Gisborne District Council appealing kiwifruit decision

NZ Kiwifruit Growers Incorporated say Gisborne growers return over $60 million to the local economy. Photo / Supplied - Gisborne Herald

Matthew Rosenberg, Local Democracy Reporter

Gisborne District Council is appealing a recent decision by the Land Valuation Tribunal that saw it miss out on increased rates from golden kiwifruit growers.

In December 2020, authorities in Gisborne decided licences to grow gold kiwifruit – which already cost hundreds of thousands of dollars per hectare – constituted an increase in value to the land, justifying the rise.

NZ Kiwifruit Growers Incorporated (NZKGI) then brought a judicial review proceeding to the High Court in support of local grower Tim Tietjen, who had an objection before the Land Valuation Tribunal.

On February 1, the tribunal ruled in favour of the growers - a decision that applied to all within the Gisborne district. But on Tuesday the council announced it planned to appeal that decision, backed by the Valuer-General.

The council was disappointed the tribunal had decided to treat gold kiwifruit orchards the same as other kiwifruit orchards, despite these selling for higher values.

"Given the significance of the backing of the Valuer-General and issues raised, there is an obligation on council to appeal," council chief executive Nedine Thatcher Swann said.

The cost of the appeal will be covered by the Valuer-General, who considered it inequitable for ratepayers that existing licences meant golden vine values were removed from the equation.

Gisborne kiwifruit grower Tim Tietjen is disappointed the council is appealing the recent tribunal decision. Photo / Liam Clayton - Gisborne Herald

Changes to Gisborne's valuation methods were the result of a meeting between the Valuer-General and valuers in August 2020.

Meanwhile, Tietjen said he was disappointed the council was appealing the decision.

In his situation, the capital valuation of his small orchard had increased from $1.65 million to $4.1 million under the new system.

"It's pretty disheartening that they've decided to appeal what was a really comprehensive decision by the tribunal," he said.

"It's unfortunate that the council are determined to keep on targeting a minority group of ratepayers with a substantial rates hike."

NZKGI chief executive Colin Bond echoed those sentiments, saying his organisation would continue to support Tietjen through the appeal process.

"Gisborne growers return over $60 million to the Gisborne economy and should be supported by their council," he said.

The issue will be reheard in the High Court, with the Valuer-General joining proceedings as an interested party.