Forestry - ETS

Forestry is one of New Zealand’s largest resource sectors and one of the few sustainable forest recourses Worldwide.

We have a wide rage of experience in the sector including forest investment syndication, joint ventures, forestry rights, crown forest licences, Carbon (emissions Units), acting for consultants, contractors and forest owners.

Forestry has traditionally been seen as a long-term investment returning 5-7% per annum to forest owners. The introduction of the Climate Change legislation and issue of emissions units has changed the value of forestry. Forestry it is now integrated into the mainstream economy because it provides the traditional backbone basis to the NZ Emissions Trading Scheme. The Emissions Trading platform will also provide forest owners with liquidity in their forests. The initial challenge for forest owners is the assessment of liability risk in entering the Emissions Trading Scheme.

There is significant volatility in the unit price and contrary to early expectations the unit price is under downward pressure.