An independent international report indicates that New Zealand is on the way to become a sustainable nation, said New Zealand Environment Minister David Benson-Pope Thursday.

The organization for Economic Cooperation and Development (OECD)'s Environmental Performance Review for New Zealand finds that the Government's efforts to limit pollution, to protect nature and biodiversity, and to make economic development more environmentally sustainable have resulted in clear improvements.

The environmental strengths identified by the OECD include New Zealand's management of water resources and the value placed on its protected areas and conservation lands.

Over 32 percent of New Zealand's land area and 7.5 percent of territorial sea is protected - more than twice the OECD average.

Meanwhile, the OECD recommends that New Zealand developed a comprehensive climate change policy package and ensured that the "agricultural sector reduces it greenhouse gas emissions."

The report is critical of New Zealand's dumping of its climate change policy package in 2005, including the carbon charge and warns that the country has very little experience in using the Kyoto flexible mechanisms (such as carbon credits and the Clean Development Mechanism), which New Zealand is likely to need to meet its Kyoto targets.

It also highlights that the greenhouse gas intensity of the New Zealand economy is fourth highest in the OECD, that greenhouse pollution has climbed since 1996 and points to a worrying trend of increasing carbon intensity in our electricity system.

"The OECD says more work needs to be done and I am pleased to say that work to fulfill many of the Review's 38 recommendations is already underway," said Benson-Pope.

"And where we are unlikely to fulfill the OECD recommendations, alternative actions are in place," said Benson-Pope.