The Volts will resume at 101 for three with a lead of 205 runs.
To win, Otago will need to bowl out its opponent for the first time in the match.
ND threw Otago a slight curve ball yesterday when declaring its first innings at 227 for eight.
A rain delay of approximately two hours was probably a factor in the home side's decision.
The declaration means Otago has a solid opportunity to snap its six-game losing streak.
Left-arm spinner Michael Rippon was the linchpin as Otago restricted NDs with the bat.
The home side resumed at 97 for three yesterday but was soon four down when fellow left-armer Anaru Kitchen trapped James Baker lbw.
A gem of a delivery from paceman Jacob Duffy sent Corey Anderson packing 12 overs later.
Anderson left the ball which then swung from wide of the crease to send his off stump hurtling through the air.
At 133 for five, Otago had the home side on the ropes, but the Northern tail wagged much more than the visiting team would have liked.
Rippon eventually dealt to the last three ND batsmen before the slightly surprising call to declare was made.
Rippon trapped Nik Kelly lbw before he spectacularly took the wicket of PD Bockock one ball later.
Rippon found himself on a hat-trick after Bocock belted his first delivery into the short leg fieldsman and sent the ball skyward.
Anaru Kitchen got his spin partner his second consecutive wicket with a catch at fine leg.
Rippon could not bag the hat-trick but got his fourth wicket of the innings when Ish Sodhi was out when attempting a similar legside slash to that which Bocock had made.
Otago began its second innings solidly with openers Hamish Rutherford (32) and Josh Tasman Jones (20) making starts but failing to go on.
Neil Broom will resume on 26 not out alongside Rob Nicol who is on 11 not out.
The Canterbury and Auckland match in Rangiora was abandoned yesterday when the Mainpower Oval pitch was deemed unsafe.
Umpires Ash Mehrotra and John Dempsey called the match off when Auckland was 66 for six in its first innings.
Auckland went in after Canterbury declared its first innings at 485 for six.
Only three overs were bowled on the third day of play when the decision was made.
New Zealand Cricket domestic general manager Andrew Rogers said the umpires called off play after several deliveries had bounced erratically off the Mainpower Oval pitch.
``The umpires were of the view that the pitch was not safe and fit for play, that the players' welfare was the No1 priority and, accordingly, abandoned play,'' he said.
New Zealand Cricket will conduct a formal review into the state of the pitch, Rogers said.
``It's too early to say exactly why the pitch didn't meet playable standards - we'll certainly be launching an investigation to look at that.''
The Mainpower Oval pitch is not scheduled to host any further matches during the season.
Wellington will resume its match against Central Districts today with a lead of 225 runs and four wickets in hand.
The Wellington batsmen have failed to back up their massive 530 first-innings total.
Central Districts bowler Willem Ludick has been a big factor in the reverse in fortunes, taking four wickets.
