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Update: Expanded 'Granny Flat' Flexibility
This article follows our earlier piece: Minor Dwellings in NZ: What You Can Build and When You Need a Consent which we published following changes to legislation making minor dwellings ('granny flats') a permitted activity without requiring a building consent.
An additional update was released on 28 April 2026 building on the earlier changes, further expanding the flexibility of granny flat provisions and supporting faster delivery of small-scale housing across New Zealand.
The Government has signalled a continued focus on reducing regulatory barriers, with the latest changes aimed at increasing homeowner choice and enabling a wider range of construction methods, particularly off-site prefabrication.
Key Changes:
Off-site construction allowed earlier
Consent-exempt granny flats can now be constructed off-site before a Project Information Memorandum (PIM) is issued, provided all exemption conditions are met.
- This enables dwellings to be built in advance
- Buyers can inspect completed units prior to purchase
- Overall construction timeframes are reduced
However, a PIM is still required before any on-site works begin, ensuring the dwelling is suitable for the specific site (e.g. services, hazards, and constraints).
Expanded building material eligibility
The exemption will be broadened to include Structural Insulated Panels (SIPs) where they have a CodeMark certificate.
- Recognises a broader range of modern prefabricated systems
- Maintains compliance with Building Code requirements
Minor technical refinements
The Government has indicated further small amendments will be made to improve clarity and ensure the provisions are workable in practice.
Ongoing Framework (unchanged):
These updates sit alongside the existing framework introduced in January 2026:
- Detached minor residential units (DMRUs) up to 70m² can generally be constructed without building or resource consent, provided national standards are met.
- The provisions are enabled under both:
- The Building Act 2004 (building consent exemption)
- The National Environmental Standards for Detached Minor Residential Units (NES DMRU) under the Resource Management Act 1991
Implementation Timing:
The April updates are expected to be formalised via Order in Council in Q3 2026, meaning further refinements to current practice are still pending.
What this means in practice:
For homeowners, developers, and planners, the direction of travel is clear:
- Increased viability of prefabricated and modular housing
- Reduced programme risk through earlier build commencement
- Greater flexibility in delivery pathways (off-site vs on-site vs consented builds)
From a planning perspective, while consenting requirements remain streamlined, site-specific constraints (via PIM and District Plan standards) still play a key role in determining whether a proposal qualifies for the exemption.
If you're planning a minor dwelling and want clarity on whether you need resource consent, what it will cost, or how long it might take, our team can help.
Inovo’s resource consent planners and planning consultants can quickly review your site and provide clear, practical advice on the best path forward.
Get in touch to discuss your project.
rmplanning@inovo.nz
020 4000 0294
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Disclaimer
This article contains general information and opinion based on our expertise. It is provided free of charge and does not constitute legal or other professional advice. The information within it was up to date at the time of publishing.
Have you got further questions about this topic or our other services?
We are always happy to help – drop us an email rmplanning@inovo.nz, or phone us on 020 4000 0294.


Inovo’s Netin Chand named PMI Project Professional of the Year
The Inovo Team is excited to celebrate with Netin Chand as he has been honoured by PMI NZ and named Project Professional of the Year at last night’s awards ceremony.
The judging panel recognised Netin’s outstanding leadership across delivery and stakeholder engagement on Community Lane, a five-building 236-apartment development in Avondale, Auckland.
The judges were impressed by the strong community values, delivered under real-world construction conditions and supported by clear communications, trusted relationships, sustainability and a commitment to knowledge-sharing. What really stood out was Netin’s consistent leadership across all aspects of the project while in a client-side project management role. “A strong example of professional excellence.”
A team of Netin’s colleagues and Inovo managers were there to support Netin at the Awards, along with his wife, Shaileshni. At Inovo, we celebrate individual achievement while recognising that success is always a team effort. As Netin said last night “the real magic comes from a team of very talented people”.
Netin also acknowledged the build partners and the consultants involved in the Community Lane project “lets keep building great projects, together".
Congratulations Netin – a well-deserved recognition of your leadership, professionalism, and commitment to delivering meaningful outcomes.
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Selwyn Water Limited: What It Means for Consents, Developers and Residents in Selwyn District
In 2025, Selwyn District Council (SDC) established Selwyn Water Limited, a new council-controlled organisation to take over drinking water and wastewater services in the Selwyn District.
What is Selwyn Water Limited?
Selwyn Water Limited is a council-owned organisation established in 2025 to manage drinking water and wastewater services in Selwyn District.
While this change supports rapid growth and infrastructure investment, it also introduces practical differences for developers,landowners, and residents - particularly when navigating resource consents under the Resource Management Act (RMA).
For developers, it means water servicing for subdivision consents is now assessed by Selwyn Water, while applications are still submitted through Selwyn District Council.
From Council-Run to Selwyn Water: What Changed?
Previously, water services were run in-house by Selwyn District Council. The shift to a CCO was part of the Government’s “Local Water Done Well” framework, allowing councils to set up local water entities with greater financial flexibility. Previously, water services were run in-house by Selwyn District Council.
The shift to a CCO was part of the Government’s “Local Water Done Well” framework, allowing councils to set up local water entities with greater financial flexibility. Selwyn Water Limited was established in July 2025 and water assets were transferred to the CCO in December 2025.
How Selwyn Water Affects Developers and Resource Consents
If you’re involved in subdivision or new build projects in the Selwyn District, here’s how the introduction of Selwyn Water may affect your resource consent process:
- Water servicing assessments
Selwyn Water now reviews drinking water and wastewater servicing for subdivision consents. - Application process remains the same
Consents are still lodged with Selwyn District Council. - Updated consent conditions
Conditions may now reference Selwyn Water requirements. - Infrastructure design requirements
Designs must meet existing Council standards, with connections supervised bySelwyn Water’s contractor (currently CORDE Ltd). - Development contributions and fees
Charges remain in place and are outlined in the Council’s Long-Term Plan. DCs and fees are used by Selwyn Water for infrastructure upgrades. - Dual engagement during transition
Developers may need to coordinate with both Council and Selwyn Water. - Future infrastructure investment
Selwyn Water is investing in infrastructure to support growth, which may help address capacity constraints and improve feasibility for new developments. - Stormwater, drinking water and wastewater
Stormwater remains Council responsibility, while Selwyn Water manages drinking water and wastewater. Regional consents for water takes or discharges are now held by Selwyn Water.
What Selwyn Water Means for Selwyn Residents
For people living in the Selwyn District, most services will continue as normal, with some changes over time:
- Water and wastewater services will continue as usual, with a focus on maintaining supply and improving infrastructure overtime.
- Drinking water and wastewater are now managed by Selwyn Water
- Stormwater remains under Selwyn District Council
- Water services remain publicly owned (not privatised)
- Separate billing begins from 1 July 2026
- During the transition, you can still contact the Council for any issues like leaks or outages. Selwyn Water’s contractors will respond. Customer service will transition to Selwyn Water over time.
FAQs: Selwyn Water and Consents
Does Selwyn Water replace the Council for consents?
No. Resource consent applications are still submitted to Selwyn District Council, but Selwyn Water now assesses water and wastewater servicing.
Do developers need to deal with both Council and Selwyn Water?
Yes. During the transition, developers may interact with both entities.
Who will manage stormwater in Selwyn?
Stormwater remains the responsibility of Selwyn District Council.
When will billing change?
From 1 July 2026, water and wastewater charges will be billed separately by Selwyn Water.
Planning a development in Selwyn District?
Inovo works closely with Selwyn Water and Council to help developers navigate consent requirements, coordinate technical inputs, and avoid delays.
Resource consent strategy and preparation:
We understand the Selwyn District Plan, RMA requirements,and how Selwyn Water’s role fits into the process.
Civil engineering design:
From water supply and wastewater layouts to stormwater management, we deliver practical, compliant infrastructure solutions tailored to your site.
Liaison with Selwyn Water and Council:
We can coordinate directly with Selwyn Water’s engineering team and Council planners to help streamline approvals and reduce delays.
Whether you’re planning a small subdivision or a large-scale development, we’re here to help you move forward with confidence.
Was this article helpful? Here’s some other topics that might be of interest to you:
National Policy Statement for Natural Hazards (2025): What developers and landowners need to know
What’s the difference between as resource consent and a building consent?
Disclaimer
This article contains general information and opinion based on our expertise. It is provided free of charge and does not constitute legal or other professional advice. The information within it was up to date at the time of publishing.
Have you got further questions about this topic or our other services?
We are always happy to help – drop us an email rmplanning@inovo.nz, or phone us on 020 4000 0294.






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