New Zealand Moves to Streamline Forestry Regulations with NES-CF Reforms

In a significant move to bolster New Zealand’s commercial forestry sector, Forestry Minister Todd McClay has announced a suite of proposed changes to the National Environmental Standards for Commercial Forestry (NES-CF). These amendments are aimed at ensuring national consistency, restoring industry confidence, and curbing local council overreach that threatens to derail forestry operations across the country.

Background: Forestry’s Role in the National Economy

Commercial forestry is one of New Zealand’s most productive and sustainable export sectors, contributing billions annually to the economy and providing vital jobs in regional communities. From planting and harvesting to wood processing, the fibre sector plays a key role in the country’s economic stability and future sustainability.

However, despite a framework designed to standardize environmental management in forestry operations, recent actions by some local councils have undermined this national consistency. Through regulatory loopholes, several councils have imposed additional restrictions on forestry activities—hindering investment, delaying projects, and creating confusion for stakeholders.

The Problem: Inconsistent Rules and Council Discretion

The original purpose of the NES-CF was to create a clear, consistent regulatory environment across New Zealand. Regulation 6(1)(a) of the NES-CF allows councils to create more stringent rules under limited circumstances. However, the vague wording of this provision has led to broad interpretations by councils, often without robust environmental justification.

Compounding the issue is Regulation 6(4A), which permits councils to override the national standards for afforestation projects. Forestry operators argue this has been misused, creating a patchwork of inconsistent regulations that stifle development and frustrate efforts to grow the industry in line with government sustainability goals.

Proposed Solutions: Key Amendments to the NES-CF

The proposed changes announced this week and now open for public consultation include:

• Clarification of Regulation 6(1)(a): The revision will more precisely define when and how councils can implement stricter rules, ensuring such actions are grounded in clear, evidence-based reasoning.

• Repeal of Regulation 6(4A): This change would eliminate councils’ ability to override national standards for afforestation, reinforcing the primacy of NES-CF and preventing regulatory inconsistency.

• Improved Slash Management: The Government proposes that all harvest management plans include a mandatory Slash Mobilisation Risk Assessment. There may also be new requirements to remove all slash (logging debris) above a certain size from cutovers, a response to environmental concerns following recent storm events that caused slash to damage local ecosystems.

• Technical Amendments for Clarity: Minor changes are also proposed to eliminate duplication, simplify compliance, and help both councils and foresters understand and apply the standards more effectively.

Government’s Position: Backing the Fibre Sector

“We are hearing loud and clear from the forestry sector—and from regional New Zealand—that the current rules aren’t working,” said Minister McClay. “Too many councils are starting to use vague discretion to block or delay forestry operations that meet national environmental standards. That’s not what the system was designed for, so we’re fixing it.”

McClay stressed that the proposed reforms are not about weakening environmental safeguards but about delivering regulatory certainty. “Our fibre sector—from forestry to wood processors—plays a crucial role in New Zealand’s economy, particularly in regional communities. This Government backs the fibre sector. And that means making sure regulation is clear, practical, and nationally consistent.”

Industry Reaction: Support for Reforms

The forestry industry has long advocated for a more stable regulatory framework, citing the importance of consistency for long-term planning, investment, and sustainable practices. Industry stakeholders argue that predictable regulations reduce financial risk and enable better environmental and operational outcomes.

“This is a positive move that will empower foresters to make decisions based on long-term environmental stewardship and business growth,” said one sector representative. “We welcome the Government’s support in returning consistency to how forestry operations are managed across different regions.”

Next Steps: Public Consultation Open Until 27 July

The Ministry for the Environment has now opened public consultation on the proposed NES-CF amendments. Individuals, community organizations, iwi groups, environmental advocates, and industry stakeholders are encouraged to participate in the consultation process, which will run until 27 July 2025.

Feedback can be submitted via the Ministry’s official website, and the Government will review all submissions before finalizing the changes later in the year.

As New Zealand aims to strengthen its position as a global leader in sustainable forestry, these regulatory reforms could mark a turning point—reducing bureaucratic friction and allowing one of the country's most vital sectors to thrive under a fair and unified framework.