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Carbon Overview

The establishment of significant areas of commercial plantation has been demonstrated in many parts of Australia to be very beneficial in creating rural employment opportunities and wealth generation. However, it has proven challenging to provide the levels of commercial return demanded by private companies from forests that are planted for periods of around 30 years, sufficiently long for the production of logs suitable for sawn timber and veneer.

Article 3.3 of the Kyoto Protocol created the opportunity to establish new planted forests as carbon sinks. Forests NSW has taken a leading role in creating investment opportunities in new planted forests that take advantage of this potential market.

The potential ability to sell to a carbon trading market the benefits provided by capturing carbon in new planted forests creates a new revenue stream for planted forests. Once a market for "carbon credits" is created, sales into this market can generate income from the planted forest early in its life, well before significant income is received from timber harvesting.

Carbon is sequestered in new forests whether they are commercial, semi-commercial (such as for salinity amelioration) or biodiversity focused. The development of a carbon trading market provides potential revenue streams for all such new forests. As a consequence, the commercial attractiveness of all new investment in new planted forests is increased.

Creation of this investment opportunity required substantial supporting developments.

For general information: Generating carbon credits from forests

Legislation

Legislation describes the supporting legislation needed to create property rights for carbon sequestered in trees.

Carbon Accounting

Carbon accounting sets out the specific issues associated with measuring and verifying the quantum of carbon sequestered in new planted forests.

Carbon Trading

Carbon trading describes issues associated with bringing sequestered carbon benefits to the market, both at large and small scale.

Carbon Investments

Carbon investments describes Forests NSW' Information Memorandum (IM) and investments by companies external to Forests NSW under the IM.

Papers

Papers comprises a range of papers prepared by Forests NSW' staff for presentation at public forums.

Links

Click here for links on carbon

Media Releases

Click here for carbon media releases

© State of New South Wales, 2005 

 Page modified 21/3/06