Climate Change - Permanent Forest Sink Initiative
Forests on hillside farms
Development of forestry reserves will help manage New Zealand's carbon footprint because forests process carbon for storage.
The Permanent Forest Sink Initiative (PFSI) is a New Zealand Government scheme to promote the establishment of forests on previously unforested land with the aim of reducing climate change effects.
Deforestation
Deforestation, or the removal of forests and their replacement with other types of vegetation, results in increased greenhouse gas emissions.
The various types of vegetation absorb and store carbon at different levels of effectiveness. Forest is much more effective than bare land.
Carbon Storage - Ministry of Agriculture and Fisheries website
Carbon Farming
Farm paddocks
The PFSI scheme will reward landowners who establish new permanent forests.
Landowners will be able to generate income through 'carbon farming' - earning carbon credits for removing carbon dioxide from the atmosphere and storing it in the new forests.
Only forests established on agricultural land since 1990 will qualify for Kyoto-compliant emission units or credits. The credits will be limited to carbon absorbed from 2008 onwards.
The earliest likely date for release of credits under the PFSI scheme is 2013. Carbon credits will not be available for trading on the markets before then.
Permanent Forest Sink Initiative - Ministry of Agriculture and Fisheries website
Emissions Trading Scheme
The New Zealand Emissions Trading Scheme governs the awarding of carbon credits and provides the umbrella legislation over the PFSI and similar schemes.
New Zealand Emissions Trading Scheme - Climate Change website
Related Links
- Climate Change - Ministry for the Environment website
- Permanent Forest Sink Initiative - Ministry of Agriculture and Fisheries website
- New Zealand Emissions Trading Scheme - Climate Change website
Department Details:
Policy
