The Government has failed to get the backing of two of its support partners for major planning reforms but has still been able to progress the law changes with votes from the Maori Party and Labour.
The Act Party and United Future voted against the Resource Legislation Amendment Bill this afternoon at its first reading.
The long-awaited reforms aim to simplify planning rules and make them more consistent around the country, involve iwi more in planning decisions, and place greater emphasis on the supply of housing.
Act Party leader David Seymour said the Government had promised reform but after making concessions to the Maori Party its law changes only amounted to "tinkering". He said Act would reverse its vote only if National added property rights protections and amended the fundamental principles of the Resource Management Act (RMA), which included environmental protections.
United Future leader Peter Dunne's opposition came despite the Government's decision to drop the most controversial parts of the reforms, which would have changed environmental bottom lines.
Mr Dunne said there were "worthwhile" measures in the bill. But he expressed frustration that the Government had not consulted him on the changes and he felt the reforms were not coherent.
The Green Party also voted against the bill because it felt the changes weakened environmental protections and public consultation requirements.
MP Eugenie Sage said her party was especially concerned about an amendment which would give ministers more power over the granting of mining consents in New Zealand's oceans.
In his first-reading speech, Environment Minister Nick Smith said the bill was about reducing the bureaucracy that prevented job creation, housing developments and environmental management.
"It provides for greater national consistency, more responsive planning, and simplified consenting, and it better aligns the Resource Management Act with other law," he said.
The bill passed its first reading by 92 votes to 14, with New Zealand First abstaining.