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Landowners to object directly to minister, receive incentive payments as part of changes to land acquisition

Sunday, 9 March 2025

Chris Bishop announce the governments new infrastructure funding model.

Planned changes will see landowners who don’t want their land acquired for public works object to Land Information Minister Chris Penk directly, or their local authority, rather than through the environment court.

Penk is promising to “streamline” the objections process and put “premium payments on the table” for landowners whose land the Government wants to acquire for major projects.

“Public infrastructure projects up and down the country are often held up for years by overly complex, drawn-out processes for purchasing the land needed. This has meant that projects which would provide massive benefits for communities end up stalled, with the only action happening in courtrooms,” Penk said in a statement on Sunday.

The Government will make changes to the Public Works Act over the next months to “accelerate” the acquisition of land needed to build 17 roads of national significance, as well as the 149 projects listed in the Fast Track Approvals Act. However its broader “overhaul” of the Public Works Act is due to be completed next year.

Infrastructure Minister Chris Bishop says delays to public works because of objections is ‘unacceptable’.
Infrastructure Minister Chris Bishop says delays to public works because of objections is ‘unacceptable’.

The amended legislation will include an extra incentive payments of 15% of the lands value, and capped at $150,000, for landowners who voluntarily sell their land before a Notice of Intention is issued.

It also includes recognition payments - set at 5% of the lands value and capped at $92,000 - for landowners whose land is acquired under the accelerated process. The amended legislation will also replace the objections process: landowners will go to Penk, or a local authority, a resolution, rather than the Environment Court.

Infrastructure Minister Chris Bishop said delays and cost increases related to public objections were “unacceptable”.

“Infrastructure projects up and down the country are often held up for years by overly complex, drawn-out processes for purchasing the land needed. This has meant that projects which would provide massive benefits for communities end up stalled, with the only action happening in courtrooms.

“Basically, as a country, we’ve accepted too many reasons to say no. The result has been long, drawn-out legal battles over land acquisitions that have cost time, money and livelihoods. All New Zealanders deserve better – not only those who will benefit from a project, but also the people whose land is needed for it. It’s time to say yes to getting stuff done,”

The proposal supports the Coalition Agreement between National and New Zealand First to prioritise strategic infrastructure and simplify the planning system.

A draft Bill is expected to be introduced to Parliament in May, with the public invited to provide feedback through the select committee process.