"Strong positive and negative feedback from local community groups was received and, in light of the feedback, the agency and the council are working alongside those groups to better understand the impacts and concerns."
He said the agency and the district council were reviewing solutions and how best to secure the movement of freight and people into and around the region. "We believe it is important we take this time to review the options before we decide on a preferred option to lodge with the council.
"To do this we will continue to consult further with landowners, businesses and the local community, and incorporate them as part of the planning process," Mr Wilson said.
Rotorua Mayor Steve Chadwick said it was vital everyone involved worked in a genuine open partnership toward consensus, "rather than risk dividing our communities".
"An eastern transport corridor remains essential for Rotorua's future economic development and therefore we remain committed to helping identify a suitable transport corridor solution," she said.
Positive Rotorua Environmental Society chairman Nireaha Pirika said it was fantastic news. "We believe now we are a working together for an outcome we can all be happy with. There was no common sense used when they made their original decision.
"We said to the transport agency and the council that we are willing to genuinely work together for all concerned. But there is still a long way to go," Mr Pirika said.
Rotorua MP Todd McClay said the route was important in terms of traffic management and economic growth for the region. "It was always my concern this could end up in the Environment Court, so I think it's appropriate to go out for more consultation.
"This process has my full support ... but I would be concerned if this drags on for a significant period of time, it has already taken 40 years to get to this stage," he said.