Fonterra signs $20m waterway cleanup deal

Fonterra is investing $20 million in a conservation project to restore waterways in Northland, Waikato, Canterbury and Southland.

A 10-year partnership for the project was signed today between the Department of Conservation and Fonterra.

Conservation Minister Nick Smith described the programme, which will restore wetland habitats, better control nutrients, reduce pests and weeds and enhance native wildlife as a "major breakthrough".

"Fonterra's investment is the largest ever corporate contribution to conservation work, he said.

The programme will first involve significant dairy areas including, Kaipara Harbour in Northland, Firth of Thames and the Areare, Ruatuna and Rotomanuka Peat Lakes in Waikato, Lake Ellesmere in Canterbury and Waituna Lagoon in Southland.

As part of the project teams of farmers, conservationists, local authorities and iwi will develop action plans for each water body."

"Today's announcement is about investing time and resources to improve their quality so that we can all enjoy our natural environment at its best and ensure this can occur alongside a sustainable dairy industry," said Fonterra director John Monaghan.

 

It's a lot!

Not many causes would turn down $20m. It could do a lot of good.

Nothing

It's 3% of their 2012 after tax profit ($624 million) spread over a 10 year period. By the time inflation is taken into account it will probably be under .2% of annual after tax profit per year. Given that the CEO's pay in 2010 was $5 million, that's $20 million for the environment and well over $50 million for the CEO (accounting for executive pay rises) in the same period. My point being, it's b***er all.  

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