There is no doubt we are currently in an uncertain and challenging economic environment at the moment with Covid-19 and our Level 4 status. However, opportunities and silver linings do exist. It is understanding these opportunities and implementing strategies to set yourself up for when the time is right is where you will benefit.
We have found a number of our clients are making good use of the time the lockdown period affords them to implement strategies that will allow their projects to start in good time once restrictions ease. A very useful tool to achieve this is to apply for Resource Consent (Land Use, Subdivision or Regional) now. This then provides the ability to immediately commence the construction/implementation phase of a project when you feel the time is right.
If you start the Resource Consent process when you feel the time is right, you may have wasted valuable lead in time. Remember, depending on the type of Resource Consent you are applying for, the process can take anywhere from 2 months to 2 years depending on the level of complexity.
Pursuant to Section 125 of the Resource Management Act (RMA), a Resource Consent has a life of 5 years during which it has to be given effect. If it has not been given effect (or its life has not been extended), it then expires. This 5 year period should allow for plenty of time to cover the current situation and start your project on the front foot.
For reference purposes, Section 125 of the RMA states that:
(1) A resource consent lapses on the date specified in the consent or, if no date is specified,—
(a) 5 years after the date of commencement of the consent, if the consent does not authorise aquaculture activities to be undertaken in the coastal marine area
(1A) However, a consent does not lapse under subsection (1) if, before the consent lapses,—
(a) the consent is given effect to; or
(b) an application is made to the consent authority to extend the period after which the consent lapses.
Another important factor, and this is especially so for larger projects, is that the cost to apply for and obtain Resource Consent is relatively low compared to the back end construction and implementation cost of a project. So, for a relative low cost, Resource Consent can be in place ready to action for when the time is right.
In summary, we are currently in uncertain times, however we have no doubt that we will come out the other side and get back to some variation of normal in the not too distant future. You will want to ensure that you are ready for the next upswing in the economy so that you can capitalise on any opportunities that present themselves. Obtaining Resource Consent for your next project now will assist towards achieving this.
Please contact one of our experienced planning professionals should you wish to know more about this.
