The police cordon at the intersection of No 2 Rd and Dudley Vercoe Drive has just been opened.
Some residents have been waiting at the cordon to get access back to their homes.
A reporter at the scene, however, said the cordon had just been moved further up No 2 road and about a dozen "frustrated" residents still could not get home.
Police are at an incident in Te Puke where shots have reportedly been fired at a property.
Police received several calls around 1:50pm to an address on No. 2 Road, a spokeswoman said.
Cordons are in place around the property and the Armed Offenders Squad has been called.
The Police Eagle helicopter is also assisting.
A photographer at the scene said police had cordoned off No 2 Rd at the intersection with Dudley Vercoe Drive.
Armed police were turning traffic around at the intersection and there were also ambulances at the scene.
He could see around 12 police cars as well as at least 16 "heavily armed" members of the Armed Offenders Squad.
He understood No 1 Rd had also been cordoned off.
Two of the Bay of Plenty's top police officers - Tauranga area commander Inspector Clifford Paxton and Detective Senior Sergeant Greg Turner - have visited the scene.
More to come.