Millions more trees isn't the climate fix New Zealand thought

Of all the solutions for a warming world, “plant more trees” seems pretty obvious.

- AINSLEY THOMSON AND TRACY WITHERS

A prominent government watchdog has joined international agencies, industry groups and environmental advocates in calling on New Zealand to overhaul its controversial afforestation efforts.

But in New Zealand, which tested that premise by linking incentives for forestry development with its emissions trading scheme, the results have been more controversial and less effective than climate advocates hoped.

Now, after four years of frenetic planting, a prominent government watchdog has joined international agencies, industry groups and environmental advocates in calling for a radical overhaul, one that threatens a reversal of fortunes for investors in the recent forestry boom.

“Pine production and permanent forestry are legitimate land uses,” Parliamentary Commissioner for the Environment Simon Upton wrote in a report on land-use change, published Wednesday in Wellington.

“But afforestation should not be incentivized by treating it as a cheap way to offset fossil fuel emissions.”

It is an aggressive challenge to one of the world’s most prominent campaigns for afforestation. Ingka Group, the largest global Ikea franchisee and a major investor in New Zealand forestry, said in an email that Upton’s advice is “significant, and we are closely reviewing the potential impacts,” adding that its long-term commitments in the country are unchanged. Other forestry investors say the ongoing debates are sapping confidence in the market.

“While uncertainty remains, New Zealand is missing a significant opportunity to grow its forest estate,” said Phil Taylor, managing director of New Zealand forestry at Port Blakely, which owns 35,000 hectares of mixed species plantations. “It needs to be sorted out.”