The area is considered wāhi tapu and opposition to the scheme included concerns about the pipeline path.
An urgent hearing was held in the Environment Court on March 19 and a decision was issued on April 1 that dismissed the applications.
The council announced on Friday it would restart the works on Monday.
A short section of Tarawera Rd will be down to one lane with temporary traffic management in place when work resumes.
“[The] council acknowledges the support of the community in this important project and thanks residents for their patience.”
The Environment Court said aspects of the case were outside its jurisdiction but could be contested through a High Court judicial review.
Among Environment Court applicants was the Rotokākahi Board of Control.
The board said in a statement on Wednesday it was weighing up legal options following that court’s decision.
The board called for a hui of owners and descendants on Sunday to provide an update on options and discuss possible next steps.
Laura Smith is a Local Democracy Reporting journalist based at the Rotorua Daily Post. She previously reported general news for the Otago Daily Times and Southland Express, and has been a journalist since 2019.
– LDR is local body journalism co-funded by RNZ and NZ On Air.