Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

NZETS review

MEDIA RELEASE

NZETS review

NZU should be issued during the year to Forest Owners rather than all at once on the same date – NZETS review

Environmental Intermediaries & Trading Group Limited wrote to Dr Nick Smith and Jeannette Fitzsimons asking them to consider instructing MAF to issue NZU units on emissions returns staggered throughout the year to give the same effect as GST returns and provisional tax payments do for the Governments cashflow in terms of issuing credits rather than the current once a year for everyone for the previous year.

EITG Director Richard Hayes says ‘in our submissions on the review of the New Zealand Emissions trading system we again emphasised the importance of the design of the system to allow liquidity and permit price discovery’. ‘Price discovery’ he went on to say ‘is essential to allow emitters to structure their responses to Global Warming and justify long term investments.’ ‘With no price or highly volatile pricing the ETS is unlikely to function as intended’ he added.

At present MAF processes emissions returns for all foresters at the same time once a year and issues the requisite NZU units to all registered forest owners by the 31st March the previous year. Forest owners entering the system on the 1st of April can wait a year to receive credits. Whilst they still receive credits from 1st January 2008 the structure of the MAF system means there is a large amount of work in a short period and then a huge supply of NZU units, then no more will be issued until the following year. Some carbon traders have suggested ‘selling forward’ - this process simply won’t work if there are delays in processing returns and issuing NZU in the future. Moreover there will not be a reliable flow of units into the market during the rest of the year, and a secondary market if any, may be highly volatile.

Emissions returns and issuing of NZU units for the preceding 12 month period should be at least on the anniversary of the forest owner joining the ETS or a date elected by the forester. The first return will yield the credits from 2008 plus some part of the year in which the forest owner registers under the ETS, then each anniversary after that they will be issued a years credits for the previous year.

Further information on Carbon Trading the NZETS and Kyoto can be found at www.eitg.co.nz

Ends

 

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Max Rashbrooke: On How To Make Government
More Open

It’s true that New Zealand scores well on many international rankings of openness... Those findings are all important, and welcome. But we cannot ignore the fact that there are still serious problems.

For a start, those international surveys, while often complimentary, have also pinpointed major weaknesses: political donations are badly regulated, for instance, and appointments to government boards frequently go to those with strong political connections. More>>

 
 

In Court: Hamilton Student's Lawsuit Over Climate Change Policy

A law student from Hamilton is preparing to challenge the Government in the High Court on Monday over what she says is a “failure” to properly address climate change. More>>

ALSO:

Gordon Campbell: On The Fallout From The Barclay Tape

This is hardly a case of cleaning out your desk and being turfed out onto the pavement. As others have pointed out, the disgraced Clutha-Southland MP will remain on the public payroll for three months until the election, and for three months afterwards. More>>

ALSO:

Visions: National Party Conference

National Party leader Bill English today outlined his vision to take New Zealand into the 2020s and his key priorities for the next Parliamentary term – including further raising incomes and reducing taxes. More>>

ALSO:

Ombudsman: Canterbury Schools Reorganisation Mishandled

An investigation into the Canterbury schools reorganisation after the February 2011 earthquakes has found significant gaps and flaws in the Ministry’s engagement and communications with schools and communities. More>>

ALSO:

Law Commission: Contempt Report "Protects Right To Fair Trial"

The proposed Act limits what news media representatives and bloggers can report on court proceedings, but it also makes clearer than the current law where the line is between contempt and freedom of expression. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election
 
 
 
  • PublicAddress
  • Pundit
  • Kiwiblog