Independent Queenstown Lakes District Council resource consent commissioners Trevor Shiels and Lou Alfeld say, in a decision released last week, a degraded and industrialised section of the Cardrona River at the Ballantyne Rd bridge is part of an "outstanding natural feature" for which the toughest planning rules apply.
Mr Shiels and Mr Alfeld considered two gravel extraction consents sought by Wanaka Landfill Ltd at a public hearing in September and have granted one a limited, five-year consent and rejected the other entirely.
While the gravel processing operation would never satisfy the "reasonably difficult to see" test, it added only a small cumulative element to the existing degradation.
The commissioners said the entire length of the river was outstanding natural landscape and the evolution of the area had been such that the proposed activity (gravel extraction and processing) was no longer appropriate.
"It is our view that it is inevitable that such industrial-type activities in this vicinity will come under increasing pressure [from residential and rural-lifestyle activities].
"In all of the circumstances, we have decided that a limited life consent for the extraction and storage facilities is appropriate and that, while there will be adverse visual effects, they are acceptable on that basis," the commissioners said.
Wanaka Landfill wanted a 15-year operation, to allow for flexibility if market demand changed.
It could reapply for consent at the end of five years, with the application to be assessed on its merits at that time, the commissioners said.
Company director Robert Duncan could not be contacted for comment on Friday.
He told the commissioners in September gravel had been extracted from the Cardrona River for more than 40 years and there was a growing demand for locally sourced, high quality aggregate in Wanaka.
He rejected submissions the gravel extraction operation was about creating more room to deposit material at his expanding cleanfill site on Ballantyne Rd.
Mr Duncan's cleanfill operations have been criticised by neighbours.
Those neighbours staunchly opposed Mr Duncan's gravel extraction consents on grounds including dust, noise and visibility concerns, as well as alleging illegal dumping at the cleanfill.
Jo Dippie lives next door to the Ballantyne Rd sites and said when contacted last week she was "simply delighted" one of gravel extraction consents had been declined.
"As for the gravel extractions from the river, I am pleased consent is limited to five years rather than the 15 years they had requested.
"The commissioners obviously took our concerns into consideration and it is a relief to see the stringent conditions placed on the consent," she said.
Ms Dippie said she was grateful to the commissioners for conducting a balanced and fair hearing but she felt she had to wait too long for the decision.
She was still looking forward to receiving a decision on gravel extraction consents sought by Upper Clutha Transport Ltd in September.