Forest Products Industry

New Zealand’s forestry sector is set to benefit from sensible regulation to help meet environmental obligations whilst lowering the cost of compliance, Forestry Minister Todd McClay says. Source: Timberbiz “The wood and forestry industries are important contributors to New Zealand’s economy, supporting 42,000 jobs. Last year the sector contributed NZ$6.2 billion worth of export earnings,” Mr McClay says. “It’s prudent we set appropriate legislation and provide the tools that support the sector – and this Government has been fixing the basics to do exactly that.” Recent action from the Government includes: Further reducing the costs of participating in the Emissions Trading Scheme (ETS) Registry Updating the National Environmental Standards for Commercial Forestry (NES-CF) with targeted changes to reduce the regulatory burden for forestry operators, while ensuring environmental risks continue to be managed Simplifying the legal harvest assurance to be voluntary and fit-for-purpose to better meet current and future business needs   “The last Labour Government wanted forest owners to pay an excessive NZ$30.25 per hectare per year to enter the ETS, forcing the sector to take legal action,” Mr McClay said. “Following consultation, we’re lowering that, for a second time, to $NZ10.28. “This represents a 66% reduction in the annual charge since the National-led Government took office. We have been working to ensure the system is fair, efficient and proportionate.” The updated structure also lowers ongoing costs for mature forests, addressing concerns about indefinite charges, and eight new targeted fees will be introduced to better align costs with services used. The Government has been focussed on cutting red tape for farmers and growers and this includes forestry. “Through targeted changes to the NES-CF we are making council rules more consistent, so the commercial forestry industry can meet their environmental obligations without being unnecessarily held back. “The current standard was designed to provide a nationally consistent framework for managing the environmental effects of plantation forestry. However, changes have allowed councils to bypass that intent by imposing more stringent rules without clear evidence or justification. “This change focuses on risk and will mean rules are targeted to sites where slash is most likely to mobilise and cause harm.” The forestry sector will also benefit from a simpler, fit-for-purpose legal harvest assurance system, with the Government agreeing to a model and to develop legislation to replace the 2023 mandatory system to better meet current and future business needs. “Consultation feedback was clear; that there is a better way to support legal harvest assurance without adding unnecessary cost and complexity. We have listened,” Mr McClay said. The redesigned model allows exporters to voluntarily access a government assurance to help underpin their work in international markets and competitiveness, by providing consumers’ confidence the products were harvested legally.

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Sustainable Timber Tasmania has officially wrapped up a late fire season, with expanded AI-powered camera and satellite-based detection technology supporting bushfire detection across the state. Source: Timberbiz In the 2025-2026 season, Sustainable Timber Tasmania increased its AI-powered smoke detection camera network to 11 sites with new cameras installed at the Dazzler and Platts fire towers in the northeast. Satellite-based detection was merged with the camera network, adding a new layer to the existing technology network. This introduces efficiencies with verification and improves overall coverage, particularly in remote areas, and provide an additional independent detection source. Between November 2025 and the end of May 2026, the network detected 1,112 potential ignition or smoke incidents and escalated 91 fires to Tasmania’s three fire management agencies, including 73 to Sustainable Timber Tasmania. The busiest detection sites for the season were Doodys, Mt Horror and Mt Arthur. An escalation refers to a detected fire that is not a registered or permit burn and requires further assessment or response. Sustainable Timber Tasmania remains committed to enhancing Tasmania’s ability to detect bushfires early and respond quickly, helping safeguard forests and communities.  

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The Housing Industry Association (HIA) has told a Senate Inquiry that the Federal Government’s proposed tax changes will result in 35,000 fewer homes, despite being promoted as a solution to Australia’s housing affordability crisis. Source: Timberbiz HIA warned the reforms risk undermining the Government’s broader housing agenda and called on Senators to reject measures that Treasury itself expects will reduce housing supply. “At a time when Australia is struggling to build enough homes, Treasury is forecasting these tax changes will deliver 35,000 fewer homes. That’s an extraordinary admission for a policy being sold as improving affordability,” HIA Managing Director Jocelyn Martin said. “You cannot solve a housing supply crisis by making housing investment less attractive. More investment builds more homes – less investment builds fewer.” Ms Martin said the reforms rely on unrealistic assumptions about investor behaviour. “The changes assume investors will simply redirect their money into new housing. In reality, housing competes with shares, commercial property, term deposits and countless other investments. “Investors are free to take their capital elsewhere – and Treasury’s modelling suggests many will do exactly that. “The result will be fewer projects proceeding, fewer homes being built, and even greater pressure on affordability.” Ms Martin said the policy would do little to address the underlying supply challenge. “Budget papers indicate that around 75,000 existing homes may shift to owner-occupiers over the next decade. While increasing home ownership is a worthwhile goal, it does not increase the number of homes – it simply redistributes them. “Our core challenge is supply, and this policy does nothing to address it.” She added that the impact would be particularly acute in regional Australia, where smaller investors are critical to delivering new housing. “In many regional communities there are no large institutional investors waiting in the wings. Local investors are often the difference between projects proceeding or not. “Reducing their participation risks stalling much-needed housing supply in these areas.” HIA also said the reforms fail to recognise the role of diverse housing supply pathways, including knock-down rebuilds and medium-density developments. “A knock-down rebuild that replaces an ageing home with a modern, energy-efficient dwelling should be encouraged, not penalised. “It is also unclear why housing options such as dual-key developments and granny flats are overlooked, despite their capacity to increase supply.” Ms Martin said the changes come at the worst possible time, with Australia already behind schedule to meet the National Housing Accord target of 1.2 million new homes. “If we are serious about affordability, every policy should be judged on one question: will it deliver more homes? “On Treasury’s own numbers, these changes fail that test,” Ms Martin said.

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Queensland’s development sector is facing a pivotal moment, with a $127.5 billion pipeline of major projects expected over the next five years and growing pressure on project feasibility. Source: Timberbiz As construction costs rise and labour availability tightens, developers are increasingly focused on buildability, program risk and delivery models that can shorten timelines without adding cost. A Brisbane industry forum later this month will bring together tier-one contractors including Hutchinson Builders, Kane Constructions and engineering firm Aurecon to assess how prefabricated timber systems are performing across commercial and civic projects. Hosted by WoodSolutions, Timber Queensland and the ARC Advance Timber Hub, the Queensland Timber Trajectory forum will focus on the commercial realities of delivery, including procurement models, risk allocation and cost competitiveness. The discussion comes as developers face ongoing challenges with cost escalation, labour shortages and program delays, placing increased emphasis on methods that can accelerate delivery without increasing project risk. Recent Queensland projects are beginning to demonstrate how these efficiencies can be achieved. At the Inala Infill Apartments social housing project, cross-laminated timber floor panels were installed in just two days compared with a six-day program using traditional construction methods reducing crane time and improving build efficiency. Research across Australian mid-rise developments indicates prefabricated timber systems can further streamline construction by compressing program timeframes and reducing on-site labour demands. The forum will examine where these efficiencies translate into commercial advantage and the conditions required for broader adoption. Key sessions include: Olympic infrastructure insights: Lessons from the Paris 2024 Aquatics Centre and implications for Brisbane 2032 delivery, Tier-one builder perspectives: When timber construction becomes cost competitive at scale, Project case studies: Queensland examples demonstrating improved delivery outcomes. Timber Queensland General Manager Strategic Relations & Communications Clarissa Brandt said the industry was increasingly focused on performance outcomes.   “Developers are looking for greater certainty in delivery whether that is program, cost or risk,” Ms Brandt said. “Modern timber systems are part of that conversation because they can improve buildability, reduce site complexity and support more predictable outcomes.” The Queensland Timber Trajectory forum will take place at the University of Queensland on 30 June 30 12:00pm – 5:00pm at the GHD Auditorium, University of Queensland, St Lucia. More information at https://www.timberqueensland.com.au/event-details/woodsolutions-presents-queensland-timber-trajectory-award-winning-exemplars-showcasing-the-way-to-modern-construction

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