A hydro company at the centre of a dispute over a massive rock in the Waitomo area is satisfied it has done everything by the book.

Clearwater Hydro has destroyed the two storey high feature, Te Rongomai o Te karaka, which some local Maori say is sacred.

Clearwater's generation manager Laurence Best says the company has consulted with iwi twice since 2006 about its plans. He says the rock was never mentioned.

Mr Best says the company was notified about two weeks ago by some 'activists', that it apparently had some significance.

"It came out of the blue. Not from official iwi or kaumatua, so it was a surprise to us and we've just had to work through the issue."

Mr Best says Environment Waikato took on the activists' concerns and after meeting with local kaumatua, decided the rock is not significant.

Natasha Willison-Reardon, who says she is the Marokopa Marae spokeswoman, is adamant the stone was an important landmark for Marokopa people.

"We're in a state of mourning at the moment. Just trying to figure out, you know, where we go to from here."

Mr Best says Clearwater Hydro has agreed on a solution for the rock pieces.

"We'll put them aside and reinstate them back in place at the completion of the works. The senior kaumatua who support us are pleased that we're able to do that for them."

Mr Best says the company is very grateful for the support it has received from kaumatua and other members of the iwi over the issue.