An isolated Māori Land Trust in New Zealand’s central North Island has sealed a first-of-its-kind carbon deal, working with one of the country’s largest forest managers to secure millions for its 4000 owners and tens of thousands of beneficiaries (NZ $9.3 million or annual payments of around $930,000 per year)
It comes as Ngāporo Waimarino Forest Trust, based in the Ruapehu district, struck a 10-year leasing arrangement with forestry developer Tāmata Hauhā. Wood Central understands the deal leases secured carbon creds for just under 50% of the Trust’s forests in the Waimarino, Raetihi and Manganui-o-te-Ao area to Tāmata Hauhā, which then on-sells the credits through the Emissions Trading Scheme.
Trust chair Tāwhiao McMaster said this leasing deal was the first in the country, but other land trusts were also looking to take up the opportunity. McMaster said the same number of credits or the financial equivalent (whichever is greater) would return to the Trust at the end of the 10-year arrangement.
“It’s a no-lose deal for beneficiaries. We’ve leased out credits that will come back to our people and created a pool of income that won’t see any negative loss. Whatever the credits are worth at the end of 10 years, we’ve already benefited from them.”
Trust chair Tāwhiao McMaster on the new carbon credit leasing agreement secured with Tāmata Hauhā
Wood Central understands the new arrangement creates two key sources of income for the Trust from the same forestry blocks – with Waimarino Forests Ltd, a subsidiary company owned by Ernslaw One, growing exotic timber forest on 38 blocks leased from the Trust.
“We’ve already got the forest. It is already producing with Ernslaw One. We’ve got the credits. We just had to figure out a way to profit from the credits without selling them,” McMaster said.
Tāmata Hauhā is leasing the credits to cover its carbon forestry blocks, which are growing but have yet to produce carbon units for the Emissions Trading Scheme.
The deal means the company can participate in the scheme without waiting for its forests to sequestrate carbon.
Ngāporo Waimarino Forest Trust was established in 1973 with its first vested block, Waimarino A17. It is now responsible for 43 Māori Land blocks covering 6937 hectares (17,134 acres), mostly around the isolated Manganui-o-te-Ao River.
Some of the land is leased for forestry to Ernslaw One, and other land is managed by the Trust for ahikā (ancestral, tribal) use and kaitiakitanga (stewardship) purposes.
About 70% of the Trust’s forests are in production.
McMaster said its native reserves and some forestry blocks had not been included in the arrangement. Although they did produce carbon credits, that land had been set aside for other schemes, including conservation and biodiversity protection.
“Before this carbon leasing arrangement, we didn’t have the growth amount of pūtea (income) to do that,” McMaster told Local Democracy Reporting.
The Trust will meet with owners and whānau in Raetihi on Saturday to present plans on what it will do with the windfall, including growing the Trust and distributing benefits: “We have some proposals, and we’re open to owner and whānau feedback,” McMaster said.
“The first year of the carbon credit leasing arrangement has been paid, and the Trust has strategised, planned and scoped specific works for the Trust’s benefit and further financial growth.”
Wood Central understands that the plans include increasing the number and reach of grants and scholarships for beneficiaries, strengthening uri (descendant) connection with the whenua, and supporting cultural revitalisation.
The Trust also plans to establish annual mokopapa – wānanga at which uri will prepare for and receive moko kauae and mataora (facial moko): “Moko is instrumental to cultural revitalisation,” McMaster said.
“The intent is that uri will be able to engage in up to four wānanga with our moko artists. They will hear moko kōrero from our region and wānanga, the type of moko that will be uniquely given to our people, incorporating aspects of their whakapapa, mātauranga and mahinga.”
Please Note: This article originally was published by 1News in New Zealand, with Wood Central taking extracts from the original article to develop this story.
