Pursuant to sections 163, 167, 168, and 186F of the Climate Change Response Act 2002, His Excellency the Governor-General, acting on the advice and with the consent of the Executive Council and on the recommendation of the Minister for Climate Change Issues, makes the following regulations.

Regulations

1 Title

These regulations are the Climate Change (Forestry Sector) Amendment Regulations (No 2) 2012.

2 Commencement

These regulations come into force on 1 January 2013.

3 Principal regulations

These regulations amend the Climate Change (Forestry Sector) Regulations 2008 (the principal regulations).

4 Regulation 4 amended (Interpretation)

(1) In regulation 4(1), definition of sub-area, paragraph (b)(iv)(D), after “region”, insert “; and”.
(2) In regulation 4(1), definition of sub-area, after paragraph (b), insert:
- “(c) in relation to offsetting forest land and pre-1990 offsetting forest land, means any area of 1 or more hectares—
  
  “(i) that has the same forest type; and
  
  “(ii) that, if the forest type is Pinus radiata, is in one region; and
  
  “(iii) where the trees of the forest type are of the same age”.

5 Regulation 6 amended (Mapping information)

In regulation 6, after “the information”, insert “must include the spatial extent of the area of land determined in accordance with the method and format specified by the EPA under regulation 7 and”.

6 Regulation 7 amended (EPA may issue guidelines or standards)

After regulation 7(1), insert:
- “(1A) The EPA may, by notice in the Gazette, issue guidelines or standards that specify the method and format to be used for the purposes of determining, under regulation 6, the spatial extent of an area of forest land.”

7 Regulation 10 amended (Notification of status of forest land)

(1) In regulation 10(1)(c), after “the Act”, insert “; or”.
(2) After regulation 10(1)(c), insert:
- “(d) notes on a register under section 186D(3) of the Act that the offsetting forest land is pre-1990 offsetting forest land.”
(3) After regulation 10(2)(a)(iii), insert:
- “(iv) pre-1990 offsetting forest land; or”.
(4) After regulation 10(2)(b)(iii), insert:
- “(iv) pre-1990 offsetting forest land; or”.
(5) In regulation 10(2)(c)(iii), after “the Act”, insert “; or”.
(6) After regulation 10(2)(c)(iii), insert:
- “(iv) pre-1990 offsetting forest land.”
(7) In regulation 10(3)(c), after “under the Act,”, insert “pre-1990 offsetting forest land,”.

(8) In regulation 10(3)(c)(iii), after “the Act”, insert “; or”.
(9) After regulation 10(3)(c)(iii), insert:
- “(iv) pre-1990 offsetting forest land.”

8 New regulations 15A and 15B inserted

After regulation 15, insert:

“15A Offsetting forest land applications

“(1) A person applying to the EPA for offsetting under section 186A of the Act must calculate carbon equivalence in accordance with regulations 14, 15, and 16 and this regulation.

“(2) Regulations 14, 15, and 16 apply in relation to the calculation of the carbon stock for each sub-area of a forest type intended to be deforested and offset with offsetting forest land as if the applicant had already deforested and was a pre-1990 forest land participant.

“(3) The applicant must collect and provide information as to the proposed area in hectares, region (where relevant), and forest type for each sub-area that will be planted as part of the offsetting forest land.

“(4) The carbon stock of a sub-area that is intended to be deforested must be calculated by using the relevant table in Schedule 4.

“(5) The applicant must calculate the corresponding area of offsetting forest land required so that sub-areas and carbon stock of the offsetting forest land is equal to or greater than the total area and total carbon stock of the pre-1990 forest land that is intended to be deforested.

“(6) The following formula must be used to calculate the carbon stock of a sub-area of offsetting forest land:

A × C = T

where—

A

is the area, in hectares, of land in the sub-area

C

is the figure for carbon stock per hectare from table 1 or 2 in Schedule 6 that reflects—
(a) the forest type of the sub-area; and

(b) if the forest type is Pinus radiata, the region in which the sub-area is located; and

(c) the age of the trees equal to the usual rotation period of the forest type of the pre-1990 forest land that is intended to be deforested

T

is the forest carbon stock of the sub-area in tonnes of carbon dioxide.

Example

Step 1

Step 2

Step 3

Step 4

A pre-1990 forest land owner with 100 hectares of 30-year-old radiata pine in Auckland decides to deforest that land and plant a radiata pine forest in Hawke’s Bay as offsetting forest land.

Calculate the emissions from clearing the 30-year-old radiata pine in Auckland using table 1 of Schedule 4: 860 tonnes CO₂/hectare × 100 hectares = 86 000 tonnes. Step 1 is for calculating what the emissions would be if the pre-1990 forest land in Auckland had been deforested. At step 1, deforestation has not yet occurred.

Obtain the usual rotation period for radiata pine from regulation 15B: 28 years.

Calculate the area of offsetting forest land required to meet carbon equivalency by dividing the estimated emissions from the pre-1990 forest land that will be deforested by the amount of carbon stock listed in table 1 of Schedule 6 that a radiata pine forest in Hawke’s Bay would store in the usual rotation period (28 years) of the deforested Auckland forest: 86 000/797 = 107.9 hectares.

This means that 107.9 hectares of radiata pine forest in Hawke’s Bay is needed to meet carbon equivalency.

Ensure that the offsetting forest land is at least equivalent in size to the area of pre-1990 forest land that is to be deforested. In this example, the area equivalency of 100 hectares is met.

“15B Usual rotation periods for forest species

The usual rotation periods for the purposes of section 186F(a) of the Act are as specified in the following table:”

Forest species Description Usual rotation period (years)

Radiata pine Where the predominant forest species is radiata pine 28

Douglas fir Where the predominant forest species is Douglas fir 40

Exotic softwoods Where the predominant forest species is an exotic softwood 45

Exotic hardwoods Where the predominant forest species is an exotic hardwood grown on a short rotation for the purpose of producing pulp logs 15

Exotic hardwoods Where the predominant forest species is an exotic hardwood grown primarily for the purpose of producing saw logs 30

Forest species	Description	Usual rotation period (years)
Radiata pine	Where the predominant forest species is radiata pine	28
Douglas fir	Where the predominant forest species is Douglas fir	40
Exotic softwoods	Where the predominant forest species is an exotic softwood	45
Exotic hardwoods	Where the predominant forest species is an exotic hardwood grown on a short rotation for the purpose of producing pulp logs	15
Exotic hardwoods	Where the predominant forest species is an exotic hardwood grown primarily for the purpose of producing saw logs	30

9 Regulation 16 amended (Rules for application of tables in Schedule 4)

In regulation 16(fa), after “in that hectare began”, insert “following the change in land management that initiated the conversion of the hectare to forest land from land that was not forest land”.

10 Regulation 22 amended (Rules for application of tables in Schedule 6 or participant-specific tables)

In regulation 22(fa), after “in that hectare began”, insert “following the change in land management that initiated the conversion of the hectare to forest land from land that was not forest land”.

11 Regulation 22B amended (Field measurement-based assessment process)

After regulation 22B(1), insert:
- “(1A) For the first mandatory emissions return period (1 January 2008 to 31 December 2012), an FMA participant may collect the information specified in subclause (1)(c)(i) and (ii) up until the close of 31 March 2013 if,—
  
  “(a) before 31 December 2012, the participant commenced collecting the information or entered into a contract with a forestry inventory specialist to collect the information; and
  
  “(b) the participant provides a statutory declaration stating which of those steps the participant had taken.”

12 Regulation 22E amended (Use of participant-specific tables)

(1) In regulation 22E(1)(a), replace “3 months” with “6 months”.

(2) In regulation 22E(2)(c), replace “3 months” with “6 months”.

13 Schedule 6 amended

(1) In Schedule 6, table 3, insert in its appropriate numerical order the item set out under the column headings row in the following table:

Age (yrs)	Ak	W/T	BOP	Gis	H/SNI	N/M	C/W	O	S
0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0

(2) In Schedule 6, table 4, replace the figures in the columns headed “Douglas fir” and “Indigenous forest” with the figures under the relevant column headings row in the following table:

Age (yrs)	Douglas fir	Indigenous forest
0	0	0
1	0.1	0.6
2	0.1	1.2
3	0.4	2.5
4	1.1	4.6
5	2.2	7.8
6	4.0	12
7	6.5	18
8	20	24
9	33	32
10	41	33
11	50	36
12	59	39
13	69	43
14	79	48
15	90	52
16	102	57
17	114	62
18	126	67
19	161	88
20	164	91
21	169	94
22	176	97
23	183	100
24	192	103
25	202	106
26	211	109
27	223	117
28	229	119
29	238	121
30	247	123
31	257	124
32	267	126
33	276	128
34	287	129
35	297	131
36	309	132
37	318	133
38	329	135
39	338	140
40	346	140
41	353	141
42	361	141
43	369	142
44	377	142
45	386	142
46	394	143
47	402	143
48	410	143
49	418	144
50	426	144

Michael Webster,
for Clerk of the Executive Council.

Explanatory note

This note is not part of the regulations, but is intended to indicate their general effect.

These regulations, which come into force on 1 January 2013, amend the Climate Change (Forestry Sector) Regulations 2008 (the principal regulations). The amendments are consequential to provisions of the Climate Change Response (Emissions Trading and Other Matters) Amendment Act 2012.

Regulation 4 amends regulation 4 of the principal regulations by defining sub-area in relation to offsetting forest land and pre-1990 offsetting forest land.

Regulation 5 amends regulation 6 of the principal regulations to require that information provided under that regulation include the spatial extent of the area of land determined in accordance with the method and format prescribed by the EPA under regulation 7 (as amended by regulation 6 of these regulations).

Regulation 6 amends regulation 7 of the principal regulations to enable the EPA to determine the method and format to be used to determine the spatial extent of the area of land for the purposes of regulation 6 of the principal regulations.

Regulation 7 amends regulation 10 of the principal regulations to require the EPA to notify the relevant authority of land that has the status of pre-1990 offsetting forest land.

Regulation 8 inserts into the principal regulations new regulations 15A and 15B, which relate to offsetting forest land.

New regulation 15A relates to applications for offsetting and the calculation of carbon equivalence.

The calculation of emissions from the pre-1990 forest land (P90 land) that will be deforested must be done in accordance with regulations 14, 15, and 16 of the principal regulations and the new regulation 15A. Regulations 14, 15, and 16 currently set out the methodology for calculating emissions from P90 land that has been deforested, requiring the use of P90 look-up tables in Schedule 4 of the principal regulations. The emissions for each sub-area of P90 land that is intended to be deforested must be added together to get the total emissions (total carbon stock). The corresponding offsetting land must have an area and total carbon stock greater than or equal to the area and total carbon stock of the P90 land.

New regulation 15B prescribes the usual rotation periods for different forest species.

Regulation 9 amends regulation 16(fa) of the principal regulations, which relates to rules for the application of tables in Schedule 4 of the principal regulations. Regulation 16(fa) requires that, if a hectare of forest land contains regenerating indigenous forest species of mixed ages as the predominant forest species, the age of all of the trees in that hectare is calculated from the time since regeneration of the first of the indigenous forest species in that hectare began. The amendment provides that the relevant commencement time is the time of the change in land management that initiated the conversion of the hectare to forest land from land that was not forest land.

Regulation 10 amends regulation 22(fa) of the principal regulations, which relates to rules for the application of tables in Schedule 6 or participant-specific tables and is to the same effect as regulation 16(fa) of the principal regulations. The amendment is to the same effect as that in regulation 9.

Regulation 11 inserts a new subclause (1A) (a transitional provision) into regulation 22B of the principal regulations, which relates to the field measurement-based assessment process. Under regulation 22B(1)(c), participants must, at least once in each mandatory emissions return period, collect the information specified in regulation 22B(1)(c)(i) and (ii). The first commitment period of the mandatory emissions return period under section 189 of the Climate Change Response Act 2002 is 1 January 2008 to 31 December 2012. Without the new subclause (1A), post-1989 forest land participants would be required to collect the information for the first mandatory emissions return up to 31 December 2012. The new subclause (1A) allows the information to be collected up to 31 March 2013 if certain requirements are met.

Regulation 12 amends regulation 22E of the principal regulations, which relates to the use of participant-specific tables, to update cross-references to a time period in section 189(4) of the Climate Change Response Act 2002 that has been changed by the Climate Change Response (Emissions Trading and Other Matters) Amendment Act 2012.

Regulation 13 amends tables 3 and 4 in Schedule 6 of the principal regulations to correct those tables. The amendment to table 3 is simply a line showing zero carbon stock at age zero. The amendment to table 4 substitutes new columns relating to Douglas fir and Indigenous forest in the tables of carbon stock per hectare for post-1989 forest land.

Issued under the authority of the Acts and Regulations Publication Act 1989.

Date of notification in Gazette: 13 December 2012.

These regulations are administered by the Ministry for Primary Industries.