Setback for controversial Ruataniwha dam irrigation scheme

Site of the proposed Ruataniwha dam.

Central Hawkes Bay's controversial Ruataniwha dam irrigation scheme received a setback today with High Court ruling that the board of inquiry that approved the project made errors when evaluating it.

Hawkes Bay and Eastern Fish and Game Council, the Royal Forest and Bird Protection Society and the Environmental Defence Society challenged the board's decision to grant consent for the water storage scheme and set new environmental rules for the Tukituki catchment where it would be built.

In his decision, Justice David Collins said the board of inquiry made overarching errors of law in the way it set rules on nitrogen levels leaching from farms irrigated by the project after accepting submissions from the dam's promoters when the board had finished its hearings.

He has instructed the board to reconsider those rules.

Fish & Game chief executive Bryce Johnson said the decision was "a victory for both the environment and natural justice".

"Essentially the judgement says the rules of natural justice were not applied when the Board of Inquiry considered new evidence from the Regional Council and the Regional Investment Company which was not made available to the other parties," Mr Johnson said.

"We had no idea this was happening and it is galling that natural justice should be flouted in this way by public bodies. Back room deals which compromise the environment are just not acceptable".

Fish & Game's environmental manager Corina Jordan said the decision "has national implications for all local bodies".

"This is a good day for the environment. The decision shows regional councils have to deliver on environmental outcomes, such as improving water quality by ensuring rivers are healthy", Ms Jordan said.

Labour's conservation spokeswoman Ruth Dyson said the decision was important "as it as it will make sure our rivers are properly protected".

"It is clear that the High Court's decision to refer its findings back to the Board of Inquiry will mean that the all-important environmental safeguards on the project can be strengthened."