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NZ Nationals promise $22.5m to forestry

New Zealand’s National Party is promising to spend NZ$22.5 million over the next five years to support the planting of new forests. Sources: Radio New Zealand, Voxy

The party’s leader, John Key, and its forestry spokesperson, Jo Goodhew, announced the policy while campaigning in Gisborne.

Mrs Goodhew said National wanted to lower cost barriers for regional New Zealand and make planting new forests easier.

The scheme is projected to result in about 15,000 hectares of new forest being established. She said the scheme was an example of National’s long-term economic investment in regional New Zealand.

Mrs Goodhew made the announcement at Knapdale Eco Lodge in Gisborne with Prime Minister and National Party Leader John Key, National’s Primary Industries spokesman, Nathan Guy, and local East Coast MP Anne Tolley.

The Afforestation Grant Scheme (AGS) is a grant to help landowners to establish new forests of between five and 300 hectares.

“The previous AGS wound up last year. Through National’s responsible economic management we are able to commit to extending this worthwhile scheme for a further five years,” says Mrs Goodhew.

“Our commitment to afforestation is another example of National’s long-term economic investment in regional New Zealand.

“The start-up costs for forests can be a huge barrier, as forestry is a long-term game. It can be 25 to 30 years before forests are ready to be harvested and generate value. That’s why National wants to lower those cost barriers for regional New Zealand and make planting new forests easier,” said Mrs Goodhew.

The scheme would build on the success of the earlier AGS, but will be improved and simplified to make participation easier.

“We have looked at how the scheme could be further enhanced, to make it more accessible and flexible for applicants,” said Mrs Goodhew.

“The scheme is projected to result in around 15,000 hectares of new forest being established. Much of this is expected to be on low-quality land not ideal for farming.”

The criteria for the new scheme would include:
– Individual parcels of land between 5 and 300 hectares per grant application
– Planting must be on land that is not already forestry land
– A flat grant rate of $1300 per hectare from one funding pool for all applicants.

In return for a grant, grantees will forfeit carbon credits to the Crown for up to a decade.

“We expect the majority of people taking up this scheme will be farmers and other landowners wanting to diversify and better use marginal land,” said Mrs Goodhew.

“The grant will go some way to alleviating the start-up costs of new planting, but we expect grant recipients to meet the long-term costs associated with developing and sustaining a forest.”

Forests have a number of environmental benefits. New planting will help property owners address soil erosion, water quality and biodiversity.

“The removal of carbon by forests plays an important role in helping New Zealand meet its long-term climate change commitments. Planting new forests contributes positively to reducing New Zealand’s net emissions.”

The Afforestation Grants scheme complements work already undertaken in this area, including the Permanent Forest Sink Initiative, the Erosion Control Funding Programme on the East Coast and the Hill Country Erosion Fund.