Emissions: Review steps built into adding farming to ETS
June 8th, 2010
NZ has two opportunities to change its mind on bringing agriculture into the ETS in 2015. Agriculture Minister David Carter says the date was pushed out from 2013 to give the Govt more time to see how carbon charges are imposed on rival exporters and in end markets. The Govt is “acutely aware that the extra two years gave us a chance to see where other countries were getting to.” There is “a lot of flexibility” in the review dates, next year and in 2014.
NZ moves into uncharted territory on July 1, imposing a carbon cost on transport and energy while keeping agriculture outside the scheme. Aust’s equivalent won’t start until 2013 and the Federal Govt faces its own intense lobbying from the primary sector. Carter has been quietly lobbying his colleagues, saying NZ should be ready to hold off on the 2015 start date if Aust’s ETS introduction stalls. The slippage is a good outcome for primary producers. At worst they’ll be slugged with a cost no greater than competitors in export markets and at best inertia among trading partners may see farming stay outside the ETS for longer.
National has re-established itself with the rural heartland, taking steps to deliver better outcomes on everything from water access to broadband.
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