Climate Change Commission Report
The Climate Change Commission report was released 9 June 2021.
It is a report of >400 pages traversing all sectors of the economy and ranges of options available for New Zealand to achieve its emission targets under the Paris Agreement. This brief summary only covers to those parts of the report that reference forestry and timber.
We made submissions on the Commission’s draft report in March. In our submissions we focused on a need to promote the forestry sector and sawmilling in particular as a means of reducing carbon emissions to meet the country’s targets. These related mainly to building in timber to substitute for concrete and steel and to secure a forest resource that supports our industry.
Forestry and sawmilling are part of a bigger picture in the policy settings addressed by the Commission. Other major areas include transport (switch to EVs, heavy transport), agriculture, energy consumption (eg effects of Tiwai Point closure), waste minimisation and economic considerations. A large part of the report addresses what are termed as fair, inclusive and equitable transitions from existing practices including Treaty obligations.
At a high level the report identifies three government policy/intervention “pillars” that will drive climate change action, these being;
1 pricing to influence investment choices
2 action to address barriers
3 enabling innovation and system transformation
All typical government speak but a major discussion point and a central part of the “pillars” is a need to review the ETS so it is more effective in terms of long-term climate change goals.
The estimated emission reduction levels are arrived at through the use of various modelling tools.
Forestry
1 the report refers to a “demonstration path” within which 25,000 ha per annum of exotic plantings take place so the estate increases by 380,000 ha by 2035 (the current estate is about 1.66 million ha and the estimated newly planted area in 2019 was 19,000 ha) plus 25,000 ha per annum of native forestry to reach 300,000ha of new native forestry by 2035 would be an appropriate measure (alongside other moves in other areas) that would achieve the budgeted emission reductions.
2 there would be no native deforestation after 2025
3 policies to encourage fuel switching to bio fuels produced from forest and wood processing residues with reference to a need to establish an infrastructure that will make this happen – it is in this area that we urged the Commission to consult with the drivers of the Forest Industry Transformation Plan so greater detail can be given to how sufficient residue capacity can be built
4 timber to substitute for concrete and steel in construction
5 a recommendation is made for the inclusion of HWP from post 1989 forestry through adjusting the long-term average carbon stock and as well a recommendation is made to develop a method for accounting for carbon stored in above ground biomass and HWP given an increased use of biomass for energy
As mentioned, forestry and timber are only a part of the emissions reduction jigsaw but from what we have seen, the observations and recommendations made are generally supportive of a healthy and vibrant sawmilling and timber industry.
If you wish to read the report, it is available via this link; https://ccc-production-media.s3.ap-southeast-2.amazonaws.com/public/Inaia-tonu-nei-a-low-emissions-future-for-Aotearoa/Inaia-tonu-nei-a-low-emissions-future-for-Aotearoa.pdf
The government is to consider the report and recommendations over the six months and will decide what actions it will take. The Commission will remain in existence and will act as a watchdog on government actions to see if the progress made aligns with commitments given under the Paris Agreement.
9 June 2021