Tomorrow morning, a large chunk of New Zealand’s much debated Emissions Trading Scheme comes into effect. Forestry’s already been in it for two years, but July 1st is the day that the liquid fuels and electricity generation sectors start to have to account for their emissions, and it’s the first day that consumers might see a change in fuel and electricity prices that can be blamed on the ETS. Last week’s National Business Review had a pretty good overview of the state of play here. The scheme has also come in for some robust criticism in a new book, The Carbon Challenge, by Sustainability Council executive director Simon Terry and VUW economist Geoff Bertram (of which more in another post soon, I hope).
Federated Farmers have been out protesting in force — even though agriculture gets a free pass until 2015, and then gets 90% of its emissions “grandfathered” (effectively free). A few weeks ago Farmers Weekly editor Tim Fulton popped in for a cuppa and interviewed me about my views on climate change, agriculture and the ETS for an article that appeared a couple of weeks ago. Most of what I said won’t be news to Hot Topic readers, but I thought it worth passing on my thoughts on agriculture and the ETS to a wider audience: