ETS Flawed
National thinks the Government’s proposed Emissions Trading Scheme (ETS) will meet neither our environmental obligations nor New Zealand’s economic needs. In particular, it could well have negative and unintended consequences.
Prime Minister Helen Clark wanted to show she meant business by selling some of the gas guzzling Ford Fairlane crown cars and buying expensive BMWs. What you didn’t know is that these ex-crown cars are still driving around New Zealand so our carbon footprint hasn’t reduced under this dictatorship.
In fact, emissions have gone up every year that Labour has been in Government. Far from leading the world, New Zealand’s emissions growth has been among the worst in the developed world and under Labour more trees have been felled than planted (i.e. more deforestation).
National has had several concerns with the process and content of the Government’s proposed ETS, which is likely to pass into shonky Law this week. These include the following issues:
- Officials have admitted that the Government will profit by between $6 billion and $22 billion from the tendering of emissions permits.
- There’s been no clear analysis of exactly how much the scheme will reduce emissions.
- There’s been little transparency about the effects the ETS will have on already-struggling Kiwi households. Frightening reports have emerged about the likely economic effects of the scheme’s ‘lead the world’ approach to cutting emissions.
- The scheme has been subject to close to 800 significant and last-minute changes that neither the select committee nor you the public have been given an opportunity to analyse.
National is not prepared to ignore these problems. Not when the financial security of people in Kapiti and Horowhenua is at risk. Getting this wrong will mean more jobs are exported, inflation ratchets upwards and household budgets are further squeezed.
I want to ensure that the financial security of our local families isn’t sacrificed purely for political reasons. After all, these decisions will have serious implications for the economy for decades to come.
National supports a well-designed, carefully balanced ETS to be the best tool for efficiently reducing emissions across the economy. We are committed to amending the ETS within nine months of taking office.
In amending the ETS, we will be led by six key principles: balance, fiscal neutrality, trans-Tasman alignment, efficiency rather than exodus, fairness for small and medium businesses, and ensuring adequate flexibility to respond to international developments.
We value our local environment as much as our economic capacity and we are prepared to act to preserve it. It’s in our interests to get this legislation right and that’s why National is voting against the proposed ETS led by this Clark-Peters dishonest Government.
National believes that New Zealand, as a responsible international citizen and as a country that values our clean, green environment, must act to reduce our greenhouse gas emissions. National has made three major policy statements about our intended approach to reducing greenhouse gas emissions.
First, National has set an achievable emissions reduction target for New Zealand. That is a 50% reduction in New Zealand’s carbon-equivalent net emissions by 2050. The Australian Government has a target of a 60% reduction in emissions by 2050.
Secondly, we will ensure New Zealand works on the world stage to support international efforts to reduce global greenhouse gas emissions.
National is committed to honouring our Kyoto Protocol obligations.
Our approach in future international negotiations will be to work with fellow countries on finding a pragmatic way to include large emitters like China, the United States, India, and Brazil. It’s clear that the absence of these large emitters from any post-Kyoto agreement would severely compromise global progress on this issue.
Thirdly, National will pursue sound, practical environmental policies to achieve emission reduction. We want to reduce emissions in ways that result in the least cost to society and the economy.