KEY POINTS:
Maori leaders are suggesting combining their carbon credits to make the most of economic benefits as two huge Treaty deals are struck.
Yesterday, 11 subtribes witnessed the first reading of their Affiliate Te Arawa bill, which will enable it to become part of the $500 million Central North Island Collective (CNI) settlement which takes in 179,000ha of the Kaingaroa Forest.
That CNI settlement deed is due to be signed and have its first reading in Parliament today.
CNI spokesman Tamati Kruger believes the $40 million of credits or "New Zealand units" assigned to it under the deal could be combined with other iwi or hapu who own forests.
Some estimates put total Maori forestry interests at more than 1.2 million hectares.
Mr Kruger said because Maori were unlikely to sell land - and would therefore hold the value attached to the credits - any potential combination of CNI credits with others could be used as leverage for loans for economic development.
Any iwi that wanted to trade their credits would be "stupid" to do so, he said.
Te Arawa's Roger Pikia said "collectivising credits" had merit but commercial due diligence had to be worked through. For instance, under the proposed emissions trading scheme, the amount of credits attached to a single hectare depended on when forests were planted.
CNI forests have 18 units a hectare attached to them; forests planted before 1990 have 60 units a hectare. "That's a significant inequality right there."
Federation of Maori Authorities chief executive Paul Morgan said the idea had potential. But a more pressing issue would be if owners wanted to change their land use, because any change would attract huge costs.
"The global debate now is about food production and the best land for that. The issue of land flexibility isn't going to go away."
But yesterday Te Arawa was celebrating. The bill will benefit them by $100 million, $38.6 million of it in cash as well as the return of 19 sites and four geothermal wells.
After two decades and four attempts at settling the contentious Kaingaroa Forest issue, Affiliate Te Arawa chief negotiator Rawiri Te Whare's contribution in steadying both deals this year was recognised by MPs from all sides.
"I remember discussions from 20 years ago. But for us, now, it's exciting to finally be leaving all that behind. We can concentrate on development now."
THE DEAL
* The Central North Island Collective settlement is worth $500 million to Te Arawa and Tuwharetoa tribes.
* It takes in 179,000ha of the Kaingaroa Forest.
* It includes $40 million of carbon credits.
* A forestry management company will be formed to manage the lands and title will transfer to individual iwi after 35 years.
