6. JEANETTE FITZSIMONS (Co-Leader—Green) Link to this
to the Prime Minister
When does his Government expect to pass “an amendment to the ETS legislation delaying its implementation” as agreed to in the National-ACT confidence and supply agreement?
Hon JOHN KEY (Prime Minister) Link to this
As agreed with the ACT Party, the Government has moved to set up a special select committee to review the emissions trading scheme and related matters. This week, legislation will be debated in the House to repeal the ban on thermal generation. The Government has committed, as I said earlier, to amending the emissions trading scheme legislation by no later than 30 September 2009.
Jeanette Fitzsimons Link to this
Is the Prime Minister saying he does not intend to legislate at this stage to put the emissions trading scheme on hold, yet that is what he has told foresters that he is doing; if that is the case, does he mean that foresters will still be able to claim credits in January for carbon sequestered during 2008 in post-1989 forests, as provided for in the Act?
I have not had any direct conversation with foresters. What I have pointed out is that no element will be currently affected by the emissions trading scheme legislation, because, effectively, it will not begin until 2010 when stationary energy comes into the scheme. It will be the Government’s intention that the high-level select committee will have met, and the revised legislation passed by 30 September. On that basis the matter would have been cleared up before any elements come into the emissions trading scheme that could be used to offset the forestry sector.
Chris AuchinvoleHas the Prime Minister received any reports that indicate the need to be cautious in the implementation of an emissions trading scheme?
Yes, I have. The Australian Government yesterday released its white paper on the proposed carbon pollution reduction scheme. As I have said many times previously, we need to make sure that New Zealand’s measures to reduce greenhouse gas emissions are aligned as appropriate with those measures taken in Australia.
Hon Pete HodgsonWhen the Prime Minister said in question No. 5 that we needed to balance environmental action against economic opportunity, does that mean that the default position in his thinking is that, all other things being equal, assertive climate change action is economically deleterious?
The member can rest assured that we intend to take a balanced approach to climate change and to our economic responsibilities. We will not export jobs, nor will we go around the countryside, as that member did when he was a Minister, telling New Zealanders that they were about to earn half-a-billion dollars off the Kyoto Protocol, when, in fact, it is now costing them a sum equivalent to that amount.
Jeanette Fitzsimons Link to this
With regard to those parts of the emissions trading scheme that came into force on 1 January 2008—relating to forestry—will the Prime Minister put on hold the penalty regime for deforestation during 2008, and the credits that foresters expect to claim in January 2009 for the carbon sequestered by their forests this year?
The current legislation and rules about deforestation stay in place, pending the outcome of the select committee.
Jeanette Fitzsimons Link to this
In that case, what, precisely, is the Prime Minister suspending or putting on hold, given that nothing else is due to come in until 2010 and he is retaining the parts that are already in force; or is the Prime Minister saying that the forestry bit may be taken out of force later, which means they will have to give their credits back?
That is exactly the point. Nothing is coming in until 2010 outside of forestry. The high-level select committee will have reported back. It is the hope of the Government that the legislation that will replace the existing emissions trading scheme legislation will be in place long before January 2010.
Hon Phil GoffDid the Prime Minister just suggest then that this is all smoke and mirrors, and he is not doing anything—he is not suspending anything?
There is nothing about reviewing the emissions trading scheme legislation that is smoke and mirrors. What we intend to do is pass legislation that balances our environmental responsibility with our economic opportunities. We will do so in a way that will put some clarity in the legislation, and, actually, will do so in a way that works, which is a whole lot better than the climate change policy that his previous Government had.
Jeanette Fitzsimons Link to this
What reports has the Prime Minister received from Mr Groser in Poznán on how our Kyoto partners have received the news that New Zealand is reviewing or suspending the emissions trading scheme, has cancelled plans to make sustainable biofuels in New Zealand, has cancelled its preference for renewable electricity, has cancelled its Green Homes Fund, and gets its police to spy on organisations campaigning for a responsible attitude to climate change? Has anyone in Poznán given New Zealand the fossil of the year award yet?
I am not sure the Sunday Star-Times has made it all the way to Poland yet, but, putting that to one side, I expect that our partners will be looking at New Zealand in exactly the same way that they reviewed what came out of Australia yesterday, which was a very considered and balanced approach to climate change.