COMPENSATION AWARD

Taupo Times, Volume II, Issue 94, 6 November 1953, Page 3

COMPENSATION AWARD

MAORI LAND TAKEN FOR POWER STATION The sum of £882 was awarded as compensation to the Maori owners for land taken for the Taupo Borough Council's hydro - electrical seheme, in a reserved decision by Judge G. O'Malley, of the Maori Land Court, dated October 15th. The Award states that the valuers called by the parties, Mr S. M. Shuttleworth (District Valuer, Rotorua, for the then Town Board), and Mr W. H. Hill (Land Agent, Taupo), for the Maori owners, admitted difhculty in making valuations. This was due to the fact that the land in the neighbourhood was practically all Maori land held in large blocks and there were very few saies of comparable land. The Court was of the opinion that Mr Shuttleworth had correctiy set out the three factors to be considered in a valuation of the area as (a) Land, (b) Water site and rights, (c) Fishing rights.! As regarded land, Mr Shuttleworh had said the area was made up of approximately 40 acres of road, rolling country; sixty acres of broken rough country including eight acres of riverbed; one hundred and sixty acres of level country. He said the only reasonable way to value it was as one piece, and his valuation for the whole area was 10/- per acre over all. Mr Hill in evidence had valued the land at between £5 and £10 per acre, and when invited by Mr Ford (for the Town Board) to be more precise, had said it would be more like £10 than £5 per acre. Mr Hill had also submitted two methods of showing what the returns would be from the area if it were developed as a dairy farm. He had admitted in cross-examination that in such calculations he had included the whole 262 acres as the area to be farmed, but it was clear that, of the land taken, the area which could be used as a dairy farm would be the level country of 160 acres. Apart from this factor of lessened area, the Judge stated he considered any attempt to value land of this description by considering such budgets, which in this case appeared somewhat theoretical or fanciful, did not completely follow the rules laid down in the Finance Act for determining the amount of compensation, where one of the paramount rules was that the value should be taken to be the amount which the land, if sold in the open market by a willing seller on the specified date, might be expected to realise, The Judge's award then examines observations made by Mr Shuttleworth in regard to two saies of property on the Napier-Taupo Eoad, and comments thereon by Mr T. A. Grace in his evidence, and also evidence by Mr Shuttleworth on saies of land between Taupo and Rotorua, including Canavan's Block. The Court considered that £2 per acre for the 162 acres of level country would be fair, and valued the remaining 100 acres, consisting of road and rolling country at 10/- per acre. With regard to the water site and rights, the award states it was clear that the presence on the land of a natural rock spillway suitable for raising water (by ram or other appliance) to higher* levels for land development was a factor which should be considered. In addition the owners lose the access to over a mile and a haif of river. The Judge considered a reasonable award under this head would be £350. With regard to fishing rights, the award states that the evidence regarding the presence of trout above

the spillway was very contradictory. Messrs. Shuttleworth and Story said there were no trout above the spillway before the dam was built. Mr Hill, on the other hand, who had lived 35 years at Taupo and knew this part of the stream before it was taken for hydro works, said he had seen plenty of fish there. The Court considered that the possibility of trout reaching the upper reaches formerly was not precluded. The Judge did not think; the computation made by Mr Hill of the value of fishing rights amounting to £420 per annum was reasonable or could be supported. After perusing the Award of the Lake Taupo Water Claims Compensation Court, the Court considered a proper allowance under the head of fishing rightsi would be the sum of £1 per chain of river bed taken, namely £128. In addition to the award of the sums mentioned, totalling £852, the Court imposed the condition that if at any time it is neeessary to fence the land taken, or any part thereof, the cost of such fencing is to be borne solely by the Taupo Town Board (now Borough Council). This condition follows a decision of the Court in a similar case when the Crown took land near Waikaremoana about 1940.