The nature of compliance: biodiversity compensation under the Conservation Act 1987

Biodiversity compensation is an increasingly popular policy tool that has the potential to balance conservation and development goals. It purports to enable continued development with the proviso that any residual effects of development on biodiversity are compensated for. Biodiversity compensation is controversial. Some argue that it is a useful policy instrument, whilst others consider it does little but facilitate inappropriate development and pacify those with an interest in protecting the environment. One issue that is considered detrimental to the use of biodiversity compensation as a policy tool, is inadequate monitoring and compliance. Non-compliance can mean failure to deliver the anticipated compensation and consequently can lead to biodiversity loss. This research project focused on compliance with biodiversity compensation on public conservation land in New Zealand, under the Conservation Act 1987. A mixed methods approach was used to investigate variations in, and predictors of, compliance. A total of 20 concession case studies from around the South Island of New Zealand, involving 28 compensatory conditions, were assessed in this study. Results show that concessionaires complied with approximately two-thirds (68%) of biodiversity compensation conditions. This rate of compliance is similar to what was found under the New Zealand Resource Management Act 1991, and it is a vast improvement on overseas studies. Compliance was also observed to be non-uniform. Some variables, such as the duration of the compensatory action, had a statistically significant correlation with compliance. Other qualitative factors, observed during the data collection process, also had an effect on compliance. These include the ad hoc way in which compensation measures were implemented, monitored and enforced, as well as the Department of Conservation’s approach to compliance reporting and data management. Continued research into this area is vital to ensure compensatory conditions lead to efficient and effective biodiversity management. This research has been important in providing the first insight into the use of, and compliance with, biodiversity compensation under the Conservation Act, and it paves the way for further exploration and discussion.