A gas leak in the Manawatu town of Feilding on Monday forced the evacuation of about 200 people and stopped trains.
Police say the cordon was lifted about 10.30am and people are returning to the town centre.
The Fire Service says the leak was outside the KFC on Kimbolton Road.
Contractors ruptured the gas main while they were drilling.
Shops and the Feilding police station were evacuated. Trains were also stopped from travelling through the town.
Powerco is at the scene.