Hon Jim Anderton

Minister of Agriculture, Minister for Biosecurity
Minister of Fisheries, Minister of Forestry
Associate Minister of Health
Associate Minister for Tertiary Education

Progressive Leader

20 September 2007 Media Statement

Forestry a vital part of New Zealand’s future

Forestry will be the first sector to join the Government’s newly-announced emissions trading scheme, Forestry Minister Jim Anderton said today.

The scheme was the most important development for the forestry sector in generations, he said. Many of the proposals were world-firsts, and would have huge impact.

Jim Anderton said the proposed scheme, announced today by Prime Minister Helen Clark, could provide owners with a new stream of income and would encourage new plantings.

The most significant parts of the inclusion of forestry in the proposed emissions trading scheme include:

• Enabling post-1990 forest owners to opt into the emissions trading scheme, accruing both credits and associated liabilities;
• The Government will retain the credits and liabilities of those post-1990 forest owners who do not opt into the scheme;
• Giving free emissions credits to owners of pre-1990 forests, who are not currently eligible for credits under the Kyoto Protocol;
• Bringing deforestation and subsequent conversion to alternate land use into the Emissions Trading Scheme, and
• Exempting pre-1990 forest owners from deforestation liabilities where they had less than 50 hectares of pre-1990 forest land on 1 September 2007 or are deforesting less than 2 hectares.

In addition, the Government is proposing to run an Afforestation Grant Scheme alongside the emissions trading scheme to encourage forest plantings by people who do not want to join the emissions trading scheme. The Government would retain the credits and liabilities of these forests, but landowners would receive a grant for the initial planting of unforested land.

Jim Anderton said there had been a lot of noise and criticism of the Government early this year when a discussion document outlining the full spectrum of options was released.

“We said at the time people needed to sit down and consider the options carefully. The options outlined were possibilities only, aiming to contribute to the discussion around the issues.

“Now, the Government’s direction is clearer, and again, people need to think carefully and not just make snap decisions and jump to hasty conclusions. That doesn’t help the discussion and can end up leaving people looking silly.

“As people look through these proposals, they will see that they provide many new opportunities for land managers.

“There is a process of consultations underway where people can participate, including a select committee process.”

Jim Anderton said the issues surrounding land use were important for New Zealand’s economic and environmental future.

“This is a hugely significant development for New Zealand as a whole, and for the forestry sector in particular. I am proud that the Labour-Progressive Government has come up with such a proposal.”

Further information is available on www.climatechange.govt.nz

ENDS

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