Hon PHIL HEATLEY (Minister of Fisheries) : I move, That the Maori Commercial Aquaculture Claims Settlement (Regional Agreements) Amendment Bill be now read a first time. At the appropriate time I intend to move that the bill be referred to the Māori Affairs Committee, that the committee present its report to the House on or before the 30 September 2009, and that the committee have the authority to meet at any time while the House is sitting, except during oral questions, and during any evening on a day on which there has been a sitting of the House and on a Friday in a week in which there has been a sitting of the House, despite Standing Orders 187 and 190(1)(b) and (c).

This bill will address the limited prospects of the Maori Commercial Aquaculture Claims Settlement Act 2004 generating settlement assets for iwi by 2014, by providing the Crown with an additional option for complying with its pre-commencement aquaculture space obligation. The additional settlement option is regional agreements where iwi aquaculture organisations or recognised iwi organisations in a region and the Crown, plus the trustee, agree on how to settle the pre-commencement space obligation in that region. Additionally, the bill will give effect to an agreement between the Crown and iwi of the South Island and Hauraki for an early settlement of the Crown’s pre-commencement aquaculture space obligations in those regions.

In 1992 the Crown reached a full and final settlement with Māori for all claims under the Treaty of Waitangi relating to New Zealand’s wild fisheries. Since 1992 settling Māori claims to commercial aquaculture with the principal Act in 2004 has been an important element in the relationship between tangata whenua and the Crown. Unfortunately, the transfer of aquaculture settlement assets to iwi did not happen as was anticipated in 2004. Engagement between the Crown and the iwi of Te Tau Ihu, Ngāi Tahu, and the Hauraki Māori Trust Board over how to meet Crown obligations for pre-commencement aquaculture space has identified a wonderful option to settle the Crown’s pre-commencement aquaculture space obligation for those iwi in a single transaction. The Crown and iwi have agreed that it is the best way to meet the Crown’s obligation and have signed a deed of settlement agreeing to this approach. Indeed, I signed that deed.

It is historic that so many iwi would come together to sign a settlement like this. It is historic that the settlement would be agreed on so quickly, and that all the iwi of the South Island could put aside old differences and come to an agreement together. It is a fantastic achievement to reach this point. I acknowledge and thank everyone who has contributed to the successful negotiation of an early settlement on this matter. That includes both current and previous Ministers, including my colleague Parekura Horomia. I would like to acknowledge his work along with that of Dr Cullen, iwi leaders, negotiators, of course Te Ohu Kaimoana, and Crown officials led by the Ministry of Fisheries, all of whom contributed to the negotiations.

The bill that I am introducing today is required to give effect to this agreement. It will settle the vast majority of the Crown’s pre-commencement aquaculture space obligations in the Marlborough Sounds, Tasman Bay—would you believe it—and the Hauraki Gulf, along with the rest of the South Island. The bill provides for regional agreements, which will allow for the early financial settlement of the Crown’s pre-commencement aquaculture space obligations in other regions, as well. The Crown is willing to engage with iwi in the remaining regions on this issue. It is absolutely willing. We need to finalise these aquaculture settlements. We need to ensure that settlements reach their targets and start to provide the benefits that they promise as soon as possible.

This bill demonstrates that the Crown and iwi can work through these issues together in good faith and in partnership. Those are the qualities that underlie the relationship between tangata whenua and the Crown. I commend this bill to the House.

Hon PAREKURA HOROMIA (Labour—Ikaroa-Rāwhiti) : This is a historic moment in this country’s history: we have got to a general agreement with iwi. We will support the Minister of Fisheries going forward in relation to the Maori Commercial Aquaculture Claims Settlement (Regional Agreements) Amendment Bill. The matter has had a whole lot of ups and downs, and there was a period of time from 1992 to 2004 when issues relevant to coming to agreement put us to the test.

We hope that this bill will unlock the potential of the aquaculture industry. The industry has set a target of having a turnover of $1 billion per annum by 2025. We all recognise that changes will be necessary in order for that target to be realised. Through this settlement, iwi in key regions will be in a position to play their part along with the new Minister. Iwi have been clear about their support for the bill and their desire for politics to be put aside in the name of progress.

I reiterate the points that the Minister earlier referred to. I point out that the aquaculture industry is currently worth about $300 million to the New Zealand economy. It is the fastest-growing sector of New Zealand’s seafood industry. There are basic things to understand, like the fact that New Zealand’s contribution to global aquaculture is about 0.02 percent. With the opening up of India and China, even in recessionary times, this is a huge opportunity for Māori to be involved not only as growers but also as exporters in getting their hand in to further the great experience they have in managing external and international markets.

The deed of settlement signed at Te Papa by the Minister and Co. covered the vast majority of New Zealand’s aquaculture development areas, including the Marlborough Sounds, Tasman Bay, and the Hauraki Gulf, along with the rest of the South Island. It gives effect to the pre-election agreement in principle signed in October last year. At the heart of the agreement is a one-off cash payment of $97 million, and final settlement of the current Crown obligations for pre-commencement space—that is, aquaculture space that was approved between 21 September 1992 and 31 December 2004 under previous marine farming regimes. The beauty of this agreement is that it also marks a historic level of cooperation between the iwi of Hauraki, Ngāti Apa ki Te Rā Tō, Ngāti Kōata, Ngāti Kuia, Ngāti Rārua, Ngāi Tahu, Ngāti Tama, Ngāti Toa, Rangitāne, and Te Atiawa ki Te Tou Ihu. The iwi have worked together to develop a fair estimate of their entitlements in respect of pre-commencement space and, in the case of Te Wai Pounamu, to agree how the resulting payment will be shared between them. It is a model of how a whole lot of different iwi can get together and come to a general agreement for the benefit of their people.

As was earlier mentioned, the Maori Commercial Aquaculture Claims Settlement Act obliged the Crown to, before 2014, provide iwi with the equivalent of 20 percent of existing aquaculture space created between 21 September 1992 and 31 December 2004, called pre-commencement space. The equivalent could take the form of a percentage of new aquaculture space, marine farming permits purchased by the Crown for that purpose, or the equivalent financial value. In 2008 the Crown acknowledged that it would have to pay some kind of financial equivalent in a number of regions. The Act also provided iwi with 20 percent of all new aquaculture space created from 1 January 2005. New space will, supposedly, continue to be dealt with under the Act as it arises.

Harry Mikaere, from the Hauraki Māori Trust Board, said the agreement was fair and reasonable, and that a lot of work had been done on the market value of the iwi entitlements in reaching the settlement figure. The settlement amount “represents the value of the space that iwi would have been entitled to if space was available. Many of the iwi parties to the settlement are involved in the aquaculture industry and could not have settled for anything less than fair value. In doing the valuation work we had a great deal of support from Te Ohu Kaimoana (Trustee of the Māori Commercial Aquaculture Trust) and industry leaders.” In relation to the leaders of those iwi that I have mentioned, I say that there has been a huge effort by them to bring themselves together. I do not say that lightly.

We support this legislation, which secures a sustainable future for New Zealand’s aquaculture. It is certainly a privilege to understand that Māori will be a key driver in the matter.

COLIN KING (National—Kaikōura) : It is a pleasure to speak on the Maori Commercial Aquaculture Claims Settlement (Regional Agreements) Amendment Bill, and in doing so I acknowledge the speakers who spoke before me. I have great confidence in the Minister of Fisheries, as he is very determined and has the understanding to get across the line on this very, very sensitive issue. I also recognise Parekura Horomia and his sincere words with regard to what Māori will contribute in the long run to aquaculture, to the economy, and to the recovery of New Zealand from this recession.

I just draw the House’s attention to how difficult it has been to get to this stage. In settling this matter we are increasing the options to the Crown by allowing it to use a cash settlement. That is because up until recently—May last year—every other avenue was looked at in the context of the Maori Commercial Aquaculture Claims Settlement Act 2004. There was no way through, and it was seen quite clearly to be an impediment to the industry going forward that 20 percent was to be awarded to Māori around the allocation of space prior to 2004. Everything came to a halt, so it is great to see that a way has been found to get through this situation. I realise that those people who represent the iwi in the top of the South Island will be heartened. They will be anxious and enthusiastic to see this bill go forward to the Māori Affairs Committee and be given the due consideration it deserves.

We have great faith also that the aquaculture industry will reach $1 billion by the year 2025. In thinking of that I cannot help imagining the Marlborough Sounds, where there is Pelorus Sound, which is a working sound, and Queen Charlotte Sound, which is basically a recreational sound. Effectively, there is not a great deal of space left in that area. We have Tasman Bay and the Hauraki Gulf, which are particular areas suited to aquaculture. However, as much as they are suited to aquaculture, they are also faced with tremendous obstacles to increasing the coastal plans that regional councils have put together to make sure more room is available.

It is a great encouragement to see this bill have its first reading. We look forward to seeing it go to the select committee so that it comes back and is passed into law. But in doing so I just highlight to the House how much more our thinking must develop around the coastal occupation and coastal plans before we can realise an industry of aquaculture that will contribute $1 billion by the year 2025. Having said that, this bill is a good bill. I look forward to seeing it go to the select committee and becoming law. On that basis, I have pleasure in supporting the bill.

KELVIN DAVIS (Labour) : I support the Maori Commercial Aquaculture Claims Settlement (Regional Agreements) Amendment Bill. Iwi and the Crown have formalised an agreement over pre-commencement aquaculture interests in Te Wai Pounamu and the Hauraki Gulf. The deed of settlement signed at Te Papa covers the vast majority of New Zealand’s aquaculture development areas, including the Marlborough Sounds, Tasman Bay, and the Hauraki Gulf, along with the rest of the South Island. The bill gives effect to a pre-election agreement in principle signed in October last year. The bill seeks to simplify and settle the process for Māori to enter into the aquaculture industry, and, amongst other things, offers cash payments in lieu of aquaculture space.

I congratulate and acknowledge the former Ministers who have worked to get this bill to the stage it has got to. The Hon Phil Heatley has acknowledged Parekura Horomia, Dr Cullen, and others who worked on this bill in order to get it to this stage. It is only fair that those Ministers from the previous Government are acknowledged along with the Hon Phil Heatley. For me it does not matter that the National Government has come along and got the signatures on the bottom line of the last page of this deal; what matters to me is that Māori have opportunities to develop and grow, not just in the aquaculture industry but in all industries.

Māori have been sustained by kai moana, or mātaitai as we also call it, since time immemorial. It has fed and nourished us. Therefore, it stands to reason that Māori should be able to enter into the aquaculture industry and continue to sustain our whānau, hapū, and iwi. I noted in schedule 2 of the principal Act that the first nine harbours listed are from up in the north. Not only have my tūpuna sustained themselves and our whānau, hapū, and iwi from the mātaitai of those wahapū but I too have an intimate knowledge of a number of those harbours from fishing, diving, and gathering kai moana.

The Waikare inlet in the Bay of Islands, in particular, I know very well. Before the oyster farms up there succumbed to the disease and pollution that ruined not just the farms but also the livelihoods of a number of the oyster farmers, we were able to gather literally sacks of oysters for our marae. When every Bluff oyster season came around, we used to laugh when we saw people paying $20 for a dozen oysters, when for next to nothing we could get a dozen sacks of oysters.

Hon Parekura Horomia: And they’re bigger.

KELVIN DAVIS: They were a lot bigger and, in our opinion, they were a lot sweeter. We could literally go along the banks of the Waikare and Taumārere rivers and gather up sacks of oysters.

My tupuna Pōmare build a pā on that very river, by the name of Ōtūihu. Being the entrepreneur that he was, he ran a few grog shops and a few other dens of iniquity, until the day the British ship the North Star came along and shelled the pā, and British troops set the whole settlement on fire. Then we had to move off and head up to Kāretu. But in those days, and right through until even as recently as the 1970s, my whānau from Ngāti Manu have gathered pipi and tio, which are oysters, and kūtai. We have caught tuna, tāmure—which is snapper—pātiki, herrings, mullet, and many other fish to sustain us, not just for our marae hui but for our daily sustenance. So I support this bill, which enables Māori to again derive sustenance for the whānau through the development of the aquaculture industry, and I support all the jobs that will be generated for Māori because of it.

This bill has been developed to enable the Government to deliver a one-off cash payment of $97 million in full and final settlement of all Crown obligations for pre-commencement aquaculture space—that is, aquaculture space approved between 21 September 1992 and 31 December 2004 under the previous marine farming regime. This settlement covers the vast majority of New Zealand’s current aquaculture development areas, including, as has been mentioned, the Marlborough Sounds, Tasman Bay, and Hauraki Gulf. This settlement will give a financial boost to iwi, as well as help to give certainty to the aquaculture industry. I commend this Government for continuing the work of the previous Government. I commend it for the sense of urgency it is giving to the settlements. Māori deserve settlements to be made as quickly as possible, so that we can get on with the business of being successful, of footing it with non-Māori in industry, and of working in industries that appeal to us by virtue of their nature and through our heritage.

The aquaculture industry will create employment for Māori near their homes. They will not necessarily have to uproot their families and settle away from home. Aquaculture is an industry that will suit our people in the north, because no matter where one lives in the north, one is not more than an hour away from a harbour where aquaculture industries exist. I think of the Sanford factory in the small town of Kaeō, in the beautiful Whangaroa, where the aquaculture industry is the biggest employer in town. It draws employees not just from Kaeō itself but also from across the north, from Kawakawa and Kaikohe. People are able to travel to and from work daily from their home towns. There will be even more employment opportunities for Māori and all others in the far north when the other harbours there also begin to develop fully their aquaculture industries.

The proposed changes in this bill allow a practical solution to the outstanding issues in the principal Act without having to renegotiate the underlying intent of the settlement. I support this legislation, which secures a sustainable future for New Zealand’s aquaculture industry. That industry is a growing one, and New Zealand is recognised internationally for it. The quality of our seafood is famous worldwide. I have a friend who owns his own oyster farm in Te Hāpua, in the very, very far north. His business cannot keep up with the demand, and he employs a number of locals.

I recall being in Canada 5 years ago and ordering a plate of Canadian scallops. Having been away from home for a couple of months, I was desperate for a feed of seafood, only to have my plate arrive in front of me and be bitterly disappointed with what I was served. I later found out that Canadian scallops are made from the flaps of fish that have been stamped with something akin to a biscuit cutter, but they are about one-fifth of the size of a biscuit. That is not seafood. Feeding fake seafood to a Māori is tantamount to an act of treason. It is a criminal act. I am not sure whom the restaurateur thought he was feeding, but I was not going to let him get away with feeding me counterfeit scallops. Unfortunately, Canadian seafood restaurants do not come under this Parliament’s jurisdiction, but if there was ever a case for bringing back the punishment of hanging, drawing, and quartering somebody, it would be for selling fake kai moana to a hungry Māori.

I look forward to seeing the aquaculture industry develop further and having those Canadians buy up our seafood in bulk, so that if I am ever fortunate enough to be over there again they can serve me the real McCoy, not imitation kai moana. I am especially eager for my whanaunga to be right there in the thick of the aquaculture action, creating businesses and financial success for themselves, creating employment in our Māori communities, and contributing fully to our economy and country. This bill will go a long way towards assisting that to occur, and again I congratulate all the Ministers who have brought this settlement and this bill to this point, be they Ministers from the current Government or from the previous Government. Tēnā koutou.

JEANETTE FITZSIMONS (Green) : The Green Party is happy to support the Maori Commercial Aquaculture Claims Settlement (Regional Agreements) Amendment Bill. It is a sensible solution to the impasse that we have found ourselves in when trying to deliver on the Treaty settlements division of the fisheries between Māori and other fishers, and at the same time finding that the space in many areas was already largely full. The best spots had gone, and finding 20 percent of the available area for allocation to Māori was going to be very difficult. It raised all sorts of questions about 20 percent of what, exactly—20 percent nationwide, or 20 percent regionally. It was a nightmare to try to deliver on that agreement regarding 20 percent of the total available area.

That was made further difficult by some of the sustainability requirements for aquaculture, as people have gradually realised that this gold rush industry does have limits. Those are not just that there are limits in terms of the visual space and the conflicts with other users of the marine environment, but also that there is only so much in the way of nutrients that flow through a particular bay. If we put too many seafood farms in there, then they will all starve each other.

We can add to that the fact that most regional councils had not established aquaculture management areas, as they are required to do under legislation, and were relying on applicants to apply for plan changes in order to establish aquaculture management areas in particular areas where they wanted to put a farm. We could hardly expect Māori to do that for the sake of 20 percent of the total area.

This bill is a sensible solution; it is a negotiated solution. It is good to see that the Crown and iwi were able to sit down together, under two successive Governments, and negotiate a solution that allows for cash to be paid so that Māori may purchase the rights to areas of the coastal space for fish farms from those who already have them, thus keeping within the sustainability limits and delivering at the same time on the Treaty settlements that have been concluded in the past. It is a solution that everybody supports.

NATHAN GUY (National—Ōtaki) : The National Government is very supportive of the aquaculture industry, and indeed it is with a sense of privilege that I rise this evening to speak on the first reading of the Maori Commercial Aquaculture Claims Settlement (Regional Agreements) Amendment Bill. We believe that the aquaculture industry has the potential to provide large, long-term economic gains. What I mean by that is that there will be sustainability for the coastline, but also the creation of more jobs. We are investing $16 million a year in scientific research into the aquaculture industry, which is very, very important.

• Debate interrupted.