Stop! In the name of ACT

NZETS.jpg The uncertainty created by the shelving of the current emissions trading scheme legislation is already having a significant impact on the New Zealand economy. Carbon News reports that one of the world’s leading players in the carbon market had planned to announce today that it was to open an NZ operation, but that as a result of the National/ACT deal, those plans have been put on hold. NZ’s international reputation in carbon markets is “taking a battering” according to TZ1 boss Mark Franklin, and the market for NZ emissions units (NZUs) is now “effectively dead”, CN reports.

The forestry sector is also feeling the impact of Key’s decision to cave in to Hide, with Roger Dickie of the Kyoto Forestry Association telling Morning Report yesterday that a major forestry project worth hundreds of millions of dollars has been cancelled as a result of the ETS decision (stream, mp3). Also worth a listen: Rod Oram on Nine To Noon today, assessing the new cabinet (stream, mp3). Nick Smith, the incoming minister with responisbility the environment and climate change portfolios apparently still believes (according to Oram) that a modified ETS can be up and running by 2010, but the “special” select committee process is going to make that very hard to achieve – especially if consideration of a carbon tax is included in the final terms of reference. Brian Fallow in the Herald believes an ETS is “most likely“, but in the meantime the uncertainty created by the new government is doing no-one except the big “do nothing” emitters any favours.

To avoid further damage to our international credibility, National should immediately issue revised terms of reference and a tight timetable for their “special” select committee: taking out all references to considering the science of climate change and the possibility of a carbon tax, and explicitly limit the committee to considering amendments to the ETS framework. To do less (or nothing) will do further damage to business in NZ and our international reputation.

[Title reference]

Wagging the dog

John Key has just announced the deal he has signed with ACT, allowing National to form a minority government. It looks – at least in terms of the agreement on climate policy, very much like Hide’s tail is wagging the National dog, and New Zealand’s stance on climate change is about to take a big turn for the worse. Implementation of the ETS is to be delayed until a special select committee reports on climate policy. The agreement includes the following section on climate policy:

National is committed to retaining measures to address New Zealand’s Kyoto obligations, by making amendments to the legislation that will balance our environmental responsibilities with our economic needs. ACT campaigned on a policy of abolishing the ETS.

National agrees to a review by a special select committee of Parliament of the current Emissions Trading Scheme legislation and any amendments or alternatives to it, including carbon taxes, in the light of current economic circumstances and steps now being undertaken by similar nations.

National further agrees to pass forthwith an amendment to the ETS legislation delaying its implementation, repealing the thermal generation ban and making any other necessary interim adjustments until the select committee review is completed.

ACT is not opposed to New Zealand adopting responsible climate change policies. What it opposes is an ETS that was never adequately justified. If a rigorous select committee inquiry establishes a credible case that New Zealanders would benefit from action by New Zealand, in conjunction with other countries that are important to us, ACT would be prepared to support legislation giving effect to such action. National agrees that the Terms of Reference for such an inquiry will be mutually agreed between ACT and National and that the Terms of Reference proposed by ACT are attached as Appendix 1 will be an initial basis for discussion.

Before the election, National was committed to retaining the ETS. Now it is only committed to “retaining measures to address New Zealand’s Kyoto obligations”. It looks very much like the current framework of policy on climate change is about to be dismantled, and that John Key has failed his first test as prime minister – before he’s been sworn in.

Full text of ACT’s proposed terms of reference below the fold:

Continue reading “Wagging the dog”

Things are gonna change (the morning after)

On the morning after I was more interested in the rugby than agonising over the entrails of Saturday night’s election result, but today it’s worth traversing what new Zealand’s new political landscape might bring for climate policy. For the wider picture, I recommend Russell Brown’s take at Hard News and Gordon Campbell’s at Scoop; they summarise the politics of the situation nicely.

The big question, of course, is to what extent Rodney Hide’s ACT contingent – guaranteed a coalition deal, with Hide in cabinet – can persuade prime minister designate John Key to modify National’s policy on the Emissions Trading Scheme (keeping it, but watering it down even further).

Continue reading “Things are gonna change (the morning after)”

Raw Hide

rodenymorph.gifAs the general election nears and policies are beginning to emerge, ACT is sticking to its “dump the ETS” line and its leader, Rodney Hide, has confirmed himself as a climate crank. In a speech to a public meeting at the Franklin Centre, Pukekohe on Monday, Hide ran through his now familiar “I know better than the world’s climate scientists” schtick:

There is no evidence that CO2 drives climate or that industrialisation is warming the world. In fact, the evidence is the reverse.

No it isn’t.

Hide is telling lies to try to get elected, and our media should call him on it. But if they won’t, I will. I’m willing to debate climate science and policy with Hide, in public, in the run up to the election at a venue in Canterbury of his choosing, or here on Hot Topic. Will he accept my challenge, or rely on a complacent media to get away with spouting this nonsense? I’m not holding my breath…

The speech also suggests a schism on climate policy in the ranks of the National party:

National MPs have sidled up to us to agree with us – and to complain that Nick Smith as hijacked National’s policy. They agreed with John Key when he said climate change was a hoax. Now he too is backing the ETS.

Hide playing politics, or is the climate sceptic rump in the National caucus stronger than Smith and Key would like us to believe?

I think we should be told…

[Title reference]

Hit somebody! (The hockey song)

0901hockeythumb.png Expect a renewed interest in the shape of hockey sticks, as a new paper in the Proceedings of National Academy Of Sciences (PNAS) by Michael Mann (et al) finds that the last decade was the warmest for at least 1,300 years. The BBC headlines the story “Climate “hockey stick” is revived”, which rather stretches the facts about the controversy (nicely covered in the piece). More coverage at Mongabay, which notes:

The results confirm that temperatures today in the Northern Hemisphere are higher than those of the Medieval warm period, a time when the Vikings colonized Greenland are are believed to have become the first Europeans to visit North America.

Sounds like a red rag to sceptic bulls to me. Expect much nit-picking and fulmination. The rest of us will get on with trying to sort out the problem.

Mann et al. (2008). Proxy-based reconstructions of hemispheric and global surface temperature variations over the past two millennia. PNAS September 9, 2008 vol. 105 no. 36 (PDF available here)