Collapse of land deal for controversial plant welcomed by Waimate groups

Wednesday, 12 February 2025

A screen grab of a computer concept photograph from a resource application for the proposal to build a waste-to-energy plant near Glenavy in South Canterbury.

Two groups opposed to a waste-to-energy plant proposed for the Waimate District have welcomed news the company behind the project has failed to secure the land it wanted to build on.

On Tuesday, The Timaru Herald reported South Island Resource Recovery Limited (SIRRL) director Paul Taylor had confirmed the sales and purchase agreement between the company and Murphy Farms Ltd, for land for the plant near Glenavy, had lapsed at the end of last year.

Murphy Farms’ Bruce Murphy confirmed the agreement would not be renewed, via a statement issued by SIRRL.

“Due to the delays resulting from changes made to the consenting process through the introduction of the Fast-track Approvals Act, the project is not meeting Murphy Farms’ future plans for growth.

Bruce Murphy says the project “is not meeting Murphy Farms’ future plans for growth”. (File photo)

“As a result, we have not renewed the sales and purchase agreement with SIRRL.”

Following the news, a Why Waste Waimate spokesperson urged those behind the project to “give up”.

“SIRRL now has no land sale agreement, a lack of councils willing to provide them with waste, and no support from the local council or community.”

They said fighting the proposal had taken a toll on many.

“We thank all the members of our organisation who have stuck by us and taken this fight into unexpected quarters.

Murphy Farms Ltd confirmed the sales and purchase agreement would not be renewed. (File photo)

“There is a bottom line where communities must fight for our health, the wellbeing of our children and the environment that sustains these things. For Waimate, the fast-track process, by attempting to silence key stakeholders has instead galvanised our community.

“Why Waste Waimate applauds Waimate District Council and Murphy Farms for holding that line alongside Te Rūnanga o Waihao, the [Waimate Doctors group], the Glenavy School, and the business community.”

Asked whether they had any direct dealings with Murphy Farms, or if they had asked the company to reconsider the land sale, the spokesperson said they had not.

However, they said “communities know when they are being sold a lemon”.

“Over and over again it is being shown that this country has no appetite for these waste disposal technologies, when even our environmental agencies are ignored in favour of profit.”

SIRRL director Paul Taylor says they will continue to focus on lodging their application with the Fast-track panel.

Dr Crispin Langston, speaking on behalf of the Waimate Doctors group which also opposed the plant, said they were pleased the land sale had been withdrawn.

“As we have learnt more, we have become increasingly concerned about waste incineration risks to health and the environment,” he said.

“That has only been compounded by shortcomings in SIRRL’s application.”

Taylor gave no indication of where the plant may be located now it had lost the land.

“We will continue to focus on lodging our application with the Fast-track panel and they will assess our application and judge it on its merits,” Taylor said.

Te Rūnanga o Waihao chairperson Dardanelle McLean-Smith said, as SIRRL moved forward with its application to the Fast-track panel, it firmly opposed the proposed incinerator.

“The incineration of such a large amount of waste poses significant risks to te taiao (the environment), waterways, whenua (land), and our communities for generations to come.”

SIRRL announced Project Kea, its plan to build a $350 million waste-to-energy plant, in 2021. The following year the company confirmed the purchase of a 15-hectare piece of land near Glenavy from Murphy Farms Limited. And, in May last year the Overseas Investment Office confirmed it had granted consent for that purchase.

SIRRL is a joint venture between China Tianying Incorporated, which has a 60% share, and a New Zealand company, Renew Energy Ltd, with 40%.

In August 2023, the company’s resource consent applications were called in by then Environment Minister David Parker, at the request of the Waimate District Council and Environment Canterbury, so they could be managed by the Environmental Protection Authority (EPA), with the final decision on the project to be made by the Environment Court.

In October 2024, when the Government released a list of 149 projects to be fast-tracked, Project Kea was listed. The bill, which was enacted into law in December, was designed to speed up resource consents and get big projects built.

Applications for the fast-track process opened on Friday.