Bean counters become tree counters

1 April 2011

A group of farm accountants turned their attention from cash flow to stream flow during a recent field day near Inglewood.

The 30 Staples Rodway Taranaki accountants were given a run-down on the riparian (streamside) fencing and planting taking place under a massive voluntary programme co-ordinated by the Taranaki Regional Council to protect and enhance waterway quality.

Don Shearman (left in hat) with the accountants at the field day. The aim is to have all Taranaki ring plain waterways lined with fences and vegetation. Fences prevent stock from fouling streams and rivers, while vegetation provides shade and shelter, and enhances water quality by filtering agricultural run-off, and reducing the speed of run-off, which moderates stream flows, reduces flooding and increases baseline flows.

“We’re working closely with farmers to achieve the aim, and getting this work consistently programmed into farm budgets and work plans is one of the keys to success,” says the Council’s Land Services Manager, Don Shearman. “So we were really pleased that Staples Rodway Taranaki asked us to brief their people on what’s involved.”

Marise James, a partner at Staples Rodway Taranaki, says the firm proactively assists farmers with their annual budgeting process, and encourages them to include an annual sum to cover riparian planting.

“Protection of waterways is a significant issue and it makes sense that farmers recognise riparian planting as an annual cost when preparing their budgets. It is just another cost of doing business in today’s environment and shouldn’t be ignored.”

Mr Shearman says budgeting is vital because the Council supplies programme participants with native plants grown on contract a year in advance, thus minimising the cost to farmers. “So we rely on farmers ordering their plants 12 months in advance, and for this to happen it must be budgeted for annually.”

Tax breaks for the work include:

* A deduction of up to $7,500 for planting and maintaining trees. If more than $7,500 is spent in a year, the extra amount will be deducted evenly over the following 35 years.

* A 100% deduction for fencing.

* A 100% deduction for providing shelter and preventing erosion.

Some conditions apply to these deductions but in general, they apply to the sort of work involved in Taranaki’s riparian programme.

“The message is that there are financial benefits as well as environmental benefits in good riparian management,” says Mr Shearman.

“Not only is the cost of such work tax deductible, but it brings important benefits in stock management and land management, which are essential in running a successful farm business.”

Since the late 1990s, riparian management plans have been prepared for just about every farm on the Taranaki ring plain, covering around 12,500 km of streambank. The plans cover the fencing and planting of waterways and are drawn up for landowners at no cost by the Council, which also supplies the plants at cost.

Riparian management is a key part of the Taranaki Regional Action Plan drawn up under the Dairying and Clean Streams Accord.

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