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Alert #46, 21 February 2024

Kia ora,

In this issue:

 * What to do if your forest is damaged
 * Damage from a natural event to your registered post-1989 forest land
 * Damage from a natural event to your pre-1990 forest land
 * What to do if a natural event permanently prevents forest from
   re-establishing
 * How to contact us

1. What to do if your forest is damaged (in a wildfire or other natural or
accidental events)

Recent wildfires, including the Port Hills in Christchurch, are a good reminder
about the options under the ETS if your forest is damaged by a wildfire (or
other natural events).

Depending on whether your land contains pre-1990 forest or registered post-1989
forest, there are different obligations and options. These are outlined below.

2.  Damage to your registered post-1989 forest land

You have 2 options if your post-1989 forest land has been damaged by a wildfire,
or other natural event:

      I.   If your post-1989 forest land has been damaged by a wildfire (or
other natural event) since 1 January 2023 and the forest can be re-established,
you may be able to pause your carbon accounting obligations by applying for a
temporary adverse event suspension.

If approved, this means you will not need to surrender New Zealand Units (NZUs)
as a result of the wildfire. However, the area of forest will not earn NZUs
until it returns to the level of pre-event carbon stock.

Find more information about the eligibility criteria:

Find out more about what to do when your forest is damaged – MPI website 
Applying to pause carbon accounting when your forest is damaged – MPI website

Note: if you include affected land in an emissions return (i.e. a provisional or
final emission return) before your temporary adverse event application is
submitted and accepted, the land will not be eligible for a pause in carbon
accounting.

If you intend to submit a provisional emissions return in 2024 or 2025, it is
important to exclude the affected carbon accounting areas in the return until
the application has been assessed by Te Uru Rākau– New Zealand Forest Service.

     OR

     II.    Alternatively, deregister your damaged forest land from the ETS: If
you choose to deregister the affected forest, then you will have to surrender
the balance of New Zealand Units (NZUs) in respect of the land being
deregistered.

Find out more about deregistering forest land from the ETS:

Deregistering from the ETS for forestry – MPI website

3.  Damage to your pre-1990 forest land

If you have pre-1990 forest land that has been affected by a wildfire (or other
natural event) you don’t need to report this to us, as long as the forest is
either re-established or regenerates without the land changing out of forestry
within the timeframes set out on the Climate Change Response Act (2002).

These timeframes are set out on the MPI website:

How the ETS defines deforestation | NZ Government (mpi.govt.nz)

4.  If a natural event permanently prevents forest from re-establishing

Both post-1989 forest land and pre-1990 forest land can be exempted from ETS
obligations if a natural event permanently prevents the forest from
re-establishing. An example is if a slip exposes the land back to bare rock.  

Email us if you think this may affect you at forestryets@mpi.govt.nz

Note: If you apply for a temporary adverse event suspension and the damage turns
out to permanently prevent the forest from re-establishing, you will still be
exempt from ETS obligations as outlined above.

 5.  How to contact us

To get in touch with us:

 * email ForestryETS@mpi.govt.nz
 * raise a service request in Tupu-ake, or
 * call 0800 CLIMATE (0800 25 46 28) and select option 1.

Remember to always include your New Zealand Emissions Trading Register holding
account number and party name when making an enquiry. This will help us to
handle your request faster.

 

If you received this email from a friend and want to have your own copy, please
use this link to join the Forestry ETS Alert mailing list.

 
 
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Forestry in the Emissions Trading Scheme

Te Uru Rākau – New Zealand Forest Service

Ministry for Primary Industries
PO Box 1127

Wellington

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