Norway’s sovereign wealth fund will require companies in its portfolio to ‘to manage risk associated with the causes and impacts of climate change resulting from greenhouse gas emissions and tropical deforestation.’ The move comes after campaigners had targeted the fund for continuing to invest in companies associated with deforestation while the Norwegian government had committed $522 million to protecting the world’s forests. Questions considered in assessing company risk will include: disclosure on tropical forest footprint; commitment to international standards for sustainable production of agricultural commodities; and reporting on the implementation of its commitments.

The actor and environmental activist Woody Harrelson is putting his support behind the construction of a $500 million tree-free paper mill in Canada which would produce straw-based paper. Prairie Pulp and Paper, the company behind the project, already produce a copy paper which is 80 per cent waste wheat straw. According to a study they commissioned this paper has a lower environmental impact than 100 per cent recycled paper. However, a representative of the Forest Products Association of Canada thinks wheat paper will be a niche product due to limited availability of waste wheat and the need for the strength and quality in paper that is provided by wood fibres.

Brazil’s President has signed the new Forest Code into law. The Code dictates how much of their forest farmers and companies must leave intact. However, critics counter that it reduces the actual amount of forest preserved by extending the scope to river margins and steep hillsides. To comply with the Code some landowners who have previously cleared land in excess of the new limits will have to reforest an area of land totalling the size of Italy. Whether enforcement will be effective and successful is open to question. The main tool to support compliance will be a registry to which landowners must detail their compliance with the Code to remain eligible for state credit and support. The farm lobby says it may challenge the final version of the Code in court.

Analysis reflecting on the global state of illegal logging and the importance of Australia joining the EU and the US in implementing anti-illegal logging measures through its own Illegal Logging Prohibition Bill. It draws attention to the flood of illegal timber which is exported to Australia from South East Asia and the difficulty legitimate timber producers in Australia and New Zealand have in competing domestically and internationally.

‘Green Carbon, Black Trade’, a joint report from UNEP and INTERPOL says that $30-$100 billion of revenue are lost by key logging countries each year to the illegal timber trade. The losses are mainly attributed to key logging countries in Central Africa, the Amazon Basin and South East Asia. An editor of the report highlights how organised crime has become more sophisticated over the past decade with government websites hacked to extract logging permits, falsifying certificates and laundering timber by selling it through plantations.

The Forest Trust (TFT) has revealed that it is working with Asia Pulp and Paper (APP) on an overall framework for sustainability which includes and goes beyond legal compliance. TFT has previously worked successfully with Golden Agri Resources, Indonesia’s largest palm oil company which sits under the same ownership as APP. TFT plans to publish regular updates once it believes that APP is making significant progress.

A Cambodian journalist, Hang Serei Oudom, who wrote a number of stories uncovering forest crimes linked to businessmen and powerful officials has been found murdered in his car. Cambodia’s forest cover has dropped from 73 to 57% between 1990 and 2010 according to the UN. His murder follows that of prominent local environmentalist, Chhuth Vuthy. In the last story before his death, Oudom accused the son of a military police commander of smuggling logs in military-plated vehicles and extorting money from people who were legally transporting wood.

An expert from the Forest Survey of India (FSI) claims that recent surveys overestimate the extent of India’s remaining forests. The Ministry of Environment and Forests reports biennially on the state of India’s forests but the FSI who are involved in the process are openly critical of the satellite imagery technology used which they say does not have the required resolution to identify small-scale deforestation. Furthermore, the technology is unable to tell the difference between native forests and bamboo grown on cleared forests. It is thought that there are particular problems with deforestation and a lack of response from the state government in Meghalaya state in northeast India.

The Union of Concerned Scientists (UCS) has published a report, Wood for Good: Solutions for Deforestation-Free Wood Products, analyzing tropical wood production’s effect on deforestation and offering solutions for sustainable production. The report identifies a threefold solution to meet the global demand for sustainable tropical wood: 1) turn to responsible plantation forests; 2) governments to develop policies that make sustainable forest management an attractive business prospect; and 3) all stakeholders should demand products certified by FSC or PEFC.

Experts are warning that the focus on Brazil, which hosts 60% of the Amazonian rainforest, is deflecting attention from increasing Amazonian deforestation in neighbouring countries such as Bolivia, Peru, Columbia and Venezuela. The main driver is considered to be the commodities boom centred on exports to China and other Asian economies. Conservation International in Bolivia say that government policies and subsidies encourage business development in the Amazon which inevitably leads to deforestation.

The US Government and 20 of the world’s largest companies from the Consumer Goods Forum (CGF) have announced a partnership to eliminate deforestation from supply chains by 2020, starting with palm oil, soy, paper and beef. Production of these four commodities in four countries alone causes 50% of global deforestation. Leaders from the CGF companies, the US and other governments and NGOs will meet in the Autumn to identify practical actions to achieve the deforestation commitment.

FSC has appointed a new Director General. Kim Carstensen succeeds Andre De Freitas and brings with him 20 years of experience at WWF Denmark and WWF International focussing on conservation, development and global climate issues.

The US House of Representatives will vote this week on a bill called the RELIEF Act (The Retailers and Entertainers Lacey Implementation and Fairness Enforcement Act) which would significantly weaken the use of the Lacey Act to regulate against illegal logging by allowing manufacturers to keep illegal wood and limiting the species and country declaration requirements to solid wood (i.e. pulp and paper would be excluded). The article points to World Bank estimates which suggest that government and businesses suffer more than $10 billion in lost revenue each year due to illegal logging, $1 billion of which is lost by the US.

The Russian government has committed up to $12.4 billion over the next eight years to be spent on forestry protection. This will include restoration and improvement of species composition in forests, reducing illegal logging and addressing the black market in timber, improving aerial monitoring, cultivating trees for restoration and creating fire ponds to protect against wildfires. In response to the announcement of the policy, the CEO of the forestry company RusForest called for privatisation of the country’s forest, saying that this would incentivise longer term investment in the management of Russia’s forests. The current model is for companies such as RusForest to manage areas of forest on relatively short-term leases from the government. Russia currently imports more paper than it produces despite having around 700 million hectares of forest.

The Global Canopy Program is promoting the use of smartphones by indigenous communities to protect their forests. The strategy would see smartphone apps used to collect geographic data and photographs. This local data would then be linked to remote sensing data to enhance the monitoring of forest management. Up until now the effectiveness of community forest management projects in halting deforestation has been brought into question. The hope is that smartphones would play a significant role in helping local communities to manage their forests though there are some concerns that this would reduce the role of communities to simply collecting data without having input using their local knowledge on how their forests should be managed.

A study published in Science modelling species extinction in the Brazilian Amazon has concluded that the extinction of many species in certain regions is inevitable. The study models several future scenarios ranging from “business as usual” to a “strong reduction” and found that even in the best case scenario deforestation will lead to the extinction of around 38 species locally. Future threats to the Amazon come from planned hydroelectric power plants and the risks of deforestation which might follow the changes to Brazil’s Forest Code.

Local officials have blamed flooding in Indonesia on illegal logging in the area surrounding a dam which overflowed. Residents were forced to flee as their homes were submerged by up to five metres of water. The officials are working with police to crack down on illegal logging and there are plans to reforest some areas later in the year.

Representatives of NGOs and government agencies from Indonesia, Brazil, Mexico and Peru took part in a special technical training session on monitoring deforestation, forest degradation and biomass organised by the Governors' Climate and Forests Task Force (GCF). The week-long training aims to improve the measurement, reporting and verification (MRV) systems which are an integral part of REDD+.

The Viet Nam Administration of Forestry announced that over 13,700 violations of forest protection and timber management laws were reported in the first six months of 2012. Around 623ha of forest land have been lost in this period as a result of changes in forest use purposes, illegal logging and forest fires. Government ministries working on the issue aim to tighten controls on the wood processing industry and local authorities have been ordered to review existing forestry projects and ensure that forest protection programmes are adequately funded.

German Chancellor Angela Merkel visited Indonesia on Tuesday to meet with President Yudhoyono to discuss deforestation and the environment. She previously visited the country seventeen years ago when she was environment minister. The visit comes as Germany explores ways to make its financial aid to Indonesia conditional on Indonesia conserving its remaining rainforests.