Agricultural emissions scheme ‘dead’, National says

WELLINGTON: National is pulling its support for a keystone climate change initiative to price agricultural emissions, saying the process is ‘‘dead’’ and even hinting at dropping legislated timelines.

It comes as Act New Zealand steps up its criticism of the Government’s attempts to price emissions in the agriculture sector, and follows former Federated Farmers president Andrew Hoggard recently announcing his candidacy for the party.

National has long backed the primary sectorled group He Waka Eke Noa — which includes Dairy NZ, Federated Farmers and Beef and Lamb — which was set up to develop with the Government a worldfirst ‘‘splitgas’’ pricing scheme to include agriculture within the emissions trading scheme (ETS) by 2025.

Its support was in line with the bipartisan approach the two major parties have taken on major climate change initiatives, including the Zero Carbon Act.

The aim of the ETS is to essentially price climate change pollution, and in doing so help bring down the country’s emissions overall to reach net carbon zero by 2050 and as part of global efforts to keep global warming below 1.5degC.

The scheme, introduced in 2008, included a carveout for agriculture, which acknowledged mitigation and offsetting of carbon was much simpler than for gases such as biogenic methane emitted from livestock and nitrous oxide (fertiliser and excrement).

Negotiations, however, have stalled after the Government last year rejected the group’s original proposal, with concerns about sequestration — accounting for offsets such as native forest — and how the price is set.

In December, the Government responded to criticism from farmers of an earlier proposal and said final decisions would be made and legislation introduced by the middle of this year.

However, there has been no progress since and concerns are growing time is running out for final decisions to be made before Parliament’s last sitting day on August 31.

Last year, National said it backed He Waka Eke Noa’s proposal over what the Government had come up with.

Now, National agriculture spokesman Todd McClay said it was clear He Waka Eke Noa in itself was ‘‘dead’’.

‘‘It’s the Government’s fault. ‘‘They’ve run out of time. They’ve shown extremely bad faith to the sector.’’

Mr McClay said said National supported pricing agricultural emissions but not in a way that could lower production in New Zealand and shift it overseas.

‘‘We’ll be putting out a policy that shows we back farmers, that we support what they do, that we won’t drive them out of business or put up the cost of food, but we’ll also meet our obligations internationally.’’

Act primary industries spokesman Mark Cameron said his party had always opposed He Waka Eke Noa, saying New Zealand farmers were already the most efficient in the world.

Act has proposed tying an emissions price to the country’s five main trading partners to ensure a level playing field for growers and producers competing overseas.

It would also make it simpler to adopt emissionsreducing technologies and increase the ability to offset emissions.

Federated Farmers acting president Wayne Langford said He Waka Eke Noa was ‘‘sleepy, not dead’’.

‘‘If the Government wants a result they need to come back to the table and have discussions.’’

Mr Langford said its major concerns remained around sequestration and emissions leakage.

Beef and Lamb chairwoman Kate Acland said her group was still committed to He Waka Eke Noa but felt methane targets were too high and wanted more research on reporting and measuring its impact. — The