New Designation and Delegation Letter

24 April 2009

The Minister of Finance and the Minister for Land Information have issued a new Designation and Delegation letter to the Overseas Investment Office (OIO).

The new letter, setting out the powers and functions delegated to the OIO, takes effect from Monday 27 April 2009. It supersedes the previous designation and delegation letter, dated 14 December 2007.

The new delegations will result in fewer applications needing a Ministerial decision, and will increase the timeliness of the application process. Applicants should be mindful of these changes in delegations when paying application fees.

Under the new delegation powers, the OIO as the regulator has greater authority to make decisions under the Overseas Investment Act 2005 (the Act) on whether to grant consent to overseas investments in sensitive land (land decisions).

Decisions on whether to grant consent to overseas investments in significant business assets (business decisions) will continue to be delegated.

There are a number of other additional functions and powers under the Act and the Overseas Investment Regulations 2005 which will now be delegated. These changes are intended to streamline the assessment of applications for consent.

Key changes

• Land decisions where the substantial and identifiable benefits criterion (section 16(1)(e)(iii)) does not apply, will now be delegated.
• The exception to the above will be where the relevant land is or includes special land, land on other islands, the foreshore or seabed or the bed of a lake, or adjoins the foreshore or bed of a lake.
• Even if the ‘substantial and identifiable’ criterion applies, decisions will be delegated where:
  • The land is leasehold (other than pastoral lease land) or the interest being acquired is an interest as mortgagee or encumbrancee, or
  • The only ‘sensitivity’ is that the land is non-urban and more than five hectares.

View the new designation and delegation letter (pdf 981KB).

Media enquiries: Dionne Barton, Land Information New Zealand, Phone +64 4 460 2718, Mobile +64 27 444 4223, Email media@linz.govt.nz