Changes to legislation bring huge implications

Remembering the rural fires of last summer leads to the question – who is liable for the cost of fighting a rural fire?

Many people are unaware that when the Fire and Emergency New Zealand Act 2017 (FENZ Act) came into force on 1 July 2017, responsibility changed from what was known as ‘strict liability’ for causing a rural fire to ‘criminalising risky or reckless behaviour’ which results in a fire. The implications of this change are huge.

Some background

A new organisation, Fire and Emergency New Zealand (FENZ), now has the responsibility to battle fires all over New Zealand, in both rural and urban areas. 

It is funded through the fire levy that is collected through insurance premiums. 

Major changes focus on reckless or risky behaviour

With the new FENZ Act, there is a move away from compensation to a focus on punishing reckless or risky behaviour that results in fire. The purpose is for penalties to act as a deterrent to such behaviour. 

Gone is the concept of strict liability and cost recovery from the person responsible. Now cost recovery in the form of compensation must be pursued through the common law and the courts. 

Significant penalties

The FENZ Act has introduced a maximum penalty for serious criminal offences of up to two years in prison, and/or fines of up to $300,000 for an individual or $600,000 in other cases. 

A defence against a serious criminal offence is available to a person who, as soon as is practical, notifies FENZ of the fire situation.

Ultimately people must be responsible

While liability remains with the people responsible, the introduction of criminal and infringement offences has raised the bar on personal accountability for people’s actions when handling fires.  

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