The Crown is being accused of ignoring Māori rights to the foreshore and seabed.
It is the second day of the civil appeal by offshore mining company Trans-Tasman Resources in its bid to get previous High Court and Court of Appeal decisions overturned.
The Attorney-General told the Supreme Court that Māori customary claims are not mentioned in the Act - which has drawn the ire of Taranaki iwi opposing the consent.
Meriana Johnsen is at the Supreme Court and filed this report.