The iwi power rankings: who are the most powerful iwi in 2013?

Pita Sharples and Ngai Tahu members with reprsentatives
 from the China Development Bank

Pita Sharples claims that the Maori economy is worth $37b. BERL calls the Maori economy a “sleeping giant”. Jamie Tuuta characterises the Maori economy as a “developing economy within a developed economy”. What does it all mean? It means that the Maori economy is a synonym for Maori power.

The Maori economy can’t be separated from a discussion on iwi power. But power is more than that: it’s cultural, political and it might be esoteric. I’ve adopted a fluid definition. Iwi power is measured against three factors: cultural power, economic power and political power. Each ground is subjective – I might value profitability over asset value while another person might reverse that – but I’ve tried to apply each consideration consistently.

The Breakdown

That Ngai Tahu topped the rankings will surprise no one. In the year to June 30 2012 the tribe enjoyed a net profit of 95.7m. In the year to June 30 2013 the tribe declared a net profit of 77.9m. Ngai Tahu Holdings Corporation owns assets worth almost $1b.

But Waikato-Tainui can claim similar numbers. Ngai Tahu emerged at the top on the strength of two factors: its stability and support for its members. Ngai Tahu isn’t burdened with cumbersome governance structures nor plagued with internal warfare. Parts of Ngai Tahu Holding’s profit will be spent on funding a superannuation scheme with 18,000 iwi members. Waikato-Tainui is behind the ball on these counts.

But others made the list for different reasons. Ngati Porou only recently settled, but they exercise a disproportionate pull on Maori politics. The highest ranked Maori minister in Cabinet – Hekia Parata – is from Ngati Porou. The highest ranked Maori minister in the last Cabinet – Parekura Horomia – was Ngati Porou. Some of Maori society’s most celebrated politicians – think of Ngata – were Ngati Porou.

Te Arawa isn’t the wealthiest iwi, but Rotorua is the centre of Maori culture. Thousands of tourists pass through Mitai, Te Puia, Tamaki and Whakarewarewa. They experience a few aspects of Maori culture, but it’s Maori culture presented through Te Arawatanga. Don’t underestimate the power of that.

Nga Puhi is the largest iwi. And here’s an interesting fact: the Maori mythology that’s presented in society often reflects Nga Puhi mythology. When Mataku - the drama series – dealt with Maori death the show used the Nga Puhi perspective that spirits depart from Te Rerenga Wairua. In Struggle Without End Ranginui Walker (despite being Whakatohea) uses Nga Puhi traditions to pin point the location of Hawaiki. Nga Puhi’s conception of the Maori world has a disproportionate influence on how we see ourselves and how others perceive us.

The Rankings

List of iwi

      1. Ngai Tahu

One of the headlines of the year goes to the Christchurch Press for this effort: The Wisdom of (Mark) Solomon. Make that Sir Mark Solomon.

Ngai Tahu sits on the Land and Water Forum. The Christchurch Earthquake Recovery Authority is obligated to consult local and regional council and Ngai Tahu. The government is also paying out what’s owed under Ngai Tahu’s relativity clause. Solomon has been critical in each respect.

Ngai Tahu is strategic. It helps having the capital and labour (in the form of young Ngai Tahu tradies) that the government needs for the Christchurch rebuild, but Ngai Tahu knows better than any how to put its economic leverage to work.

Ngai Tahu also secured the hosting rights to the next Te Matatini Festival. It might seem insignificant, but Te Matatini is Maori Society’s equivalent to the Rugby World Cup.

Ngai Tahu’s influence reaches across South Island: from aquaculture in Southland, farms in Kaikoura, tourism in Queenstown and property in Christchurch. There’s only one other iwi with such widespread economic influence…

      2. Waikato-Tainui

On July 3 Waikato-Tainui announced its annual result at The Base – the iwi’s $99m mall at Te Rapa. Waikato-Tainui is on track to become the most important component of the Waikato economy.

Ngai Tahu tends to go it alone. Waikato-Tainui hasn’t. In the last decade Waikato-Tainui has developed strategic partnerships with Accor Hotels, Auckland International Airport and several other companies. Those partnerships allowed Waikato-Tainui to build the Novotel Hamilton and the Novotel Auckland Airport.

Partnerships are crucial to iwi development. Waikato-Tainui appears to recognise this better than most. Iwi can’t raise capital through share or bond offers. It’s also iwi policy to maintain a debt ceiling of 30% and retained earnings (the money that is retained by Tainui Group Holdings rather than distributed) are not as high as you'd immediately expect. That makes joint ventures crucial to financing iwi investments like the inland port at Ruakura.

But it’s that ambition – coupled with the notorious instability mentioned earlier – that puts Waikato-Tainui in 2nd place. Ambition could turn to overreach and internal instability could do the rest. The inland port and associated developments at Ruakura are estimated to cost $3.5b. The Herald reports that:

[Waikato-Tainui will] develop a massive commercial inland freight hub… 6000 to 12,000 jobs will be created, more than 2000 houses will be built and the Waikato area's GDP will increase by $4.4 billion.

$3.5b appears to be a cost that Waikato-Tainui’s balance sheet can’t bear. Ngai Tahu appears to be in a (comparatively speaking) more sustainable position. But I hope to be humiliated in 10 years’ time when the development is finished and it’s proven that Mike Pohio was right to say “don’t bet againt our ambition”.

      3. Ngati Porou 

Forget the economy for now. Ngati Porou is powerful for different reasons – cultural and political reasons.

Ihimaera's Whale Rider

Some of Maori society’s best are and were Ngati Porou. Best thinkers (Moana Jackson); best writers (Witi Ihimeara); best composers (Derek Lardelli); best speakers (Kāterina Mataira) and best politicians (Apirana Ngata).

Ngati Porou have had and still have a disproportionate sway over Maori society. 

When the Foreshore and Seabed Act 2004 was passed Ngati Porou managed to negotiate a "comprehensive package of rights and protections" (with the help of two of their sons in Cabinet – Parekura Horomia and John Tamihere). No other iwi did so. In fact, it might not have crossed their minds. Ngati Porou can tap its talent in government to achieve the outcomes it needs. A rare thing. 

In the current government the highest ranked Maori minister is from Ngati Porou.

      4. Nga Puhi

122,000 Maori, or around one in five, identify as Nga Puhi. Nga Puhi is power in numbers.

For much of the 19th century the North was the home of British power. Nga Puhi hosted the first Christian Mission, Kororareka became the first European settlement and the Bay of Islands had become one of the most important ports in the country. Shrewd Nga Puhi leaders took advantage of that. But power has shifted south to Auckland and Wellington, but Nga Puhi retains a pull on Maori society and the national consciousness.

Enter Waitangi Day. Arguably, Nga Puhi has the power to determine the mood of the nation on our founding day. Will it be protest and a mood of indignation or peace and a mood of reconciliation? Nga Puhi has pedigree in the Maori renaissance too. Many of its former leaders and leading lights – for example Hone Tuwhare – and current leaders – Hone Harawira – are Nga Puhi. Nga Puhi is pervasive and through weight in numbers it manages to influence Maori society iwi more than most other iwi.

      5. Ngati Tuwharetoa

Geothermal power is New Zealand’s most reliable renewable energy source and Ngati Tuwharetoa controls most of New Zealand’s geothermal fields. (For clarity, Ngati Tuwharetoa doesn’t control the geothermal energy itself - there are various statutes which deal with that – but they own the land where many bores are located).

Ngati Tuwharetoa also plays an important role in the Kingitanga. Iwikau Te Heuheu, the paramount chief of Ngati Tuwharetoa at the time, was approached to take the Kingship. He declined. In theory, the Kingitanga could pass to Ngati Tuwharetoa. After all, the Te Heu Heu whanau still play an important role in Ngati Tuwharetoa, the Kingitanga and Maori society.

The iwi is also making inroads with tourism ventures in Taupo and they’ve engaged former Deputy Prime Minister Michael Cullen as a Treaty negotiator. Shrewd. Having already settled in the Treelords settlement and the Sealords settlement, Ngati Tuwharetoa is poised to become one of Maori society’s most powerful iwi. They sit on strategic resources and they're set for a significant cash injection. I wouldn't bet against them.

Honourable Mentions: 

• Ngai Tuhoe
• Te Arawa
• Ngati Whatua o Orakei
• Ngati Kahungungu 

Where to now? 

If Waikato-Tainui call pull off their inland port at Ruakura they'll dominate the rankings for years to come. Ruakura will be a strategic resource. It's going to be at the mid-way point between Auckland and the Port of Tauranga (New Zealand's largest freight port), located on the Waikato Expressway, built on the East Coast Main Trunk Railway and close to Hamilton (which for some reason is one of New Zealand's fastest growing cities).

Ngai Tahu will remain solid. They're in a sustainable position and the Christchurch rebuild has presented incredible opportunities for iwi development (both financial development and development for whanau through job creation, papakainga housing and so on).

The most interesting movement will be among iwi like Te Arawa, Tuhoe and Ngati Whatua o Orakei. Tuhoe are soon to settle for $170m and are in an incredible position on self government issues. In that respect, Tuhoe will be a template for other iwi. Ngati Whatua o Orakei is in an interesting position too. Auckland is growing rapidly and Ngati Whatua o Orakei are asserting themselves as a central part in that development. Watch this space.

Is Tuhoe Mana Motuhake the next step?

Defining iwi - Iwi is a modern concept. For the most part, Maori society organised itself along hapu lines. But for ease of reference I’ve used iwi in its ordinary sense. But the term becomes problematic: for example Waikato-Tainui is a confederation. It’s made up of various iwi and those iwi are made up of various hapu. Iwi is the overlay. For the purposes of this post, iwi is used as synonymous with the settlement body (i.e. “the large natural grouping”).

This isn't a wholly serious exercise: don't get carried away with this or gutted with the analysis. This isn't a definitive list. It's more of a discussion. Feel free to add your opinions in the comments section. 

Disclaimer: I primarily identify with Ngati Awa and they didn't make it - there's no bias here.  

Racism and Redneckery on the North Shore

Racism, bigotry, redneckery: it’s all on display in Devonport, an upmarket suburb on Auckland’s North Shore. The local residents have their hackles up over a treaty deal that will include a 3.2ha block at Narrow Neck. The block is currently used by the Navy.

Under the settlement, Ngati Whatua will be given the opportunity to purchase the block. Once the land passes into Ngati Whatua's hands, local residents fear the tribe will develop the land. This is unfounded. The Navy will continue to lease the land for the next 15 years at least. With this in mind, the character of the area will not change in the medium term. Put simply, the status quo will remain.

Even if Ngati Whatua refuses to extend the Navy’s lease, district plan rules prevent intensive development. Under the recreation rules in the North Shore District Plan, this plan is still operative in the absence of the Auckland Unitary plan by the way, any development on or adjacent to reserve land is restricted in height, must be compatible with “the character of the reserve”, the “qualities” of the area must be maintained and so on and so on. Effectively, planning rules prevent development that will detract from the purpose and character of the reserve. The resident’s fears of commercial development are unfounded.

Under the Hauraki Gulf Marine Park Act (HGMP) the block was to be included in the adjoining reserve when the Navy vacated. However, the Act also stipulates that this is not operative if the land is or becomes subject to a treaty claim. Therefore, there is nothing illegal about selling the land to Ngati Whatua. As it happens, the Herald reveals that the land was subject to a treaty claim interest when the HGMP passed. Discussions over including the land in future treaty settlements begun in 1995 and were referred to in a 1999 court case that led to the creation of the HGMP. The Waitangi Tribunal also flagged the land in their Tamaki Makaurau report and the Herald referred to the possible sale as early as 2006. So, to be fair, the residents can’t argue that the sale of the block has come out of the blue - the land was earmarked for treaty settlement purposes before the HGMP was even formulated.

Access to the adjoining reserve will not and cannot be restricted. Nagti Whatua have publicly assured the residents that access will not be restricted, even though Ngati Whatua can’t restrict access to the reserve. The block is currently closed to the public and does not, even though it is closed, prevent access to the adjoining reserve. The block is only 3.2ha adjoining not blocking, key words not blocking, access to the 11.9ha reserve – access to the 11.9ha remains unaffected by the deal.

The Treaty Negotiations Minister, the excellent Chris Finlayson, has no obligation to consult the residents of Devonport, contrary to their belief. This is a matter between Maori and the Crown – not Maori and the community. Even if there was an obligation, former North Shore MP Wayne Mapp fulfilled that obligation when he briefed the local board last year. However, according to Dr Mapp, the local board failed to, excuse the awful pun, take it on board.

Finally, the government and iwi have secured approval from the Hauraki Gulf Forum. It was the Gulf Forum that secured the areas marine park designation so surely they are the most appropriate group to consult and seek approval from.

Residents, the local board and the Auckland Council are lodging submissions to the Maori Affairs Select Committee. It's shame to see the Auckland Council, most notably Len Brown, buy into the hysteria and misinformation. Only last year the Mayor delivered a "warm" speech and waiata at the signing of the deed of settlement.

There are a host of misconceptions surrounding the settlement – most driven by the bigoted residents and the filthy local rag. What underlies objections to land transfers, or in this case land purchases, is racism. Many New Zealanders have an unfounded fear that Maori will restrict access, develop the land in ways that will negatively affect the community and so on. I’d challenge anyone who operates under this mind set to point to more than one example where Maori have blocked access to previously public land, urupa (cemeteries) and other waahi tapu (sacred) sites excluded. Restricting access runs contrary to Maori values. After all, there is no such thing as private property in Te Ao Maori.

The racist residents should keep in mind how Maori suffered significant losses. As one example, shortly after the Treaty was signed the Crown bought 3000 acres of what is now downtown Auckland for 281 pounds. Within six months, it had on-sold 90 acres of that land for 24,500 pounds.

(For a level head see this report from Native Affair's Semiramus Holland). 

Len Brown: a scab and a racist?

These sorts of stories really annoy me:

A $30-million plus block of prime Auckland waterfront land will lose its marine park designation when it is sold cheaply to Maori as part of a big Treaty deal.

The 3.2ha Takapuna Head site, used by the New Zealand Navy as an officer training school, is being sold back to Ngati Whatua for $13.8m - but the iwi has been given freedom to do what it likes with the land.

At the same time, the Government is close to finalising a settlement with Ngati Ranginui in the Bay of Plenty on the land under two primary schools and Tauranga's new police station.

But local elected officials say they were never properly consulted: Auckland mayor Len Brown has written to Treaty Negotiations Minister Chris Finlayson asking for a meeting. He said the settlement would "potentially alienate future public access to the property".

"What is more concerning is that this change is being introduced without any formal consultation with the local board and/or community and the Auckland Council," he added.

Firstly, there is no obligation on the government and Maori to consult the Council. Secondly, the status quo will barely change. Ownership will change, but the Navy school will remain and in Tauranga the two primary schools and police station will remain.

What underlies objections to land transfers, or in this case land purchases, is racism. Many New Zealanders have an unfounded fear that Maori will restrict access, develop the land in ways that will negatively affect the community and so on. I’d challenge anyone who operates under this mind set to point to more than one example where Maori have blocked access to previously public land, urupa (cemeteries) and other wahi tapu (sacred) sites excluded. Restricting access runs contrary to Maori values. After all, there is no such thing as private property in Te Ao Maori.

In this particular case, the government and iwi have obtained approval from the Hauraki Gulf Forum. It was the Gulf Forum that secured the areas marine park designation so surely they are the most appropriate group to consult and seek approval from – the Council is secondary.

It's disappointing, but understandable I suppose, to see Len Brown objecting. If the Mayor continues to oppose the proposed deal then he risks perpetuating the current grievance. If iwi do purchase the land, new grievances will not be created. This is rubbish. Will the people of Takapuna be that sore about the navy school site being sold. 90% of the good residents won't even notice and 95% won't even care. 

Basically, this is a non-story. The story should focus on Len Brown's opposition to treaty settlements and his continued drift to the right.  

On the plastic waka controversy

I feel obligated to defend the decision to award $1.8m to Ngati Whatua to build a plastic waka for the Rugby World Cup. However, I’ll look at it both ways.

Firstly, there should be a Maori presence during the RWC. Secondly, I do not buy the criticism that the waka is “plastic” – in both a literal and figurative sense. The waka will serve as a testament to the tangata whenua (Ngati Whatua) and a symbolic tribute to the Maori culture. The fact that the waka will be plastic will probably make no difference, aesthetically speaking. Thirdly, BB points out:

After all there are by our reckoning a fair few Maori in the All Black Team. They have adopted a traditional Haka as their own. The World Cup imagery is laced with a modern take on traditional Maori designs.

Fourthly, in the scheme of things, $2m is utterly inconsequential. Fifthly, as far as we know the waka will generate revenue.

However, having said all of that I think Gordon Campbell makes an excellent point:

Reportedly, the related costs from the management, transport and storage of the waka mean that the entire enterprise is being budgeted – right from the outset – to lose money. Which raises the interesting prospect of whether the giant plastic waka has also been created from the outset as a tax write-off.

Admittedly, this is less than ideal. Consider this as well:

The whole episode with the plastic waka is not a good look for Maori entrepreneurship. Surely, someone in the Maori bureaucracy must have asked whether the most visible icon of Maori culture related to the Rugby World Cup should be a 60 metre long plastic canoe

I tend to agree with this.

Shane Jones take on this is pretty cringe worthy, yet he makes a number of valid points. He is right in pointing out that it is merely a stunt, an election year sop. However, he is wrong in writing it off completely. The waka will serve well as an attraction and will most certainly be utilised. The question though is will it be sustainable. 

I'll end by pointing out that this issue is such an easy target. An incredibly easy target. The media knows Maori issues lead well and can be sustained across several new cycles. And the public love it.