Meridian Energy Ltd will spend $1 million on a recreation development plan for the Waitaki River between the Waitaki dam and Stonewall if it builds a power scheme there.
The north bank project appeal hearing was told yesterday the power company would also put $250,000 a year, inflation-adjusted and for up to the 35-year duration of its resource consents, into a charitable trust to implement the plan.
The trust fund would also help communities access and benefit from the recreational opportunities.
Meridian's initial $1 million for the community to develop the plan would be spread over three years before construction started on the scheme.
Meridian outlined to the Environment Court likely recreational effects if the north bank tunnel concept scheme was built.
Leisure and open space planner Rob Greenaway said there could be a positive effect.
The scheme would take up to 260cumecs from the river over a 34km stretch, leaving minimum monthly variable flows of 110cumecs-150cumecs.
Below the outfall at Stonewall the same "big river" would exist.
Mr Greenaway said there were opportunities to improve the river, particularly for angling and jet-boating.
The overall effect on angling was minor, with some benefits such as easier access between the dam and Stonewall.
Salmon angling would be maintained at current levels or greater, with improved foot access.
More stable flows upstream of the Stonewall would make it more user-friendly for recreation.
While there could be increased conflict between users, the present level was very low, suggesting there was "spare capacity".
Less water in the river could affect swimming, as water quality could drop because of less dilution.
Meridian needed to monitor that and, if necessary, issue warnings.
Ecologist David Sanders said if the scheme was built, Meridian would pay for a large reduction in vegetation from the dam to the sea.
Birds that lived on the braided river would benefit from the substantial reversal of the decline of habitat.
In contrast, under the status quo, vegetation encroachment would continue, along with the detrimental effect on birds.
Nesting birds would benefit from the more stable flow in the river between the dam and Stonewall, with nests and chicks not being flooded.
Predators would remain a problem, as at present, but were not likely to increase because the removal of vegetation would result in more habitat on islands.
Birds were "severely affected" by predation now.
He was confident proposed management plans and monitoring would ensure braided river birds were not adversely affected by the scheme, and it was likely they would fare better, Dr Sanders said.
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