The Maori Council and 10 hapu have lodged a claim at the Waitangi Tribunal, seeking an urgent hearing into the sale of state-owned power companies and claims regarding water and geothermal use.
Council chairman Sir Graham Latimer and the hapu filed documents with the tribunal late yesterday and copies were also served to the Crown.
The Government is pushing ahead with one of National's major election policies, to sell 49 per cent of four state-owned energy companies.
The plans are being met with resistance from Maori, who have asked the tribunal to uphold their rights over the country's fresh water resources.
In court documents, the council said that before the Treaty of Waitangi, Maori owned all the fresh water and geothermal resources of the country and the Crown had breached the Treaty by removing Maori ownership of the resources without compensation or consent.
The claim was filed on behalf of all Maori who argue they have a claim to a share in the four energy companies. Once filed, the case can be taken to court.
The council is asking for compensation for losses in the form of the return of water resources or substantial shareholdings for Maori in the Crown's four power generators.
Until a settlement is reached, the council is asking for the plan to partly privatise the four state-owned assets to be put on hold.
The claimants have sought a judicial conference to consider the urgent application and to hear parties on any procedural issues.
"This is a matter of such importance to Maori that it will be prioritised and all available resources thrown into preparation for hearing by claimants and counsel alike," the claimants said.
Environment Minister Nick Smith reportedly said the Government was taking a considered approach in respect of the claim.
"I've got quite a concern about an argument of water being something that you can own any more so than air and the risk of it being quite divisive. There's no question that Maori have got a very legitimate interest in the way in which water is managed," he said.
The Government had actively engaged with iwi to improve the management of fresh water resources over the last three years through the Land and Water Forum.
He said the Maori Council had not been to see him in the three years he had been responsible for fresh water issues.
Prime Minister John Key has told iwi that the Government could yet agree to a Treaty clause in legislation on state-asset sales.