Northland hapu Te Uri o Hau has decided not to appeal against an Environment Court ruling that clears the way for a tidal power scheme in Kaipara Harbour.
The court has recommended that the Conservation Minister approve Crest Energy's plan to place up to 200 tidal turbines at the harbour mouth.
Te Uri o Hau's settlement trust has opposed the scheme because of its possible impact on marine life, including the snapper fishery.
It says now, however, that the hapu cannot afford to take the case to appeal in the High Court.
The trust says elders had hoped to meet Conservation Minister Kate Wilkinson before she makes her decision on the project but she has declined their request.