Category: Climate business

Norwegian Wood (this exporter has flown)

The Mighty River Power 100MW geothermal power plant at Tasman Mill, Kawerau, NZ Norwegian wood and newsprint transnational Norske Skog Tasman (NZ) Ltd ‘exports itself’. Simon Johnson aka Mr February looks at the flight of another manufacturer and CO2 emitter and exporter as it lays off staff and reduces production. Wasn’t the very generous free allocation of units in the New Zealand Emissions Trading Scheme meant to keep exporters like Norske Skog Tasman in New Zealand? Or have we just removed the price signal from exporters for no valid reason and stuffed the NZETS?

The Herald reports that the Norwegian-owned newsprint-maker and transnational Norske Skog Tasman NZ has joined the ranks of export businesses like Rio Tinto Alcan NZ/NZ Aluminium Smelters who are exporting jobs off shore. Incidentally Rio Tinto Alcan NZ/NZ Aluminium Smelters have just been described as New Zealand’s biggest bludger.

Norske Skog is shutting down one of two newsprint machines at the Tasman Mill, in Kawerau, due to lowered demand for newsprint.

At the same time Norske Skog is investing $A84 million in new plant at the existing Boyer Mill in Tasmania with some substantial help from the Australian Federal government (A$28 million grant) and State government (A$13 million loan).

The NZ Government has been asked “what is being done for jobs”? And the NZ Government’s “market will take care of everything” approach has been called naive.

The NZ Herald mentioned the NZ emissions trading scheme (NZETS) only briefly in passing, as they noted the rock-bottom NZ carbon price and the poor despairing carbon foresters.

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Sustainable Energy NZ #15: Keeping it lean and mean – a summary of energy use.

Welcome to the fiftheenth post in the Sustainable Energy without the Hot Air – A New Zealand Perspective series. After our previous posts on hydro power, geothermal and wind (and a summary on the big three), solar, biofuels, marine and waste energy, we’re now attempting to answer the question:

How can we achieve a BIG reduction in our personal and national energy consumption?

Remember, as before, the units are in kWh/day/person – ie. if you ran a 40W lightbulb for 24 hours, it’d take ~1 kWh over the space of a day. We then divide it by person to give you a sense of the scale of the resource proportionate to the size of the population. Be sure to check out the methodology. For reference – we’ve been looking to replace around 55 kWh/d/p of energy currently generated by fossil fuels. Be sure to check out our treatment on road, air transport, home energy use and general consumption from the last few days.

Summary of Energy Use

Using the MacKay categories (but ignoring imported goods and energy spent overseas on air travel), our total energy use of 88kWh/d/p breaks down as shown in Fig.3:

Fig.3  NZ Energy Use (by end use)

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Don’t worry Kyoto (National’s Only Looking Out For Its Friends)

The New Zealand government has announced that the country will not join the second commitment period of the Kyoto Protocol (CP2), but will instead make voluntary commitments within the Kyoto framework [Herald, NBR]. Climate change minister Tim Groser presented this move as:

…aligning [NZ’s] climate change efforts with developed and developing countries which collectively are responsible for 85% of global emissions. This includes the United States, Japan, China, India, Canada, Brazil, Russia and many other major economies.

To put it another way, New Zealand has chosen to abandon the 36 countries already signed up for CP2 — which runs from 2013 to 2020 — and instead aligns itself with the world’s worst polluters. Ironically, Groser rejected CP2 on the same day that Australia, only recently equipped with a meaningful carbon emission reduction scheme, announced it would sign up. The move completes the National-led government’s programme of gutting and dismembering the climate policies it inherited from the last Labour-led government when it took power in 2008.

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Will the last business lobbyist to leave please turn out the light at the end of the ETS tunnel

turn out the light at the end of the tunnelIn this post Simon Johnson aka Mr February channels his inner General Westmoreland and his Vietnam flashbacks to look at National’s latest change to the New Zealand Emissions Trading Scheme (NZETS). Parliament has just (8 November) passed amendments that indefinitely defer any greenhouse gas obligations for agriculture and indefinitely discount obligations to industries.This is a ‘last helicopters off the Saigon hotel roof’ point in the sad history of the always-doomed-to-fail New Zealand Emissions Trading Scheme.

According to cultural folklore the humiliating end of American engagement in the Vietnam war was foreshadowed by graffiti;

Will the last person out of the tunnel please turn out the light?

Or perhaps:

Would the last Marine to leave Vietnam please turn out the light at the end of the tunnel?

This was in frank contrast to the early (with hindsight, unjustified) optimism of General Westmoreland, who had said in 1968 that he could see the light at the end of the tunnel of the war in Vietnam.

So why am I writing about graffiti from a war that ended 37 years ago? Well, to make a ‘bonkers’ analogy with the New Zealand Emissions Trading Scheme, of course! Getting the NZETS established was of course more or less a civil war, and when the Labour Government in its final days in office in late 2008 finally coalesced a coalition of compromise to pass the Climate Change Response (Emissions Trading) Amendment Act 2008, it seemed there was ‘light at the end of the tunnel’ in terms of reducing GHG emissions.

However, with the adoption last Thursday afternoon (8 November) of National’s latest emitter-inspired fiddle; the Climate Change Response (Emissions Trading and Other Matters) Amendment Act, I believe we can now just be honest with ourselves and see the latest amendments to the NZETS as the last helicopter off the hotel roof and the last act of the NZ emissions trading approach, which was futile from the beginning.

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The Climate Show #30: Obama, Sandy and the rabbit

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Another news special on this week’s Climate Show. With Barack Obama winning “four more years“, and the biggest Atlantic storm ever seen slamming into New Jersey, New York, and most of the northeastern USA, Glenn and Gareth chew over the details and consider the implications. With a side order of accountants PwC being gloomy, agricultural emissions, and a rabbit. (Not you, Eli).

Watch The Climate Show on our Youtube channel, subscribe to the podcast via iTunes, listen to us via Stitcher on your smartphone or listen direct/download from the link below the fold.

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