The amendments reshape the full acquisition process, from the first approach to a landowner, through rights of objection, to compensation entitlements. The reforms also create tailored regimes for coordinated projects, Transpower’s works and emergency recovery, and provide better protection of Māori land.

An updated front end

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Initial approaches to landowners are governed by section 18 of the Act. This section has been replaced to better order the steps required to be taken, and to improve the detail of information provided to landowners. An invitation to sell the land made by the acquiring authority must be accompanied by an estimate of the compensation payable under the Act, which needs to be based on a valuation from a registered valuer.

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Ordinarily, the acquiring authority must “make every endeavour to negotiate in good faith with the owner in an attempt to reach an agreement for the acquisition of the land” for three months before moving to compulsory acquisition. That period has been extended to six months for Māori freehold land with more than four beneficial owners, or held by a Māori incorporation with more than four shareholders.

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Compulsory acquisition formally commences under section 23 of the Act. Again, this section has been replaced to improve the information provided to landowners. Where only part of an existing surveyed lot is required, the notice must include a scheme plan which includes aerial imagery showing the required land. In addition, the consent of a second Minister will be required to acquire any protected Māori land (which includes all Māori landand certain classes of general land) for a government work.

Limiting grounds for judicial review and objections

Any decision to acquire land is potentially subject to judicial review outside the objection process provided under the Act. The Act now seeks to limit the scope of any judicial reviews by specifying relevant considerations for certain decisions made by the Minister or local authority seeking to acquire the land. Those considerations are narrowed further where the land is subject to a designation for the public work.

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Similarly, rights of objection under the Act also narrow. Objections can only be made to the Environment Court on grounds that relate to:

• the adequacy of the consideration given to alternative sites, routes or other methods of achieving the objectives of the acquiring authority; and
• whether it would be fair, sound and reasonably necessary for achieving those objectives for the land to be taken. 

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However, an objection cannot be made on grounds relating to the consideration given to alternatives if the land is subject to a designation for the public work.

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These changes draw a clearer line between planning approval and land acquisition, reducing the scope for a judicial review or an objection to become a second hearing on matters already settled through the obtaining of a designation.

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The amendments also clarify that no objections can be made regarding the adequacy of compensation. Compensation claims are dealt with separately.

Agreements now incentivised

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The amendments introduce a new payment for acquisition by early agreement. Where agreement is reached before a notice of intention is issued, the landowner is entitled to additional compensation equal to 10% of the compensation payable for the land (based on the land’s market value), to a maximum of $100,000. For protected Māori land, a discretionary equivalent payment may be available where ownership structures or practical constraints mean the agreement follows later.

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Existing additional compensation for the acquisition of land containing the landowner’s principal place of residence remains at $50,000 but the calculation has been simplified.

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Where Māori freehold land and some former Māori freehold land is acquired, compensation of $50,000 is payable in respect of each dwelling located on that land and occupied under certain qualifying arrangements.

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Existing additional compensation for the acquisition of land which does not contain the landowner’s principal place of residence remains at 10% of the land’s value, but the cap increases to $35,000.

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The incentives are deliberately conditional. Vacant possession requirements and exclusions apply, and the landowner must not have been an independently willing seller.

A coordinated approach to connected projects

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New combined-project provisions allow Ministers and local authorities to coordinate acquisition for connected public works, rather than requiring each authority to run a parallel process. All combined projects will require the authorisation of the Minister for Land Information and be publicly notified.

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Similar provisions allow land to be acquired for relocating affected infrastructure and vested directly in the relevant local authority or network utility operator. These changes should be especially useful for linear projects, where a range of assets generally need to be relocated.

New powers for Transpower

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The importance of the national electricity grid has been recognised by giving Transpower a direct statutory pathway to acquire land forTranspower’s works. Transpower may enter into agreements and undertake preliminary acquisition steps under the Act, while the Minister for Land Information retains responsibility for any compulsory acquisition process. Transpower also retains its general power to acquire land on the open market.

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Other network utility operators keep their right under section 186 of the Resource Management Act 1991 (and, in due course, section 186’s replacement at clause 56 of Schedule 5 of the Planning Act 2026) to request that the Minister acquire land under the Act for the network utility operator.

New powers for emergency recovery

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A separate emergency-recovery regime can be activated by Order in Council following an emergency to permit the timely and efficient restoration of a public work.

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This regime shortens the ordinary negotiation period to one month, replaces the usual decision-making criteria, replaces the right of objection to the Environment Court with a right of submission to the Minister or local authority and allows interim survey plans to be used to take land. Compensation remains payable.

Will the changes speed up public works development?

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The reforms should support faster delivery by incentivising early agreement, reducing duplication and unnecessary constraints, and narrowing the scope of judicial review and objections. They also modernise and streamline acquisition processes while improving the information provided to landowners at the outset.

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The amendments therefore have real potential to accelerate public works. In saying that, the Act remains complex – necessarily so – and whether that potential is realised depends on early strategic planning, proper engagement with affected landowners and strict compliance with the prescribed processes.