Improved Native Forest Management in Multiple-use Public Native Forests

Does stopping timber harvesting generate better climate outcomes than continuing harvesting and regrowing forests?

Yes. In Australian native forests, the level of carbon sequestration is higher if forests are allowed to grow old compared to cutting and harvesting them on a 40 to 80-year cycle.

This is explained in detail on pages 22–23 of the INFM Method proposal design outline.

Does the INFM Method provide for carbon credits from forest management activities such as fire management, weed control, ecological thinning and low impact harvesting?

No. The proposed INFM Method does not provide carbon credits for these types of activities. This is because they are subject to high additionality risks (i.e. it is extremely difficult to design rules and processes to confine eligibility to instances where the conduct of the project activities is contingent on the provision of carbon credits) and/or there is significant uncertainty about whether the activities will reduce net emissions into the atmosphere.

Will the INFM Method meet the highest standards of scientific integrity?

Yes. The proposed INFM Method can be approved only after consultation, technical assessments, consideration by an independent statutory committee and if it meets the legislated Offsets Integrity Standards (see below).

Who decides whether to submit a project that involves stopping or deferring timber harvesting?

The making of the proposed INFM Method will not, in and of itself, regulate or constrain forest operations on public land. It is up to each state government to decide whether it wishes to submit a project to generate carbon credits by stopping or deferring timber harvesting in its state forests.

How could the carbon credit income from INFM projects be used?

Each state government can decide how to use the income from carbon credits. For example, income can be applied to encourage regional development, to ensure effective forest management, and to support Aboriginal employment and businesses.

What do the statutory Offsets Integrity Standards require?

The statutory offsets integrity standards are legislated under the Carbon Credits (Carbon Farming Initiative) Act 2011 (Cth) (the CFI Act). They require carbon methods to ensure credited abatement is additional, measurable, verifiable and eligible, that the methods are supported by ‘clear and convincing evidence’, that appropriate deductions are applied to account for emissions that are a direct result of the project activities, and that estimates, projections and assumptions in the methods are conservative.

Conservatism in this context requires that the methods err on the side of under-crediting rather than over-crediting the abatement generated by eligible projects.

Further information can be found by referring to:

• Section 133 of the CFI Act
• the Commonwealth DCCEEW Emissions Reduction Assurance Committee webpage.

How will the INFM Method address the risk of leakage into other state forests?

The proposed INFM Method requires that a discount be applied to the number of carbon credits generated by a project if the volume of wood removed from other State Forests exceeds a prescribed baseline harvest level. In other words, the number of carbon credits is reduced if the project’s proposed reduction in harvesting is offset by an increase in harvesting elsewhere in the state forest estate.

Other state forests are those in the same state that are not included within the boundary of the project.

Further information can be found on page 36 of the INFM Method proposal design outline.

How will the INFM Method address the risk of leakage into private native forests?

The proposed INFM Method requires that a deduction be applied to the number of carbon credits generated by a project if the volume of wood removed from private native forests in the same state in which the project is located exceeds a prescribed baseline harvest level. In other words, the number of carbon credits is reduced if the project’s proposed reduction in harvesting is offset by an increase in harvesting of private native forests in the same jurisdiction.

Further information can be found on page 37 of the INFM Method proposal design outline.

Will the INFM Method lead to increased timber imports?

Timber imports are not expected to increase because of the INFM Method.

Despite timber production from Australian native forests declining by approximately 70% over the last 15 to 20 years, timber imports have not significantly increased. Instead, substitutes have primarily come from domestic and foreign softwood and hardwood plantations.

Further information can be found on page 38 of the INFM Method proposal design outline.

How will the INFM Method address the risk of timber products being substituted with more carbon-intensive alternatives?

The INFM Method requires a 5% deduction be applied when calculating net abatement. This accounts for the risk of leakage into native forests in other jurisdictions, and into emissions-intensive products like concrete and steel.

Further information can be found on page 15 of the INFM Method proposal design outline.

How will a Great Koala National Park (GKNP) decision potentially generate ACCUs?

The INFM Method proposal design outline indicates that no ACCUs could be generated if a decision has already been made to stop timber harvesting in a jurisdiction, except where the decision is subject to a project being registered under the ACCU Scheme and earning carbon credits.

A decision has not yet been made on the proposed GKNP boundaries or on the implications for the level of harvesting in the North East Regional Forest Agreement (NE RFA) area.

The GKNP decision is expected to consider a range of factors including carbon sequestration.

If the establishment of the GKNP also involves a decision to reduce the level of harvesting in the NE RFA area (i.e. to prevent the displacement of harvesting effort into other parts of the region), then that reduction of harvesting level may generate ACCUs.

Where can I find more information about carbon credits and abatement methods?

More information about ACCUs and ACCU methods can be found on the Australian Government DCCEEW website.