Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Carbon Tax Anti-Growth

May 4 2004

Carbon Tax Anti-Growth

"The carbon tax announced by the government today is a further anti-growth measure", the executive director of the New Zealand Business Roundtable, Roger Kerr, said today.

"The case for action other than 'no-regrets' policies to combat global warming is still far from clear. Moreover, the new tax does not "protect our environment" as claimed. The Kyoto measures will have only a minuscule impact on global warming and New Zealand is far too small an economy to make a difference.

"Even if there were a robust case for action, the government's response is incoherent. It has overlooked the advice in the McLeod Tax Review of 2001 that such a tax would be difficult to integrate with Negotiated Greenhouse Agreements, should cover the agriculture sector, and should not be imposed before 2008.

"From an economic growth perspective, a carbon charge is a distorting tax which can only be partially remedied by recycling revenue from it.

"In addition, it will harm New Zealand's international competitiveness, contrary to the government's claim, and put New Zealand policies further at odds with the policy directions of two key trading partners, Australia and the United States, neither of which has signed the Kyoto Protocol.

"Measures to alleviate the impact of Kyoto ratification on the economy by using forestry sinks and shielding certain industries are only short-term palliatives. In time the government's policies imply drastic action to cut emissions at large costs to growth. The lack of certainty about policies beyond 2012 will mean that long-term investment will be discouraged.

"The only way the government's decision can be made consistent with its top priority goal of raising New Zealand's growth rate to return New Zealand to the top half of the OECD income rankings is to adopt other vigorous pro-growth policies. The business sector is seeing no sign of these emerging", Mr Kerr said.

ENDS


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news