The Treaty settlement process
The Waitangi Tribunal was established in 1975 by the Treaty of Waitangi Act 1975. In 1985 the tribunal was empowered to hear historical grievances dating back to 1840. In 1995 the Office of Treaty Settlements (OTS) was established to negotiate and implement the settlement of historical Treaty of Waitangi claims, under the guidance and direction of Cabinet.
The settlement of historical claims is funded by a multi-year appropriation in Vote Treaty Negotiations. This appropriation for the five-year period 2014 to 2018 is $1,400 million. There is an additional annual appropriation of $70.709 million for 2014/2015.
The first settlement under the Waitangi Tribunal process, made in 1989 in respect of Waitomo Caves, involved the transfer of land and a loan. Settlements now include a range of redress, which may include: a formal apology by the Crown; financial redress—comprised of a quantum amount and interest on the settlement redress; cultural redress; the transfer of—and/or the option to purchase—significant properties; and changes to geographical names.
Where possible, claims recognised by the tribunal are aggregated and dealt with as part of district claims. There are 37 districts.
The Treaty of Waitangi Amendment Act 2006 set a deadline of 1 September 2008 to lodge historical claims with the tribunal, with the aim of resolving them by 2020. In 2008 the date was amended to 2014. An increase in resources, and changes to streamline the claims process—including changes to the legislative process—facilitated an accelerated rate of settlements. In July 2014 the Waitangi Tribunal reported that they plan to complete the six outstanding district inquiries, involving about 900 claims, and address historical claims not included in district inquiries by 2020.
The relativity mechanism
Two early large settlements—with Waikato-Tainui in 1995 and Ngāi Tahu in 1998—included relativity clauses. This means that the Crown is liable to make payments to maintain the proportion of the Waikato-Tainui and Ngāi Tahu settlements at, respectively, 17% and 16.1% of all treaty settlements.
In its annual audit of central government, the Office of the Auditor-General reports on the relativity clauses. In October 2012 OTS advised that the total value of settlement redress had exceeded $1 billion in 1994 present value dollars, triggering the clauses for the first time. In 2012 the Crown paid Waikato-Tainui $70 million and Ngāi Tahu $68.5 million, representing the undisputed relativity redress to date. The parties are in dispute about the calculation of the redress.
Settlement progress
The OTS website lists information on the progress of claims as at August 2014:
- Since 1989, 54 settlements have been completed, with financial redress (excluding interest and other arrangements) of approximately $1,500 million.
- The 50th Parliament passed legislation enacting 28 settlements, involving financial redress of approximately $680 million.
- Thirteen groups are awaiting legislation to enact their settlements, involving financial redress of approximately $426 million.
- One settlement is awaiting ratification from members of the iwi.
- Thirteen groups have reached Agreements in Principle or the equivalent.
- Negotiations towards Agreements in Principle are proceeding with six groups.
Settlements have been reached in respect of seven of New Zealand’s ten largest iwi groups. The Crown has recognised the Tūhoronuku deed of mandate for Ngāpuhi, the largest iwi group. This mandate has been challenged in the Waitangi Tribunal. The two other most numerous iwi groups yet to reach settlements are engaged in negotiations.
Financial redress, historical Treaty claims: ten largest settlements
| Amount $million | Group | Year of Legislation |
| 170 | Ngāi Tahu | 1998 |
| 170 | Waikato/Tainui Raupatu | 1995 |
| 170 | Commercial Fisheries | 1992 |
| 169 | Ngāti Tūhoe | 2014 |
| 161 | Central North Island Forests Iwi Collective | 2008 |
| 90 | Ngāti Porou | 2012 |
| 70 | Ngāti Toa Rangitira | 2014 |
| 50 | Raukawa | 2014 |
| 42.39 | Ngāti Awa | 2005 |
| 41 | Ngāti Ruanui | 2003 |
Selected sources
Office of Treaty Settlements Claims Progress : Progress of Claims.
Office of Treaty Settlements 12 month progress report 1 July 2013-30 June 2014 (August 2014).
Waitangi Tribunal Strategic Direction 2014-2025 (July 2014).
Further reading
Richard S Hill “Ngā whakataunga tiriti–Treaty of Waitangi settlement process” Te Ara: the Encyclopedia of New Zealand.
Lee Taylor, Research Services Senior Librarian
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