The Government has put aside a $79 million package for a new network of conservation parks and reserves from Crown pastoral leases in the South Island high country
In the package, Land Information New Zealand will receive an extra $15 million over four years to finance the process of tenure review.
Itwill also provide up to $46 million to cover the costs of tenure review settlements with farmers.
The Conservation Department will receive an extra $18 million over four years to finance its part in the tenure review, and administration of new conservation lands flowing from it.
Conservation Minister Chris Carter said 2.2 million hectares of some of the most beautiful and valuable land in the South Island would be unravelled from outdated Crown leases and about 300 farming families.
"High country farmers have been clamouring for changes to the leases for years because they restrict land use to just grazing," he said.
"On the one hand, this restriction has recognised the environmental fragility of the high country, but on the other it has inhibited economic diversification of the region."
Tenure review would balance wider land use in the high country and the rights of farmers with the protection of nationally important environments, and the rights of the taxpayer, he said.
Farmers would freehold land traditionally leased from the Crown, in return for relinquishing rights to areas of national conservation significance that were part of their lease.