Agenda of Forestry Advisory Group

Forestry Advisory Group

15 November 2017

REPORT R8169

Forestry update - Number 2 - November 2017

1. Purpose of Report

1.1 To provide an update to the Forestry Advisory Group (FAG) on forestry activities since Council adopted the Forestry Review recommendations in September 2016 and since the last update provided to the Commercial Subcommittee in June 2017.

1.2 To approve the 5 year harvesting plans prepared by PF Olsen and endorsed by the independent forestry expert.

1.3 To socialise with the FAG the Forestry Stewardship Council Accreditation Scheme for Nelson City Council forests.

1.4 To agree on how to move the “Alternate Use” debate forward.

2. Summary

2.1 The new contract for forestry management has been awarded to PF Olsen. This provides continuity in terms of forestry management planning.

2.2 The Terms of Reference for the FAG have been agreed. For easy reference these will be attached to all future update reports – refer to Attachment 1.

2.3 Council adopted a suite of recommendations in September 2016 relating to its forestry portfolio. For easy reference these will be attached to all future update reports – refer to Attachment 2.

2.4 For easy reference the maps showing the forestry blocks will be attached to all future update reports - refer to Attachment 3.

2.5 This is the second update report on Forestry activities, but the first to the FAG in its new capacity. The previous update was tabled at the Commercial Subcommittee.

2.6 A site visit for the FAG members will be arranged to coincide with the next meeting to an operational forestry harvesting site.

3. Recommendation

That the Forestry Advisory Group

Receives the report Forestry update - Number 2 - November 2017 (R8169) and its attachments (A1739267, A1849406, A1561381, A1849421, A1856044 and A1854925); and

Approves the Five-yearly harvesting management plans as per A1856044 attached to report R8169; and

Approves the felling to waste of the remaining Brook block 21/04 at an estimated cost of $10,000; and

Notes that the blocks detailed in item 6.5 of Report R8169 will be regenerated to native bush once harvested or felled; and

Provides officers with direction on joining the Forestry Stewardship Council Accreditation; and

Provides officers with direction on how to deal with Alternate Usage.

4. Update

Emissions Trading Scheme

4.1 All ETS items have been attended to.

Commercial Forestry

4.2 Harvesting continues in the Maitai, Brook and Roding catchments as per previously Council approved programmes.

4.3 Harvesting in the Brook catchment (Codgers) has been completed and Council are working in close collaboration with the Mountain Bike Club to reinstate the tracks that were damaged as part of the harvesting.

Douglas Fir and Acacia harvesting

4.4 Harvesting of the Douglas Fir and Acacia forests is either underway or in the planning stages in the following blocks.

Block	Stand	Species	Status	Area
Brook	22.03	Douglas fir	Harvesting compete	5.8
Brook	22.08	Douglas fir	In planning	3.4
Brook	21.03	Douglas fir	To remain (*)	0.2
Maitai	4.04	Douglas fir	Harvesting completed	2.2
Maitai	4.13	Douglas fir	In planning	0.5
Maitai	9.01	Douglas fir	Part harvested	4.3
Maitai	10.01	Douglas fir	Poisoned	1.8
Maitai	4.08	Acacia	Poisoned	1.3
Marsden	42.06	Douglas fir	Harvesting delayed	20.3
Marsden	44.01	Douglas fir	In planning	0.5
Roding	55.03	Acacia	In planning	4.6

Note (*) - Covered in the previous report – mixed with red woods adjacent to the Brook Camp and would be very expensive and pose health and safety issues to remove the Douglas Fir. They also don’t pose a risk of seed dispersal.

Other

4.5 As reported previously, work on how to harvest the small area of old trees in the Brook (block 21/05 – 2.2 Ha), adjacent to block 21/04 harvested last year has shown that this can be done for approximately $10,000. These will be felled to waste as there is no way to safely or economically harvest them. It is recommended that the Group approve this.

4.6 A small cluster of pine trees (approximately 1.9Ha) on block 29/01 (in the Brook at the intersection of Brook/Tantragee roads remain in place following the harvesting of the main block in around 2011. The main area was privately harvested by the previous owner before Council purchased the block. The remaining trees are up slope of residential houses. A resident has requested that these trees be removed due to safety reasons. PFOlsen agree that this is a safety issue that needs to be investigated and are currently working on a plan. Any solution could be as combination of either removal or poisoning. Refer to Attachment 4 for location map.

Health and Safety

4.7 Safe Work Observations were undertaken in August 2017 by Peter Gorman and the Group Manager Infrastructure and in September 2017 by Peter Gorman. No issues were identified.

Finance

4.8 Revenue Year to date for the current financial year is $1.178 Million with a projected income of $1.9 Million to the end of June 2018.

5. 5 Year Harvesting Plans

5.1 The FAG has authority to approve the 5 Year harvesting plans (17/18 plus 4). Plans for the next 5 and 10 years have been prepared by PF Olsen and audited by the Independent Forestry expert. Refer to Attachment 5. It is recommended that these be approved, so that planning and markets for the harvested wood can be secured.

5.2 PFOlsen will be in attendance to discuss in detail, via a PowerPoint presentation, the 5 and 10 year harvesting plans.

5.3 It may be necessary to tweak the detail within the 5 year plan with respect to moving around individual blocks to respond to commercial dynamics and commercial realities. For example the markets for trees destined for fence posts may be subdued and it would not be prudent to proceed with this harvesting when income for Council would be reduced – it would make more sense to wait for the market to improve to maximise Council’s return. What this will mean is a tweak to the timing of the proposed harvesting and it is proposed that the FAG be advised of these minor changes via email.

5.4 Attachment 6 shows the PF Olsen quarterly harvesting report.

6. Alternate Uses

6.1 Council agreed to retire some 140Ha of forestry and consider alternate uses.

6.2 Lachie Grant (Land Vision) has been appointed to guide Council on this matter and will be in attendance at the meeting to start the discussion as to how Council moves this forward. Detailed plans will be available at the meeting.

6.3 Key questions sought from this session with the FAG include:

· Who are the potential stakeholders in determining long-term alternate uses for the retired forests?

· What is the timing for this work?

· Is full consultation with the community required?

6.4 For completeness, the comprehensive list of blocks where alternate uses are to be considered include:

Harvest and investigate alternate use

Block	Stand	Species	Area
Brook
Brook	22.01	Clear	10.0
Brook	22.02	Radiata	3.0
Brook	22.03	Douglas fir	5.8
Brook	22.04	Radiata	0.4
Brook	22.05	Radiata	1.6
Brook	22.06	Radiata	3.5
Brook	22.08	Douglas fir	3.4
Brook	22.09	Radiata	3.5
Brook	26.01	Macrocarpa	1.9
Brook	26.02	Radiata	0.5
Brook	26.04	Eucalyptus	0.2
Brook	26.05	Radiata	19.8
Brook	26.06	Radiata	13.0
Brook	26.07	Radiata	0.4
Brook	28.01	Radiata	3.0
Maitai
Maitai	2.01	Radiata	0.3
Maitai	4.03	Radiata	0.5
Maitai	4.04	Douglas fir	2.2
Maitai	4.08	Acacia	1.3
Maitai	4.09	Macrocarpa	0.1
Maitai	4.12	Radiata	0.9
Maitai	5.01	Radiata	1.4
Maitai	5.02	Radiata	0.5
Maitai	7.02	Radiata	0.9
Maitai	8.01	Eucalyptus	0.3
Maitai	9.03	Radiata	0.6
Maitai	10.02	Radiata	1.9
Marsden
Marsden	41.01	Clear	0.9
Marsden	44.01	Douglas fir	0.5
Roding
Roding	54.02	Radiata	8.5
Roding	55.06	Radiata	0.4
Roding	56.06	Radiata	0.7

High altitude exposed stands: Harvest and consider alternate use only if seedlings fail

Block	Stand	Species	Area
Roding	53.01	Radiata	2.4
Roding	53.02	Radiata	3.3
Roding	53.04	Radiata	7.3
Roding	55.05	Radiata	39.1

Poison/fell to waste and then investigate alternate use

Block	Stand	Species	Area
Brook	25.01	Macrocarpa	2.5
Maitai	9.01	Douglas fir	4.3
Maitai	10.01	Douglas fir	1.8
Marsden	42.06	Douglas fir	20.3
Marsden	41.01	Clear	0.9

6.5 The following stands, as approved under the Forestry Strategy, will be regenerated to native bush. The process of establishing native bush needs to commence as soon as possible after harvesting or when the exotic stands have been clear felled. This is to ensure that the weed species do not take hold which will incur additional costs to eradicate. The estimated costs to revert to native bush is shown in the table below.

Block	Stand	Species	Area	Timeframe	Estimated cost to replant in natives
Maitai	1.04	Radiata	2.2	Harvesting this year	$50,000
Maitai	2.02	Radiata	2.9	Harvesting next year	$66,000
Maitai	4.13	Douglas fir	0.5	Refer item 4.4	$12,000
Roding	55.03	Acacia	4.6	Refer item 4.4	$99,000

7. Forestry Stewardship Council Accreditation (FSC)

7.1 As noted in the first update report on this matter, a future consideration for Council’s forests is formal Forestry Accreditation certification. Certification is a well-established and world-wide recognised environmental initiative with the main objective of demonstrating, via an independent body, that products come from well managed forests providing best practice and realising environmental, social and economic benefits.

7.2 This has become more important as concern worldwide has been raised over environmental issues. Many European, USA and Asian markets are now requiring certification and as a result local saw millers are also requiring certification.

7.3 Benefits of certification include:

· An advantage over those that don’t have certification;

· A premium on the market;

· Enhanced reputation locally with the community, nationally and on the world market that we care for the environment.

7.4 In New Zealand around 50% of all forestry owners are certified.

7.5 PF Olsen will be in attendance to talk with the FAG further on this issue and to answer any questions.

8. Options

8.1 Harvesting Plans - The FAG can either approve or not approve the 5 year harvesting plans. Officers recommend that the harvesting plans be approved.

8.2 FSC Accreditation – Direction is required from the FAG as to the appetite to join or not the FSC Accreditation. Officers recommend joining the FSC Accreditation.

8.3 Alternate Use – Direction is required from the FAG as to how they see this process moving forward.

9. Conclusion

9.1 This is the second update report since the FAG was officially approved with Terms of Reference.

9.2 A number of matters need FAG approval or direction.

Alec Louverdis

Group Manager Infrastructure

Attachments

Attachment 1: A1739267- Terms of Reference ⇩

Attachment 2: A1849406 - Summary of Council Recommendations ⇩

Attachment 3: A1561381 - Location Map- NCC Forest ⇩

Attachment 4: A1849421 - Location Plan Brook 29/01 ⇩

Attachment 5: A1856044 - 5 Year Harvesting Plan ⇩