The Rudd government says it will not rush to include agriculture in its emissions scheme despite a report warning forest clearing poses a much bigger threat than previously thought.
Australian National University (ANU) researchers say they have evidence showing Australia's native forests store the equivalent of 25.5 billion tonnes of greenhouse gases.
But they say the carbon storage levels are three times more than previously thought, meaning forest clearing had the potential to see much more carbon emitted into the atmosphere.
Trees consume carbon dioxide when they grow, which they store. If the trees are chopped down, the carbon is released as carbon dioxide.
Despite the latest findings, Environment Minister Peter Garrett said the government would not be rushing to include agriculture in its carbon pollution reduction scheme.
"Questions of sequestration, forests, how we deal with our sequestration, particularly in terms of coal-fired power stations, they're important issues to discuss and work through, but in the meantime we really want to get on with it," Mr Garrett told Sky News.
"By delivering, frankly, a really comprehensive program which includes renewable energy targets, a billion dollars I announced in the budget in terms of energy efficiency measures in the household ... we're starting to get on the road to actually deal with climate change."
The ANU report would be considered as the government continued to address climate change.
"We've laid out through the green paper a process of discussion about these issues ... and this is another report which contributes (to that process)," Mr Garrett said.
"One thing I would say about it is this - we have the opportunity with the carbon pollution reduction scheme as proposed by the government, to get on the path to reducing emissions."