Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


New multi-million dollar bill for taxpayers under failed ETS

4 August 2014

New multi-million dollar bill for taxpayers under failed ETS

New figures showing taxpayers forked out nearly $6 million in the last year on free pollution permits to Rio Tinto show the emissions trading scheme (ETS) must go, the Green Party said today.

According to the figures, the number of free New Zealand Units (NZUs) allocated to New Zealand Aluminium Smelters Ltd (part of Rio Tinto Alcan) under the ETS jumped from 300,000 in 2012 to over 1.5 million in 2013.

At today’s spot NZU price of $3.90, that amounts to $5.85 million worth of credits. Allocations to several other big polluters have also risen.

“The ETS is a failure and a fraud and it’s time taxpayers stopped footing the bill for it,” said Green Party climate change spokesperson Dr Kennedy Graham.

“The scheme needs to be put out of its misery so ordinary New Zealanders are no longer shouldering the cost of climate pollution.”

As part of its weakening of the ETS, the Government has spent hundreds of millions of dollars gifting free carbon units to big polluters.

Some of these polluters have then surrendered much cheaper international units to meet their emissions obligations under the ETS (a process known as “arbitrage”), thereby profiting at the expense of New Zealanders.

“These latest figures show the National Government is incapable of understanding the basic economic tenets of climate policy”, said Dr Graham.

“If, despite all the mounting evidence about the risks and costs of climate change, National continues to gift free carbon credits to polluting industries at the taxpayers’ expense, it is not only encouraging more pollution, it is also condemning our country to a catastrophic debt burden as the international carbon price rises.

“Climate Change Minister Tim Groser recently admitted that the ETS was designed to allow polluters to ‘maximise their fiscal position’ but ripping taxpayers’ off to the tune of millions is ridiculous.

“The ETS has failed. It was designed to incentivise emission reductions, investment in clean technology, and the planting of trees. It has done none of these things and it is costing ordinary New Zealanders.”

The Green Party announced last month it would scrap the ETS and introduce a fair and transparent carbon tax, the revenue from which will all be returned to households and businesses in the form of tax cuts.

“The Green Party is the only political party offering voters a win-win plan this election that will protect our climate, achieve carbon neutrality by 2050 and leave Kiwi families better off,” said Dr Graham.

For more on the ETS permit allocations: http://www.climatechange.govt.nz/emissions-trading-scheme/participating/industry/allocation/decisions/index.html

For the Green Party climate policy: http://www.greens.org.nz/climateplan


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

New Research: Most Homeless People Working Or Studying

“The cost of housing has been rising without corresponding increases in income, whilst the number of state houses per capita has been in decline. Many low-income people are missing out on housing, whether we recognise them as ‘homeless’ or not. More>>

ALSO:

Post-Traynor: New Offender Info Sharing Plan

“This Bill delivers on that step-change by moving away from name-based records held by individual agencies to a shared, anchor identity based on unalterable information, such as fingerprints and facial recognition. It also gives agencies access to the drivers’ licence photo database and birth, death and marriages information." More>>

  • NZ Law Foundation - New $2M fund for research on information challenges
  • Littoral: New Ship To Deliver Enhanced Naval Capability

    Defence Minister Gerry Brownlee says the Government has approved a Ministry of Defence and New Zealand Defence Force recommendation to request tenders for a new naval ship to support littoral operations. More>>

    July:

    After King's Labour Snub: Māori Party And Kiingitanga To Work Together

    Māori Party Co-leaders Te Ururoa Flavell and Marama Fox met with Kiingitanga representatives in Wellington yesterday to discuss working together on key issues for the betterment of Māori. More>>

    ALSO:

    Waitangi Claim On Rehabilitation: The 'Justus' System For Māori Not Good Enough

    Closing statements at the Waitangi Tribunal case against Corrections called for immediate steps and a comprehensive review to address the high rate of Māori reoffending. More>>

    ALSO:

    Advice: PM Sets Rules For Ministers' Treatment Of Public Servants

    Prime Minister John Key has laid down the law about the way ministers and public servants should interact, saying ministers may not always like the advice they receive, but they must listen to it carefully, respectfully and professionally. More>>

    Gordon Campbell: On The Funding Changes In Special Needs Education, And Uber

    The plan to strip out the educational support for older “special needs” children in order to meet the existing shortfall in funding for special needs in early childhood education is so miserly and relentlessly stupid as to defy belief… More>>

    SPECIAL EDUCATION (& More):

    Online Learning Plans:

    Post Cab Presser: Inquiries And Consciences

    This afternoon the Prime Minister John Key announced that his cabinet had drafted terms of reference for the Havelock North water contamination inquiry... In response to questions on the Shop Trading Hours Amendment Bill, the Prime Minister said he didn't think allowing National MPs a conscience vote was warranted. More>>

    ALSO:

    Get More From Scoop

     

    LATEST HEADLINES

     
     
     
     
     
     
     
     
     
    Parliament
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news