The Otago Regional Council has cancelled tomorrow's vote to approve tougher environmental rules after the government intervened to block it.
Cr Alexa Forbes said the intervention made a "nonsense" of any idea that Otago had local decision-making independence.
Cr Michael Laws says the move was an "inevitable development" of seven councillors' stubbornness and will save Otago ratepayers millions.
The government today announced an amendment to the Resource Management Act Amendment Bill that will stop the regional council, or any council, from notifying freshwater plans before the national policy statement for freshwater management (NPSFM) is replaced.
Tomorrow Otago councillors were due to vote on the plan at a meeting moved to the 230-seat Hutton Theatre at Tūhura Otago Museum, in Dunedin, in anticipation of a larger public gallery than its council chambers could handle.
ORC chief executive Richard Saunders said he would withdraw tomorrow’s paper and there would be no vote taken.
The government, including Environment Minister Penny Simmonds, has been urging the council to delay notification of its plan until a new NPSFM was in place, since late last year.
When the Bill is passed, the amendment will take effect retrospectively from today.
The council has been approached for comment.
Federated Farmers has said rules in the new plan could seriously threaten the viability of many Otago farms.
Forest & Bird has urged the council to press on, saying continued degradation in water quality and overallocation of water in the region needed to be addressed.
In a statement from the Beehive, Ms Simmonds said the government looked forward to "working alongside councils" as the NPSFM was replaced.
"Councils will still have an avenue to progress their freshwater plans in some circumstances — for example, where doing so would more quickly enable key housing or infrastructure projects to go ahead — by applying for approval from the Minister for the Environment," Ms Simmonds said.
Agriculture Minister Todd McClay said the government was taking this step "to provide farmers the clarity they need around freshwater management, and to minimise inefficiencies and duplication for councils, and prevent unnecessary costs for ratepayers".
"Regional councils must be equipped to manage freshwater resources in a way that is efficient, effective, and aligned with the Government’s future-focused goals," Mr McClay said. "This amendment ensures the primary sector has clarity over regulations and that councils don’t waste time and resources developing plans that will soon be superseded by the new NPSFM.
"This is about protecting the interests of the primary sector, resource users, and ratepayers. Ratepayers and farmers need certainty, and they don’t deserve to have their money wasted.
"By delaying plan notifications, we are providing certainty to farmers, that their planning efforts will be in sync with national direction."
RMA Reform Minister Chris Bishop said the present NPSFM brought in under Labour was "extremely complex and expensive for farmers and councils to implement".
And still it would not deliver the freshwater outcomes that New Zealanders expect, he said.
Councillors have resisted the government’s urging to delay the plan in a series of 7-5 votes.
Cr Laws said this afternoon the government’s move was "an inevitable development given the intransigence" of the seven councillors voting to continue with the plan.
"It will save Otago ratepayers millions of dollars in consulting and legal fees, and bring some much needed political sanity to the regional council table," he said.
Cr Gary Kelliher said he believed the government's move was a "direct outcome" of the votes at the council.
Cr Elliot Weir said "to try and get this through the house with barely a few hours in the public eye, on the eve of our decision, certainly makes their agenda seem pretty clear in that regard".
"There is zero justification for this underhanded amendment other than the fact they don't like our plan and the (honestly largely milquetoast) protections for the environment contained within.
"This government is developing a worrying habit of this government obstructing democratic processes when they don't get their way."
Cr Forbes called it "extremely disappointing".
"This should be of great concern to anyone worried about the health of our waterways and wider environment.
"I am concerned that the government is looking for ways to dilute or lower its freshwater standards in its drive for increased productivity from the primary sector.
"This amendment makes a nonsense of any idea that we have local decision-making independence."
Cr Alan Somerville called it "appalling".
"A principal job of the ORC is to look after the environment of Otago, now and for future generations.
"This decision by the government is preventing the ORC from doing its job."