4.0 Overview of the updated Draft Forestry Regulations

4.2 Land Status Notification

What is proposed?

The draft forestry regulations require the CE to notify the Registrar-General of Land, the Registrar of Deeds or the Registrar of the Māori Land Court in the district in which the land is located of the status of forest land that will be subject to or exempt from the CCRA.

The status of forest land will be noted on land titles as either pre-1990 forest land, exempt land under new section 159 of the CCRA or post-1989 forest land in respect of which a person is registered as a participant.

Vendors and/or purchasers need to be aware that there may be obligations under the CCRA in respect of forest land that is covered by the ETS. As it is already established practice to search land titles, when the CE becomes aware that land is pre-1990 forest land, when the CE declares land exempt, or when a post-1989 forest land participant joins the ETS, the CE will notify the appropriate Registrar. The Registrar will note the title in relation to the notice from the CE and vendors/purchasers will be able to contact the ETS via MAF as appropriate for further information about the land.

When will the land status notification occur?

The CE can become aware that land is pre-1990 through either a person registering as a participant, applying for an exemption or seeking an allocation of NZUs (via an allocation plan ).

For post-1989 forest land participants, land status notification will occur after the CE has registered a person as a participant.

What will happen when forest land is sold or transferred?

When either a pre-1990 forest participant or a post-1989 forest participant (landowner, forestry right holder or leaseholder who has joined the ETS) sells or transfers the forest land registered under the Scheme, the new owner will become the participant from the date of transfer or sale.

Pre-1990 forest land

In the case of pre-1990 forest land, the landowner at the time of deforestation is responsible for all liabilities that arise from that deforestation. When the land is sold, the new landowner will be liable for the emissions that arise from the deforestation that occurs only while they are the landowner.

Post -1989 forest land

If a person decides they want the post-1989 forest land to exit the ETS before they transfer or sell the land, then the participant will need to surrender units to the CE. The number of units to be surrendered will be the outstanding balance of units in respect of that area of land. It will not be more than the number of units received in relation to that land.

If the land does not exit the ETS prior to transfer or sale, the purchaser/transferee will become the new participant and they will be responsible for any obligations in relation to that land. If the new purchaser/transferee decides to exit the ETS they will need to surrender units to the CE. The number of units to surrender will not be more than the number of units received in relation to that land.

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Contact for Enquiries

Sustainable Land Management and Climate Change
MAF
Pastoral House
25 The Terrace
PO Box 2526, Wellington
Tel: 0800 CLIMATE (254 628)
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