and 20,000 litres of diesel additive;  An expanded chemical storage area;  Training offices and a main office;  Stormwater ponds;  Sewage disposal field;  Car parking; and  Associated signage.

1.2.1 Existing Consents

The existing milk processing site (New Zealand Dairies) was consented in December 2006. The land use consent allowed for the establishment of two driers, however only one was built. The existing dryer is 31m high with its discharge stacks 2.72m above the roof line. The dryer processes 900,000 litres of milk per day at a rate of approximately 5.5t/hr. It has two 15MW coal fired boilers installed but only one is operated at any time. Both boilers are baghouse protected.

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Fonterra Ltd purchased the site out of receivership in 2012 and now holds the land use consent and various discharge consents for both the milk processing plant on site and the nearby wastewater treatment plant. These are set out in Table 1 below:

Table 1: Current Consents

Consent Consent Details Number RM061243 Land Use consent to construct and use new plant including boiler house with 50 metre high stack, dryer building and dry store.

CRC140320 Discharge of contaminants to air from two coal-fired boilers (combined 30 megawatts), a diesel oil- fired boiler, two milk powder driers (5t/hr), a milk powder packing plant, treatment, storage and irrigation of wastewater; and related activities. This consent expires in December 2026.

CRC131833 Discharge of evaporator condensate and stormwater to a wetland and to Waimate Creek at or about map reference NZMS 260 J40:6234-0619 at Hannaton Road. The rate of discharge from the wetland shall not exceed 30 litres per second and 2,600 cubic meters per day. This consent expires in 2026.

CRC131835 Discharge up to 6,000m3/day of condensate and wastewater to land owned by a third party between Waimate Highway and Hannaton Road. This consent expires in 2026.

CRC131344 To take and use water from two bores at a rate not exceeding 30 litres per second, with a combined volume not exceeding 17,500m3 in any period of seven consecutive day, and 400,000m3 between 1st July and the following 30th June. Water shall be used only for the processing of milk, processing plant cleaning, ancillary plant and equipment cleaning and factory service requirements, dilution of wastewater, and firefighting capability. This consent expires in December 2038

CRC131345 Discharge human wastewater from the Studholme Hotel at 3m3/day. This consent expires in 2041. Note: the existing factory operates as an existing permitted activity with a septic tank.

1.3 Description of the Site

The Studholme milk processing site is located at Studholme on SH 1 approximately 6.0 kilometres to the east of Waimate township. Apart from the dryer and boilers referred to above the existing plant site contains, a drystore, administration offices, milk reception and CIP, underground diesel tank, tanker parking area, staff and visitor parking, DAF treatment plant, grain store and a hotel. Security fencing surrounds the outer edges of the plant and there are two free standing signs advertising the Studholme Hotel at the Packers and Foleys Road intersections.

The current plant site area occupies approximately 13ha. The Plant operates on a 24 hour 7 day a week basis throughout the dairy season.

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The existing plant site is broken up by a number of public roads both formed and unformed. These roads, including Parkers Road which intersects with SH1, are proposed to be closed which is the subject of a separate process being advanced by Waimate District Council.

The main site is also broken into a number of titles (see Volume III, Section 1) all of which are now in the ownership of Fonterra apart from four 1012m2 rurally zoned but residential size sections off Foleys Road which were associated with a former residential subdivision. The ownership of these lots is unconfirmed and Fonterra are currently in the process of applying to take ownership of these sections through vacant possession proceedings. None of these four sections have been included as part of the development site. Within the existing developed area is the Studholme Hotel which is owned by Fonterra and is proposed to be retained.

The existing site is essentially contained on three sides by roads and rail. The remainder of the main site which will contain the new building development is undulating rural farmland containing five dwellings (3 north of the existing site and 2 south on the opposite side of Foleys Road) and other farm buildings. These are all owned by Fonterra and the three to the north and associated buildings will be removed as part of the development. Land owned by Fonterra across Foleys Road which forms part of the overall site will be utilised for stormwater retention and domestic wastewater treatment and disposal.

The existing WWTP is situated some 1000m south of the main site and is connected via an existing pipe network. The facility contains stormwater ponds (at the Hannaton Road end), a wastewater treatment system (aerators) and associated ponds (at the railway end of the site) and a storage shed situated approximately 250m from Hannaton Road.

Fonterra has several third party farms consented to irrigate treated wastewater on but only two are currently utilised. One is located south of the current Hannaton Road WWTP area and the other north of the milk processing site, adjacent to Wainono lagoon. It is proposed to deal with all additional wastewater via an ocean outfall as part of this proposal which is detailed as part of Volume II. The existing third party irrigation farm consents will remain and it is proposed to continue to supply treated wastewater to the exiting farms but not increase the size of the irrigation network. The irrigation farms are surrounded by other rural properties.

1.4 The Surrounding Environment

Aside from the existing milk processing site the Studholme area is essentially rural in its characteristics. There are a number of farm dwellings located in the surrounding area the closest of which to the main site not owned by Fonterra is the ‘Bleeker dwelling’ to the east across the railway line which is some 420m from the site boundary and 320m from the rail corridor. In terms of the WWTP site the closest existing dwelling is on the east side of Hannaton Road approximately 150m from its boundary.

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There is an electricity substation (the ‘Studholme Substation’) located on the corner of Foleys and Hannaton Roads which is designated and associated transmission lines run down both Hannaton (High Voltage Electricity Lines) and Foleys Roads.

Immediately to the east of the Plant the Main South Railway Line passes through the area. The railway line is contained within a designation for ‘railway purposes’ and in this location includes a particularly wide designated area due to its former use as the juncture with the now defunct and removed Waimate Branch line.

The Waimate Stream passes along the north side of the WWTP continuing to the south of Meyers Road and ultimately into the Waihao Arm.

The existing plant is approximately 3.4 km from the coast to the east and 2.4 km from the internationally significant Wainono Lagoon to the north.

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2. FRAMEWORK FOR THE REQUIRED RESOURCE CONSENTS

A number of resource consents are required for the proposed expansion of the Studholme milk processing site. This section describes the structure of this Assessment of Effects (‘AEE’) as it relates to the consent applications, provides some detail on Fonterra, and identifies the consents which are being sought.

2.1 Report Contents

An outline of the framework of the AEE’s structure is presented below.

Volume I: Studholme Milk Processing Site and WWTP Volume II: Pipeline and Ocean Outfall Assessment of Environmental Effects Assessment of Environment Effects

Section 1: Outline of Proposal – Executive Summary

Section 2: Identifies the resource consents that are being sought Volume III: Section 1: Certificates of Title Section 3: Describes the relevant environmental values of the surrounding Section 2: Outlines the consultation environment undertaken

Section 3: Cultural Impact Assessment Section 4: Provides a detailed description of the project Section 4: Overall Statutory Assessment – Part II of the Act Section 5: Describes the actual/potential environmental effects of the Section 5: Outlines the proposed project and assesses the proposal against the relevant planning documents monitoring and proposed conditions

Section 6: Overall Conclusions Section 6: Assesses the proposal against the relevant planning policy framework

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Appendix A to the AEE (Volume I) lists the principle activities and their compliance in the context of the relevant planning documents and statutory frameworks. The technical reports referred to within this AEE are contained (in full) within Volume I.

2.2 The Applicant

Fonterra is New Zealand’s largest company, and is the largest dairy exporter to the global open market. Fonterra is responsible for 25% of New Zealand’s total exports by value. Each year 15 billion litres of milk are processed at 26 processing sites throughout New Zealand, employing approximately 6250 people and earning $20 billion in annual revenues. The company is co-operatively owned by 10,500 shareholders, who comprise a mix of family owned farms and corporate entities.

The South Island is a developing dairy area and as a result milk growth is consistent at approximately 3% per annum and this rate of growth is expected to continue in the future. The proposed increased processing capacity at the site will not only provide additional capacity for the processing of milk from the local catchment (i.e. Waimate area), but will also enable more efficient processing of milk throughout the South Island.

2.3 The Application in Brief

Fonterra Ltd is seeking resource consent to allow for increased processing capacity at the Studholme milk processing site at Studholme east of Waimate. The proposal, to be built in two stages, is to include two additional dryers capable of processing approximately 4.5 million litres of milk per dryer each day each, two additional boilers, a new drystore, new WWTP and ocean outfall, the use rail and additional vehicle movements.

The key elements of the proposal are the construction of two new dryers with a height of up to 56 metres and associated discharge stacks; a new 66,750m2 dry goods store, new milk reception and CIP facilities, two additional coal/biomass fired boilers, stormwater storage ponds, a biologically treated wastewater treatment system, storage pond, pipeline and ocean outfall. These latter two elements are contained in Volume II of the application.

As a part of the overall proposal a number of improvements will be made to existing on site and off site facilities resulting in improved environmental outcomes in terms of improved storm water quality and drainage, improved vehicle access and improved wastewater treatment.

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2.4 The Resource Consents Required

2.4.1 Relevant Documents

The relevant resource management documents are:

National

 National Policy Statement for Freshwater Management 2014  National Environmental Standards for Air Quality 2004  National Ambient Air Quality Guidelines  National Environmental Standards for Assessing and Managing Contaminants in Soil to Protect Human Health 2011

Waimate District Council

 The Operative Waimate District Plan

Canterbury Regional Council (ECan)

 The Regional Policy Statement  Proposed Land and Water Regional Plan  Natural Resources Regional Plan  Proposed Canterbury Air Regional Plan  Regional Land Transport Strategy

Iwi Documents

 Ngai Tahu - Freshwater Policy  Ngai Tahu - Hazardous Substances and New Organisms – Policy Statement 2008  Te Runanga o Arowhenua – Iwi Management Plan of Kati Huirapa – Arowhenua – Rakaia – Waitaki – July 1992

The rules of the relevant regional and district planning documents have been analysed to determine the resource consent requirements for the proposed development. This assessment is contained in Appendix A of Volume I and Section 2.4 of the AEE contained within Volume II. The following assessment deals with the aspects covered in Volume I, namely development on the main site and the WWTP site.

As a result of this assessment, Tables 2 and 3 below briefly identify the applications which are required for the principle activities associated with the construction and operation of the expansion to the Studholme Milk Processing site and WWTP.

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Table 2 - Consents required from the Waimate District Council (Zoning Business 3 and Rural)

Main Consent Required Additional Aspects Requiring Consent

District Plan

A land use consent (s9) to expand the  To undertake Industrial activities in a Rural zone (milk Studholme milk processing site and to processing site and WWTP). establish a biological Wastewater  To construct buildings of a height greater than 10m Treatment Plant within a Business 3 and Rural Zone (milk processing site).  To construct (coal and biomass building – Dryer 2 services) buildings within 6 metres of a road on Business 3 zoned land (milk processing site).  To construct a new access from State Highway 1 (milk processing site).  To establish landscaping on–site and along the external site boundaries but not along the internal road boundaries (milk processing site).  To undertake in excess of 20 heavy vehicle movements per day (milk processing site).  To provide car and cycle parking on-site that is less than the minimum Industrial parking standard within the Plan (milk processing site).  To provide for queuing spaces, access widths and access locations that do not meet the permitted standards of the Plan (milk processing site).  To store Hazardous Substances on-site that exceed meet the permitted Plan limits (milk processing site).  To install a 4.5m2 free standing sign at the site access and provide for Fonterra logos of 24m2 on proposed Dryer 2 and 3 (north and south facing elevations).

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Table 3 - Consents required from the Canterbury Regional Council

Main Consent Required Additional Aspects Requiring Consent

Regional Air Plan, Natural Resources Regional Plan, Land and Water Regional Plan

Land use (s9)  To undertake earthworks (WWTP site and Milk Processing site) greater than 100m3 and within 50m of a watercourse associated with the excavation of stormwater ponds, site levelling, construction of earth bunds and construction of a swale.

Works within the bed of a river (s13)  To undertake earthworks within a watercourse, including two existing culverts, and its riparian margins to reclaim the northern surface water flow catchment and divert flows into a new swale through the northern portion of the milk processing site (s13).

Diversion of water (s14)  To divert northern catchment surface water through a proposed swale across the northern portion of the site.

Discharge to air (s15)  To discharge contaminants to the air from the production of milk powders and the burning of fuel (coal or biomass).  To discharge contaminants into the air (odour) from a new wastewater biological treatment plant.

Discharge to land (s15)  To discharge stormwater from storage ponds directly to land (seepage).

 To discharge stormwater from the site (southern pond) to land (land immediately east of the pond) during extreme rainfall events.  To discharge treated sewage to land via treatment system.

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Discharge to water (s15)  To discharge excess stormwater from the site to water (northern swale) during extreme rainfall events.  To temporarily discharge stormwater to Waimate Creek during extreme rainfall events prior to the completion of the ocean outfall.

2.4.2 Consent Lapsing Period and Term of Consents

Under Section 125 of the RMA, a resource consent lapses five years after its date of commencement unless:

(i) it has been given effect to before the end of the period; or (ii) the resource consent expressly provides for a longer lapsing period.

A lapsing period of 10 years is requested to enable Fonterra sufficient flexibility to construct the expansion over two stages. It also recognises that the scale of a development such as this is not typical and therefore an increased lapsing period is necessary.

Table 4 below identifies the maximum durations permitted by the RMA (Section 123), and the associated term of consent being sought for the resource consents associated with the Studholme milk processing site.

Table 4 - Terms sought for various consents

Type of Consent Maximum Duration under s123 Consent Term being sought of the RMA Land Use and Diversion of Unlimited Unlimited Water Consents (s9, s13, s14)

Air Discharge Consents 35 years 35 years from the date of consent (s15) Discharge Consents ( s15) 35 years 35 years from the date of consent

2.5 Legal Descriptions Associated with the Proposal

The legal descriptions of the land subject to this application and adjoining the length of the pipeline are identified in Table 5 below. The Certificates of Title for these properties are contained in Appendix B of Volume I.

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Table 5 – Studholme Milk Processing Plant Legal Descriptions – Land ownership and Adjoining Land Legal Description Title Reference No Area Lot 7 DP 2644 288131 4.3048 Lot 8 DP 2644 288132 4.2694 Pt Lot 9 DP 2644 0.3592 Lot 1 DP 4884 25K/545 4.0469 Lot 1 DP 348175 197747 11.7970 Pt Lot 3 DP 1448 24B/960 1.6187 Lot 1 DP 63598 44B/688 0.3370 Lot 1 DP 77238 0.0835 Lot 2 DP 348175 197748 0.1738 Pt RS 9664 0.1012 Lot 1 DP 616 CB23F/449 0.0961 RS 38730 CB26B/354 0.0954 Lot 2 DP 616 23F/452 0.0936 Lot 3 DP 616 0.0885 Lot 4 DP 616 17A/490 0.0582 Lot 5 DP 616 511/220 0.0506 Lot 6 DP 616 511/219 0.0455 Lot 7 DP 616 24B/959 0.1189 RS 39670 8F/543 0.0546 RS 41553 24B/498 0.0787 Lot 8 DP 616 174/44 0.0860 Lot 9 DP 616 0.0986 Lot 10 DP 616 149/284 0.0759 Lot 11 DP 616 206/148 0.0481 Lot 12 DP 616 176/198 0.0455 Lot 13 DP 616 0.0455 Lot 14 DP 616 0.0455 Lot 15 DP 616 19F/1024 0.0607 Lot 16 DP 616 0.0607 Lot 17 DP 616 334/118 0.0961 Lot 18 DP 616 0.0961 Lot 19 DP 616 426/65 0.0961 Lot 23 DP 616 427/9 0.0683 Lot 24 DP 616 0.0961 Lot 25 DP 616 536/295 0.0961 Pt Lot 26 DP 616 0.0304 Pt Lot 26 DP 616 198/126 0.0632 Pt RS 9664 76/75 9.6872 Lot 27 DP 616 0.0986 Lot 28 DP 616 0.1012 Lot 29 DP 616 32B/30 0.1012 Lot 30 DP 616 0.0733 RS 39671 0.0637 Section 1 SO 20268 0.1839 Lot 20 DP 616 0.0961 Lot 21 DP 616 0.0961 Lot 22 DP 616 0.1062 Lot 31 DP 616 0.1138 Lot 32 DP 616 0.1012 Lot 33 DP 616 0.1012 Lot 34 DP 616 0.1012

Lot 35 DP 616 0.1012

Lot 36 DP 616 0.1012 99227 Lot 37 DP 616 0.1012 Lot 38 DP 616 0.1012 Lot 39 DP 616 0.1012 Lot 40 DP 616 0.1012 Lot 41 DP 616 0.1012 Lot 42 DP 616 0.1138 Lot 51 DP 616 0.1138

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Lot 52 DP 616 0.1012 Lot 53 DP 616 0.1012 Lot 54 DP 616 0.1012 Lot 55 DP 616 0.1012 Lot 56 DP 616 0.1012 Lot 57 DP 616 0.1012 Lot 58 DP 616 0.1012 Lot 59 DP 616 0.1012 Lot 60 DP 616 0.1012 Lot 1 DP 28626 0.2476 Lot 43 DP 616 32B/28 0.0733 Lot 44 DP 616 0.1012 Lot 45 DP 616 100/200 0.1012 Lot 46 DP 616 0.0986 Lot 47 DP 616 0.0961 Lot 48 DP 616 32B/60 0.1012 Lot 49 DP 616 0.1012 Lot 50 DP 616 0.0733 Lot 61 DP 616 32B/31 0.1012 Lot 62 DP 616 32B/34 0.1138 Lot 63 DP 616 32B/33 0.0733 Lot 64 DP 616 32B/29 0.1012 Lot 65 DP 616 81/47 0.1012 Lot 66 DP 616 32B/32 0.0936 Lot 11 DP 2644 20F/1477 3.8951 Lot 1 DP 51114 30A/1305 0.8860 Lot 2 DP 51114 30A/1306 1.7740 Pt Lot 4 DP 1223 20F/595 26.9647 Lot 1 DP 3013 CB263/246 0.0597 Lot 2 DP 3013 CB263/229 0.0559 Lot 14 DP 1262 CB22A/1213 26.83 Lot 1 DP 67696 CB39C/672 0.4046 Pt Lot 17 DP 1262 CB39C/674 32.8302 Pt Lot 18 DP 1314 Pt Lot 19 DP 1314 CB11A/347 41.9254 Lot 4 DP 20646 0.4148 Lot 5 DP 20646 CB811/42 0.1366 Lot 6 DP 20646 1.5024 Res3838 n/a 0.6070 Pt Lot 8 DP 1314 CB21A/524 13.8603 Lot 2 DP 20646 CB811/42 20.4746 Lot 3 DP 20646 9.1257 Lot 10A DP 1262 CB21B/1303 22.3108 Pt Lot 12 DP 1262 CB23A/1046 22.6245 Pt Lot 12 DP 1262 CB23A/1047 22.6270 Lot 1 DP 20646 CB823/66 30.6347

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3. The Existing Environment

3.1 The Existing Environment

Section 88(2)(b) of the RMA states that an application for resource consent must include an Assessment of Environmental Effects (‘AEE’) carried out in accordance with Schedule 4 of the Act. It also specifies that the AEE must correspond with the scale and significance of the actual and potential effects that the activity may have on the environment.

In considering resource consent applications, Section 104 of the RMA outlines the various matters that consent authorities must consider. Section 104(1)(a) requires that the actual and potential effects of the activity are considered. This requires the consideration of the nature of the existing environment within which the proposed activity will take place and the permitted and/or consented activities within this environment. This includes consideration of the consented activities that may be undertaken on the site in association with the existing facilities.

Sections 3.2 to 3.9 of this document describe the environment as it currently exists.

3.2 General Location and Context

Fonterra’s Studholme milk processing site is located approximately 6.0 kilometres to the east of Waimate township on State Highway 1. The milk processing site once formed the settlement of ‘Studholme Junction’ where the Waimate Branch railway line met the . It contained amongst other things a sawmill, grain store, railway station, a number of commercial premises, residential dwellings, sheep and cattle yards and a sheep dip. Aside from the Studholme Hotel all these features have been gone for many years.

The site has been used primarily for manufacturing since at least 1993. Prior to becoming a dairy factory in 2006 it was used for the processing of vegetables for which consents to discharge to land, water and air and to take and use ground water were granted.

The main site is dissected by a number public roads (both formed and unformed) and vacant quarter acre lots which relate to the former township. It now contains a dryer, two boilers, a drystore, administration offices, milk reception and CIP, underground diesel tank, tanker parking area, staff and visitor parking, DAF treatment plant, coal handling facility, old grain store, and the hotel.

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The area in which the majority of the development expansion will take place is rural farmland positioned between SH1 and the railway line. It contains three existing dwellings and associated farm buildings and shelter belts particularly along the state highway frontage. The land is predominantly zoned Business 3 with the remainder zoned Rural. The area of a former sheep dip located in this area near the Packers Road/SH1 corner has been the subject of contamination investigations and will be remediated prior to the development of the site.

Land to the south of Foleys Road which forms part of the site to be utilised for stormwater retention and human wastewater treatment and disposal is also Rural zoned. This land presently contains two houses and associated buildings and grazing land.

The WWTP site is located approximately 1000m to the south east of the main plant site on Hannaton Road and is zoned Rural. It contains existing wastewater ponds with aeration plant along with stormwater ponds and a small utility shed.

Some of the features referred to above are shown in the following photographs.

Figure 3 – Looking north-east across the development site towards Wainono Lagoon

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Figure 4 – Existing site and Studholme Hotel

Figure 5 – Existing dryer

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Figure 6 – Railway Platform

At peak the plant processes to 900,000 litres of milk per day into milk powder with the majority of the milk being from the North Otago and South Canterbury area. The site primarily operates between August and June each season although is also known to process milk through winter. The site employs 50 operational staff and 15 tanker drivers.

The surrounding area includes a sparse number of residential dwellings within the rural environment and the Studholme Hotel which is on the site. Table 6 below provides distances from various aspects of the proposed development to dwelling houses in the near vicinity which are not in the ownership of Fonterra.

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Table 6 – Distance from various aspects of proposal to closest residential dwellings

(a) Aspect of proposed new (b) Location of dwelling not Approx Distance between (a) development owned by Fonterra and (b) (metres) Dryers 89 Foleys Road 700m Rail Siding 89 Foleys Road 580m Boilers 89 Foleys Road 450m Dry store 89 Foleys Road 560m Dryers 526 Hannaton Road 1200m Rail Siding 526 Hannaton Road 940m Boilers 526 Hannaton Road 1200m Dry store 526 Hannaton Road 1000m Dryers 483 Molloys Road 880m Boilers 483 Molloys Road 1100m Dry store 483 Molloys Road 1030m CIP 483 Molloys Road 800m Wastewater treatment plant and 322 Hannaton Road 600m storage pond

There is no significant native vegetation in the immediate vicinity of the application site. However, within a 2.5km radius of the site there are two outstanding natural landscapes (ONL).

The Wainono Lagoon ONL is located approximately 1.5km east of the edge of the proposed development site. The lagoon is the only substantial coastal lake and mudflat between Lake Ellesmere and the Tairi Valley, is the second largest wetland on the Canterbury Plains, and is a wetland of international importance under the RAMSAR Wetland Convention. It is a complex interaction of groundwater, lagoon inflows and outflows, river flows, and coastal processes. The natural mouth of the lagoon and the Waihao River (an ONL) is artificially maintained at the coast further south by the Waihao Box (also and ONL) and flows can extend up to the lagoon. The lagoon consists of flax swamp, rush and sedge swamp, succulent herb swamp and mudflats. It is an important habitat for a number bird species, including the threatened white heron/kotuku, royal spoonbill, wrybill/ngutupare, and other species such as grey teal and pied stilt and is a habitat for a range of native fish species, an inanga spawning ground and Maori eel fishing area. Wainono Lagoon has high tāngata whenua landscape values and is an important mahinga kai area for tāngata whenua.

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The Waituna Stream is also indicated as an ONL within the District Plan (but shown as an Outstanding Natural Feature on the planning maps) due to it containing a population of Canterbury mudfish. The stream passes within 1.2km of the northern edge of the development site however it is unclear due to the incorrect notation on the planning map whether this part of the stream actually forms part of the ONL or whether this is limited to the mudfish population location identified (the mudfish are understood to be located approximately 2.15km north-west of the application site and indicated as Significant Natural Feature number 27 on Planning Map 22).

The Waimate Stream runs along the northern side of the WWTP and continues to the south of Meyers Road before discharging into the Waihao Arm. The stream is often dry through the area adjoining the WWTP during the summer months.

Infrastructure in the area surrounding the main site and WWTP comprises various roads and bridges, the aforementioned railway line, transmission lines and a substation.

There are three designations in relatively close proximity to the main milk processing site. The closest are the adjoining SH 1 and railway line, followed by the aforementioned electricity substation on the corner of Foleys and Hannaton Roads. Two further designations, a Waimate Water Supply Bore to the south-west on Mitchells Road and a recreation ground to the south, are situated some 2.6kms and 1.8kms away from the main site respectively.

3.3 Existing Land Use Patterns

With the landscape setting of the receiving environment being predominately rural, characterised by abundant open space dominated by greenery, normal features associated with a working rural environment are in evidence on the land surrounding the main site. These include fencing, shelterbelts and farm tracks. Buildings and other physical features, such as roads and transmission lines are also present in the surrounding landscape.

The existing milk processing site totals approximately 13 hectares and contains both developing and mature trees primarily on the southern and western boundaries. In places mature shrubbery also occurs in association with existing dwellings, however the majority of the site is open and demarcated by post and wire fencing. The site is contained on the eastern boundary by the Main South Railway Line and western boundary by SH 1.

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The farmland surrounding the application site is generally extensive where buildings are relatively sparse. Smaller rural lots such as those associated with lifestyle blocks do not appear to be particularly common in this area. Because most land uses are devoted to productive pastoral farming rather than other activities such as horticulture, the landscape appears reasonably uniform in character.

The only other significant land use within the receiving environment is the Waimate Township which is located some 6 kilometres to the west of the building site.

Overall the landscape of the immediate receiving environment primarily reflects rural production. The most significant natural feature is the Wainono Lagoon to the north and the Waihao River to the south. The underlying landform is also largely intact having not undergone any major earthworks apart from that associated with roading.

Further afield the Hunter Hills, including Mt Studholme provide a backdrop to the west. These are some 13 or more kilometres from the site.

Figure 7 – Looking north-west towards The Hunter Hills

3.4 Surface Flows

3.4.1 Regional and Local Drainage Characteristics

Surface water flows are addressed as part of the report prepared by Aurecon contained within Volume I, Appendix G.

The primary regional drainage characteristics in the vicinity of the proposed development include the following:

 Pacific Ocean;

 Wainono Lagoon;

 Waihao River;

 Waimate Creek; and

 Waihao Arm.

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The catchment area draining to Wainono Lagoon is approximately 252 km2. The lagoon has a surface area of 4.3 km2 and volume of 2.6 million m3 at a water level of 1.2 (with respect to mean sea level at Lyttelton, NIWA, 2002). Wainono Lagoon is an environmentally and culturally significant wetland, and a water body of national importance.

The Waimate Creek catchment area is approximately 82 km2. The headwaters are located in the Hunter Hills, and the creek passes south of the Waimate township before flowing east towards the Waihao Arm. Between the base of the hills to the confluence with Waihao Arm, the creek is in a ‘losing’ reach and does not flow permanently, and during low flows the losing reach is dry for extended periods. The Waimate Creek passes under SH1 to the south of the milk processing site and then passes under the railway line adjoining the WWTP.

The catchment area surrounding the milk processing site consists of farmland used primarily for grazing and cropping. As a result, smaller drainage channels have been significantly modified. An unnamed ephemeral water catchment traverses the northern tip of the development site having passed under SH1 via three modified drains/culverts. A generic north-easterly flow path exists through the site via a drainage path that is not well defined or visually apparent before the watercourse passes under a bridge in the main south railway line. During high rainfall surface water has been known to pond in this location. East of the rail line, this runoff travels in an easterly direction via a man-made drainage channel.

At the WWTP site, the elevation falls in an easterly direction. The ponds are staged and are connected in series. Waimate Creek is located approximately 50 m to 100 m north of the ponds.

3.4.2 Stormwater Management

The current Studholme Manufacturing Plant stormwater catchment consists of roofs, hardstand areas (including roads) and permeable grassed areas. Stormwater runoff from the roofs and hardstand areas is collected and conveyed to a grassed stormwater pond near Foleys Road. The pond has a capacity of approximately 1,200m3. Currently, any stormwater collected in the pond is pumped at an estimated rate of 40 l/s via a pipe network to a pond at Hannaton Road. This water can then be either mixed with treated waste water for disposal via irrigation, or discharged to Waimate Creek through the consented discharge at up to 30 l/s (2,600m3/d).

An existing stormwater discharge point to Waimate Creek is located near the Hannaton Road Bridge. Having passed under this bridge the creek flows to the south of Meyers Road towards the Waihao Arm. From the Hannaton Road Bridge the stream contains stopbanks (as indicated on the District Plan Map D) on both sides. North of the bridge the stopbank is on the north side of the stream only i.e. the far side of the creek from the WWTP.

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The local topography at the factory site is relatively flat with natural ground elevations ranging from approximately 8m to 14m. At the Hannaton Road site they range from approximately 8m to 13m.

The drain on the northern part of the site captures runoff from the upstream catchment to the west of the factory site. The runoff is directed under State Highway 1 via three culverts into the northern portion of the proposed development site. It then flows eastwards spreading across the site via an overland flow (the Northern Drainage Path). There is no defined drainage channel apparent (although it appears in the NRRP planning maps as a “river”). The development site itself and the overland flow drain in a north-easterly direction towards rail bridge MSL132 at the north-eastern corner of the site. East of the rail line, runoff travels in an easterly direction via a man-made drainage channel. It is likely that larger flows break out from this channel and flow north-easterly via an overland flow to an unnamed tributary of Waihao Arm.

At the Hannaton Road site, the elevation falls in an easterly direction. The existing ponds are staged and are connected in series. Waimate Creek is located approximately 50m to 100m north of the ponds.

3.5 Climatic Conditions and Air Quality

An assessment of the climatic conditions and air quality of the site has been undertaken by Golder Associates as part of the investigations for the proposed expansion of the Studholme milk processing site. This assessment is contained in Volume I, Appendix E. A summary of the existing environment is provided below.

3.5.1 Dryers

Existing Dryer 1 has a roof height of 31 m above the ground, and the two vertical exhausts discharge stacks are 2.72 m above the roof of the dryer (33.72 m above ground level). Dryer 1 has two exhaust vents which give rise to relatively large, moderately hot and humid air exhaust streams. Milk powder dryers generate particulate matter emissions, in the form of residual milk powder from the dryer emission control system. The emission control system for Dryer 1 is comprised of cyclones and bag filters.

Dryer 1 has a combined Total Suspended Particulate (TSP) mass emission rate limit of 1.45 kg/h (0.725 kg/h per discharge vent) and a TSP emission concentration limit of 25 mg/m³ dry STP. In practice the mass emission limit (consent limit) is stricter than the emission concentration limit. However, Fonterra proposes to retain an individual exhaust in-stack concentration limit of 25 mg/m³ dry Standard Temperature and Pressure (STP) for Dryer 1 to allow for instances where one of the dryer exhausts occasionally discharges above the usual operating level. A PM10 mass emission rate of 0.653 kg/h for each discharge vent has also been calculated for Dryer 1.

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3.5.2 Boilers

Existing Boilers 1 and 2 are coal fired. Particulate emissions from the two boilers are treated using a baghouse. The existing Total Suspended Particulate (TSP) consent limit for the existing boiler stack requires that it achieves a concentration of 85 mg/m³ dry STP corrected to 12 % CO2 and a mass emission rate of 7.41 kg/h. However, as part of the site expansion project, it is proposed that the discharge from the existing boiler stack will achieve a TSP concentration of 50 mg/m³ dry STP corrected to 12 % CO2 and a mass emission rate of 1.31 kg/h. Assuming 90 % of the TSP discharge is in the PM10 (fine particulate matter less than 10 microns in diameter) size fraction, which is typical for a baghouse, the PM10 mass emission rate will be 1.18 kg/hr.

The emission rate for Sulfur Dioxide (SO2) has been assessed as 39.3 kg/h from a coal burning rate of 2.78 t/h.

Nitrogen Dioxide (NOX) discharged from a coal-fired boiler is largely composed of nitric oxide (NO) and to a lesser degree the more toxic nitrogen dioxide (NO2), with NO2 comprising approximately 10 % of total NOX at the discharge point. The total NOX emission rate from the boiler when fired with coal under maximum burn conditions has been estimated as 10.4 kg/h.

3.5.3 Other Air Discharge Sources

Other potential air discharge sources at the site include:

 Odour emissions can occur from several processes at the milk processing site. Site processes typically give rise to a small amount of low intensity odour emission, having a neutral character ‘tangy milk’ product odour. This odour is generally only noticeable in and around the processing facility.

 Dust emissions from sites of this type can arise as a result of poor product storage and handling, and vehicle movements on unsealed areas (no unsealed roads proposed in this application). Dust can also occur from the handling of coal. Less frequently, dust deposition beyond the site boundary can result from a failure of a dryer baghouse.

 The operation of cooling towers or evaporative condensers gives rise to discharges of steam, water droplets and water vapour.

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3.6 Lighting and Glare

A Lighting Design Report prepared by Aurecon is contained within Appendix I of Volume I. The milk processing is currently illuminated at night primarily with pole mounted lighting around the milk reception area and at low levels around the remainder of the site. Beyond the site there are small sources of lighting associated with nearby rural dwellings. Overall, the existing night sky appearance is reasonably dark.

3.7 Economic Environment

An Economic Impact Assessment prepared by Brown, Copeland & Co Ltd has been undertaken as part of the investigations for this application. This assessment is contained in Appendix C of Volume I. Section 4 of the Economic Impact Assessment provides a broad background to the local economy. This information is summarised in the following paragraphs.

Fonterra’s Studholme plant suppliers are largely located in South Canterbury and North Otago. Unlike in the North Island’s more mature dairy areas, milk supply growth in South Island dairy areas is averaging around 4-5% per annum and this rate of growth is expected to continue in the future. Fonterra commenced operations at its Studholme site in 2012 when it bought the site and existing plant out of receivership. The plant currently produces approximately 30,000 tonnes of whole milk powder each year. The powder is currently transported to 3rd party stores where it is packed into containers and taken to the Port of Lyttelton for export.

Employment data highlights the dependence of the Waimate District on the agriculture sector. Taken together dairy cattle farming and dairy product manufacture directly account for 26.5% of total employment in the District. With the inclusion of the flow on, or “multiplier” effects, the dairy sector accounts for around 39.8% of total employment in the District.

Other important employment sectors in the District are construction (180 jobs or 7.3% of the total), education and training (170 jobs or 6.9% of the total), retail trade (150 jobs or 6.1% of the total), and health care and social assistance (120 jobs or 4.9% of the total). However these service sectors are to a large extent “driven” by the economic activity generated by the so called “economic drivers” of the District – i.e. agriculture and agricultural product processing, with dairy farming and dairy products manufacturing being the most important.

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3.8 Landscape and Visual

Andrew Craig Landscape Architects Limited has undertaken a Landscape and Visual Assessment of the proposal. This assessment is contained in Volume I, Appendix D. An outline of the visual and landscape environment is provided below.

The immediate environment is clearly dominated by the existing dairy plant and supporting infrastructure. As a result the south quarter of the site is a highly modified environment, while the remainder to the north is comparatively much less so. Consequently the site occupied by the existing plant does not display very much in the way of natural character notwithstanding the presence of green open space and some trees.

The WWTP comprises the existing waste water treatment and stormwater ponds. The ponds are contained by low earth bunding which are grassed. Other scrubby low growing riparian type vegetation grows within the pond basins. Overall, the WWTP site has the appearance of rural pastureland, particularly when viewed from Hannaton Road.

The wider area incorporates a range of landforms and landscape features or elements. Inland from the site the landform becomes increasingly hilly culminating in the Hunters Hills which backdrop Waimate and the small coastal plain in which it is located. Three kilometres towards the coast, the most significant natural feature is the Wainono Lagoon (recognised as an Outstanding Natural Landscape) and the coastal environment generally (part of which is recognised as an Area of Significant Natural Value).

While water courses are common in the area, none are especially large or prominent. There are no watercourses in the immediate vicinity of the main application site aside from an ephemeral water catchment near the very northern portion of the site.

Overall, the application site is firmly placed in a rural setting and naturalness of the overall receiving landscape environment ranges from moderate to moderately low.

3.9 Traffic and Roading Environment

A Traffic Assessment has been undertaken by Carriageway Consultants as a part of the investigations for the application. This assessment is contained in Volume I, Appendix J. A summary description of the existing road network is provided below.

The Studholme milk processing plant lies immediately east of State Highway 1 (known in this location as Waimate Highway) and north of Foleys Road, a Local Road under the Plan. Unusually, there is also a small network of formed district roads within the plant site itself. Due to the pattern of development, these do not provide access to private properties but only to allotments owned by Fonterra which includes the Studholme Hotel. The Main South Railway Line lies to the east of the plant.

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State Highway 1 has a straight horizontal alignment in this location and is subject to a 100km/h speed limit. On the western side of the state highway is a swale and a row of power poles that are set back approximately 5m from the closest edge of the northbound traffic lane. There is also a swale on the eastern side of the carriageway, but particularly noticeable is that there is a grassed verge of some 17m width directly at the plant frontage.

Foleys Road runs along the southern boundary of the plant. It has a flat and straight alignment, with a faded centreline but no edgeline markings. The seal width is 6m and on both sides of the carriageway are 8m wide grassed verges and swales. Foleys Road is subject to a 100km/h speed limit and meets State Highway 1 at the south-western corner of the Studholme site. The intersection is ‘Stop’ controlled, with traffic on the state highway having priority. There is a railway level crossing on Foleys Road at the south- eastern corner of the site, which is equipped with flashing light and bells, and half-arm barriers.

Packers Road runs parallel to Foleys Road, approximately 240m to the north. It has a flat and straight alignment and is subject to a 50km/h speed limit. Although it is a public road, Packers Road primarily serves the plant and so has development and a number of accesses on either side, including a small car park where the parking spaces are each accessed directly from the carriageway. Packers Road meets State Highway 1 at a ‘Stop’ controlled intersection, where traffic on the state highway has priority.

3.10 Noise

A Noise Assessment has been undertaken for the development by Marshall Day Acoustics. This assessment is contained in Volume I, Appendix K. The noise environment in the vicinity of the proposed expansion is dominated by the existing dairy factory operation and traffic on State Highway 1, along with a contribution from rail on the main trunk line.

Marshall Day Acoustics has performed annual noise monitoring around the Fonterra Studholme site over a number of years. Data collected during these detailed surveys has been used to build and calibrate an extensive noise model of the site. This model has been developed using the internationally recognised noise modelling software package SoundPLAN.

While the results of this modelling compare closely to measurements on and around the site, the model is considered to be conservative (i.e. predicts slightly greater noise levels) as it assumes a light downwind noise propagation in all directions around the plant simultaneously.

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The model of existing site noise emissions does not include traffic on public roads or trains on the main south rail line. Ambient noise levels in the area will be significantly higher than the predicted noise levels for the dairy factory alone when State Highway 1 traffic noise and rail noise is included, particularly during the day. The dominant noise sources on the existing site are the drier exhausts, HVAC outlets, boiler, cooling towers and milk reception pumps.

Existing noise emissions have been measured as being comfortably below the night-time noise limit of 45 dB LAeq (15 min) at the notional boundaries of all non-Fonterra owned dwellings.

3.11 Domestic Wastewater

An assessment has been undertaken for the development by Pattle Delamore Partners Limited. This assessment is contained in Volume I, Appendix H. The existing site utilises a consented septic tank and soakhole system for the disposal of sewerage. This will be decommissioned and replaced by a modern treatment system with capacity for the staff levels associated with the proposal.

3.12 Cultural, Historical and Archaeological Context

3.12.1 Cultural context

No specific sites of cultural significance are identified in the District Plan within the immediate vicinity of either the milk processing site or the WWTP. It is acknowledged however that Maori (Te Runanga o Waihao have manawhenua for the site and surrounds) have a close relationship with water and that the wider proposal incorporating the pipeline and ocean outfall (Volume II) encompasses the assessment of effects on the Wainono Lagoon, Waihao Arm and the coastal region associated with this component of the development.

The Cultural Impact Assessment (Section 3 of Volume III) identifies that the priorities of Te Rūnanga o Waihao include the following:  Protecting the quality of the waters of the both freshwater and marine environments;  Protecting the quality of the springs, small tributaries, ephemeral streams and areas of significance to Te Rūnanga o Waihao located within the Waihao / Wainono Catchment;  Restoration of lands and waters which potentially could be impacted (directly and indirectly);  Establishing or restoring native habitats of taonga species, including mahinga kai; and  Protecting indigenous biodiversity, in particular taonga species – restoring or enhancing native biodiversity leads to cultural outcomes.

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3.12.2 Historical context

The Waimate District Plan identifies one historic building (‘H26’) approximately 1,300 metres to the north of the development site. This is known as the ‘Wainono Homestead’, Category C listed brick house with kauri, rimu, totara and cedar interior. Also of note is former use of the site as the town of Studholme Junction.

3.12.3 Archaeological context

The milk processing site has previously been extensively developed and no archaeological sites have been recorded within this or the WWTP site. However, given the former use of the site as a small town a comprehensive condition regarding the Accidental Discovery of any artefacts or cultural remains discovered during the construction process will be implemented as part of this proposal.

3.13 Recreational and Ecological Values

The landscape is a fully modified environment, utilised for farming purposes, allied residential activity and infrastructure. The residents of the area do derive amenity from the immediate area. However, it is considered that the immediate landscape does not specifically provide for recreational activities or is an amenity destination in its own right.

In the wider environment the Wainono Lagoon, Waihao Arm and Waihao River and the coastal foreshore are significant ecological areas and provide recreational opportunities and these have been considered as part of the pipeline and ocean outfall application.

3.14 Existing Environment - Summary

In terms of the existing environment, the main site is substantially modified and industrial in appearance and is surrounded predominantly by a working rural landscape that is mostly pastoral in nature, used for cropping and sheep and cattle grazing, including dairying. The main site itself has limited significance in terms of ecological, landscape, heritage or cultural values. Table 7 below provides a summary of the notable features of the existing environment.

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Table 7: Summary of Notable Features of the Existing Environment

Context Feature Characteristics Description Landscape Setting

Waimate District Coastal Plains Milk processing site industrial in  Industrial site within a working rural nature. Town of Waimate located landscape. 6km to the west.  Includes a small number of rural Surrounding rural environment dwellings and buildings and the existing consists of expansive and milk processing site. predominantly flat grassland with the Wainono Lagoon 2.4km away.  Range of surface waterbodies including high naturalised Wainono Lagoon and heavily modified surface drainage channels near the northern portion of the site. Land Use Historical Maori No identified features within the  Te Runanga o Waihao have main application site or WWTP manawhenua for the site and area. surrounds. Water features within the wider  Close relationship with water courses area include Wainono Lagoon. within the area including Wainono Lagoon. Silent file area to the south the pipeline route. Rural Extensive land clearance followed  Farm buildings by rural development  Associated residential farm dwellings. Present Vegetation Predominantly exotic pasture  Exotic pasture grasses, shelter belts and grasses amenity planting.

Transport State Highway 1  Provides a link between and . Foleys Road  SH1 carries within 4500-5900 vehicles State Highway 82 per day. Packers Road  Primary access via Packers Road, Secondary access via Foleys Road.  Internal road network subject to potential road stopping. Main South Railway Line  Provides a link between and Christchurch and access to the Port of Timaru.  Understood to carry 4 trains / 8 movements per day. Rural Diverse range of agricultural  The land is used for a variety of activities. agricultural activities including arable farming and dairying. Noise The milk processing Plant along  The dominant noise sources on the with traffic on the State Highway existing site are the drier exhausts, are the controlling factors for the HVAC outlets, boiler, cooling towers ambient noise environment in the and milk reception pumps.

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Context Feature Characteristics Description

area.  The existing noise emissions are comfortably below the proposed night- time noise limit of 45 dB LAeq(15 min) at the notional boundaries of all non- Fonterra owned dwellings. Built Large industrial style buildings,  Existing milk processing plant contains Environment extensive hard surface areas, large buildings including a dryer and residential dwellings, railway and powder store buildings and significant buildings, substation. areas of hard surfacing.  Studholme Hotel

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4. DETAILED DESCRIPTION OF PROPOSAL

Fonterra Ltd seeks resource consent to allow for increased processing capacity at the Studholme milk processing site. The proposal is to include two additional dryers capable of processing approximately 9 million litres of milk per day, two additional coal fired boilers which are capable of being converted to biomass, a new drystore, a new biological wastewater treatment plant, additional vehicle movements, rail use and a pipeline and ocean outfall. A description of the pipeline and ocean outfall component is contained within Volume II.

Fonterra considers it necessary and efficient to increase the processing capacity at the Studholme milk processing site to provide increased milk processing capacity in the central South Island so as to meet the current and future growth of milk supply in this wider area (i.e. Waimate District, Timaru District); and to optimise the transport of milk and milk products around the South Island.

The key elements of the proposal are detailed in Section 1 but in brief involve the construction of two new dryers in two stages to a height of up to 56m and associated discharge stacks (4) 3m above this, a new drystore building with a total area comprising 66,750m2 to be built in two stages, two additional coal/biomass fired boilers of 65 MW (Stage 1) and 50MW (Stage 2) respectively up to a height of 45m with a single stack height of up to 68m, associated coal handling facilities, new milk reception and CIP facilities, a reverse osmosis plant for the recycling of condensate for use in the factory, two sealed tanker parking areas; rail sidings and loading facilities to enable a seven day a week/24 hour rail operation; and earth bunds for noise reduction.

The proposal will result in an increase in onsite employees by approximately 50 operations staff for each stage and 66 more tanker drivers for stage 1 and 75 for stage 2. The total staff numbers for the completed development will increase from 50 to 150 operational staff and from 15 to 150 tanker drivers. This will result in an increase in heavy vehicle movements from between 98 and 160 per day to 901 per day and necessitates the development of a new access off State Highway 1 opposite Molloys Road for the milk tankers.

Other elements of the proposal are a new human wastewater treatment system, expanded stormwater system, extensive earthworks, including the realignment of an unnamed waterway in at the northern edge of the site, and a new landscape regime.

The proposal also includes a biological wastewater treatment plant, which will replace the existing treatment plant, expanded stormwater ponds and ocean outfall pipeline to enable the discharge of the biologically treated wastewater.

Fonterra holds various discharge consents for the site and WWTP which are detailed in Section 1.

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4.1 Drivers for Development

The central South Island is a developing dairy area and as a result milk growth is consistent at approximately 4-5% per annum and this rate of growth is expected to continue in the future. The proposed increased processing capacity at the site will not only provide additional capacity for the processing of milk from the local catchment (i.e. Waimate), but will also free up capacity in Fonterra’s milk processing plants at Clandeboye and Darfield. This is a result of avoiding the need to tranship milk through Studholme to these locations as occurs presently.

Fonterra has analysed the location of existing and projected future milk production from farms in the central South Island and has assessed the advantages of expanding production at the Studholme site relative to other potential new sites and/or the expansion of other existing plants. Fonterra has concluded that the key advantages of increasing the processing capacity at the Studholme milk processing site are:

a. The Studholme site has sufficient room and partially zoned land to enable increase processing capacity on its site and it is more economic and efficient to expand this plant than expanding other existing central South Island plants;

b. Increasing processing capacity on an existing site is more efficient than the construction of a new plant on a greenfield site;

c. Reduced transportation risks with milk being processed locally than relying on transportation to other sites;

d. Reduced risk in diversity by maintaining a plant at Studholme as compared to instead expanding other plant capacities;

e. The surrounding area has dairy growth potential;

f. The Studholme site is large enough to allow for future expansions to cope with predicted future increases in the central South Island milk supply;

g. The site is on the state highway thus providing good road network links;

h. The site is adjacent to the rail network for delivery of inputs and export of milk products;

i. The site is close to Timaru and Waimate for skilled staff and support industries;

j. The site has a reliable electricity supply and its wastewater discharge can be accommodated through biological treatment and an ocean outfall; and

k. The site is some distance from neighbours and effects on them can be mitigated.

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4.2 Development Process

4.2.1 Design Process

Fonterra has sought assistance in the design of the expansion from DLA Architects and Andrew Craig Landscape Architect. The site plans and building plans for the Plant are contained in Volume I, Appendix B. In acknowledging its responsibilities as developer and operator, Fonterra and DLA Architects have designed the Plant expansion to be sympathetic to the surrounding environment through building design and location and providing for expansion in a logical and complementary manner.

Crucial to the proposed expansion is its relationship to the existing buildings on the site as well as the wider environment. The new dryers and boilers are positioned in close proximity to each other and relatively close to the existing dryer and boiler thus providing a synergy and concentration of taller buildings towards the southern end of the site. At a height of 56m, the large bulk of the new dryers is broken up by vertical lines in the building cladding along with changes in colouring of the concrete panels which visually splits each of the facades up into a number of sections. Elements such as exteriors stairs, the new milk reception area and drystore help to further express the function of the buildings and site. These elements have contrasting material, colour and texture to the main building forms, breaking down the large site and continuing the visual variety within the site. The extended drystore and rail and loading facilities whilst significantly larger than the existing store area is more uniform in its design and incorporates a relatively low stud height.

Bunds and landscaping along the state highway and boundaries will be utilised to reduce lower level views into the site.

4.3 Project Outline

At peak flows the existing plant processes up to 900,000 million litres of milk per day into milk powder. The proposal will with all stage completed allow the processing of up to 9.9 million litres of milk per day during the peak season and storage of the additional milk powder product that is produced.

4.3.1 Milk Powder Plant Buildings

The proposed expansion will provide for the two new dryers to be located side by side and approximately 200m to the north of the existing dryer. They will have a height of up to 56m with the two stacks each 3 metres above this. These two dryers will produce up to 30 tonnes of milk powder per hour.

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The milk product drying process gives rise to a relatively large, moderately hot and humid air exhaust stream through the evaporator and milk powder dryer. This hot humid air is released via the two 3m vertical stacks on each dryer above the roof of the dryer.

Two new coal fired boilers of 65MW and 50MW respectively will be used to provide the energy requirements for the new dryers and at times the existing dryer. These boilers will be located in close proximity to the two existing boilers however they will discharge via their own dedicated stack, with an outlet height of 68m above ground level. The boilers are used to supply steam energy, via a pipe system, to the dryers. The boilers will operate up to 24 hours a day, seven days a week during the production season.

The new 66,750m2 drystore building will be constructed in two stages. The first stage is some 36,850m2 and the second 29,900m2. In front of the drystore facing the railway line will be a large loading area. This will enable produce to be transferred out of the drystore and loaded into containers before being loaded directly onto rail wagons in the loop adjacent to the loading area.

Other major infrastructure includes a new milk reception area and CIP facilities, and parking area.

At this stage it is difficult to determine the increase and overall level of solid waste that will be produced by the expansion, however Fonterra manages all solid waste from its operations in line with its established Eco Efficiency System dealing with waste minimisation.

4.3.2 Milk Powder Plant Wastewater

The milk drying process produces a significant amount of condensate and wastewater.

The proposal includes a number of measures to both enable the expansion of the Plant and to improve the management of wastewater from the current and new layout. These measures include:

• Treating and recycling condensate from proposed Dryers 2 and 3 back to the plant;

• Treating all wastewater with a biological treatment plant;

• Providing stormwater storage for times of extreme weather;

• Discharging treated wastewater via an Ocean outfall (see Volume II).

It is proposed that condensate will be recycled for use in the factory after reverse osmosis treatment. There is therefore no additional condensate discharge resulting from the establishment of the new dryer or any new water take required.

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The proposal involves the upgrading of the existing WWTP and storage pond on nearby Fonterra land to the south of the milk processing site. The WWTP will consist of a number of utility structures and facilities including a biological treatment plant, a control room, a pump station and silos, anoxic tank(s) and clarifier, all of which will be under 10m in height in accordance with the permitted Plan building heights standards. The wastewater will be treated to a very high standard and then piped and discharge into the ocean (see Volume II).

4.3.3 Domestic Wastewater

As part of this proposed development, the number of people onsite will increase. Taking into account the increase in operational staff, visitors, and additional contractors that may also be present onsite for required construction and maintenance works, the estimated maximum number of people onsite at any one time is expected to be around 150. Due to this increase in staff numbers, the expanded site will need a package sewage disposal system, appropriately sized for the expected onsite numbers. The existing septic tank and soak hole system that facilities the existing number of staff on-site will consequently be decommissioned.

The proposed sewage system will be designed to cater for the current and expanded milk processing site only (note: the Studholme Hotel will retain its own existing system) while sewerage during construction will be disposed of off-site. The new system is likely to be either a membrane bioreactor (MBR) or a packed bed reactor (PBR) sized to accommodate a daily occupation of 150 people.

The treated wastewater will be discharged to land, via a sub soil reticulation field which will be mown and the cut grass disposed of offsite. The topsoil layers will provide in-soil treatment of the remaining effluent residuals from the treatment system, as well as provide nutrient uptake and evapotranspiration effluent field grasses. The treatment system will also be designed in accordance to Australian/New Zealand Standard: On-site domestic wastewater management (ASNZS 1547:2012).

4.3.4 Stormwater

Stormwater system configuration

The proposed stormwater system will comprise the following infrastructure:

 A new stormwater pond (North Pond, including a sediment forebay) and pump station located at the north-west corner of the site. Runoff captured from the majority of the proposed development site will be directed to this pond in the first instance (via interceptors where required), before dewatering to the Hannaton Road stormwater ponds.

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 A new stormwater pond and pump station on the south side of Foleys Road (South Pond). Similar to current operations, runoff captured from the existing site will be directed to this and the existing pond before dewatering to the Hannaton Road stormwater ponds.

 An isolation system prior to the North Pond sediment forebay to prevent contamination of the stormwater system from potential spills in the tanker queuing, parking and refuelling areas.

 Expansion and reconfiguration of three of the existing Stormwater Ponds at the Hannaton Road site. These ponds will provide the buffer storage required for containment during extreme rainfall conditions.

 A new wetland finishing pond at the Hannaton Road site to provide a high level of water quality treatment prior to consented discharge to Waimate Creek under existing consent CRC131833.

The proposed stormwater system will manage runoff from the developed site areas according to the expected water quality characterisations, as follows:

 Roofed areas – good water quality expected with minimal sediment loads, directed to North Pond directly (bypassing the Forebay).

 Grassed areas – good water quality expected, with some sediment loads, directed to North Pond via the North Pond Sediment Forebay for sediment treatment.

 Hardstand areas – potential sediment loads expected, directed to grit interceptors, then to North Pond via the North Pond Sediment Forebay.

 Refuelling area – potential for fuel contamination, directed through a petroleum hydrocarbon trap.

 Tanker queuing and parking areas – potential sediment loads expected, directed to grit interceptors, then to North Pond via the North Pond Sediment Forebay.

 A potential milk spillage is provided for by isolating runoff from the rest of the stormwater system at an Isolation Pond.

Note: washdown water from the truck wash and milk reception area is directed to the wastewater for treatment system.

Stormwater discharges

Controlled discharges of treated stormwater will occur at two discharge locations being the consented discharge to Waimate Creek at maximum 30 L/s or 2,600 m3/d or the pumped discharge to ocean outfall location from the Hannaton Road ponds at a maximum of 24,000 m3/d, which will comprise treated wastewater and treated stormwater.

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Uncontrolled stormwater discharges will potentially occur from seepage from the base of unlined ponds and emergency overflows during rainfall events which exceed the design limits.

Northern catchment diversion

As part of the development proposal, flows from the upstream catchment of the Northern Drainage Path will be diverted around the west and north boundary of the development site, from the existing SH1 crossing to the existing rail crossing.

The diversion channel has been sized to convey the peak discharge from the 100 year ARI event, with the following dimensions:

 Channel base width: 3m

 Channel depth: 1.8m minimum (including 0.2m freeboard)

 Side slopes: 1(v):3(h)

 Channel slope: 0.2% (1(v):500(h))

Under existing conditions, the SH1 crest dips and is known to overtop at a location approximately 100 metres south of the existing box culvert. To reduce potential flooding impacts at the proposed development site, some works may be required to either increase the capacity of the box culvert or raise the level of the proposed intersection with SH1. This will be undertaken in consultation with NZTA.

4.3.5 Lighting

The proposal will include new lighting associated with the new intersection on SH1, the Foleys Road/SH1 intersection, the rail loading area, the tanker parking area and the milk reception area.

SH1 intersection lighting

The proposed configuration of the proposed State Highway 1, Molloys Road and site access road and intersection is a “channelized four-way intersection”. The lighting design proposed for this intersection will comply with the requirements of AS/NZ standards for road intersections. The lighting requirements of NZTA for the SH1 intersection of a maximum light spill of 10 lux at 3 metres within the property boundary are also proposed to be met.

Railway Siding and loadout

The proposal will utilise luminaires that provide a light level that exceeds the minimum requirement for a rail loading yard required by Kiwirail (average lux of 8 and uniformity of 0.5). Light spill from the rail loadout will be less than 5 lux while spill from the rail siding area is proposed to be less than 3 lux at the site boundary.

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Dryer lighting and external staircases

Dryers 2 and 3 are not proposed to be lit above 12m and will not include windows so there will be no illumination from that source. There will however be safety lighting on the outer stairs which will be automated so it will only activate if there is a requirement to evacuate the building. The lighting from the dryers is proposed to comply with the maximum of 3 lux at the site boundary.

Internal road and milk reception areas

The design of the road & pedestrian lighting will comply with Fonterra’s requirements while also being less than 3 lux at the property boundary.

4.3.6 Transportation

The proposal will involve major changes to the access for site and will also involve the development of onsite rail and associated loading facilities.

A new primary site access will be created directly opposite Molloys Road, and the State Highway 1 / Molloys Road intersection will be upgraded with auxiliary turning lanes. This access will serve the milk reception area and drystore buildings and cater for all tanker movements. The State Highway 1 / Foleys Road intersection will also be upgraded due to increased traffic volumes passing through it. This will provide for the secondary site access serving the staff car parking area and other ancillary parts of the Studholme site.

As a separate process to the proposal, Waimate District Council is progressing the closure of the internal roads (Packers Road, Quinn Street, Murray Street, Hansen Street and Barrars Road) to the public. Should this process be successful, this will also enable the closure of the State Highway 1/ Packers Road intersection. However this resource consent application is not reliant upon these road closures occurring.

The proposal will result in an overall increase in vehicle movements to and from the existing site as follows:

 Existing – Total 162 trips per day plus a further 62 HGVs if milk is being trans-shipped through the site (split 98 HGV and 64 light vehicles);

 Stage 1 – Total 529 trips per day (split 405 heavy vehicle movements and 124 light vehicle movements);

 Stage 2 – Total 1237 trips per day (split 901 heavy vehicle movements and 336 light vehicle movements).

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The proposal also involves expanded rail use (seven day a week/24 hour) and includes new onsite rail loops and associated loading facilities. At the completion of Stage 1 i.e. Dryer 2, it is anticipated that there would be 12 rail movements from the site during the peak season. The addition of Dryer 3 in Stage 2 will result in longer rakes but no additional movements are anticipated.

4.3.7 Hazardous Substances

The existing milk processing site includes the storage of hazardous substances which are appropriately bunded to prevent potential spills. The proposal will result in increases in the quantity levels of hazardous substances stored on site including a replacement above ground fuel storage tank capable of holding 50,000 litres of diesel and 20,000 litres of diesel additive.

No additional quantities of hazardous substances are proposed to be stored on the WWTP where they would exceed the Plan limits. All Hazardous substance storage areas will be designed and managed in accordance with HZNO regulations. The following table summarises the additional hazardous substances proposed.

Table 8: Additional Hazardous Substances

Hazardous Substance (Classification no) Proposed Additional Storage Quantities LPG (2) 5000kg Diesel (3b) 50,000 litres (above ground) Diesel additive e.g. AdBlue (not classified) 20,000 litres (above ground) Nitric acid (8) 10m3 Caustic (8) 20m3 Hydrochloric acid (8) 5m3 Food Grade Caustic (8) 5m3 Sulphuric acid (8) 20m3

4.3.8 Earthworks

In order to construct the extensions to the milk processing site, it will be necessary to level the site through the excavation of soil. The proposal will involve the excavation and fill of material on the expanded milk processing site in order to construct the new dryers and drystore. This excavated material will be reused as fill and to create bunds for acoustic purposes along the state highway boundary and the eastern railway boundary.

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A certificate of compliance (RM150019) has been obtained from Waimate District Council for the earthworks on the milk processing site that do not include any areas that are potentially HAIL sites or within 20 metres of a watercourse. Those areas concerning HAIL sites will be subject to a separate resource consent application. Those areas within 20 metres of a watercourse are included as part of this application.

A plan indicating the areas of cut and fill across the milk processing site is contained within Volume I, Appendix B. In summary, the key earthworks figures are as follows:

Earthworks cut

- Proposed topsoil strip (cut) = approx. 94,000m3

- Proposed land cuts = approx. 75,000m3

Total cut volume = approx. 169,000m3

The maximum cut is anticipated to be approximately 4.0m for the creation of the stormwater retention pond (north end of site). Within the remaining areas of the site, the maximum cut is anticipated to be up to 2.5 metres.

Earthworks Fill

- Proposed site fill = approx. 53,000m3

- Proposed noise bund (Kiwirail site to east of rail line) (fill) = approx. 90,000m3

- Proposed noise bund (along SH1) (fill) = approx. 15,000m3

Total fill volume = approx. 158,000m3

The max fill depth will be up to 6.0m for the noise bund (Kiwirail land). Elsewhere in the site, fill will occur up to approx. 1.7 metres.

At the Hannatons Road WWTP and stormwater pond site, it is anticipated that additional earthworks will be required. However, as the existing site is already formed with a network of ponds, the proposed earthworks are anticipated to involve re-contouring of these existing ponds only to provide for the proposed configuration of wastewater treatment and stormwater storage ponds. Erosion and sediment control measures will be implemented for these works.

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4.3.9 Signage

One free standing double sided sign is proposed to be located adjacent to the new access from the State Highway. This will be the primary identification sign for the site access and will comprise dimensions of 3 metres wide x 1.5 metres high (4.5m2 area) and be mounted on two poles to a total height to the top of the sign of 2.7 metres. This sign will contain the Fonterra logo and the words “Dairy for life” and ‘Studholme”. A free standing sign layout plan is contained within Volume I, Appendix B.

Two additional Fonterra logo signs are proposed to be located on each of the proposed dryers. These logos will be 24m2 in area and located near the top of the north and south elevation of each of the proposed dryers in a similar manner to the existing dryer.

4.3.10 Landscaping

New landscaping is to be provided around the milk processing site in accordance with the Landscape Plan contained within Volume I, Appendix B. The landscaping will include 2 metre high grassed noise bunds along the SH1 frontage set behind indigenous tree plantings.

The proposal includes a noise control bund constructed up to 6 metres high on the eastern side of the Main South railway line which will be planted in flax and toetoe. Shelterbelts are proposed along the Foleys Road and northern side boundary to provide an additional element of screening to the earth bunds. All tree species are proposed to be indigenous e.g. totara, kowhai, akeake, akiraho and locally sourced. The species have also been selected to avoid high maintenance, leaf drop, the spread of seeds and fruits. They will also have improved resistance to drought, disease and of a height that will assist with avoiding prolonged periods of winter icing of roads. The earth mounds enclosing the WWTP treatment ponds will be up to 3 metres high and grassed. Other than the provision of a 2 metre wide landscape strip between the road boundary and any utility structure, no additional landscape plantings are proposed for the WWTP.

4.3.11 Construction Approach

Construction of the new dryer and associated facilities will last for approximately 18 months for each stage. The project has an estimated construction cost of approximately $780 million (approx. $390 per expansion stage excluding land costs). The majority of the equipment and services required for the plant’s construction will be sourced from within New Zealand where possible. During the construction period an on-site work force will peak at approximately 700 employees. A Construction Management Plan will be prepared and will detail the procedures to be adopted during construction and ensures that construction noise is managed in accordance with NZS 6803:1999 Acoustics – Construction noise.

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4.4 Main Elements of the proposed increased processing capacity of site

The following table summarise the ‘main elements’ associated with the proposed increase in processing capacity of the Studholme milk processing site.

Table 9: Main Elements of the proposed increased processing capacity of Studholme Milk Processing Site

Element Existing Proposed expansion Farm Irrigation area Approximately 624 hectares No expansion

Building area Existing building area of approx. Approx. 105,000m2 of new 9,400m2 + approx. 4,000m2 of building area. additional buildings owned by Approx. 4,000m2 of buildings Fonterra but not part of the primary outside the existing primary milk Milk Processing site e.g. farm sheds, processing site will be demolished dwellings, grain store etc. e.g. farm sheds, dwellings, grain store etc.

Plant elements Two (combined rated maximum Additional 65MW and 50MW gas 30MW) boilers providing on site fired boilers with new combined heating sources, coal delivery and stack of up to 68m in height. 50m stack.

One 31m high dryer (plus 2.75m Two additional dryer up to 56m high stacks) capable of processing tall with 3m high stacks and 900,000 L/day of milk into milk associated bag house. Capable of powder processing an additional 9ML/day of milk powder.

Approx. 2750m2 drystore New drystore totalling 66,750m2 to be built in two stages

Silos and associated pumps Extensive increases

Ancillary plant, including milk Milk reception, CIP and tanker delivery, truck CIP, DAF, storage wash to be expanded. Workshop areas, administration office and to be located in old dry store, new workshops. administration office.

Domestic waste disposal to septic Upgraded domestic waste disposal tank system to be located south of

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Foleys Road.

Stormwater disposal from roof and Some changes in method including sealed areas via ponds and pipe large first flush ponds and new network to WWTP and then pipe work and increased storage discharged to Waimate Stream capacity, however no change is being sought to the consented rate of discharge into the Waimate Stream.

On-site flood management works proposed to create a swale to divert the northern drainage catchment area through the site.

Access roads Access primarily via off SH1 via New access off SH1 to be created Packers and Foleys Roads for tankers opposite Molloys Road. Foleys Road to be utilised for staff and visitor access. Packers Road to be close (subject to separate process).

Closest non-Fonterra 420m to the east at 89 Foleys Road No change. Residential Property from Main site boundary

Approx 600m to the south-east on No change Hannaton Road from WWTP and 150m to the south-east from the stormwater ponds

Earthworks Existing site contours Approximately 169,000m3 cut and 158,000m3 fill on the milk processing site.

Re-contouring of existing ponds at Hannaton Road site.

Northern drainage catchment diversion swale to be created.

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Landscaping Existing planting and bunding along New bunding and planting along SH1, Foleys Road and Parkers Road SH1 frontage, planting along

Foleys Road and northern site

boundary. Planting is also

proposed on the earth bunding within rail corridor.

Hazardous Substances A comprehensive and wide suite of Replacement with above ground substances including but not limited fuel storage tank capable of to fuel e.g. petrol, diesel and LPG, holding 50,000 litres of diesel and Chlorine, Ammonia, bleach, 20,000 litres of diesel additive. hydrochloric acid, sulphuric acid, New hazardous substances storage acetic acid, nitric acid. for increased levels of nitric, caustic, food grade caustic, hydrochoric acid, sulphuric acid, and LPG.

Vehicle Movements Total of 162 per day (plus a further Total of 1237 per day (post stage 2 construction) 62 if milk is being trans-shipped

through the site)

Staff Operators/management/tanker Operators/management/tanker drivers – 65 drivers – 300

Construction None Up to 700 construction staff over a period of approximately 18 months for each stage

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5. ASSESSMENT OF ENVIRONMENTAL EFFECTS

5.1 Introduction

This section addresses the actual and potential effects environmental, plan weighting, the permitted baseline and considers alternatives.

5.2 Section 104, 104B to C – Consideration of Applications

Section 104 of the Resource Management Act (the Act) lists the matters which Consent Authorities shall have regard to when assessing a resource consent. The matters which must be taken in regard to, in accordance with s104(1), include:

(a.) Any actual or potential effects on the environment of allowing the activity;

(b.) Any relevant provisions of a national policy statement, regional policy statement or plan; and

(c.) Any other matter the consent authority considers relevant and reasonably necessary to determine the application.

The actual or potential effects of the expansion of the Studholme Milk Processing Site on the environment are addressed in Section 5.5 below. An assessment of the development against the relevant policy statements and plans is provided in Section 6.3, while other relevant matters are covered in Section 6.4.

In preparing this report there has been an undertaking to include all matters that a Consent Authority could deem necessary to determine the application.

The expansion of the Studholme Milk Processing Site and associated WWTP site requires resource consents under both the Regional and District Plans. Consents are required for the use of natural resources and for land use activities. The status of the various activities proposed under this component of the application include restricted discretionary and discretionary. It is therefore necessary to consider sections 104B and 104C of the Act. (Note: the pipeline and outfall application is a non-complying consent application and is assessed as such in Volume II. An assessment in terms of Section 104D is contained in Section 4, Volume III of this application).

The overall status of this component of the application in terms of both District and Regional Council Plans has been determined as a discretionary activity.

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5.3 Relevance of Planning Documents

The Waimate District Plan became operative on 28 February 2014. The milk processing site is split between the Business 3 and Rural zones in the District Plan, as shown on Planning Maps 22 and 35. The WWTP is located entirely within the Rural zone.

With regard to the Regional planning documents, all relevant appeals on the LWRP have been completed. Therefore the only remaining aspects of the NRRP that are still applicable are those related to the Air Quality Chapter and potentially any aspects that are within the scope of Variation 3 to the LWRP. No aspects of Variation 3 to the LWRP are considered applicable including those concerning the discharge of domestic wastewater as Variation 3 only applies to Rule 5.84 with regard to domestic wastewater which is not triggered by this application. Therefore, with the exception of the Air Quality Chapter, the NRRP provisions are no longer considered applicable to this proposal.

No consideration has been given to the rules of the Proposed Regional Air Plan given the very early stage that Plan has reached.

5.4 Permitted Baseline

Section 104(2) of the Act enables a consent authority to disregard an adverse effect of an activity if the plan permits an activity with that effect. Having reviewed the Operative Waimate District Plan (District Plan) it is considered that the permitted baseline is of some relevance in this instance. The interpretation of the relevant aspects of the District Plan that are applicable have been discussed in Section 2. Any permitted baseline from a land use perspective would be limited to industrial buildings contained within the Business 3 zone only and no greater than 10 metres in height within both the Rural and Business 3 zones.

The District Plan does enables a range of activities and a level of development on the site to be provided for as permitted activities. Therefore where the proposed development complies with relevant standards it can be undertaken as a permitted activity in this aspect. Similarly, any effects generated from a proposal requiring resource consent can be assessed taking into account the level of effects generated compared to those which could be undertaken as a permitted activity.

While the above has some relevance, the application must also be considered and assessed in relation to the baseline of effects that have effectively been established through the development and operation of the existing plant. Therefore, effects associated with the existing operation of the site cannot be revisited for the purposes of this application.

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5.5 Assessment of Environmental Effects

5.5.1 Introduction

The purpose of the Act “is to promote the sustainable management of natural and physical resources” (s5(1)). This enables resource use which provides for the social, economic and cultural well being of communities while sustaining resources for future generations, safe-guarding the life supporting capacity of the environment and also “avoiding, remedying or mitigating” the adverse effects on the environment that may result from any resource use (s5(2)).

The proposed expansion of the Studholme milk processing site primarily involves two additional dryers, two boilers, a large drystore, new access, rail connection, milk reception facilities and upgraded stormwater and wastewater treatment facilities and has been developed to take full account of the nature, sensitivities and general character of the surrounding environment. The philosophy of the development has been to avoid, remedy or mitigate potential adverse environmental effects as far as practical while still ensuring the viability of the development.

The following environmental effects associated with the expansion of the milk processing site are summarised in Sections 5.5.2 to 5.5.14 of this document. The areas covered within this effects assessment are:

 Positive Effects

 Economic effects

 Landscape and Visual effects

 Air Quality (including odour)

 Stormwater

 Domestic Wastewater

 Glare/Light Spill

 Traffic effects

 Noise effects

 Hazardous Substances

 Cultural and archaeological effects

 Earthworks

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Technical and environmental investigations have been carried out to assess the potential impacts of the project. These separate technical assessments form the basis of the information summarised below and full copies of these reports are contained in the Appendices contained within Volumes I of the consent application documentation.

5.5.2 Positive Effects

The proposed expansion of the Studholme milk processing site will have a number of positive effects as detailed below:

 The two construction phases of the development are anticipated to provide employment for up to 700 employees each. With an 18 month construction timeframe for each stage wages and salaries are estimated to be approximately $18.75 million per annum to a workforce that will reside permanently within either Waimate District or Timaru City;

 The increased operational capacity of the Plant is anticipated to generate an increase of 235 full time equivalent staff, contributing approximately $17.6 million in wages and salaries to the Waimate and Timaru economies per annum;

 Indirect (or multiplier) economic effects could potentially create an additional 353 jobs and $26.4 million per annum in direct plus indirect household income within the Waimate and Timaru economies;

 Transport network efficiencies through processing the milk locally;

 Improved water quality through enhanced overall stormwater treatment;

 Improvements to the wastewater treatment plant will address odour issues that have occurred recently;

 Cements Studholme as one of Fonterra’s key processing sites; and

 It is considered that the expansion will enable the maintenance of greater diversity within the South Canterbury economy, by providing additional manufacturing activity along with associated direct and indirect employment opportunities.

5.5.3 Economic Effects

An assessment of the economic impacts of the proposed Plant expansion has been carried out by Brown, Copeland and Co Ltd. This assessment is contained in Volume I, Appendix C. A summary of the key elements of this assessment, as overviewed in the following paragraphs, are:

 Economic and employment benefits during construction;

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 Economic and employment benefits during operation;

 Economic costs; and

 General economic benefits.

Economic and employment activity during construction

The first stage of the project is expected to commence sometime in the next five years. Construction is anticipated to last for around eighteen months, with an estimated construction cost of around $390 million (excluding land costs) for each stage. The majority of the equipment and services required for construction will be sourced from within New Zealand where possible. Local suppliers will be used wherever possible/available, but it is acknowledged that most suppliers will be predominantly located within Christchurch City. Services which may be supplied locally (i.e. Waimate District or Timaru City) will include excavation services, concrete, road construction materials, fencing, shelter belt planting, re- grassing, catering services, laundry services, accommodation, security services and construction labour.

During each stage of construction, the on-site work force required will build from 50 employees initially to a maximum of approximately 700 employees, with an estimated monthly average of around 300 employees. Wage and salary payments for these employees are estimated to average $18.75 million per annum.

In addition to these direct economic impacts, there are a number of indirect impacts arising from the effects on suppliers of goods and services provided to the site and to the employees at the site and to those engaged in supplying goods and services to the site. These are generally in the form of external contractors providing for ongoing services e.g. electricians, catering, plumbers etc but also induced effects such as additional jobs and incomes at supermarkets, restaurants and bars as a consequence of the additional expenditure by employees directly involved in plant construction.

The Economic Assessment estimates that the total indirect economic impacts of the development during construction are likely to include 600 additional jobs in wider Canterbury region of which 450 of these are in the local Waimate and Timaru areas. The additional salaries and wages at the regional level is estimated to be $37.5 million per annum of which $28.125 million is at the local level.

Economic and employment activity during operation

After the construction phase is completed the overall Plant facility will require inputs of materials and services other than milk and employee labour. These are likely to be largely drawn from Canterbury region, with some of these goods and services provided by local Waimate and Timaru businesses. Locally provided goods and services are likely to include security services, laundry services, catering outsourcing, electrical maintenance services and mechanical maintenance services.

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Currently the existing Studholme milk processing plant has an on-site workforce of 65 fulltime equivalent (FTE) employees and this number is estimated to increase to 300 when both the new dryers are operational – i.e. an increase of 235 new FTE jobs. On the basis of an average salary for plant employees of $75,000 per annum, this implies an increase in direct household income of $17.6 million per annum.

The indirect employment for the Canterbury Region associated with the proposal is anticipated to be an additional 470 jobs of which 353 are local and resulting in an increase in household income of $35.2 million per annum of which $26.4 million is local.

Economic costs

With respect to water an existing supply will continue to be used along with the recycling of condensate. For storm water and wastewater disposal the expanded Plant will be totally self-sufficient and will not rely on Waimate District Council facilities.

Externality costs can arise when utilities and infrastructure provided by central and local government are not appropriately priced. In this case no such externality costs will arise. Fonterra will pay the full costs of roading upgrades, and will make payments via road user charges and rates for any additional ongoing maintenance and necessary upgrades to the state highway and local council road networks as a consequence of increased milk tanker movements.

General economic benefits

Fonterra, in choosing the Studholme site to expand its milk processing capacity has sought to minimise milk collection costs having regard to the existing and likely future pattern of milk production throughout the South Island. A reduction of 8,879 vehicle kilometres per day travelled by milk tankers has been estimated for the Stage 1 development (as compared with expanding capacity at the Clandeboye plant), and this saving will increase to 29,266 vehicle kilometres per day with the completion of the Stage 2.

In addition the finished product will travel by rail from Studholme to Port Lyttelton instead of by road from Clandeboye with and associated reduction of 16,000 truck movements per annum or 2.4 million vehicle kilometres per annum.

Overall reducing road transport kilometres will reduce the externality costs associated with road transport. It is therefore appropriate to expect a reduction in road accident costs, road transport pollution costs and travel time costs for other road users. The resultant transport efficiencies are consistent with “the efficient use and development of natural and physical resources” (Part II section 7(b) of the RMA).

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The proposal to increase processing capacity at Studholme will also help to provide greater diversity and balance to the Waimate and Timaru economies, by providing additional manufacturing activity in the District along with associated direct and indirect employment opportunities. This will make the Waimate and to a lesser extent Timaru economies more resilient to agricultural commodity price cycles.

Furthermore, Fonterra will pay increased rates as a consequence of the proposed development as the general rate is applied to the capital value of property. Because of economies of scale it is likely that the increase in rates paid by Fonterra will be greater than the increase in Council’s costs. From the perspective of the Waimate District Council and other ratepayers in the District, this broadening of the rating base provides the opportunity for a greater range of Council provided services or a reduction in the rates burden for other ratepayers.

Given the above discussion, it is considered that the proposal will generate greater economic benefits from the land resource than could be achieved via an alternative use and that there will be positive benefits to the Waimate and Timaru Districts as a result of this.

Summary

Overall, the proposed increase in processing capacity of the Studholme Manufacturing Plant will:

Enhance the economic wellbeing of the Waimate and Timaru communities by:

 Creating additional direct and indirect jobs during both the construction period and once the new dryers are operational and increasing household income in the sub region;

 Providing the South Canterbury economy with greater diversity and resilience;

 Providing greater employment choice for local residents; and

 Providing for continuing contribution to local community activities.

Improve resource use efficiency by:

 Increasing economic activity enabling increased economies of scale in the local provision of goods and services; and

 Improving transport and other efficiencies in the collection and processing of milk in the central South Island.

Not give rise to economic externality costs.

It is therefore considered that from an economic viewpoint, no adverse effects will be generated while positive effects will be created for the above mentioned reasons.

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5.5.4 Landscape and Visual Effects

Introduction and background

The Landscape and Visual Assessment undertaken by Andrew Craig Landscape Architect Ltd assesses the potential landscape and visual effects of the proposed development project. This assessment is contained in Volume I, Appendix D with the key aspects outlined below.

The application site is not located within an area identified as an outstanding natural landscape or feature. The Wainono Lagoon and Waituna Stream are the closest such landscapes identified within the District Plan. The lagoon is within 1.5km from the edge of the development site and the Waituna Stream is approximately 1.2km away.

In the wider context the Hunter Hills including Mt Studholme and White Horse Hill are prominent features to the north-west of the development site and the Waihao Box and River to the features to the south.

Landscape and Visual Effects

Landscape effects occur as a result of changes to the landscape irrespective of whether they are visible or not. Visual effects are those arising from views of the proposal and in this case, the most significant visual effects of the proposal will arise from the building height of the proposed dryers and boilers and the expanse of the dry store building.

The key elements of the application with regard to landscape and visual effects are:

 The two 56m high dryers plus 3m high roof discharge stacks,

 The construction of a new drystore building with an area of 66,750m2 up to 15 metres high at the apex.

 The construction of two gas fired boilers up to 45m high and an associated 60m high stack;

 A biological waste water treatment plant (WWTP) with silos up to 10m high and associated storage ponds; and

 Various accessory structures including free standing signs at the vehicle entry points and identification signs on each of the dryers.

The potential adverse visual effects are as follows:

 With regard to nearest residents, domination of the surrounding environment arising from excess building bulk,

 The blocking of views, particularly from key vantage points, and

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 Incongruity with the scale of surrounding buildings and structures.

Landscape effects largely revolve around perception of the landscape in terms of peoples’ expectations of it. In an environment such as that in which the application site is located people would expect to find farming activity and associated buildings, infrastructure such as highways, transmission lines, and natural features such as streams and rivers. Expectations are also informed by the presence of rural based processing arising from activities like mineral extraction, timber milling, meat processing, intensive farming and dairy. The latter already exists within the application site and so its presence is not unexpected.

The key difference arising from the proposed expansion is the increase in building size. The form, style, colours, location and overall setting fundamentally remain the same. They will therefore be in keeping with the overall appearance of the site in this regard. Size aside, the proposed structures are stylistically similar to the existing structures and they will not be fundamentally foreign to the setting in terms of its character and amenity. This will be reinforced by the fact that all proposed structures will be co-located or grouped with those existing structures. Consequently the overall layout of structures within the site will be effectively clustered or bundled together to collectively form an apparently homogenous entity thereby concentrating effects rather than dispersing them.

As mentioned though, they will be substantially larger than the existing complex and overall the plants prominence will be increased and it will be substantially more visible. The light colour of the factory will contribute significantly in this regard causing the plant to contrast and stand out in its largely naturally coloured – predominantly green - setting. Colours are determined by operational requirements, particularly with regard to thermal gain. Nonetheless there is some reasonably significant variations in tone across the various buildings and structures.

With regards to the surrounding environment, the overriding landscape character of the receiving environment is rural. While it is generally open and expansive, views to and through it are often truncated by local landforms such as low hills and ridges in combination with trees. Overall the landscape of the receiving environment primarily reflects rural production and is therefore significantly modified, even though pasture and numerous trees help convey the appearance of naturalness. The naturalness of the overall receiving environment landscape is described by Mr Craig as ranging from moderate to moderately low.

With regard to the District Plan, the primary non-compliance directly affecting landscape character and visual amenity concerns excess building height. The following points address the relevant assessment matters regarding building height:

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 The proposed extension, being stylistically similar but considerably larger, will be in keeping with the existing plant, and therefore compatible with it. Compared to other buildings in the wider area however the proposal is not in keeping with these.

 The proposed buildings and associated structures will have no effect on privacy due to their being no elevated windows. They will also have no effect on daylight and sunlight admission being some distance from the nearest dwellings.

 The outlook from non-Fonterra owned houses on Molloys Road and Foleys Road maybe affected despite elements of intervening vegetation. Reliance cannot be placed on the vegetation involved as this is not within the application site or otherwise controlled by the applicant. Should the screening vegetation be removed views toward the dairy plant would then be open and the development would likely appear dominant.

 The height of the proposed buildings and structures is such that it is not possible to screen them by the usual method of using trees. Nonetheless, vegetation will be used to screen the more visually complex lower portions of the plant while providing amenity. Otherwise all that can be done to mitigate potential adverse effects is to minimise them in any way possible, namely through avoidance, while taking care not to jeopardise operations. In this regard the dryers and boiler stacks are located centrally within the site so as to maximise their distance from nearby dwellings and roads. They are also clustered or co-located thereby maintaining visual coherence so as to concentrate effects rather than disperse them. Further, these buildings and structures are finished in light colours thereby reducing the silhouetting effect against a bright sky that would otherwise result from dark finishes.

 The proposal will intrude views, particularly for those dwellings and publically accessible vantage points east of the site. The reason for this is that views from this direction will be of the background Hunters Hills. As the various photo-simulations show however, for the most part, the proposed dairy plant will not interrupt views to the extent that it will visually dominate them. Or to put it differently, the integrity of the background land form will remain intact in as much that its extent and character is appreciable. Nonetheless, it is acknowledged that the proposed dairy plant will also become part of the view, as does the existing plant, albeit to a lesser extent.

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Mr Craig’s assessment is that visual domination does not appear to occur to any significant degree until viewers come to within around 1km of the milk site. At this point while the surrounding landscape setting continues to predominate, the presence of the dairy plant commands the scene. He notes that this is especially so for the somewhat monolithic looking dryers and while the boiler stacks are prominent by virtue of their height, due to their narrow elongated proportions they do not, on their own, dominate the scene.

Mr Craig notes that mere visibility of the plant is not considered an adverse effect, particularly within the context of this particular proposal. The existing plant is visible from many vantage points in its vicinity and so to an extent this effect currently exists. It is acknowledged however that visibility of the proposed plant will increase due to its comparatively much greater size. He notes that from assessing the photo- simulations it appears that beyond 1km visual domination caused by the proposed expansion lessens significantly. He considers that this distance represents the limit of potentially more than minor adverse effects on visual amenity, even though the plant will be visible from greater distances.

From a landscape perspective the width of landscaping along the Foleys Road frontage will be no less than 3m and alongside SH1, including the mounding it will be 15 metres. In addition planting is proposed along the northern boundary and in conjunction with bunding on Kiwirail land to the east. The landscaping proposed will consist of indigenous plants which are local to the area and recognises Iwi values, and acknowledges pre-European landscape character. The proposed planting is simple, bold and visually coherent which is consistent with the type of planting typical in rural areas. Through its consistency the planting serves to unify and contain the site. Further, larger trees – in this case Totara – have far more effect than extensive areas of smaller shrubby vegetation.

Essentially the proposed landscaping will achieve the outcomes anticipated by the District Plan. While it is accepted that it is simply not possible to screen via landscaping the upper portions of the taller buildings and structures, the proposed landscaping will, over time, screen the more visually complex lower portions of the proposed development and for those travelling on roads adjoining it will restrict views of the upper portions.

In terms of signs the two roadside identification signs will be located in front of the landscaping and therefore will have a vegetative backdrop. The sign(s) on the dryers will be incorporated on the building and so will have a structural backdrop. The number of signs is therefore rather limited in terms of the overall expanse of the site and their visual impact is considered to be minimal and generally in line with what might be expected on such a site.

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With regard to the WWTP specifically, the proposal will comprises two storage ponds, a series of tank and clarifier structures, and other ancillary buildings and facilities which will all be located on the existing WWTP site. The landform has already been significantly modified due to the presence of the existing ponds and bunding that contains them, an access road and two buildings. The site cannot therefore be regarded as being particularly natural in character.

In terms of the proposed development all structures are to be clustered at the western edge of the site as far as possible away from the road and residential dwellings and are relatively modest in scale.

Key design and location factors to assist with mitigation of effects associated with the WWTP include:

 Clustering of the wastewater treatment plant buildings rather than being dispersed through the site,

 Maintaining a form and style for the construction of the WWTP that is in keeping within its setting,

 Setting buildings well back from Waimate Stream,

 Ensuring none of the proposed water treatment structures exceeds the permitted maximum height of 10 metres through a condition.

While the WWTP and associated stormwater pond will result in some change to the landscape, it is not something that is regarded as foreign to the rural environment in which it is located given the existing facility and the type of buildings it will contain.

Photo Simulations

To illustrate visual effects arising from the proposal and their mitigation, a series of photo-simulations have been prepared and are contained within Volume I, Appendix D2. These are discussed in more detail within the Landscape Assessment and summarised as follows:

Photo-simulations 1 and 3 (Molloys Road and Foleys Road) both of which are approximately 460m from the proposed dryers show that within the 1km distance the presence of the dairy plant, in particular its proposed extension, is visually dominant despite the landscaping proposed.

Photo-simulations 2 and 5 which are from SH1 show that the proposed Plant will not appear dominant from longer distances even though it is visible, and indeed prominent. The reason is that due to the effects of perspective as the Plant is sufficiently overwhelmed by the expansiveness of the landscape at those viewing distances, which are around 1.5km and 1.9km respectively. In other words the wider landscape setting is the dominant feature, not the Plant itself.

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Photo-Simulation 4 (intersection of Molloys and Bathgates Roads) shows that while quite some distance from the site (4.2km), the dryers at least will nonetheless be visible however their presence is very much diminished or overwhelmed by the greater expanse of the surrounding landscape.

Photo-simulation 10 (Top of Waimate Whitehorse Walkway) demonstrates the effect where the dairy plant is plainly visible (prominent), but due to the very wide expanse of the overall landscape setting, it appears quite diminutive. As a result it does not detract in any significant way from the scenic or view quality gained from this particular vantage point.

Mitigation

The avoidance, remediation and mitigation of a number of potential effects on landscape and visual values, as discussed in the Landscape Assessment, has relied upon a range of proposed measures being adopted. These measures are summarised in Table 10 below:

Table 10: Landscape and Visual Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Landscape Effects Providing landscaping along the State Highway, Foleys Road and northern boundary to assist with screening effects resulting from the expansion of the existing plant, particularly the more complex lower levels of the plant.

Visual Effects Congregating the taller buildings close together at the centre of the site.

Co-location similar structures so that the whole plant appears as one integrated and coherent unit, thereby concentrating effects rather than dispersing them.

Maintaining architectural styling and colours that are consistent with the existing plant.

Maintaining a simplicity and cleanness of form that is generally free from the clutter of appurtenances particularly on the higher parts of the proposed buildings.

Maximisation of the setback from the State Highway and rail line so as to avoid shading and loss of daylight.

Avoids any intrusion of important views from key vantage points.

Maintaining a form and style for the construction of the WWPT that is in keeping within its setting.

Ensuring none of the WWTP structures exceeds the permitted maximum height of 10 metres (proposed via condition).

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Summary

As the photo simulations show the proposed dairy plant expansion will result in an appreciable change within the application site and beyond. Within at least a 2km radius this will be appreciable to a substantial extent depending on visibility from any one vantage point. Within about a 1km radius of the site the dairy plant following expansion may well appear dominant from differing directions, particularly where views toward it are unobstructed. This is considered the most affected area in terms of building dominance and depending of a person’s perspective it may well be considered a significant affect. Beyond 2km, the expansion will be apparent from further afield, but the sense of domination will be diminished.

The architectural design of the proposed expansion is purely pragmatic and primarily determined by operational requirements. The more visible upper parts of the plant are simple in form and generally well proportioned. The taller components have been more or less clustered so as to read collectively and therefore appear visually coherent. The contrasting horizontal and vertical buildings define each other’s opposing qualities and while they are large, the buildings are not considered visually unpleasant in any way.

Effects already exist in the form of the existing dairy plant. Landscape effects are therefore already in place as opposed to the situation where a completely new facility is contemplated. The difference arising from the proposed expansion is the increase in size and scale of buildings. The form, style, colours, location and overall setting fundamentally remain the same. Because of this, people would not be surprised to find the dairy plant in this location and it is noted that there are a number of other such plants elsewhere in the Canterbury Region which are similarly located.

From a landscape and visual perspective there are no alternative sites in the vicinity where a better outcome is achievable given the existing development on site. Furthermore, an alternative site would undermine the operational efficiency of the existing plant. Finally, the landscape in this area is not recognised as being particularly significant, thereby meriting further consideration of alternative sites. Taking these factors into account the site is considered to be optimally located with regard to the surrounding landscape environment and landforms.

Overall, while it is accepted that a reasonably substantial change will result with the plant expansion, it is considered that there is no better location for these. Irrespective of where the plant was located, its fundamental character would remain the same and consequently the effects will be the same. Given operational requirements are predominately fixed the only difference in terms of whether landscape and visual effects are acceptable becomes one of context or setting. With regard to this proposal and its effects on landscape and visual amenity, it is concluded that the effects are entirely appropriate.

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5.5.5 Air Quality

The Assessment of Environmental Effects for Discharge of Contaminants to Air was undertaken by Golder Associates and assesses the potential effects associated with air discharge from the proposed upgrading of the Studholme milk processing plant. This report is contained in Volume I, Appendix E.

The Studholme site is not located in a gazetted airshed, the nearest being at Waimate, approximately 5km west of the site. The Waimate airshed is classed as a ‘polluted airshed’, due to exceedances of the

National Environmental Standard (NES) for PM10 during winter months. Regulation 17 of the NES relates to industrial PM10 discharges into polluted airshed, and states that certain applications must be declined unless other PM10 discharges are reduced. Discharges into a polluted airshed that would lead to an

increase of the PM10 concentration by more than 2.5 µg/m³ (24-hour average) are required to be offset through emissions reductions elsewhere in the airshed. Given the relatively close proximity of the

Studholme site to the Waimate airshed, it is necessary to consider whether PM10 discharges from the site could increase the 24-hour GLC by 2.5 µg/m³ or more so as to determine whether Regulation 17 applies.

The relevant air quality assessment criteria are contained in the following documents:

 The National Environmental Standards for Air Quality (NES)

 The Ambient Air Quality Guidelines (AAQG)

 The Canterbury Natural Resources Regional Plan (NRRP)

 The Proposed Canterbury Air Regional Plan (pCARP)

While the AAQGs are not mandatory, the NES is and its requirements override those of any regional plan except where such a plan imposes stricter requirements.

The main air discharge sources associated with the proposed expanded plant will be the milk powder dryers and coal-fired thermal boilers that provide heat and energy to the dryers. It is noted that the proposed boilers are to be designed so as to be capable of being fired on coal, or a 20:80 biomass:coal blend.

The proposal is for a mass emission cap approach to emission rates associated with similar sources. This approach would allow for an individual discharge stack to, on occasion, have a higher emission concentration (necessary for compliance purposes – especially on start-up or periods where boilers are taken out for service for maintenance etc.), while ensuring that overall the total mass emission rate from all of the sources stays within the mass emission limits that have been used as the basis the assessment.

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The table below provides a summary of the proposed TSP (total suspended particulates) emission rate caps and the concentration limits for individual stack sources. TSP emission rates have been proposed instead of PM10 emission rates, as current testing methods for PM10 cannot be used in relation to the milk powder dryers. This is because the testing method for PM10 (USEPA Method 201A) does not provide for stack conditions where there is a high moisture content, as is the case for the exhaust from spray dryers.

Table: 11 Summary of proposed emission consent rate caps and limits for individual stack sources

Combined source group Individual source stack Emission source group Contaminant mass emission rate emission concentration Dryer 1 TSP 1.45 kg/h 25 mg/m³ dry STP Dryer 2 and 3 TSP 10 kg/h 15 mg/m³ dry STP

Boiler stack 1 TSP 1.3 kg/h 50 mg/m³ dry STP 12 % CO2

(existing 15 MW boilers) SO2 39.3 kg/h n/a

(a) Boiler stack 2 TSP 10.3 kg/h 50 mg/m³ dry STP 12 % CO2

(65 MW and 50 MW boilers) SO2 245.8 kg/h n/a

Notes: (a) TSP emission rate for Boiler 3 & 4 Stack is based on the firing of the boilers on an 80:20 blend of coal and biomass.

The assessment considers the potential effects of the new boilers being fired on either coal or on a blend of biomass and coal. It also uses an air dispersion modelling approach to assess the potential adverse effects of PM10, SO2 and NO2 on the environment from milk powder drying and the solid fuel combustion.

An assumption of continuous maximum applied-for emission rates occurring from the milk product dryers and solid fuel fired boilers has been used in the dispersion modelling assessment. Worst case coal specification parameters have also been assumed when calculating the boiler emissions. However, in practice it is unlikely that all emission sources would discharge at these maximum rates at the same time. Therefore, 24-hour and annual average concentrations predicted by the dispersion modelling assessment are likely to be conservative and thus the assessment is considered to be conservative.

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The key conclusions from the Golders assessment are:

 The highest model predicted 24-hour average GLC occurs at the eastern edge of the Waimate

airshed with a maximum 24-hour average PM10 GLC of 1.3 μg/m³, which is well below the 2.5 μg/m³ criterion defined in Regulation 17 of the NES. Accordingly, the provisions of

Regulation 17 do not apply to this application and there is no requirement to offset PM10 emissions or decline the application.

 Predicted cumulative offsite 24-hour and annual average PM10 ground level concentrations (GLCs) are expected to be low and well under the NES and AAQG values respectively. Therefore, it is concluded that the potential adverse effects resulting from this exposure are acceptable.

 Predicted cumulative offsite 1-hour maximum and 1-hour 99.9th percentile sulphur dioxide (SO2)

GLCs are expected to be well below the NES. 24-hour average SO2 GLCs are also expected to be well below the AAQG. Therefore, it is concluded that the potential adverse effects resulting from this exposure are acceptable.

 Predicted cumulative offsite 1-hour and 24-hour average nitrogen dioxide (NO2) GLCs are predicted to be very low and well within the NES and AAQG values respectively. Therefore, it is concluded that the potential adverse effects resulting from this exposure are acceptable.

After accounting for cumulative air contaminant concentrations, it is concluded that the relevant ambient guideline values and standards are not likely to be exceeded as a result of air discharges from the expanded Fonterra Studholme site, when discharges are set at the maximum rates specified in this assessment. Additionally, nuisance effects can be managed to acceptable levels using normal site processes and maintenance. Therefore, it is concluded that any potential adverse environmental effects arising from the proposed activity can be avoided, remedied or mitigated and any effects will be no more than minor. It is therefore considered that discharges to air from the proposed plant expansion are consistent with the relevant standards of the NES and regional provisions.

Dust and Visible Emissions

Dust emissions from the site once operational could arise as a result of baghouse failure, poor coal handling, milk powder spills, although the chances of these occurring are small. Fonterra has a number of safety and operational measures in place to reduce the risk of these occurring and it is therefore considered that dust emissions from the site under routine operational conditions would be relatively small and characteristic of any normal large industrial site that does not have any substantial dust sources such as material stockpiles. Accordingly, offensive or objectionable dust effects are unlikely to occur beyond the site boundary. It is noted that all roadways will be sealed therefore eliminating dust from this source.

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The other source of dust is during construction. However, it is expected that potential dust emissions from this short-duration activity can be minimised through the adoption of good-practice dust mitigation measures, which would be incorporated into a construction management plan as part of the conditions of consent (see Volume III, Section 5).

The operation of cooling towers or evaporative condensers gives rise to discharges of steam, water droplets and water vapour. The visual impact of these discharges are relatively confined and generally limited to certain weather conditions associated with cooler air temperatures. The discharges from cooling towers themselves are in themselves permitted activities subject to conditions.

The warm and moist environment in a cooling tower can also lead to high bacteria levels, some of which (e.g. Legionella) pose a health risk when dispersed into the atmosphere with aerosols of cooling water. However given standard cooling tower disinfection practices the potential effects are expected to be negligible.

Odour

In terms of the main site the processes typically undertaken give rise to a small amount of low intensity odour emission, having a neutral character ‘tangy milk’ product odour. This odour is generally only noticeable in and around the processing facility and it is considered it will have a less than minor effect.

A qualitative approach has been used to assess the potential odour effects of the proposed WWTP and is contained in Volume I, Appendix F. This assessment includes consideration of experience of a similar operation at Edendale.

The existing WWTP has resulted in odour effects occurring at some surrounding rural residences. This has occurred during periods when there was insufficient aeration and a build-up of sludge in the main treatment pond. The de-sludging of the pond, along with the introduction of additional aerators has largely addressed any ongoing odour issues at the existing WWTP.

The new WWTP will represent a significant upgrade on the existing system and provide a more modern and environmentally sustainable system. While details are still to be finalised it will likely comprise two fully aerated ponds, two anoxic tanks, two clarifiers and a sludge dewatering plant. As an activated sludge treatment process it will help remove carbonaceous biological matter, nutrients and nitrogen from the wastewater. Therefore despite having a significantly greater capacity, the new proposed WWTP is anticipated to provide for greater control of odours from the site.

The minimisation of odour will be achieved by ensuring that:

 There will be no anaerobic sludge treatment. Anaerobic sludge treatment is often a significant source of unpleasant odour associated with municipal and industrial WWTPs.

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 The wastewater from the milk processing plant will be in a fresh state, having a relatively short distance to be conveyed from the milk processing site to the WWTP (approximate 700 m).

 The wastewater from the milk processing plant will have comparatively low levels of fatty solids and therefore not require a DAF for removing them. Furthermore, any fatty solids that are carried through to the WWTP will be dilute and unlikely to be odorous.

 An aerobic treatment process will be used (aerated pond system).

 The treated wastewater will not be stored for long periods of time and will be discharged via an ocean outfall.

 Waste activated sludge will be regularly removed and disposed off-site.

In addition to the above the distances between the WWTP and nearby sensitive locations is also a relevant factor. The closest sensitive residential location is to the south-east and will be some 700m from the WWTP. Based on a number of downwind observations made of the aerated ponds and other parts of the treatment plant, experience suggests that a conservative buffer distance in the order of 200m is likely to be sufficient. This takes into account the high degree of control of the plant and that anaerobic conditions, which is the main concern regarding odour emissions from WWTPs, are unlikely to occur. It is therefore likely that existing sensitive locations surrounding the WWTP would be sufficiently distant to avoid being adversely affected by odours from the WWTP despite a number of them being either downwind during prevailing wind conditions or downwind during worst case drainage flow wind conditions.

An operational management plan is proposed for the new WWTP which will cover odour management along with continuous DO monitoring of the aerated ponds.

Management and Monitoring

As part of this application, Fonterra proposes to develop operational procedures that sets out practices to ensure that discharges from the site are maintained at the lowest practicable level and are consistent with any air discharge resource consent that may be granted.

Fonterra also proposes that the following monitoring and actions be undertaken to ensure that the discharges from the site result in effects that are no greater than those predicted by this assessment. Many of these practices are routinely carried out at other Fonterra sites and will be similar for this development.

 Annual isokinetic measurements of the TSP discharge from the boiler stacks and each dryer outlet to determine whether discharge contaminant concentrations and mass limits are met.

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 Annual isokinetic measurements of the SO2 discharge from the boiler stacks to determine whether discharge contaminant concentrations and mass limits are met.

 In-stack continuous SO2 monitoring of Boiler 3 & 4 Stack.

 Broken bag detectors are to be used on both boiler and dryer baghouses and alarmed to the respective control rooms to monitor baghouse performance.

 Records are kept of the consumption of coal and biomass, the fuel calorific value and the sulfur content of the coal burned in Boilers 1 and 2.

It is not considered necessary to undertake ambient air quality monitoring. The dispersion modelling undertaken represents a conservative assessment of the potential effects of key contaminant discharges and it indicates that cumulative adverse effects beyond the site boundary are likely to be within relevant standards and guidelines.

Mitigation

The avoidance, remediation and mitigation of potential effects with regard to air discharge, as discussed in the Discharge to Air Assessment, rely upon a small number of measures being adopted. These measures are summarised in Table 12 below:

Table 12: Air Discharge Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Air Discharge Safety and operational measures in place to reduce the risk of emissions from the site under routine operational conditions.

Development of an ‘air discharge management plan’ that sets

out practices to ensure that discharges from the site are

maintained at the lowest practicable level and are consistent with any air discharge resource consent that may be granted.

All main roadway surfaces on the site to be sealed.

Any milk product powder spills will be cleaned up as necessary.

Dust/Odour/Spray Drift An operational management plan is proposed for the new WWTP which will address odour management along with continuous DO monitoring of the aerated ponds.

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Summary

The Assessment of Environmental Effects for Discharge of Contaminants to Air states that the predicted emissions of PM10, SO2 and NO2 will all be well below the NES and AAQG values respectively.

Dust and nuisance particles related to the proposed expansion of the milk processing plant as a result of air discharges are likely to be acceptable provided that good management practices are followed while odours from the Plant and from the WWTP are unlikely to result in objectionable or offensive effects at sensitive locations.

Overall, it is considered that any adverse air quality effects associated with the expansion of the Studholme milk processing site will be no more than minor.

5.5.6 Stormwater

The existing stormwater situation is described in Section 3, while details on the proposed system are described in Section 4. An Assessment of the Environmental Effects of the proposed stormwater system has been undertaken by Aurecon. This report is contained in Volume I, Appendix G. A summary of the key elements of this assessment, is overviewed in the following paragraphs.

Proposed Stormwater System

Stormwater Management during Construction

During the earthworks and construction phase of the project it is proposed that a construction management plan will be implemented to manage stormwater runoff from construction areas. The intention is to develop the stormwater collection ponds and drainage networks early in the project; however there will be limitations due to the need to complete roading and platforms to get the appropriate direction of flow. As a result there may well be occasional discharges during periods of extreme rainfall into both the Northern Drainage Path, and at times Waimate Creek.

While it is the intention that flows in excess of the existing stormwater consented discharge limit to Waimate Creek would be discharged to the ocean outfall, there may be circumstances (extreme rainfall events) during construction where the ocean outfall has not yet been commissioned. In this case it is proposed that Waimate Creek would receive construction stormwater flows via the stormwater network and storage ponds which are in excess (up to 70L/s) of the consented limits. The likelihood of this occurrence is considered to be low, due to the probability of an extreme rainfall event occurring during the short period of time between the completion of the stormwater network and the commissioning of the ocean outfall. Nevertheless the only option in such an occurrence would be to discharge to Waimate Creek.

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Stormwater System

The proposed stormwater system has been designed based on the following principles:

 Minimise the amount of stormwater requiring treatment by diverting clean upstream catchments around the site;

 Manage stormwater based on expected water quality and maintain separation of stormwater of different water qualities for treatment purposes;

 Enable isolation of the stormwater system for areas with potential contaminant spills (tanker queuing and parking areas);

 Size and operate stormwater infrastructure to minimise overflows to the receiving environment in all but extreme rainfall events (greater than a 50 year Average Recurrence Interval (ARI), 4 day duration event). During such events, excess stormwater will be discharged to the northern swale and to land east of the southern pond;

 Discharge of treated stormwater at acceptable water quality and quantity through multiple discharge locations; and

 Monitoring and maintenance of the stormwater system to identify and manage any issues requiring response.

Stormwater Quality

The existing water quality of the lower reaches of Waimate Creek and the Northern Drainage Path catchments is influenced by the intensive agricultural use of the surrounding land. Nutrients, Total Suspended Solids (TSS) and turbidity have had historically elevated levels. The stormwater treatment proposed as part of the development is expected to remove a significant portions of nutrients and TSS.

The existing Pond, South Pond, North Pond and Hannaton Road stormwater ponds will be unlined, which is consistent with the current stormwater management system. Sediment with larger particle sizes will be removed in the Sediment Forebay. Any water which seeps through the base of these ponds will be filtered as part of the seepage process, thereby further removing sediment.

The base of the Northern Pond will be constructed above an identified gravel layer in order to manage potentially high seepage rates which could occur should the gravel layer be intersected.

With regards to the potential seepage to groundwater it is expected that:

 Total nitrogen levels after treatment are an order of magnitude less than the existing long term shallow groundwater nitrate-nitrogen levels in the vicinity of the project site;

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 Copper levels after treatment are less than existing copper levels at the Fonterra bore for all but the low removal efficiency case without wetland treatment;

 By using Colorsteel roof type, zinc levels after treatment are less than existing zinc levels at the Fonterra bore for all but the low removal efficiency cases and using the Colorsteel MAXX roof type, expected zinc levels after treatment are less than existing zinc levels at the Fonterra bore for all treatment scenarios.

With regards to the potential seepage to Waimate Creek and the Northern Drainage Path it is expected that:

 By using the Colorsteel roof type, expected total copper levels after treatment are less than ANZECC trigger levels for all treatment scenarios and using the Colorsteel MAXX roof type, expected total copper levels after treatment are less than ANZECC trigger levels for all but the low removal efficiency case without wetland treatment;

 By using the Colorsteel roof type, expected total zinc levels after treatment are less than ANZECC trigger levels for the high removal efficiency (with and without wetland), and the medium removal efficiency (with wetland) and by using the Colorsteel MAXX roof type, expected total zinc levels after treatment are less than ANZECC trigger levels for all but the low removal efficiency case without wetland treatment;

 The total nitrogen level will be lower than both the ANZECC trigger level prior to treatment, as well as the existing median levels at the Sir Charles Creek monitoring site. The expected total nitrogen levels after treatment are significantly lower than the ANZECC trigger level;

 The total phosphorus levels after treatment are equal to or less than ANZECC trigger levels and existing median levels at the Sir Charles Creek monitoring site, for all but the low removal efficiency case without wetland treatment.

Overall it is considered that the stormwater system proposed will result in improvements in ground water quality.

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Flooding Impact

Preliminary flood investigations were undertaken to estimate the potential flooding impacts of the diversion of the drainage path at the northern end of the proposed development site. The results indicates that the two design options will have no more than minor downstream impacts on maximum water levels and velocities for minor, moderate and extreme flood events. Upstream of the SH1 crossing, design Option 2 (which involves an upgrade of the SH1 culvert as opposed to Option 1) reduces maximum water levels for the minor flood events, and slightly increases maximum water levels for the rare events. Any increases to velocities (upstream or downstream) remain below 1 m/s and are considered unlikely to cause additional scouring of the channels.

Overall, the preliminary flood impact assessment indicates adverse flooding effects will be minor. However under design Option 2, the flood immunity of SH1 will be increased (greater than a 10 year ARI) in the vicinity of the Molloys Road intersection, as well as increasing the flood immunity of the rail crossing. Design Option 2 is therefore considered the most appropriate option.

Mitigation

The avoidance, remediation and mitigation of a number of potential effects as discussed in the Stormwater Assessment, have relied on a range of proposed measures being adopted. These measures are summarised in Table 13 below:

Table 13: Stormwater Mitigation Features Potential Effects Avoidance, Remediation and Mitigation Measures

Stormwater quality An isolation system for areas where potential contaminant spills might occur. Separation of stormwater of different water qualities for treatment purposes. Improvements in ground water and surface water quality through the removal of contaminants and the use of appropriate materials. The preparation of a Construction Management Plan to manage stormwater runoff from construction areas during the construction phases including discharges to the northern drainage channel and Waimate Creek. Flooding Increased capacity flows under, and flood immunity for, SH1 through new culverts and the diversion of the northern drainage path.

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Summary

The implementation of a new stormwater system will result in a number of water quality improvements and overall it is considered that the proposed will have no more than minor adverse effects on water quality and flooding, subject to the proposed conditions in Section 5 of Volume III being implemented.

5.5.7 Domestic wastewater

An Assessment of the Environmental Effects for the discharge of domestic wastewater has been undertaken by Pattle Delamore Partners. This report is contained in Volume I, Appendix H. A summary of the key elements of this assessment is provided in the following paragraphs.

Due to the increase in staff numbers, the expanded site will need a package sewage disposal system, appropriately sized for the expected on-site numbers. The existing septic tank and soak hole system that facilitates the existing number of staff on-site will consequently be decommissioned (note: the Studholme Hotel will retain its own existing system). The proposed system is likely to be either a membrane bioreactor (MBR) or a packed bed reactor (PBR) sized to accommodate a daily occupation of 150 people. The sewage generated from the site, and treated via the proposed system, will be typical of domestic sewage. This sewage will be generated from the onsite toilets, ablution blocks and cafeteria. No factory process wastewater will enter this system.

The treated wastewater will be discharged to ground using a subsurface irrigation field which will be mown and the cut grass disposed of offsite. A discharge rate of up to 2.5mm/day based on a volume of 9.9m3/day within a disposal field area of 3,900m2 will be utilised. This rate is within the appropriate range for the respective soil structure.

The topsoil layers will provide in-soil treatment of the remaining effluent residuals from the treatment system, as well as providing nutrient uptake and evapotranspiration effluent field grasses. The treatment system will also be designed in accordance to Australian/New Zealand Standard: On-site domestic wastewater management (ASNZS 1547:2012).

The primary wastewater treatment system is likely to contain a high level of physical filtration which will remove viruses and other pathogenic micro-organisms and also possibly contain UV capabilities which will be effective against biological contaminants. This system will be located adjacent to the disposal field. The disposal field will be sized to allow sufficient time for soil microbial activity to remove/digest wastewater contaminants and allow the filter action of the soils to help remove these biological contaminants.

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Groundwater Effects

The likely nitrogen to leach, under the proposed wastewater discharge, is only slightly larger than the nitrogen likely to leach under an equivalent area of grazing land (a typical land use in the area). Furthermore, the equivalent leaching rate under dairy or cropping is likely to be higher than a grazing land use. The proposed wastewater system will also provide much more effective nitrogen removal than the existing, untreated, system.

The drip-line irrigation system is a very effective method of removing any remaining microbiological organisms in the wastewater due to the slow filtration in the unsaturated soils beneath the drip-lines. As a result, there is expected to be no microbial contamination of the groundwater beneath the site and therefore no adverse effects on downstream users.

Surface Water Effects

The leaching rates will be equivalent to the existing farming landuse while the proposed system provides a significant environmental improvement on the existing wastewater system. The effects on surface water are therefore expected to improve as a result of this proposal.

Soil Effects

The proposed application rate for the disposal field has been conservatively selected at a rate below the value recommended in ASNZS 1547:2012. It is also proposed that a management plan be produced with regular inspections of the disposal field, to identify areas of extended ponded as a result of excess wastewater application, with the revision of the application rate made at the end of each year to address and adjust the application rate accordingly.

Mitigation

The avoidance, remediation and mitigation of effects of the domestic wastewater discharge will rely on the new system and relevant conditions of consent. These measures are summarised in Table 14 below:

Table 14: Domestic Wastewater Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Surface water ponding Utilise excess topsoil to level off depressions in the disposal field and placing excess topsoil on the disposal lines with minimal compaction to avoid surface water ponding. If any pans or excessive compaction are noted, then the soils will be mechanically loosened by subsoiling. If any material relating to the historical use of the site as a railway is encountered this

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material will be excavated and backfilled with topsoil. Contamination of soils, surface and/or A wastewater operation plan will be produced to ensure the groundwater appropriate management of the wastewater system. This will cover various aspects of the wastewater system including inspections, disposal field management and operation manuals.

Summary

The proposal to develop the site will include the installation of a modern domestic wastewater treatment system and new land disposal area. These will replace the basic septic tank and soakhole currently operating on the site. The new system will provide significantly better treatment than that which currently occurs. The analysis indicates that the discharge quality and therefore the potential impact on the environment will be significantly less than currently occurs.

5.5.8 Glare/Light Spill

The Assessment of Environmental Effects for lighting was undertaken by Aurecon and assesses the potential effects associated with glare and light spill from the proposed expansion of the Studholme milk processing site. This report is contained in Volume I, Appendix I.

The proposal will include new lighting associated with the new intersection on SH1, the Foleys Road/SH1 intersection, the rail siding and loading area, the dryers and external staircases and internal road and milk reception area. The District Plan permits up to 10 lux spill (vertically and horizontally) onto any adjoining property up to 2 metres inside the adjoining boundary provided this spill is generated from the Business 3 zone. Within the Rural zone, there is no light spill limit, however all fixed exterior lighting is required to be directed away from adjacent properties and not cause a distraction or glare on any road.

SH1 intersection lighting

The configuration of the proposed State Highway 1/Molloys Road and site access road intersection is a “channelized four-way intersection”. The lighting design proposed for this intersection will comply with the requirements of AS/NZ standards for road intersections. The lighting requirements of NZTA for the intersection of a maximum light spill of 10 lux at 3 metres within the property boundary are also proposed to be met.

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Railway Siding and loading area

The proposal will utilise luminaires that provide a light level that exceeds the minimum requirement for a rail loading yard required by Kiwirail (average lux of 8 and uniformity of 0.5). Light spill from the rail loading area is proposed to be less than 5 lux at the site boundary while spill from the lighting associated with the siding itself will be less than 3 lux at the site boundary noting that different AS/NZ standards apply to each.

Dryer lighting and external staircases

Dryers 2 and 3 are not proposed to be lit above 12m and will not include windows so there will be no illumination from that source. There will however be safety lighting on the outer stairs which will be automated so it will only activate if there is a requirement to evacuate the building.

Internal roads, pedestrian walkways and milk reception area

The design of the road and pedestrian lighting will comply with Fonterra’s requirements while also being less than 3 lux at the property boundary. In order to achieve minimised light pollution and glare, the majority of the luminaires will be installed with a tilt angle of 0’. In addition the luminaires will be selected with optics that minimize spill lighting.

The proposed lighting associated with the site represents the minimum necessary for operational and safety requirements and will achieve compliance with the District Plan standards for both the Rural and Business 3 zones. With regard to surrounding properties within the rural zone, it is anticipated that light spill from within site as a whole will not exceed 5 lux at the site boundaries. This is an appropriate level of lighting to minimise any adverse effects and will ensure that the site will be compatible with its rural surrounds noting that much of the lighting will be exhibited from the Business 3 zoned portion of the site while there will be intervening mitigation in the form of earth bunds and landscaping along the eastern and western boundaries. Subject to conditions around lighting heights, luminaries, lamp positions and maximum spill limits, any adverse effects are considered to be less than minor.

Mitigation

The avoidance, remediation and mitigation of the effects of glare and light spill will rely on the design and implementation which is proposed and the conditions of consent. These measures are summarised in Table 15 below:

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Table 15: Glare and Light Spill Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Glare / Light Spill The mounting height for exterior lighting on poles or building structures will not exceed 12m above ground, except for:

a) Localised lighting on walkways and access facilities higher than 12 m which shall have operation restrictions relating to the duration of use; and

b) Lighting associated with the rail loading and unloading area, which shall have lighting no higher than 15m.

Lighting for the railway spur will be restricted to:

a) The area for loading or unloading activities and

b) Any time period where lighting is necessary for the loading and unloading of rail wagons.

Exterior luminaires shall be of a type and mounting that results in minimal output above the horizontal plane (eg roadway luminaires of AS/NZS 1158.3.1: 2005, type 5 or 6)

Lamps for open area exterior lighting shall have an atmospheric refraction characteristic no greater than that of the high pressure sodium vapour type.

Any night time lighting shall be designed so that the light spill onto any adjoining property is no more than 5 lux light spill.

Summary

The proposed lighting associated with the site represents the minimum necessary for operational and safety requirements and will achieve compliance with the District Plan standards for both the Rural and Business 3 zones. The level of lighting and glare anticipated to be exhibited from the site is appropriate to minimise any adverse effects on surrounding properties and residences and will ensure that the site will be sufficiently compatible with its rural surrounds. Subject to conditions around lighting heights, luminaries, lamp positions and maximum spill limits, any adverse effects are considered to be less than minor.

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5.5.9 Traffic Effects

The Traffic Assessment undertaken by Carriageway Consultants assesses the potential traffic related effects associated with the proposed development. This report is contained in Volume I, Appendix J and is summarised within the assessment below:

Access and Vehicle Distribution

State Highway 1 / Molloys Road Intersection

Following discussions with NZTA, the main access to the plant is proposed to be located directly opposite Molloys Road, and will form the fourth leg at the State Highway 1 / Molloys Road intersection. As this access will accommodate the bulk of the heavy vehicle movements, it is proposed that the access will be designed to a full intersection standard based upon the Austroads Guide to Road Design series, and supplemented by the Manual of Traffic Signs and Markings (‘MOTSAM’). Accordingly, auxiliary left-turn and right-turn lanes into the site have been provided, with the latter designed to allow for two tankers to queue simultaneously. A left-turn acceleration lane has also been included.

The access is positioned where there may be some minor difficulties in achieving the appropriate sight distance along the highway. However it should be noted that drivers of heavy vehicles sit at an elevated position and thus the sight distances are measured at a point higher than for car drivers (2.4m rather than 1.1m) and this has the effect of increasing the sight distances available. Anticipating that the sight distances are provided, it is not envisaged that tanker drivers will have any difficulty in choosing appropriate gaps in the traffic stream to ensure safe turning manoeuvres to and from the site due to the relatively low volumes of through traffic on the highway.

State Highway 1 / Foleys Road Intersection

Traffic flows turning to and from Foleys Road will also increase as part of the proposal. As with the State Highway 1 / Molloys Road intersection, the layout of the State Highway 1 / Foleys Road intersection has been progressed through discussion with NZTA and is based upon the Austroads Guide to Road Design series, supplemented by MOTSAM. As relatively few heavy vehicles will use this access, it is not considered that acceleration or deceleration lanes are required. The sight distances at this existing intersection are excellent and it is considered that these will be maintained under the proposed arrangement.

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Foleys Roads Railway Level Crossing

The location of the site accesses are such that it is not expected that there will be any increase in traffic flows crossing the Foleys Road level crossing. However, the existing crossing facility is equipped with flashing lights and bells, and half-arm barriers, which is the highest level of provision available, and thus is able to accommodate higher vehicle (or train) movements without difficulty.

Traffic Generation of the Development

Following the completion of Dryer 1, a total of up to 188 light and 488 heavy movements (two way) are anticipated. Following the completion of Dryer 2, a total of 336 light and 901 heavy movements are anticipated. Taking into account the anticipated distribution of traffic, the proposal will result in a total of 649 heavy vehicles per day to/from the south and 252 heavy vehicle movements per day to/from the north once both dryers are operating. Under the same development scenario, there will be 302 light vehicle movements per day to/from the north and 34 light vehicle movements to/from the south, if the current patterns of employee travel continue.

Highway Level of Service

Under the proposal, during construction of the second dryer the weekday peak hour flows on State Highway 1 could increase to 810 vehicles per hour. Under the Austroads Guide to Traffic Management Part 3 (‘Traffic Studies and Analysis’), this equates to Level of Service C, which is defined as “in the zone of stable flow, but most drivers are restricted to some extent in their freedom to select their desired speed and to manoeuvre within the traffic stream”. Within the context of a state highway, this level of service is acceptable. With both dryers constructed, the State Highway would revert to providing Level of Service B for operational traffic.

Intersection Level of Service

The two proposed intersections have been modelled using the computer software program SIDRA Intersection, for each of the following scenarios:

 Existing Dryer + Dryer 1

 Existing Dryer + Dryer 1 + Construction Traffic

 Existing Dryer + Dryers 1 and 2

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The predicted queues and delays at the State Highway 1 / Foleys Road intersection are all low (Level of Service ‘A’), even under the most extreme scenario. The good levels of service indicate that the intersection has significant spare capacity, and in this regard it will therefore be able to easily accommodate any higher traffic flows that may eventuate with the potential closure of Packers Road.

At the State Highway 1 / Molloys Road / Site Access intersection, the delays for vehicles exiting from the site to turn right are in the order of 40 seconds, which results in Level of Service ‘E’ arising. However due to the generally low vehicle flows, the delays are not considered to be excessive in this instance plus they occur because the approach is dominated by heavy vehicles that take longer to accelerate than light vehicles. Moreover, these delays only occur to Fonterra vehicles, and in respect of movements on Molloys Road, the increase in delay is less than 7 seconds. It is also noted that the difference between the existing and first new dryer operating, and the existing and two new dryers operating is minimal. Overall, the analysis confirms both intersections will operate satisfactorily under usual operating conditions on the state highway.

Non-Car Modes of Travel

It is unlikely that the proposed development will give rise to any significant pedestrian or cyclist volumes, and so the current level of provision will remain adequate. As set out above, informal observations and the rural nature of the site location suggest that use of the area by pedestrians and cyclists is very low, and the road safety records do not show any pedestrian or cyclist crashes in the immediate area. Although few cyclists are expected, it is considered appropriate to provide some cycle parking on-site. Applying the ratio of 1 cycle parking space to 20 car parking spaces provided (as opposed to 1 per 20 required by the District Plan), this suggests that a minimum of 8 cycle parking spaces would be sufficient. A total of 10 cycle stands are proposed adjacent to the office/canteen building which is considered adequate for the proposed development.

Road Safety

It appears that there may be a current deficiency in the surface friction at the existing State Highway 1 / Molloys Road intersection. However this intersection will be upgraded as a result of the proposal, and is likely to have both ‘flag’ lighting and a new road surfacing. Consequently, the prevailing deficiency will be addressed as part of this proposal. As the new intersections will be designed to meet current standards, it is not considered that the development will result in any adverse road safety effects.

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As shown on the site plan, it is intended to locate trees along the frontages of SH1 and Foleys Road. On Foleys Road a row of Totara will be planted extending from SH1 to Hanson Street. The trees will be spaced at 5 metre centres. This means that morning sunlight is able to access the road via the gaps between the trees. As the trees mature they will be limbed up to at least 3m above ground level. This will also enable enduring sunlight access to Foleys Road at all times of the year.

Totara will also be interspersed among other lower growing vegetation alongside SH1. Compared to those on Foleys Road the spacing of these trees will be sporadic and sparse at no less than 25 metres. This spacing will result in occasional shadowing while enabling sunlight access to the highway between the trees. As the sun passes, shadows will shorten and move thereby exposing the entire road to sunlight. As for the trees alongside Foleys Road, those on the SH1 frontage will also be limbed up as they mature.

Construction Traffic

The construction work at Studholme is anticipated to involve an on-site workforce starting at 50 employees and peaking at up to 700 employees with an estimated monthly average of around 300 employees. Construction staff numbers would increase from 50 people at the outset, building to a peak near the end of the project.

Due to the existing high level of service on the roading network and the good accident record, it is unlikely that any adverse effects would arise due to construction vehicles. Under the Code of Practice for Temporary Traffic Management Measures (‘COPTTM’), a Traffic Management Plan (‘TMP’) is required to be produced for construction projects that are expected to vary the normal operating conditions on the state highway and district road network. It is expected that this will be the case for the expansion of the plant in view of the number of construction workers anticipated. Under COPTTM, the TMP will need to be approved by the road controlling authorities (in this case, NZTA and Waimate District Council) prior to work commencing which will mitigate any potential adverse effects associated with this temporary traffic.

Parking and Manoeuvring

The proposal includes both an industrial land use (approximately 112,000m2 GFA) and an office use (approximately 2,200m2 GFA). Based on providing 1.5 parking spaces per 100m2 GFA of industrial land use, and 2.0 spaces per 100m2 GFA of office use, the proposal would require 1,705 parking spaces. However, a total of 160 spaces are to be provided, representing just 9% of the District Plan requirement.

Based on the predicted peak parking demand which will occur between 5pm and 6pm, when both the day and night shift operators will be present, plus the office staff, plus the tanker drivers’ private vehicles, this equates to 128 vehicles that may be present within the site at that time (excluding any visitors). The maximum demand is therefore less than the on-site provision of 160 spaces.

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In this case, the parking provision has been developed on the basis of Fonterra’s knowledge and understanding of the staffing requirements associated with a milk processing plant, and this shows that the proposed provision will meet demand. As such, it is highly unlikely that there would be any requirement for vehicles to be parked on the surrounding road network (including the state highway) or within overflow areas.

The proposal has a small number of other minor non-compliances e.g. queuing space, distance of vehicle crossings from intersections, provision of disabled parking, with the relevant provisions of the Waimate District Plan. The disabled parking matter could easily be addressed through if necessary through a minor amendment to the indicative parking layout, and the queuing space and the distance of vehicles crossings from intersections are unlikely to have adverse effects due to the low traffic volumes on the adjacent roads.

Mitigation

The avoidance, remediation and mitigation of a number of potential effects of traffic, as discussed in the Traffic Impact Assessment, has relied on the following measures in Table 16 below.

Table 16: Traffic Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Construction and Operational traffic The level of service within the state highway will be maintained at an acceptable level with both dryers constructed.

All movements associated with the plant construction will be managed by a Construction Traffic Management Plan (CTMP) which will be prepared to the satisfaction of the Waimate District Council and the NZTA.

Trees will be limbed up to avoid shading of roads.

Site access Both proposed accesses will be designed in accordance with Austroads Guide to Road Design and MOTSAM and will perform satisfactorily under usual operating conditions within the state highway.

Parking Sufficient car parking and cycle parking will be provided to cater to the anticipated demands of the proposed activity.

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Summary

The proposed expansion will result in access upgrades and additional operational traffic movements on the roading network while construction of both Stages 1 and 2 will lead to a short term increase in traffic volumes due to the movement of construction vehicles.

Overall, and subject to a Condition of Consent for the preparation of a Construction Traffic Management Plan, it is concluded that the transportation effects of this proposal can be accommodated on the adjacent transportation networks and that any adverse effects will be less than minor.

5.5.10 Noise Effects

The Assessment of Environmental Noise Effects undertaken by Marshall Day Acoustics assesses the potential noise effects associated with the proposed development. This report is contained in Volume I, Appendix K.

Existing Noise Environment

The noise environment in the vicinity of the proposed expansion is dominated by the existing dairy factory operation and traffic on State Highway 1, along with a contribution from rail on the main trunk line.

Marshall Day Acoustics has performed annual noise monitoring around the Fonterra Studholme site over a number of years. Data collected during these detailed surveys has been used to build and calibrate an extensive noise model of the site. This model has been developed using the internationally recognised noise modelling software package SoundPLAN.

While the results of this modelling compare closely to measurements on and around the site, the model is considered to be conservative (i.e. predicts slightly greater noise levels) as it assumes a light downwind noise propagation in all directions around the plant simultaneously.

The model of existing site noise emissions does not include traffic on public roads or trains on the main south rail line. Ambient noise levels in the area will be significantly higher than the predicted noise levels for the dairy factory alone when State Highway 1 traffic noise and rail noise is included, particularly during the day. The dominant noise sources on the existing site are the drier exhausts, HVAC outlets, boiler, cooling towers and milk reception pumps.

The recorded and modelled results for all existing noise emissions have been measured as being comfortably below the night-time noise limit of 45 dB LAeq (15 min) at the notional boundaries of all non- Fonterra owned dwellings and therefore are compliant with the permitted District Plan noise provisions.

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Predicted Daytime Noise Levels

Main site (including WWTP) – Day-time

Marshall Day have undertaken an extensive set of noise modelling predictions based on a range of scenarios including:

 Dryer 2 expansion: plant and tanker movements;

 Dryer 2 expansion: plant, tanker and train movements;

 Dryer 3 expansion, plant and tanker movements;

 Dryer 3 expansion, plant and tanker and train movements (without 5m high noise bund along rail spur)

 Dryer 3 expansion, plant and tanker and train movements (with 5m high noise bund along rail spur)

 Dryer 3 expansion, plant and tanker and train movements (with 5m high noise bund along rail spur) plus WWTP with unattenuated aerators.

 Dryer 3 expansion, plant and tanker and train movements (with 5m high noise bund along rail spur) plus WWTP with attenuated aerators.

The predicted noise levels under all of the above scenarios comply with the proposed 45 dB LAeq (15 min) night-time noise limit at all non-Fonterra owned dwellings including the closest dwellings at 89 Foleys

Road (44 dB LAeq (15 mins), 483 Molloys Road (42 dB LAeq (15 mins), and 526 Hannaton Road (40 dB LAeq).

It is also not anticipated that any noise sources on the Fonterra site will cause the District Plan night-time

LAFmax noise limit to be exceeded at nearby non-Fonterra owned dwelling. Rail activity will produce the highest LAFmax noise levels during arrival and departure, although the maximum noise level from this activity is predicted to be less than 60 dB LAFmax at the nearest non-Fonterra owned dwelling (89 Foleys Road).

The noise predictions also confirm that noise emissions from any of the proposed WWTP options will not significantly contribute to overall noise levels received at nearby dwellings with the cumulative noise levels from the site and any of the proposed WWTP options being no more than 40 dB LAeq(15 min) at 322 Hannaton Road, the dwelling nearest the WWTP that is not owned by Fonterra.

The predicted noise level of less than 45 dB LAeq(15 min) at the nearest dwelling is consistent with the District Plan night-time noise limits, the residential noise limits provided in the latest version of New Zealand environmental noise assessment standard NZS 6802:2008, and the World Health Organisation Guideline Values for the protection of sleep. The noise related effects of the proposal are therefore considered be acceptable.

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Construction Noise

The District Plan specifies that construction noise shall be assessed using NZS 6803:1999 Acoustics – Construction Noise. The construction period of the proposed Plant expansion is expected to be approximately 18 months.

From experience with the recently constructed Darfield Dairy Factory it is expected that compliance with NZS 6803:1999 Acoustics – Construction Noise will be achieved with at all neighbouring dwellings when construction takes place during daytime hours and with limited heavy construction during the night-time period.

Mitigation

The avoidance, remediation and mitigation of the potential effects resulting from noise will incorporate the following proposed measures outlined in Table 17 below:

Table 17: Noise Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Main site and WWTP Noise from all activities will not exceed the permitted day-time and night-time noise limits of the Waimate District Plan.

Annual noise monitoring

Rail noise Creation of an earth bund within the rail designation that will further reduce noise exposure at the nearest residence.

Construction noise Compliance with construction noise in accordance with NZS 6803:1999 Acoustics – Construction Noise.

Summary

Overall, it is predicted that the expanded Plant and upgraded WWTP, including road and rail activity on site, will comply with the noise requirements in the District Plan. Similarly, it is anticipated that all construction activities will comply with NZS 6803:1999 Acoustics – Construction Noise. Conditions requiring noise compliance with these standard are proposed in addition to a suite of annual noise monitoring and reporting conditions which are detailed further in Volume III, Appendix 5.

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5.5.11 Hazardous Substances

The existing milk processing site includes the storage of hazardous substances primarily within the central portion of the site which are appropriately bunded and contained to prevent potential spills. The proposal will result in increases in the quantity levels of some hazardous substances stored on site and therefore will breach the quantity limits of the District Plan. It is noted that no storage facility will be located within 20 metres of any recorded groundwater bore or within 100 metres of a known fault line and therefore are permitted under the operative provisions of the Land and Water Regional Water Plan.

The substances proposed to be stored include diesel, diesel additive, LPG, nitric acid, caustic, hydrochloric acid, sulphuric acid and food grade caustic. The location of these storage areas is proposed to be adjacent to the proposed dryers and milk silos with the exception of the above ground fuel (and fuel additive) tanks which will be adjacent to the tanker parking area for Dryer 2 in the south-western corner of the site.

The potential effects associated with hazardous substances include the potential entering of contaminants into the environment and the consequential impacts on the health and wellbeing of human, plant or animal health. A number of controls and conditions on the storage of hazardous substances are required under the relevant legislation in order to provide a high level of protection to the environment. The design and management of all hazardous substance storage areas will also be undertaken in compliance with the applicable permitted standards of the District Plan and all requirements under HSNO. This includes locating all facilities over impervious services with associated bunding and containment with sufficient capacity to control and capture any potential spills. All facilities are also subject to certification and testing of facilities prior to use as well as ongoing maintenance under HSNO requirements.

Contingency Plans and Compliance

The site has an emergency response plan and HSNO management system which includes a response to hazardous substance spills. On-site personnel are trained and equipped to respond to hazardous substance spills and spill kits are available on site.

Specific measures proposed include:

 Location test certificates obtained for required substances;

 Stationary bulk container certificates obtained for the concentrated bulk chemical tanks;

 Process vessel tank certificates obtained for CIP tanks; and

 Signage that meets the HSNO signage regulations is installed along with the required emergency equipment (e.g. safety showers, breathing apparatus and chemical suits etc).

These measures will be expanded to incorporate the additional facilities.

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Mitigation

The avoidance, remediation and mitigation of the potential effects resulting from the use and storage of hazardous substances will incorporate the following proposed measures outlined in Table 18 below:

Table 18: Hazardous Substances Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Solid Waste Disposal Utilisation of an Eco Efficiency System

Hazardous substances containment Use of bunding, containment, isolation and impervious surfaces to capture any spills.

Contingency Plans Use of an emergency response plan and equipment.

Provision of a HSNO management system.

Summary

Overall, it is considered that the mitigation measures listed above will ensure that the storage of hazardous substances and waste management will be appropriately managed to a level where adverse effects will be less than minor.

5.5.12 Cultural and Archaeological Effects

Cultural Effects

No specific sites of cultural significance are identified in the District Plan within the immediate vicinity of either the milk processing site or the WWTP. It is acknowledged however that Maori (Te Runanga o Waihao have manawhenua for the site and surrounds) have a close relationship with water and that the wider proposal incorporating the pipeline and ocean outfall (Volume II) encompasses the assessment of effects on the Wainono Lagoon, Waihao Arm and the coastal region associated with this component of the development.

To date, Fonterra has shared information with iwi representative who have attended briefing sessions on the development and in particular on the wastewater disposal component of the proposed development.

The Cultural Impact Assessment (contained in Section 3 of Volume III) identifies in terms of the expansion application that Te Runanga o Waihao (Waihao) would like to see:

(i) an archaeological survey of areas where construction will be carried out or where earthworks will be carried out before construction starts;

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(ii) more done to hide as much of the Studholme plant expansion and WWTP as possible including a 20m buffer of riparian vegetation around the boundary of both facilities and would like to work with Fonterra on developing a riparian planting plan for both the Plant site and WWTP;

(iii) storm water to be treated separately from the wastewater and treated via a wetland as part of the treatment process. Before any future discharge Waihao would like Fonterra to investigate the impact the current discharge has had on Waimate Creek. Waihao see this discharge as having the potential to augment Waimate Creek and propose Fonterra investigate if this discharge would have a greater impact on another surrounding waterway;

(iv) like to work with Fonterra on the design of the wetland at the WWTP and would like to investigate if there is the potential for it to be used as a source of mahinga kai i.e. harakeke, raupo;

(v) Fonterra to ensure odour from the WWTP is mitigated so it doesn’t have an impact on the surrounding area;

(vi) significant commitment by Fonterra and its shareholders to mitigate potential impact on the environment. This would include more restoration within the Wainono / Waihao Catchment, advocate for greater uptake of “best management practice” on farm and farm management plans;

(vii) information that the water usage from the expanded Studholme plant will not have an impact on the unconfined aquifer which leads to an impact on puna and ground feed waterways in the Wainono / Waihao Catchment; and

(viii) regular meetings with Fonterra to discuss their operations within their takiwa as well as potential restoration projects.

A response to these matters from Fonterra is provided within the CIA (letter dated 27 July from Ian Goldschmidt, National Environmental Manager) and it is noted that the majority of the issues are covered within the application and conditions proposed in Section 5 of Volume III.

Fonterra recognises the unique position of tangata whenua and will continue to consult with Waihao to ensure that any potential impacts of the proposal can be adequately avoided, remedied, or mitigated.

Archaeological Effects

The milk processing site has previously been extensively developed and no archaeological sites have been recorded within this or the WWTP site. However, given the former use of the site a comprehensive condition regarding the Accidental Discovery of any artefacts or cultural remains discovered during the construction process will be implemented as part of this proposal.

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Historical context

The Waimate District Plan identifies one historic building (‘H26’) approximately 1,300 metres to the north of the development site. This is known as the ‘Wainono Homestead’, Category C listed brick house with kauri, rimu, totara and cedar interior. The Wainono Homestead is located within a mature landscaped setting and surrounded by a number of large trees. Consequently there is a limited visual connection between the application site and the homestead. The proposed works will not therefore impact upon the heritage qualities of the homestead or its immediate surroundings with any adverse effects being negligible.

Mitigation

The avoidance, remediation and mitigation on cultural and heritage values, has relied on proposed mitigation measures. These measures are summarised in Table 19 below:

Table 19: Cultural and Archaeological Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Cultural values Accidental discovery protocol consent condition requiring the involvement of Te Runanaga o Waihao to ensure the appropriate management of any unidentified sites.

Archaeological and historic values Accidental discovery protocol consent condition to ensure the appropriate management of any unidentified sites.

Summary

The proposed mitigation measures are considered sufficient to ensure that any adverse effects on historical, cultural and archaeological values arising from the proposal will be no more than minor.

5.5.13 Earthworks

In order to construct the extensions to the milk processing site, it will be necessary to level the site through the excavation of soil. The proposal will involve the excavation and fill of material on the expanded milk processing site in order to construct the new buildings and vehicle manoeuvring areas. This excavated material will be reused as fill and to create bunds for acoustic purposes along the state highway boundary and the eastern railway boundary.

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A certificate of compliance has been obtained from with Waimate District Council for the earthworks on the milk processing site that do not include any areas that are potentially HAIL sites or within 20 metres of a watercourse. Those areas concerning HAIL sites will be subject to a separate resource consent application. Those areas within 20 metres of a watercourse are included as part of this application.

The proposed earthworks for the development are essentially broken down into four components, being the site levelling, the construction of the northern swale, the formation of wastewater treatment plant and storage ponds, and the construction of noise bunds.

The consent requirements are primarily limited to all works that will affect the existing stormwater catchment within the northern portion of the site. This area, although not exhibiting a defined channel, is considered a river for the purpose of the Plan rules. All earthworks within 20 metres of this area are therefore subject to resource consent. This includes some site levelling, and the construction of the northern stormwater pond and swale. The stormwater effects associated with these features is discussed in detail within the stormwater section of this assessment and will be managed so that any adverse effects will be no more than minor with regard to water quality and surface flooding.

The swale and stormwater ponds will be constructed and grassed while the northern stormwater forebay pond and WWTP will be lined to allow for capture and treatment of potential contaminants and to prevent any seepage to groundwater. Some excavated soil from these facilities will be utilised on-site for the construction of 1-2m high mounds in creating the ponds. As a result of the pond locations and designs, they will not be readily visible from surrounding properties due to the visual effects being largely located below ground level along with intervening mounds and vegetation preventing views to the pond surface. The ponds will be constructed to engineering specifications and battered to avoid the risk of erosion.

With regard to the remainder expanded building site, the relative gentleness of the land slope will ensure that there are no steep vertical cuts or ability for soil erosion to occur. Earthworks within this area (excluding any potential HAIL sites within the existing site area) are a permitted activity. However, this portion of the site will be covered by either buildings and/or grassed or sealed areas which will ensure the area is rehabilitated so that the earthworks undertaken do not continue to create impacts on the surrounding environment in terms of dust and erosion.

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Much of the excavated soil will be utilised to construct noise bunds which form part of the proposed mitigation package associated with the proposal and will be constructed to a height of 2 metres with battered slopes along the SH1 frontage and up to 6 metres with battered slopes along the eastern railway boundary. Construction will be undertaken to ensure stability of the bunds is maximised including the grassing (western bund) and landscaping (eastern bund) of the bunds with appropriate species, to enable the banks to maintain their shape (and ultimately to realise their noise reducing benefits) and avoid erosion and dust emissions. Any excess soil will be disposed off-site at a yet to be determine location.

Overall, the periods during which there is the greatest potential for effects from earthworks associated with these features is during construction when soil is being shaped and distributed and will remain exposed until grass cover has been established. To mitigate this, all temporary periods of soil exposure will be managed in accordance with an erosion and sediment control plan which will include procedures for dampening down soil during dry and windy conditions and ensuring that sediment runoff into any waterways is minimised.

Mitigation

The avoidance, remediation and mitigation of earthworks, has relied on proposed mitigation measures. These measures are summarised in Table 20 below:

Table 20: Earthworks Mitigation Features

Potential Effects Avoidance, Remediation and Mitigation Measures

Earthworks That all temporary periods of soil exposure be managed in accordance with an erosion and sediment control plan.

That all stormwater ponds, swale surfaces, noise bunds and other areas not to be covered by buildings or impervious surfaces be grassed immediately following their formation and be maintained as such.

Summary

On the basis of the above, it is considered that any adverse effects in relation to earthworks will be no more than minor.

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5.5.14 Overall Conclusion on Effects

Expansion of the Studholme milk processing site has the potential to affect the surrounding environment and community. Environmental and technical investigations have been undertaken to identify these effects and identify approaches that avoid, remedy or mitigate actual and potential effects whilst also recognising the benefits of the proposal.

A range of significant positive benefits have been identified in relation to the expansion proposals, including increased direct and indirect employment during both the construction and operational phases, reduced nitrogen loading due to a range of improved management techniques and reductions in noise levels.

With regard to potential adverse effects on the environment, based on investigations undertaken and subject to a range of measures proposed, it is concluded that there may be some significant or dominant visual effects associated with the expanded Plant itself, but that the remainder of the effects associated with this component of the application will be no more than minor.

5.6 Consideration of Alternatives

Alternatives to the expansion of the Studholme Manufacturing Plant were considered to deal with the growth in milk production within the South Island. These pertained to an expansion of the Clandeboye Plant north-east of Temuka or the development of a greenfield site.

5.6.1 Clandeboye Expansion

The Studholme Plant is already currently used to tranship milk, which is collected from farms within the local catchment area, for processing at Clandeboye. In terms of a transport efficiencies therefore modelling showed significant additional transport cost savings in expanding capacity at the Studholme site rather than the Clandeboye site with approximately 72% of the milk to be processed coming from the south of the Studholme site. The modelling estimated that a reduction of 8,879 vehicle kilometres per day travelled by milk tankers for the Stage 1 increasing to 29,266 vehicle kilometres per day with the completion of the Stage 2 as compared with expanding the capacity at the Clandeboye plant.

The Studholme expansion also offered the option of import and exporting goods by rail which is unavailable at the Clandeboye Plant which is reliant on trucks.

The Studholme site therefore provided significant transport efficiencies compared to Clandeboye and was much closer to the milk supply.

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5.6.2 Greenfield development

A greenfield site with proximity to rail and major roading would be rurally zoned as opposed to the Studholme site which for a large part zoned and thus anticipated for industrial purposes.

From a landscape and visual perspective there would be no alternative sites in the vicinity where a better outcome was achievable given the existing development contained on the Studholme site. The landscape in this area is not recognised as being particularly significant, thereby meriting further consideration of alternative sites.

Finally, an alternative site would undermine the operational efficiency of the existing plant and possibly lead to an inefficient use of resources.

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6. POLICY FRAMEWORK

6.1 Relevant Planning Documents

In order to satisfy Section 104 of the Act regard needs to be given to the provisions of several planning documents. On the basis of Section 104(1)(b), the statutory documents that are of particular relevance to the application are:

 National Environmental Standard for Air Quality;  National Policy Statement for Freshwater Management 2011;  The Canterbury Regional Policy Statement;  The Proposed Regional Air Plan;  The Natural Resources Regional Plan;  The Proposed Land and Water Regional Plan;  The Waimate District Plan;

6.2 Relevance of Planning Documents

The Waimate District Plan became operative on 28 February 2014 and therefore its provisions have full weighting.

With regard to the Regional planning documents, all relevant appeals on the LWRP have been completed and therefore the only remaining aspects of the NRRP that are still considered applicable are those related to the Air Quality Chapter. Therefore, with the exception of the Air Quality Chapter, the NRRP provisions have not been considered. The Proposed Regional Air Plan provisions are of relevance however given the stage that Plan has reached their weighting is limited.

6.3 Relevant Issues

The most relevant issues contained within these documents in terms of the proposed expansion of the Studholme Milk Processing site itself (i.e. not the pipeline) can be summarised into the following key subject areas being:

1. Landscape, Amenity and Rural Character 2. Soils, Earthworks and Land Use 3. Air Quality 4. Water Quality 5. Transportation

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6. Hazardous Substances

To assess the consistency of the proposal with the planning documents, the following identifies, and where necessary, repeats the key provisions of each of the key issues above.

6.3.1 Landscape, Amenity and Rural Character

The relevant objectives and policies relating to landscape, amenity and rural character are in the:

 Waimate District Plan

Note: The application site is not located within an ONL nor does the site exhibit any outstanding natural features and while the Wainono Lagoon and Waituna Stream are recognised as an ONL they are not, in terms of the Milk Processing site extension, considered to be within close enough proximity to warrant specific assessment.

The listed provisions of relevance to the proposal are as follows:

Waimate District Plan

Business 3

Objective 1 - The establishment and maintenance of industrial activities which do not adversely affect the amenities of areas in the vicinity.

Policy 1B - To control the standard of noise, glare, building height, hours of operation, on- site parking, dust, setback and landscaping to ensure there is no detraction from the amenities of residential areas within the vicinity.

Objective 2 - The functioning of industrial and service activities in a way which creates an acceptable level of amenity and environmental quality for people visiting and working within or visiting the zone.

Policy 2A - To control the level of noise, glare and dust to ensure that an acceptable level of amenity and environmental quality is maintained for people working within and visiting the industrial zones.

The explanation and reasons appear to relate to amenity within residential zones and within the industrial zones themselves. However the sentiments of the policies would seem to have relevance to this proposal in terms of the limits set on those effects known to have the potential to compromise the surrounding environmental quality and amenity.

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Rural

Objective 6 - Promotes a level of rural amenity which is consistent with the range of activities anticipated in rural areas, but which does not create unacceptably unpleasant living or working conditions for the District's residents or visitors, nor a significant deterioration of the quality of the rural environment.

Policy 6E - Requires the setting of performance standards, or control by conditions those aspects of activities such as noise, dust, fumes and visual impacts which can adversely impact on the amenity of rural areas. To require the Council's consent for activities which are likely to have impacts on the amenity of rural areas which cannot be anticipated.

Policy 6I – Seeks to recognise that the Rural Zone may be the most appropriate environment for some utility, industrial, service or commercial uses to establish, provided the amenity and character of the rural area is maintained.

The explanation and reasons note that a wide variety and scale of industrial or services activities may want or need to establish in the Rural Zone and that these activities often serve the productive use of the Rural zone or they may require large areas of land only available within the rural area. Milk processing plants are an examples of such activities. It is also noted that the rural environment may be able to absorb these activities better however, that there is a need to ensure they do not significantly impact on the enjoyment of the area for residential or recreational use, the efficient carrying out of productive uses and the amenity and character of the environment.

Signs

Objective 1 – Promotes signs which convey necessary information, while avoiding or mitigating any adverse effects on the visual amenities of the District, public safety, convenience or access.

Policy 1A – Seeks to prevent the display of signs which may adversely affect traffic safety, by causing confusion or distraction to or obstructing the views of motorists or pedestrians.

Policy 1B - Requires prescribe standards controlling the number, size, location and nature of signs in different areas of the District, in accordance with the character and amenity of the areas and the community's desire to maintain and/or enhance the environment, appearance, heritage values or visual amenity of those areas.

The explanation and reasons note that because signs provide information and can add colour and vibrancy to places it is desirable to avoid and mitigate adverse visual effects of signs by providing only for those signs that are compatible with public safety, convenience, access and the maintenance of amenity in certain

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The explanation and reasons also note that it is desirable that the character and amenity of rural and residential areas in particular be maintained and remain essentially non-commercial and it is therefore appropriate to limit the number, type and location of signs in rural areas.

Visual

Visual effects already exist in the form of the existing dairy plant. As a result the proposal as a whole is not foreign to the setting in terms of its character and amenity effects and as such generic landscape character will be maintained. The proposed Plant expansion will however result in an appreciable change within the application site and beyond to within about a 1-2 kilometre radius. Beyond this, the expansion will be apparent, but any sense of domination will be diminished.

The major change arises from the increase in height of some of the new buildings. The height is however effectively unavoidable and is a core function of the operational requirements of the particular buildings (primarily the dryers and boilers) involved. In order to retain a degree of visual coherence and uniformity the taller buildings have been, as far as practical, concentrated rather than dispersed. The proposed landscaping will contribute to an improvement in amenity and will over time screen significant portions of the lower levels of the plant.

The District Plan provisions do entertain the possibility that activity such as that proposed is perhaps better suited to the rural environment. In so doing, the Plan is acknowledging that large rural based processing enterprises are likely to feature in the District’s rural landscape provided the amenity and character of the rural area is maintained. In this regard a dairy plant already exists on the site and this informs the character and amenity of the area and peoples’ expectations. It is also located in a setting that occupies the lower end of the naturalness scale. Because of this, the expansion of the dairy plant would not be contrary nor inconsistent with these expectations or to put it differently, people would not be surprised to find the expansion that is proposed.

Notwithstanding the above there is little doubt that the expansion with have a visual impact. Just how adverse that will be will, given the lack of any natural landscape features of importance, be down to individuals perceptions of their visual outlook. It is unlikely however that such effects are at the level of unacceptably unpleasant, nor will result in a significant deterioration of the quality of the rural environment.

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The signage proposed as part of the expansion is relatively limited and relates to the identification of the site and the Fonterra brand. It is considered unlikely it will have any adverse effect on visual amenity nor effect traffic safety.

Given the above discussion, it is concluded the proposal is consistent with the above policy framework for landscape and visual amenity values.

6.3.2 Noise

The permitted noise levels within the Plan have been directed by Business Policy 2A and Rural Policy 6E (listed above) which seek to provide a control limit which if exceeded can begin to adversely impact or detract on the amenity of some rural areas. It is predicted that the Plant and WWTP, including road and rail activity, will comply with the permitted day time and night time noise limits contained in the District Plan while all construction activities will be managed in accordance with NZS 6803:1999 Acoustics – Construction Noise. Given compliance will be achieved, the proposal is considered to be consistent with the intent of the Plan policy direction with regard to noise within both the Business and Rural environment.

6.3.3 Lighting and Glare

The lighting and glare provisions within the Plan have also been directed by Business Policy 2A and Rural Policy 6E (listed above) which seek to provide control limits which if exceeded or breached can begin to adversely impact or detract on the amenity of some rural areas.

The proposal will include new lighting particularly associated with the SH1 intersections, the rail siding loading area, the new tanker parking area and milk reception area and internal pedestrianised areas. The new dryers will not contain windows so there will be no illumination from that source. There will however be safety lighting on the outer stairs which will be controlled by movement sensors and therefore only be lit when the stairs are in use.

The direct effects of the associated artificial lighting sources from the site will be relatively localised and isolated with the most noticeable changes to the SH1 intersections which are required to meet NZTA standards. To some extent, all of the proposed lighting sources will be mitigated by intervening buildings, proposed landscaping and earth bunds. Therefore while there will be an increased glow from the site it will be within the permitted limits of the Plan and at an acceptable level to maintain the amenity of the surrounding area with regard to light spill and glare. In addition, all luminaries will be directed away from roads and adjoining properties to avoid direct glare or distraction caused by light sources.

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Overall, it is concluded that the proposed expansion milk processing plant is consistent with the policy framework for glare/light spill.

6.3.4 Soils, Earthworks and Land Use

The relevant objectives and policies relating to soils, earthworks and land use are in the:

 Regional Policy Statement  Land and Water Regional Plan  Waimate District Plan

The listed provisions of relevance to the proposal are as follows:

Regional Policy Statement

Objective 5.2.1 – Development is located and designed so that it functions in a way that:

(1) …

(2) enables people and communities, including future generations, to provide for their social, economic and cultural well-being and health and safety; and which:

(a) maintains, and where appropriate, enhances the overall quality of the natural environment of the Canterbury region, including its coastal environment, outstanding natural features and landscapes, and natural values;

(b) …

(c) encourages sustainable economic development by enabling business activities in appropriate locations;

(d) minimises energy use and/or improves energy efficiency;

(e) enables rural activities that support the rural environment including primary production;

(f) …

Policy 5.3.2 – To enable development including regionally significant infrastructure which:

(1) ensure that adverse effects are avoided, remedied or mitigated, including where these would compromise or foreclose:

(a) …

(b) …

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(c) the productivity of the region’s soil resources, without regard to the need to make appropriate use of soil which is valued for existing or foreseeable future primary production, or through further fragmentation of rural land;

(d) the protection of sources of water for community supplies;

(e) …

(2) …

(3) integrate with:

(a) the efficient and effective provision, maintenance or upgrade of infrastructure; and

(b) transport networks, connections and modes so as to provide for the sustainable and efficient movement of people, goods and services, and a logical, permeable and safe transport system.

Policy 5.3.12 – Maintain and enhance natural and physical resources contributing to Canterbury’s overall rural productive economy in areas which are valued for existing or foreseeable future primary production, by:

(1) … (2) enabling …, employment … development in rural areas, provided that it:

(a) is consistent and compatible with rural character, activities, and an open rural environment;

(b) has a direct relationship with or is dependent upon rural activities, rural resources or raw material inputs sourced from within the rural area;

(c) is not likely to result in proliferation of employment (including that associated with industrial activities) that is not linked to activities or raw material inputs sourced from within the rural area; and

(d) is of a scale that would not compromise the primary focus for accommodating growth in consolidated, well designed and more sustainable development patterns; and

(3) …

Land and Water Plan

Policy 4.18 - The discharge of sediment and other contaminants to surface water from earthworks, including roading, works in the bed of a river or lake, land development or

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construction, is avoided, and if this is not achievable, the best practicable option is used to minimise the discharge to water.

Policy 4.47 - Small-scale diversions of water within the beds of lakes, rivers or adjoining wetlands are provided for as part of:

(a) establishing, maintaining or repairing infrastructure;

(b) …

(c) undertaking minor flood or erosion control or repair works and the diversion is occurring within the boundaries of a site or an individual’s property and there are no potential adverse effects that are more than minimal on any other person, their property, or any ecological, cultural, recreational or amenity values of the fresh water body;

(d) …

Waimate District Plan

Business Objective 2 - The functioning of industrial and service activities in a way which creates an acceptable level of amenity and environmental quality for people visiting and working within or visiting the zone.

Business Policy 2A - To control the level of noise, glare and dust to ensure that an acceptable level of amenity and environmental quality is maintained for people working within and visiting the industrial zones

Rural Policy 6E - To set performance standards, or control by conditions those aspects of activities such as noise, dust, fumes and visual impacts which can adversely impact on the amenity of rural areas. To require the Council's consent for activities which are likely to have impacts on the amenity of rural areas which cannot be anticipated.

Rural Objective 7 – promotes the protection, restoration and enhancement of the coastal environment, waterways and wetlands and their margins to avoid degradation of the natural character, amenity, cultural and recreational values of these areas and their associated waterbodies.

Rural Policy 7A – seeks to avoid, remedy or mitigate the adverse effects of a range of activities and structures on the natural functioning, natural character and values of the coastal environment, waterways, waterbodies, wetlands and their margins.

The general purpose of these provisions is to ensure the soils and land use of rural areas are managed in a sustainable way and that any development does not adversely affect soil or water quality.

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The proposal is situated within the most appropriate location for a rural based industrial activity to encourage sustainable economic development. The benefits of this location are evident in the efficiencies gained through integration with both SH1 and the Main Trunk rail line while avoiding compromising important infrastructure such as community drinking water supplies. The proposed expansion will also support primary production within both the local and wider the rural environment by providing sufficient capacity to collect and process milk to meet demand.

The proposal also represents a logical expansion within a connected and compact area which avoids any fragmentation of rural land and concentrating the activity to one core area. The proposed activity represents an activity that has a direct relationship with rural activities, resources and raw material inputs from the rural area and has been designed with a number of mitigation measures to ensure that it is both consistent and compatible with the rural character of the surrounding area.

The earthworks associated with the proposal will present the greatest potential for effects during construction when the soil is being shaped and distributed and will remain exposed until grass cover has been established. To mitigate this, all temporary periods of soil exposure will be managed in accordance with an erosion and sediment control plan which will include procedures for dampening down soil during dry and windy conditions and ensuring that sediment runoff into any waterways is minimised.

The earthworks and diversion of surface water within the northern portion of the site through the creation of a new swale will assist with better controlling overflow surface water in this part of the site. Diverting this through the northern part of the site will have minimal impact on adjoining properties with regard to potential upstream and downstream flooding and will not result in any reduction in water quality or other ecological effects. All soil excavation will be managed to avoid intercepting groundwater sources while areas of fill will be for the purposes of creating earth bunds or site levelling.

On the basis of the above, it is considered that the proposed development will be consistent with the policy framework for soils, earthworks and land use.

6.3.5 Air Quality

The relevant provisions, objectives and policies relating to air quality are:

 National Environment Standard for Air Quality  Regional Policy Statement  Natural Resources Regional Plan – Chapter 3 Air Quality  Proposed Canterbury Air Regional Plan

The relevant provisions are detailed with in turn below:

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National Environment Standard for Air Quality

14 Application of standards

(1) The ambient air quality standard for a contaminant applies at any place –

(a) that is in an airshed; and

(b) that is in the open air; and

(c) where people are likely to be exposed to the contaminant.

(2) However, if the discharge of a contaminant is permitted by a resource consent, the ambient air quality standard for the contaminant does not apply to area that the resource consent applies to.

Regulation 17 Certain applications must be declined unless other PM10 discharges reduced

(1) A consent authority must decline an application for a resource consent (the proposed

consent) to discharge PM10 if the discharge to be expressly allowed by the consent would be

likely, at any time, to increase the concentration of PM10 (calculated as a 24-hour mean under Schedule 1) by more than 2.5 micrograms per cubic metre in any part of a polluted airshed other than the site on which the consent would be exercised.

Regional Policy Statement

Objective 14.2.1 - Maintain or improve ambient air quality so that it is not a danger to people’s health and safety, and reduce the nuisance effects of low ambient air quality.

Objective 14.2.2 - Enable the discharges of contaminants into air provided there are no significant localised adverse effects on social, cultural and amenity values, flora and fauna, and other natural and physical resources.

Policy 14.3.1 - In relation to ambient air quality:

(1) ...

(2) Where existing ambient air quality is higher than required by the standards set, to only allow the discharge of contaminants into air where the adverse effects of the discharge on ambient air quality are minor.

(3) To give priority to ensuring that PM10 ambient air quality improvements are achieved in Rangiora, Kaiapoi, Christchurch, Ashburton, Timaru, Geraldine and Waimate.

Policy 14.3.3 - To set standards, conditions and terms for discharges of contaminants into the air to avoid, remedy or mitigate localised adverse effects on air quality.

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Policy 14.3.5 – In relation to the proximity of discharges to air and sensitive land-uses:

(1) …

(2) …

(3) New activities which require resource consents to discharge contaminants into air are to locate away from sensitive land uses and receiving environments unless adverse effects of the discharge can be avoided or mitigated.

Natural Resources Regional Plan

Objective AQL1 - Localised contaminant discharges into air do not, either on their own or in combination with other discharges, result in significant adverse effects on the environment, including:

(a) The loss of air as taonga to Tangata Whenua; and

(b) Adverse effects on human health and safety; and

(c) Offensive and objectionable odours; and

(d) Diminished visibility, as a consequence of human activities; and

(e) Adverse effect on health and functioning of ecosystems, plants and animals.

Policy AQL2 (a) Any discharge of particulate matter or odour from any fuel burning device shall not be dangerous or noxious, or cause an offensive or objectionable effect beyond the boundary of any site from where the discharge originates.

(b) Avoid, remedy or mitigate the discharge of excessive particulate matter and odour associated with start-up and refuelling

Policy AQL5 (a) The discharge to air from odour from new activities shall not be offensive or objectionable to the extent that it has or is likely to cause an adverse effect on the environment beyond the boundary of the site from where the discharge originates

Policy AQL6 (a) The discharge to air of dust shall not be corrosive, be noxious, dangerous, or offensive to the extent that it has or is likely to cause an adverse effect on the environment beyond the boundary of the site where the discharge originates

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Proposed Canterbury Air Regional Plan

Objective 5.1 - Where air quality provides for people's health and wellbeing, it is maintained.

Objective 5.4 - Discharges to air are managed to maintain the amenity values of the receiving environment.

Objective 5.5 - Discharges to air do not adversely effect the relationship of Ngāi Tahu with their culture and traditions.

Policy 6.1 - Discharges of contaminants into air, either individually or in combination with other discharges, do not cause:

a. Adverse effects on human health and wellbeing; or

b. Significantly diminished visibility; or

c. Corrosion or significant soiling of structures or property; or

d. Adverse effects on the mauri/life supporting capacity of ecosystems, plants or animals.

Policy 6.2 - Minimise adverse effects on air quality where concentrations of contaminants are between 66% and 100% of the guideline values set out in the Ambient Air Quality Guidelines 2002 Update, so that concentrations do not exceed 100% of those guideline values.

Policy 6.6 - Discharges of contaminants into air, and the effects of those discharges, occur in appropriate locations, taking into account the distribution of land use as provided for by the relevant district plan.

Policy 6.8 - Where activities that discharge into air locate appropriately to avoid the potential for reverse sensitivity effects, then longer consent duration may be available to provide ongoing operational certainty.

Policy 6.10 - All activities that discharge into air apply, at least, the best practicable option so that cumulative effects are minimised.

Policy 6.19 - Enable discharges of contaminants into air associated with large scale, industrial and trade activities and nationally and regionally significant infrastructure, in locations where the discharge is compatible with the surrounding land use pattern and while ensuring that adverse effects on air quality are minimised.

Policy 6.20 - Apply the best practicable option to all large scale and industrial activities discharging contaminants into air so that degradation of ambient air quality is minimised.

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With regard to the NES, the highest model predicted 24-hour average GLC will occur at the eastern edge of the Waimate airshed with a maximum 24-hour average PM10 GLC of 1.3 μg/m³. This is well below the 2.5 μg/m³ criterion defined in Regulation 17 of the NES.

The general purpose of the remaining policy provisions is to ensure that discharges of contaminants into air do not result in any significant localised adverse effects on social, cultural and amenity values, flora and fauna, and other natural and physical resources and are managed to maintain the amenity values of the receiving environment. The adoption of best practicable options for the discharge of contaminants and ability to achieve compatibility with the surrounding land use pattern are also of importance, particularly for discharges that will be authorised for long periods.

After accounting for cumulative air contaminant concentrations, it is concluded that the relevant ambient guideline values and standards are not likely to be exceeded as a result of air discharges from the expanded Fonterra Studholme site, when discharges are set at the maximum rates specified in this assessment. Additionally, nuisance effects can be managed to acceptable levels using normal site processes and maintenance to ensure an appropriate level of compatibility with the surrounding land use pattern.

A number of mitigation measures are proposed to ensure that the emissions are reduced and minimised, these include baghouse filters for both the burner and the dryer, restrictions on the thermal outputs of the burner and ensuring that all operations meet best practice standards for the handling and storage of the milk product and the coal and the control of odour from both the primary milk processing site and WWTP area.

The best practicable option has also been adopted taking into account the efficiencies of the site location, the potential to blend coal and biomass while recognising the coal is still the most reliable option in terms of cost, and security of supply. Other industry best practice methods are also adopted with regard to the technology utilised in the boilers and dryers. In particular, the boiler design includes technology that can reduce SO2 emissions by approximately 80% which represents a significant advancement.

On the basis of the above, it is considered that the proposed development will be consistent with the policy framework for air quality.

6.3.6 Water Quality (Stormwater and Domestic Wastewater)

The relevant objectives and policies relating to water quality are:  National Policy Statement for Freshwater Management (Freshwater NPS)  Regional Policy Statement (RPS)  Land and Water Regional Plan (LWRP)

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The relevant provisions are detailed with in turn below:

National Policy Statement for Freshwater Management

Objective A1 - To safeguard:

a) the life-supporting capacity, ecosystem processes and indigenous species including their associated ecosystems, of fresh water; and

b) the health of people and communities, at least as affected by secondary contact with fresh water; in sustainably managing the use and development of land, and of discharges of contaminants.

Objective A2 - The overall quality of fresh water within a region is maintained or improved while:

a) protecting the significant values of outstanding freshwater bodies;

b) protecting the significant values of wetlands; and

c) improving the quality of fresh water in water bodies that have been degraded by human activities to the point of being over-allocated.

The Freshwater NPS establishes the overarching policy framework for the management of New Zealand’s freshwater resources, which includes groundwater and the discharge of contaminants. As such, it instructs local government (Regional Councils) to manage water in an integrated and sustainable way while also providing for economic growth but within established water quantity and quality limits.

It is considered that the proposed stormwater and domestic wastewater systems will be consistent with these objectives in safeguarding water quality through sustainably managing the discharge of contaminants. The systems proposed are both technically robust and comprehensive and will in the case of stormwater disposal result in improvements in water quality.

Regional Policy Statement

Objective 7.2.3 - The overall quality of freshwater in the region is maintained or improved, and the life supporting capacity, ecosystem processes and indigenous species and their associated fresh water ecosystems are safeguarded.

Policy 7.3.5 – To avoid, remedy or mitigate adverse effects of land uses on the flow of water in surface water bodies or the recharge of groundwater by:

(1) controlling the diversion of rainfall run-off over land, and changes in land uses, site coverage or land drainage patterns that will, either singularly or cumulatively, adversely

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affect the quantity or rate of water flowing into surface water bodies or the rate of groundwater recharge; and

(2) ...

Policy 7.3.7 – To avoid, remedy or mitigate adverse effects of changes in land uses on the quality of fresh water (surface or ground) by:

(1) …; and

(2) controlling changes in land uses to ensure water quality standards are maintained or where water quality is already below the minimum standard for the water body, it is improved to the minimum standard within an appropriate timeframe.

Policy 5.3.5 – Within the wider region, ensure development is appropriately and efficiently served for the collection, treatment, disposal or re-use of sewage and stormwater, and the provision of potable water, by:

(1) …; and

(2) requiring these services to be designed, built, managed or upgraded to maximise their ongoing effectiveness.

Policy 5.3.6 – Within the wider region:

(1) ...

(2) Enable sewerage, stormwater and potable water infrastructure to be developed and used, provided that, as a result of its location and design:

(a) the adverse effects on significant natural and physical resources are avoided, or where this is not practicable, mitigated; and

(b) other adverse effects on the environment are appropriately controlled.

(3) …

Land and Water Regional Plan

Objective 3.1 - Land and water are managed as integrated natural resources to recognise and enable Ngāi Tahu culture, traditions, customary uses and relationships with land and water.

Objective 3.2 - Water management applies the ethic of ki uta ki tai – from the mountains to the sea – and land and water are managed as integrated natural resources, recognising the

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connectivity between surface water and groundwater, and between fresh water, land and the coast.

Objective 3.8 - The quality and quantity of water in fresh water bodies and their catchments is managed to safeguard the life-supporting capacity of ecosystems and ecosystem processes, including ensuring sufficient flow and quality of water to support the habitat and feeding, breeding, migratory and other behavioural requirements of indigenous species, nesting birds and, where appropriate, trout and salmon.

Policy 4.12 - There are no direct discharges to surface water bodies or groundwater of:

(a) untreated sewage, wastewater (except as a result of extreme weather related overflows or system failures) or bio-solids;

(b) solid or hazardous waste or solid animal waste;

(c) …;

(d) …; and

(e) untreated industrial or trade waste.

Policy 4.13 - For other discharges of contaminants into or onto land where it may enter water or to surface water bodies or groundwater (excluding those passive discharges to which Policy 4.26 applies), the effects of any discharge are minimised by the use of measures that:

(a) first, avoids the production of the contaminant;

(b) secondly, reuses, recovers or recycles the contaminant;

(c) thirdly, reduce minimise the volume or amount of the discharge; or

(d) finally, wherever practical utilise land-based treatment, a wetland constructed to treat contaminants or a designed treatment system prior to discharge; and

(e) in the case of surface water, results in a discharge that after reasonable mixing meets the receiving water standards in Schedule 5.

Policy 4.14 - Any discharge of a contaminant into or onto land where it may enter groundwater (excluding those passive discharges to which Policy 4.26 applies):

(a) will not exceed the natural capacity of the soil to treat or remove the contaminant; and

(b) will not exceed available water storage capacity of the soil; and

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Policy 4.14A - The disposal of domestic effluent and wastewater shall be managed so as to avoid any adverse effect that is more than minimal on surface and ground waters. Where residential density exceeds 1.5 dwellings per hectare and the total population is greater than 1000 persons, community reticulated systems should be promoted. Alternatively, other measures should be promoted to reduce adverse effects on water bodies from effluent disposal systems, including secondary treatment systems and septic tank warrants of fitness.

Policy 4.17 - Stormwater run-off volumes and peak flows are managed so that they do not cause or exacerbate the risk of inundation, erosion or damage to property or infrastructure downstream or risks to human safety.

Policy 4.18 - The discharge of sediment and other contaminants to surface water from earthworks, including roading, works in the bed of a river or lake, land development or construction, is avoided, and if this is not achievable, the best practicable option is used to minimise the discharge to water.

Policy 4.29 - Where an on-site effluent treatment and disposal system is to be installed to treat and dispose of human effluent the system proposed will:

(a) effectively treat and dispose of human effluent, given the conditions of the site;

(b) avoid adverse effects on people’s health or safety, on human or stock water supplies and on surface water beyond the site boundary;

(c) not restrict activities on adjoining properties;

(d) allow sufficient distance between the discharge from the on-site system and other discharges, wells or groundwater to avoid elevation of groundwater levels to an extent that land drainage is impeded.

The installation of a modern domestic wastewater treatment system and new land disposal area will replace the basic septic tank and soakhole currently operating on the milk processing site. The new system will provide significantly better treatment than that which currently occurs. The analysis indicates that the discharge quality and potential impact on the environment will be significantly less than what currently occurs and consequently will:

 efficiently provide for the collection, treatment, disposal or sewage taking in to account the conditions of the site;  avoid any direct discharges to surface water bodies or groundwater of untreated sewage;  not exceed the natural capacity of the soil to treat or remove the contaminant; and

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 avoid any adverse effect that is more than minimal on surface and ground waters and thus people’s health and safety.

The proposed wastewater treatment system is therefore considered to be consistent with all relevant objectives and policies identified above.

The stormwater system involves a number of mechanisms to improve stormwater quality and ensure that contamination of ground and surface water via spillage is minimised and that procedures are in place to address such an occurrence. The ultimate quality of stormwater via seepage and discharge after land based treatment is expected to remove a significant portion of nutrients and total suspended solids so that the levels of contaminants will be less than those in the vicinity of the site and less than ANZECC trigger levels. It is noted that the discharge to Waimate Creek once the development is completed will not be increased beyond that which is currently consented.

The diversion of the Northern Drainage Path and associated upgrading of culverts is expect to reduce maximum water levels for the minor flood events and increase flood immunity for SH1 and the rail bridge without creating any significant impacts on the wider area.

Overall it is considered that the proposed domestic wastewater and stormwater systems are consistent with the objectives and policies identified above.

6.3.7 Transport

The relevant objectives and policies relating to transportation are:

 Regional Policy Statement Objective  Waimate District Plan Objectives

The relevant provisions are detailed in turn below:

Regional Policy Statement

Objective 5.2.3 – A safe, efficient and effective transport system to meet local regional, inter-regional and national needs for transport, which:

(1) …;

(2) avoids, remedies or mitigates the adverse effects of transport use and its provision;

(3) provides an acceptable level of accessibility; and

(4) is consistent with the regional roading hierarchy identified in the Regional Land Transport Strategy.

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Policy 5.3.7 – In relation to strategic land transport network and arterial roads, the avoidance of development which:

(1) adversely affects the safe efficient and effective functioning of this network and these roads, including the ability of this infrastructure to support freight and passenger transport services; and

(2) ….

Policy 5.3.8 – Integrate land use and transport planning in a way:

(1) that promotes:

(a) the use of transport modes which have low adverse effects;

(b) the safe, efficient and effective use of transport infrastructure, and reduces where appropriate the demand for transport;

(2) …; and

(3) …

Objective 16.2.1 – Development is located and designed to enable the efficient use of energy, including:

(1) …

(2) planning for efficient transport, including freight

(3) …

Policy 16.3.1 - To promote the efficient end-use of energy.

Waimate District Plan

Objective 1 - promotes vehicle parking, loading and access which is accessible and sufficient to meet the anticipated demands for each activity while minimising the adverse effects of such facilities.

Policy 1A – requires on-site parking, loading, manoeuvring and access standards to the extent required to provide for the needs of each activity while maintaining the efficiency, safety and amenity of the road hierarchy in the District.

Objective 2 – promotes an efficient and effective road network that allows the District to function and develop with minimal conflict between land uses, traffic and people.

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Policy 2A – seek to protect the function and efficient use of the road network through a hierarchy of roads and to control the establishment of land use activities in order to achieve compatibility with the roads they front.

Objective 3 – promotes the maintenance and improvement of a road transport network which is safe for all road uses including cyclists and pedestrians.

Policy 3A - seeks to maintain and improve road safety by providing for an efficient and functional roading network and controlling activities which may compromise road safety.

The roading network is a valuable resource which should not be compromised by adjacent land uses which result in traffic hazards and reduce efficiency. To be safe, roads need to be efficient which in turn enables all road users (including cyclists and pedestrians) to use the District’s roads with minimum conflict. The proposal will provide for and promote the safe, efficient and effective functioning of the road and rail network through the integration of the proposed development with this existing infrastructure which has capacity to cater for the proposed use. The proposed accesses will be upgraded to an appropriately engineered standard to maintain the safe and efficient operation of the road network and to effectively manage the anticipated light and heavy vehicles traffic movements to and from the site without compromising the level of service.

The provision of off-street parking, manoeuvring and loading is sufficient to minimise the adverse effects on road safety and efficiency of vehicles parking and manoeuvring on-street, noting that it is not always appropriate to require the full provision of off-street parking needed to satisfy the actual demand of the activity. Similarly, an appropriate level of cycle parking is proposed to promote cycling but also recognise the likely demand will be relatively low for the site given the locational constraints.

Overall, it is concluded that proposed development project is consistent with the policy framework for transportation.

6.3.8 Storage and Use of Hazardous Substances

The relevant objectives and policies relating to hazardous substances are:

Regional Policy Statement

Objective 18.2.1 – Adverse effects on the environment from the storage, use, disposal and transportation of hazardous substances are avoided, remedied or mitigated.

Policy 18.3.1 — Avoid actual or potential adverse effects, resulting from the use, storage or disposal of hazardous substances, in the following locations:

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(1) …

(2) …

(3) In areas of unconfined or semi-confined aquifer, where the depth to groundwater is such that there is a risk of contamination of that groundwater.

(4) …

(5) …

Policy 18.3.2 – To avoid, remedy or mitigate adverse effects on the environment, including contamination of land, air and water, associated with the storage, use, transportation or disposal of hazardous substances.

Waimate District Plan

Objective 1 – promotes the avoidance, remedying or mitigation of adverse effects from the use, storage, transportation, manufacture, and disposal of hazardous substances on people, property and the environment.

Policy 1 – seeks to avoid risk to the environment, human health, safety and property by controlling the use, storage, manufacture and disposal of hazardous substances so as to minimise adverse environmental effects due to accidental spillages or poor management practices.

Policy 3 - seeks to ensure that adverse effects on the environment from a hazardous substances spillage are, where possible, minimised including the location of hazardous substances beyond the impact of natural hazards.

Policy 5- seeks to require that storage and disposal of hazardous substances is undertaken at a place and in a manner that avoids adverse effects on the environment.

Policy 9- seeks to encourage the use of hazardous substances in accordance with appropriate Codes of Practice, and Regional/National Standards or guidelines, any relevant regulations and with the Council's bylaws.

The proposed expansion to the hazardous substances storage facilities will be designed to enable any potential leakages to be captured and contained to prevent contaminants from entering the environment. This includes locating all facilities over impervious services with associated bunding, and containment with sufficient capacity and systems to control and capture any potential spills. All facilities (both existing and proposed) are also subject to certification and testing of facilities prior to use as well as ongoing maintenance under HSNO requirements.

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On the basis of the above, it is considered that the proposal is consistent with the intent of the policy framework, particularly through the application of all relevant legislation and codes of practice under HSNO and the locating, design, and management of all storage facilities in a manner that minimises the potential for effects on the environment.

6.3.9 Overall Summary of Objectives and Policies

A review of the relevant planning documents has established that the proposal is overall consistent with the key objectives and policies of the relevant National Policy Statements and Environmental Standards and District and Regional Planning documents.

6.4 Other Matters

The Act under section 104(1)(c) allows consideration of ‘Other Matters’ that the consent authority may deem relevant and reasonably necessary to determine the application. Matters that have been identified are outlined in the following section (Note: Plan integrity and precedent are covered in Section 4 of Volume III.)

6.4.1 Other Relevant Documents

Additional documents are considered relevant to the consideration of the application for the proposed expansion of the Studholme Milk Processing Site. A discussion of these other documents is provided below.

National Ambient Air Quality Guidelines

The National Ambient Air Quality Guidelines (AAQG) provide national level guidelines for the air quality. The AAQGs have very similar air quality thresholds to the NES but include guidelines additional to those provided in the NES, in particular an annual PM10 guideline of 20 µg/m³. The AAQG sets an expectation for air quality that is similar in intent to that of NES. However, unlike the NES, AAQGs are not linked to specific airsheds or regulations so there is no requirement on a regulatory authority to decline a consent application if there is ‘non-compliance’ with an AAQG guideline value. However, the modelling undertaken for the Assessment of Environmental Effects of Discharge of Contaminants to Air establishes that the proposed air discharges will be within these standards and that the potential adverse effects from the proposal will be acceptable.

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Te Whakatau Kaupapa – Ngai Tahu Resource Management Strategy for the Canterbury Region

Te Whakatau Kaupapa was prepared to assist planning authorities by spelling out both general approaches, attitudes, beliefs and policies which Maori have in regards to natural resources. Within this document, the key provisions of relevance are the ‘general water policy statements’ which seek that

 No discharge into any water body should be permitted if it will result in contamination of the receiving water; and  Actively encouraging the disposal of effluent into land rather than into water, provide that the ground water is not polluted in the process.

The direction of these provisions as it relates to the proposal is also reflected within the Ngai Tahu – Freshwater Policy 2008 which, to avoid repetition, is discussed collectively below.

Ngai Tahu - Freshwater Policy 2008

The focus of this Policy Statement is the management of freshwater resources within the rohe of Ngai Tahu. It describes in general terms:

 Ngai Tahu’s association with freshwater resources;  The ways in which Ngai Tahu, as tangata tiaki, want to participate in freshwater management; and  The environmental outcomes sought.

The key provisions of primary relevance to this proposal include the following:

Objective - Restore, maintain and protect the mauri of freshwater resources.

Policy – Identify freshwater resources where:

 mauri is unaffected by modification and human activity so that these waterbodies can be afforded total protection; and  mauri is adversely affected, and the activities that cause such effects.

The above provisions are to be achieved via a number of ‘strategies’ with those of particular relevance including:

 Councils should prohibit the direct discharge of contaminants, particularly human effluent, to waterways. Discharges to land should be encouraged.  Papatipu Runanga will endeavour to identify the person, company or organisation responsible for water pollution with the expectation that those responsible will be required to restore the affected area.

With regard to the proposed installation of a modern domestic wastewater treatment system and new land disposal area to replace the basic septic tank and soakhole currently operating on the milk processing site, it is noted that this new system will provide significantly better treatment than that which currently occurs.

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The proposed stormwater system will involves a number of mechanisms to improve stormwater quality and ensure that contamination of ground and surface water via spillage is minimised with procedures in place to address such an occurrence. The ultimate quality of stormwater via seepage and discharge after land based treatment is expected to remove a significant portion of nutrients and total suspended solids so that the levels of contaminants will be less than those in the vicinity of the site and less than ANZECC trigger levels. It is also noted that the discharge to Waimate Creek once the development is completed will not be increased beyond that which is currently consented, while stormwater that will enter the northern drainage catchment will be discharged via a pond based treatment process as opposed to at present whereby surface water enters this catchments directly.

The above aspects of the proposal are therefore considered to be consistent with the direction of Te Whakatau Kaupapa and the Ngai Tahu Freshwater Policy Statement in minimising as far as possible the discharge of any contaminants to waterways.

Ngai Tahu - Hazardous Substances and New Organisms – Policy Statement 2008

This policy statement sets out Te Rūnanga o Ngāi Tahu perspectives on hazardous substances and new organisms. The primary objectives of relevance to the proposal are listed below:

 To limit the overall use of hazardous substances.  The safe and responsible storage, use, disposal and transport of hazardous substances, in a way that protects the environment and Ngāi Tahu values.  The relationship of Māori and their culture and traditions with their ancestral lands, water, sites, wāhi tapu, valued flora and fauna and other tāonga is recognised and provided for by HSNO Act applicants and by ERMA.  Establishment of good working relationships between Te Rūnanga o Ngāi Tahu, ERMA, applicants and other relevant stakeholders.

As discussed in section 6.3.8 above the proposal involves an expansion to the existing hazardous substances storage facilities. All areas that will store hazardous substances will be designed to enable any potential leakages to be captured and contained to prevent contaminants from entering the environment, particularly surface or ground water. All facilities (both existing and proposed) are also subject to certification and testing prior to use as well as ongoing maintenance under HSNO requirements.

It is noted that consultation has been undertaken with Te Runanga o Waihao including the commissioning of a Cultural Impact Assessment. Through this consultation, both Fonterra and Te Runanga o Waihao have committed to maintaining a good working relationship. It is therefore considered that the proposal is consistent with the intent of the intent of the above policy statement.

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Canterbury Regional Land Transport Strategy 2012-2042 (CRLTS)

The CRLTS has set a vision for Canterbury (which extends to cover Waimate) as having an accessible, affordable, integrated, safe, resilient and sustainable transport system.

This vision is to be achieved via the following objectives:

 Ensure a resilient, environmentally sustainable and integrated transport system;  Increase transport safety for all users;  Protect and promote public health;  Assist economic development; and  Improve levels of accessibility for all.

The proposed expansion is considered to be in line with the intent of the CRLTS as it will integrate with existing transport road and rail infrastructure and support the development of the site and the economic development within the Region. The additional traffic movements associated with the site will not compromise the efficient and effective operation of the transport network while improved access and intersection designs associated with the site will increase the safety for road users. No adverse effects are expected on any cyclists and pedestrians in the area while provision is made for cyclists on-site to assist with promoting accessibility to the site.

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