The PWA provides powers to acquire land for delivering public works, such as roads, schools, and water services. It sets out a process that must be followed to ensure the rights of private landowners are considered and protected, including the payment of compensation for any land acquired.
The PWA is a key mechanism that enables construction and the development of public infrastructure projects. It has not been substantially amended since 1988.
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Information related to the review
The Government initiated a review of the Public Works Act (PWA) in June 2024 to enable public infrastructure projects. As a result of the review, a package of amendments involving land acquisition and compensation provisions was proposed.
Final PWA amendments
Proposed amendments to the PWA have been progressing through Cabinet since late 2024.
As part of the Government’s Going for Growth agenda – ‘Infrastructure for growth’ pillar – The Minister for Land Information announced the final tranche of changes to the PWA, completing the review that began in June 2024.
The following matters are included in proposed amendments:
Compensation
Introduce incentive payments: to encourage early agreement to land acquisition, landowners will be eligible to receive payments of 10% of the land value – with a minimum of $5,000 and a maximum of $100,000.
Update home-loss and land-loss payments: to recognise the inconvenience and disruption caused by acquisition, in addition to the land value of the property and any incentive payments:
the home-loss base payment amount will increase from $35,000 to $50,000; and
the land-loss minimum and maximum payment amounts will increase from $250 to $350 and $25,000 to $35,000, respectively.
Extend home-loss payments to multiple homes on a property: for example, where a farm is held in trust with multiple owners living on the land.
Land acquisition
A change to land acquisition processes will see an initial statutory notice to owners replaced by requirements that before a Notice of Intention for a compulsory acquisition is issued:
The landowner will have received information on the nature and purpose of the acquisition, the process under the Act, their rights, entitlements and an invitation to sell; and
The Minister or local authority will have made every endeavour to negotiate in good faith and ensured that at least 3 months – or 6 months for Māori freehold land – had passed since they received the invitation to sell their land.
Emergency provisions
To align the Government’s infrastructure and emergency management priorities, a further change introduces provisions to acquire land following a declared state of emergency or in a transition period.
The Public Works Act Amendment Bill is expected to be introduced to Parliament mid-2025.
The public will have the opportunity to give feedback through the select committee process.
See the Ministers’ announcement on the Beehive website:
Public Works Act overhaul complete to drive infrastructure growth
Critical infrastructure
The Minister for Land Information and the Minister for Infrastructure announced amendments to the PWA to enable critical infrastructure projects.
The proposed legislative changes include:
- introduce new incentive payments for landowners to agree to their land being sold
- streamline the process for objection to land acquisition
The changes announced will apply to certain major infrastructure projects listed on Schedule 2 of the Fast-track Approvals Act that are public works, and the Roads of National Significance identified in the Government Policy on Land Transport 2024.
See the Ministers’ announcement on the Beehive website – Faster, fairer land acquisition to speed up infrastructure delivery (9 March 2025)
Amendments to the Public Works Act 1981 to support critical infrastructure
Land acquisition
The Minister for Land Information announced changes to the PWA, as part of the Government’s Going for Growth agenda, to remove barriers to building infrastructure.
The key changes announced include:
- empower NZTA to enter into acquisition agreements with landowners. The Minister for Land Information remains responsible for compulsory acquisition by the Crown
- allow government agencies to coordinate land acquisition for connected public works projects, rather than each agency acquiring land separately
- allow government and local authorities to acquire land when they need to move assets (like powerlines or pipes) that are in the way of new public works
- clarify what the Environment Court can consider when reviewing objections to acquisitions, removing overlap with the RMA
- require that parties try to resolve compensation disputes through mediation or alternative resolution before going to the Land Valuation Tribunal
- give Transpower the ability to use the Public Works Act to acquire land directly.
See the Minister’s announcement on the Beehive website - Going for Growth: Public Works Act overhaul (25 February 2025).
Māori freehold land
The Minister for Land Information announced changes to the treatment of Māori freehold land under the PWA, including:
- require that Māori freehold land is valued at the same level as general land where it is acquired for a public works project
- compensate landowners for all separately owned dwellings on a parcel of Māori freehold land.
- where protected Māori land is subject to compulsory acquisition, require joint decision-making by the Minister for Land Information and the relevant Māori portfolio minister.
See the Minister’s announcement on the Beehive website - Fairer compensation and safeguards for Māori landowners (5 February 2025).
Review focus
The review will focus on:
- Efficiency – improving processes and removing unnecessary duplication in the PWA
- Effectiveness – ensuring the PWA is workable, fit for purpose and realises the Crown's ability to undertake public works
- Clarity – providing transparency and certainty for those using and affected by PWA processes.
The scope of the review is on land acquisition and compensation functions in the PWA – key improvements that will support the delivery of infrastructure.
The review will ensure that due process is taken to maintain property rights and natural justice for all affected parties, and that any proposed changes to the PWA are consistent with existing legal obligations under Treaty of Waitangi settlements.
Expert advisory panel
An expert advisory panel was appointed by the Chief Executive of LINZ, as the agency responsible for administering the PWA.
Charlotte von Dadelszen chaired the five-member group.
Also appointed were Spencer Webster, Paul Cassin, James Clareburt, and Pat Dougherty.
The panel provided independent specialist advice on potential reforms to the PWA that would better facilitate infrastructure delivery, while retaining the fundamental principles of the Act.
The panel convened from July to September 2024.
Download the Terms of Reference for the review:
Introducing the Expert Advisory Panel to the PWA Review
Charlotte von Dadelszen
Charlotte is a partner in Buddle Findlay’s Wellington property and construction team, and is Wellington Chair of Buddle Findlay’s board of management. She specialises in complex property transactions including disposals and acquisitions, leasing, Public Works Act issues and construction. She has been involved in the development and negotiation of major infrastructure contracts across all stages of the project lifecycle.
Charlotte also provides specialist advice relating to the acquisition of various property rights for infrastructure projects, seismic issues and Māori land issues. She has extensive experience working with the Crown and iwi on Treaty settlements.
Spencer Webster
Spencer Webster is Chief Executive of Ngā Pōtiki ā Tamapahore Trust.
Spencer is a barrister who has specific expertise in Māori land law, Waitangi Tribunal claims and Treaty of Waitangi settlements. He has represented numerous iwi, hapū and entities in relation to Public Works Act matters. He is involved in iwi governance and was a member of the Ministerial Advisory Group for the review of Te Ture Whenua Māori Act, the governing legislation for Māori land.
James Clareburt
James is Group General Counsel at The Property Group, a specialist property consultancy company with particular expertise in providing Toitū Te Whenua accreditation services. James has worked in the Public Works Act arena for almost all of his 27-year career. He has provided advice to deliver land and achieve compensation solutions for many of New Zealand’s most significant infrastructure projects in recent times, including Transmission Gully, Dunedin Hospital, the Canterbury and Kaikoura earthquake recovery programs, Waterview Tunnel, and Waimea Community Dam.
He has appeared as an expert witness in numerous Public Works Act hearings and is a regular contributor to development of Toitū Te Whenua published Standards and Guidelines that govern the industry.
Paul Cassin
Paul Cassin is a Barrister, Solicitor and Director of Land Compensation Consultants. He has a long association with public works activities, having joined the Ministry of Works and Development in 1982 and been involved in land acquisition for the Clyde High Dam. Paul rose to become Assistant Office Solicitor with specialisation in the Public Works Act, and following the dissolution of the Ministry of Works he set up a legal practice with a focus on land and commercial leasing advice for government agencies.
Paul was retained by the Crown in the mid-1990s to help set up the LINZ accredited suppliers system and was part of the team that wrote the initial Crown Property Standards and Guidelines for the acquisition of land under the Public Works Act.
Pat Dougherty
Pat Dougherty is a Director on the Board of Wellington Water and works as a management consultant. He has over 35 years’ experience in local government including 15 years as a council Chief Executive. He has an extensive infrastructure and asset management background, particularly in the water sector.
Pat has been a member of a range of advisory groups providing advice to the Department of Internal Affairs on Three Waters Reform. He was a Board member of the Mackays to Pekapeka Expressway Alliance from 2011 to 2017. He is a Member of the Institute of Directors and a Chartered Member of Engineering NZ.