Early Bird I Monday September 9th 2024

Rural giants get mixed results in university’s climate target score, regulators clear path for Synlait’s critical shareholder vote, and AI meets agriculture to aid kiwi farmers. Welcome to Proud Country's Early Bird - The top things you need to know that impact rural New Zealand delivered to you by 5am, because who doesn’t need better chat beyond the weather! Rural giants get mixed results in university’s climate target score A new study by the University of Otago has evaluated the climate targets of 21 major New Zealand companies, revealing a wide range of performance across various sectors, including key rural industry players. The research team, led by Professor Sara Walton, assessed these organizations based on their carbon reduction goals, the clarity of their action plans, and alignment with global heating limits. The study aimed to cut through the complexity of corporate climate reporting and offer clear insights. Among rural sector giants, dairy cooperative Fonterra emerged as a top performer, scoring 8 out of 10. This high rating reflects Fonterra's comprehensive climate strategy, which includes emissions from its extensive supply chain. In contrast, meat producer Alliance Group received a lower score of 1.5 out of 10, indicating room for improvement in its climate action plans. Fertilizer manufacturer Ravensdown landed in the middle range with a score of 5 or 6. Other companies with significant rural connections also featured in the ratings. Supermarket chain Woolworths scored well, while The Warehouse Group fell in the mid-range. Air New Zealand, which recently abandoned its 2030 climate target, received one of the lowest scores alongside Mitre 10. The energy sector showed varied results, with Meridian Energy matching Fonterra's top score of 8. Genesis Energy scored in the mid-range, while oil and gas companies like Z Energy, Todd Corporation, and international players such as BP and ExxonMohave earned mixed ratings. Professor Walton noted that the scoring method allowed some fossil fuel companies to perform relatively well due to their detailed climate plans, despite their significant historical emissions. The research team plans to incorporate historical emissions data in future iterations of the study to provide a more comprehensive picture. The banking sector, crucial for rural financing, also received attention. ANZ earned a higher rating, while Westpac, Kiwibank, ASB, and BNZ clustered in the middle range. New forestry regulations on the horizon The government is eyeing changes to forestry regulations, aiming to create a more consistent national framework. This move could roll back councils' current authority to introduce tougher local rules, a change that's drawing mixed reactions from rural stakeholders. Forestry Minister Todd McClay believes change is needed, citing confusion and increased costs under the current system. He noted instances where foresters faced consent requirements for new plantings in low-risk areas, calling the situation an "unworkable regulatory burden." The proposed changes aim to consolidate all forestry rules into a single, comprehensive toolkit for councils. This streamlined approach intends to allow local authorities to focus on high-risk areas while working with the forestry sector to reduce costs and enhance social and environmental outcomes. A key aspect of the proposal involves clarifying rules governing "low-risk slash," addressing concerns raised in the wake of Cyclone Gabrielle. The government's goal is to ensure that forestry regulations are nationally consistent and grounded in clear, demonstrable evidence. However, the rural sector's response to these proposed changes is nuanced. Federated Farmers, while supportive of some aspects, cautions against a complete rollback of councils' abilities to introduce tougher rules. Toby Williams, Federated Farmers Forestry spokesperson, emphasised the importance of striking the right balance. He acknowledged that the current regulations, introduced by Labour last year, might have over-restricted the sector. However, he also warned against returning to a system that was "just permissive everywhere." This proposal marks a significant shift in New Zealand's approach to forestry management, with potential far-reaching impacts on rural communities, environmental protection, and the forestry industry. As the government prepares to open the proposal for consultation, rural stakeholders are encouraged to voice their opinions and concerns. Regulators clear path for Synlait’s critical shareholder vote Synlait Milk Limited has received the all-clear from New Zealand regulators to hold its critical special shareholders' meeting as scheduled. This development comes after NZ RegCo and the Takeovers Panel dismissed complaints regarding the meeting's conduct. The dairy company announced that NZ RegCo has issued a ruling on the application of listing rules to the proposed share issuances to Bright Dairy Holding Limited and The a2 Milk Company Limited (a2MC). Additionally, the Takeovers Panel has declined to call a meeting under the Takeovers Act 1993 and will not take further action at this stage. With these regulatory hurdles cleared, Synlait's special shareholders' meeting will go ahead on Wednesday, 18th September, at 9:00 am. The a2 Milk Company can vote on the resolution related to Bright's share issuance, while Bright can vote on the resolution concerning a2 Milk Company's share issuance and settlement agreements. Synlait is urging all shareholders to exercise their voting rights in person or lodge their proxy appointments online at www.investorvote.co.nz. The deadline for proxy votes is 9:00 am on Monday, 16th September. AI meets agriculture to aid kiwi farmers A new joint venture between Wellington-based Lynker Analytics and red meat giant Silver Fern Farms is set to transform how New Zealand farmers tackle climate change and market demands. The company, named Prism Earth Ltd, aims to harness cutting-edge technology to address critical challenges facing the agricultural sector. Prism's Managing Director, Matt Lythe, has outlined the venture's mission to help farmers develop new revenue streams, adjust to changing climate conditions, meet emissions targets, and respond to evolving market requirements. The company offers an integrated suite of tools including carbon and biodiversity mapping, climate risk analysis, and farm-scale land use simulation. At the heart of Prism's offerings is the award-winning Net Carbon Zero Mapping System. This innovative technology uses remote sensing and artificial intelligence to map, classify, and age woody vegetation on grazing land at a detailed, sub-hectare scale. Complementing this AI-driven approach, Prism also utilises sensor data, geospatial analytics, and visualisation software to deliver comprehensive insights to farmers. The company also aims to equip farmers with the tools to navigate the impacts of climate change and meet increasing trade and market requirements. The venture recognizes the uneven distribution of climate change impacts across different regions and farm types. Prism's technology can help farmers anticipate and adapt to shifts in pasture yields, increased summer water demands, changes in nitrate leaching, heightened erosion rates, and potential heat stress on livestock. Farm to Boardroom: B+LNZ's New Path for Rural Leadership And Beef + Lamb New Zealand (B+LNZ) has introduced a new initiative to nurture leadership in the sheep and beef sector. The Rural Leadership Advancement Scholarship aims to cultivate a fresh generation of on-farm leaders, offering a unique opportunity for ambitious farmers. This scholarship will fund two sheep and beef farmers to join the renowned Kellogg Rural Leadership Programme in 2025. Each chosen candidate will receive more than just financial support; they'll also gain a B+LNZ mentor matched to their area of interest, along with a custom-designed mentoring program. A key focus is developing on-farm leadership, which the organisation views as crucial for talent retention and creating positive workplace cultures. The goal is to improve retention enhancing leadership, recognizing achievements, and ensuring farm teams thrive from their first day through to year three. This initiative represents a significant investment in the future of New Zealand's sheep and beef industry, offering farmers a chance to develop their leadership skills and make a lasting impact on the sector. Interested farmers can apply for the scholarship online at the B+LNZ website. The deadline for applications is 5 pm on October 7. See omnystudio.com/listener for privacy information.