In a surprise turnaround, the Education Minister Anne Tolley has announced Paerau School in Central Otago will remain open, following community consultation to close it.
Mrs Tolley initiated consultation with the school about its future in September last year when it had just two pupils - the children of principal Steve Harley.
After consultation, she found the school's low roll and small number of preschool children in the district were reasons for considering closure of the facility.
She considered the idea of bringing families into a community to maintain the school was not a long-term solution to the roll decline.
Since then, the school had offered free rent to families wanting to move to Paerau, and the roll had increased to 10 pupils.
In her decision released yesterday, Mrs Tolley said she needed to make sure the boost in numbers was not temporary, and that there would not be another "drastic" roll drop, before making a final decision.
"The ministry's final report shows that families have settled permanently in the area, and I am now satisfied that the school should remain open.
Mrs Tolley said there would be another review in 2013.
Board of trustees chairwoman Erin Elworthy was delighted, as well as "pleasantly surprised" by the news, and was pleased common sense had prevailed in making the decision.
She said the school was 45km from the nearest school in Ranfurly, and could only be accessed by more than 25km of unsealed roads which were often closed in adverse weather.
