Sharechat Logo

NZ agriculture may dodge ETS without new technology, global buy-in, National says

Wednesday 9th November 2011

Text too small?

A National-led government may exclude agriculture from New Zealand’s emission trading scheme if new practical technologies to cut emissions and buy-in from the nation’s trading partners don’t emerge by 2015.

Prime Minister John Key released his party’s environmental policy in Nelson today, which pledges to review the Jan. 1, 2015 inclusion of agriculture to the scheme in 2014.

The policy says the nation’s biggest emitting sector won’t face a liability “unless there are practical technologies to reduce emissions, and our trading partners have made further progress with their climate change policies to reduce emissions.”

That comes after the ETS review panel, led by former Finance Minister David Caygill, could find no reason to exclude agriculture in its September report to Climate Change Minister Nick Smith.

Other changes will see a National-led government give transport, electricity and industrial sectors another two years transition period to prepare for full obligations under the ETS to 2015, following the Caygill panel’s recommendation. It will also keep the carbon price fixed at $25 a tonne until 2015.

“Our climate change policies carefully balance the costs to households and businesses with the need to reduce greenhouse gas emissions,” Key said in a statement. “That is why we intend to slow the phasing in of the emissions trading scheme from 2013 to 2015, at which point we will look to align our scheme with that adopted by Australia.”

The announcement comes just one day after Australia’s Senate passed the Federal Government’s carbon tax, which will charge about 500 companies A$23 a tonne for their carbon emissions from July next year.

A National-led government will also introduce offsets for pre-1990 forest owners from 2013 and allow those forest owners to change how they use their land without penalty provided they allow for an equal level of carbon sequestration by planting elsewhere, the policy statement said.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

28th October 2021 Morning Report
Wellington Drive Technologies Limited (NZX: WDT) Performs Strongly in Q3-2021
Ryman Healthcare Limited (NZX: RYM) Acquires Extensions to Two Existing Victorian Sites
Promisia Healthcare Limited (NZX: PHL) Banking Covenant Update
Pictor Limited Announces Start of US Clinical Trials for SARS-CoV-2 Serology Test
Arvida Group Limited (NZX: ARV) Opening of Rights Offer
Move Logistics Group Limited (NZX: MOV) Announces $40m Capital Raise
27th October 2021 Morning Report
The a2 Milk Company Limited (NZX: ATM) Investor Day 2021
Contact Energy Limited (NZX: CEN) Considers Green Capital Bond Offer