Department of Conservation officials are being told to ensure greater transparency occurs within the organisation, after details of a controversial agreement were allegedly kept confidential.
A negotiation document between Doc and Meridian Energy on the electricity company's proposed $2 billion Project Hayes wind farm drew criticism of Doc last week when details came to light almost two years after the agreement was made.
The agreement, signed in May 2007, stated Doc would receive $175,000 from Meridian if Project Hayes went ahead, providing the department did not submit against the development.
It also included a list of proposed mitigation measures which Meridian would undertake to protect the environment of and around its wind farm.
Such measures were made public immediately after the agreement was forged, although financial details were exposed after an Official Information Request this month.
"Parties agree the terms of this agreement and the matters herein recorded are, or may be, commercially sensitive, and to the extent possible under the OIA, the parties shall seek to keep the terms of this agreement confidential," Doc and Meridian's agreement stated.
On Monday, the Government ordered an urgent report into the deal.
Yesterday, acting Conservation Minister Nick Smith issued a press release damning of Doc, which stated the need for increased transparency within the government organisation.
"I do not believe Doc was sufficiently transparent in its involvement with Meridian over Project Hayes by simply releasing the agreement when requested under the OIA. A more proactive approach is required where the public is notified when an agreement is reached.
"I have asked the department to ensure its systems are robust with regard to other agreements. I am confident Doc has learnt lessons from the public's reaction to its deal with Meridian," he said.
Dr Smith, who is also Minister for the Environment and Climate Change Issues, defended an all-of-government submission in support of Project Hayes, and Doc's subsequent absence from the submission process.
"The whole-of-government approach was entirely appropriate. It makes no sense for the taxpayer to pay for different lawyers representing different parts of the Government arguing different sides of the debate in an Environment Court," he said.
Doc director-general Al Morrison wrote a report to Conservation Minister Tim Groser, which was released yesterday.
In the report, Mr Morrison said the $175,000 was only kept confidential during "sensitive commercial negotiations in a highly competitive market".
He said Doc's systems for auditing revenue and expenditure were "transparent and robust", but it would be prudent to review them given the level of public interest.
