This guidance supports local authorities to give effect to evidence and monitoring requirements in the National Policy Statement on Urban Development Capacity.

These policies require high and medium growth local authorities to:

• prepare housing and business development capacity assessments on at least a threeyearly basis which forecast demand and “feasible” development capacity, and the likely take-up of capacity 

• undertake quarterly monitoring of market indicators, and use indicators of price efficiency.

The policy also strongly encourages local authorities that share jurisdiction over a high or medium growth urban area, to cooperate and agree on a joint housing and business development capacity assessment.

The guide is consistent with, and expands on, the policy intent behind the National Policy Statement. It is not part of the NPS-UDC, and is not legal advice. It should be read alongside the NPS-UDC, the Introduction to the National Policy Statement on Urban Development Capacity and other related information available on the Ministry for the Environment’s website. The guide can be used in conjunction with the development feasibility model and the market indicators dashboard also provided to local authorities.