The Government has released a statement on developing a supply and management strategy for NZUs including possible auctioning of NZUs in the ETS. The announcement has few details and is focused on suppy issues rather than demand. However it does clarify that auctioning is a medium-long term option and will take at least 18 months to develop. This should alleviate fear from forest owners that Government could intervene in the short term to bolster supply of NZUs and drive prices lower.


Read the Ministry for Environment statement here.

Ollie Belton talks to the Press about the recently announced rebooted AGS, with the Government pool of $22.5M or $1300/ha for new plantings on marginal erodible land. In return the government gets the first 10 years of carbon. A good scheme for landowners wanting a timber forest, or permanent carbon forest. But some possible pitfalls for landowners wanting timber and carbon income.

Read the full article here.