Good afternoon Wendy

Thank you for your enquiry regarding the land at 36 Station Road, Te Puke, currently leased by the Western Bay of Plenty District Council from KiwiRail.

You have requested information on:
1. The protocols required by KiwiRail when considering the disposal of land; and
2. The future strategic requirement for the land, beyond its current lease arrangement with Council.

Please find our response below:

1. Protocols for Land Disposal

As part of KiwiRail's Property responsibilities, we follow a formal internal operational clearance process before any disposal can proceed. This process is designed to ensure KiwiRail maintains a long-term view of the rail network. It is important to note that the process includes engagement with multiple internal teams, and KiwiRail reserves the right to reconsider a disposal at any stage if new information or strategic considerations arise.

The below considerations form part of a wider internal strategy discussion when considering disposal of any land:
- The land sale is outside of the current and any future operational corridor and will not restrict or potentially restrict KiwiRail's ability to operate or expand the railway in future.
- KiwiRail should retain a minimum 10m boundary setback in non-urban areas. This setback must be extended where land is not flat to retain ownership of hillsides.
- In urban, metro, or possible future metro areas, a 100+ year lens should be considered to ensure future protection for any potential railway expansion.
- Where there is any doubt regarding the sale of land, the land should be retained and a lease, licence or grant Agreement should be entered.

Ultimately, KiwiRail (through NZRC), undertakes land sales through section 23 NZRC Act (rather than section 40 Public Works Act). The trigger for land to be determined as being surplus to requirements under section 23 NZRC Act is based on KiwiRail's decision to progress with selling land. Given that all land sales require various approvals including from the Minister for Rail under section 24 NZRC Act, ultimately rail land is not deemed as being surplus to requirements until KiwiRail has obtained all of the necessary approvals for the land sale. It should be noted the Railways Act has distinct differences in land management in this respect.

2. Strategic Requirement for the Land

- While the land is not currently in active operational use, it remains a strategic asset within KiwiRail's property portfolio. Its location is expected to support future operational opportunities, particularly in relation to regional infrastructure planning or potential network upgrades. Noting this land adjoins a larger landholding within Te Puke region, near the Tauranga Port.
- As a state-owned enterprise with a long-term view of the rail network, KiwiRail is under no immediate obligation to divest this land. We retain the right to hold land for strategic reasons.
- The subject land is under a current lease agreement with Council, which remains in place with a final expiry of 2039. KiwiRail considers that any proposed works or developments by the lessee can be reviewed and if appropriate, managed within the terms of this existing lease, subject to approval by our Leasing team.

Any further questions, please feel free to get back in touch.
This response has been provided under the OIA, as such you have the right to seek an investigation and review by the Ombudsman of this decision. Information about how to make a complaint is available at www.ombudsman.parliament.nz or freephone 0800 802 602.

Kind regards
Dave

Dave Allard  | Senior Government Relations Advisor
DDI: 027 201 8182
Level 4, Wellington Railway Station, Bunny Street, Wellington 6011 | PO Box 593, Wellington 6140, New Zealand

www.kiwirail.co.nz

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