Forestry Minister Todd McClay today revealed further cuts to Emissions Trading Scheme Registry (ETS) costs for forest owners.
“The last Labour government wanted forest owners to pay an excessive $30.25 per hectare per year, forcing the sector to take legal action. We’re lowering that, for a second time, to $10.25,” McClay said.
“This represents a 66% reduction in the annual charge since the National-led Government took office.”
Consultation opens today following a second review of the scheme’s operational costs. McClay commissioned the first independent review in 2024, leading to an initial cut to $14.90 per hectare.
The main proposed changes are:
- Lowering the annual charge for post-1989 forest land from $14.90 to $10.25 per hectare per year.
- Updating service fees by reducing the hourly rate and aligning time estimates with actual administration costs.
- Introducing eight new targeted service fees for activities that deliver specific private benefits to participants.
The consultation also invites feedback on an alternative reduced annual charge for forests no longer required to report carbon stock changes, applicable for a limited time.