171Recommendation by territorial authority

1. When considering a requirement and any submissions received, a territorial authority must not have regard to trade competition or the effects of trade competition.

2. When considering a requirement and any submissions received, a territorial authority must, subject to Part 2, consider the effects on the environment of allowing the requirement, having particular regard to—

3. any relevant provisions of—
   1. a national policy statement:
   2. a New Zealand coastal policy statement:
   3. a regional policy statement or proposed regional policy statement:
   4. an infrastructure design solution:
   5. a plan or proposed plan; and
4. if the requiring authority does not have an interest in the land sufficient for undertaking the work,—
   1. whether adequate consideration has been given to any alternative sites, routes, or methods of undertaking the work; and
   2. whether the work and designation are reasonably necessary for achieving the objectives of the requiring authority for which the designation is sought; and
6. any other matter the territorial authority considers reasonably necessary in order to make a recommendation on the requirement.

7. The effects to be considered under subsection (1) may include any positive effects on the environment to offset or compensate for any adverse effects on the environment that will or may result from the activity enabled by the designation, as long as those effects result from measures proposed or agreed to by the requiring authority.

8. The territorial authority may recommend to the requiring authority that it—

9. confirm the requirement:
10. modify the requirement:
11. impose conditions:
12. withdraw the requirement.

13. Despite subsection (2), if a notice of requirement relates to a wastewater network or a stormwater network (as those terms are defined in section 5 of the Water Services Act 2021), and an infrastructure design solution applies and is being relied upon, the territorial authority—

14. must not recommend any conditions that are contrary to the requirements of the relevant infrastructure design solution; and
15. must recommend that conditions are imposed on the designation that are no more or less restrictive than is necessary to comply with the infrastructure design solution.

16. However, if the requiring authority is the Minister of Education or the Minister of Defence, the territorial authority may not recommend imposing a condition requiring a financial contribution (as defined in section 108(9)).

17. The territorial authority must give reasons for its recommendation under subsection (2).