Every five years the Otago Regional Council (ORC) has a three-month window to trigger a review of the electricity generators consent conditions.
That window closed yesterday, with notice being given with only one day to spare.
ORC general manager regulatory and communications Richard Saunders said it was the first time the ORC had undertaken a review of Contact Energy’s consents.
Councillors were advised of the review yesterday afternoon.
The scope of the review was "very narrow" and only involved conditions relating to the Landscape and Visual Amenity Management Plan (LVAMP), Mr Saunders said.
The LVAMP details how Contact Energy mitigates adverse effects caused by its generation activities on Lake Dunstan and the wider Clutha catchment.
In recent years the state of the Kawarau Arm has been an area of contention for Central Otago locals and lake users.
Sediment build-up and driftwood has impacted access to the boat ramps and jetties, and algae, lake weed and silt have created a stench.
In late June Contact submitted an updated LVAMP to the regional council.
Mr Saunders acknowledged there had been concerns raised in the local community around the possible review of consents, and a number of questions had been raised around the current Clutha hydro-electricity scheme.
Contact Energy head of hydro generation Boyd Brinsdon said the company welcomed the review.
"Contact has never had its consent conditions reviewed previously," Mr Brinsdon said.
"This particular consent has been in place for 15 years and the council has identified that there is an opportunity to provide greater clarity to all parties about the expectations of what is to be included in the plan, and the process by which it is updated and approved.
"Contact is very supportive of this."
He agreed there needed to be greater clarity on the consent requirements and looked forward to engaging with ORC moving forward.
"This is a complicated area and we are taking all due care and consideration to come out with the best outcome for all parties," he said.
An abatement notice served by the ORC required Contact Energy to submit a revised plan by March 1.
Mr Brinsdon said the LVAMP had been redrafted and submitted to the regional council and it was undergoing further consultation with stakeholders — including Ngai Tahu, Land Information New Zealand and the Lake Dunstan Charitable Trust — before being returned to the ORC for approval.
Lake Dunstan Charitable Trust chairman Duncan Faulkner said the decision to advance a review was "great news".
"We’re delighted that as a group that represents the interests of the lake and the community, we’ve been listened to, been respected.
"We’ve been aware of this condition to be able to trigger a review for quite a few years and were aware of the limited timeframe of which yesterday was the last day.
"I think it should be acknowledged that officials in the ORC have listened and I think Contact Energy now are aware of their responsibilities — there seems to be a welcoming from Contact Energy to do more," he said.