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

 


Parker’s irrigation tax proposition will cripple farmers

Parker’s irrigation tax proposition will cripple farmers and lead to food price increases


Irrigation New Zealand (INZ) is not convinced that Labour has fully considered the implications of a tax, or resource rent, for irrigation. Particularly how this would be practically implemented.

Many water takes involve combinations of irrigation, hydropower and domestic supply such as the Opuha dam or the Rangitata Diversion Race – how will these complex takes be split apart to allow for irrigation related resource rents?

More importantly it is not equitable to do so given that private energy companies, Trustpower for example, and commercial business connected to domestic water supply systems also prosper from the use of water. A resource rent will mean increased cost for domestic water supply and electricity alongside food price increases – such a tax would therefore impact upon low income earners the most.

Additionally, this increased cost to the farmer will impact production and importantly prevent farmer investment in improved environmental management to meet the water quality limits now in place in a number of regions. Ultimately it will see the demise of the traditional New Zealand family farm.

Despite Mr Parker’s statement that irrigation is funded by subsidies, this is not the case. The Crown Irrigation Investment Fund is an investment company receiving market returns - for example the recent $6.5million loan to Central Plains Water. New Zealand does however need to consider the benefits of subsidising modern irrigation scheme development, it would allow increased farmer investment in improved environmental management enabling them meet new standards more quickly.

Mr Parker’s comments that irrigation is a wealth transfer that only benefits rich land owners is disingenuous. Irrigation is well proven to benefit everyone – multiple independent socio-economic studies both in New Zealand and overseas demonstrate this. Because of the consensus view In New Zealand that our waterways are important and integral, all proposed irrigation schemes in New Zealand incorporate sustainability and environmental improvements.

Irrigation schemes provide infrastructure that allows opportunity for communities to grow. The reality is irrigation underpins thousands of jobs and entire communities in New Zealand, whilst also ensuring we have affordable food available on our tables. Blenheim, Ashburton, Timaru and Oamaru are all examples of this.

Sustainable solutions and environmental safeguards – many driven and agreed on by the 62-member Land and Water Forum - have begun in earnest: with compulsory water metering, stock exclusion from waterways and water quality limit setting. As a result in excess of $2billion ($5,000 per hectare) has and continues to be spent on converting flood and older spray irrigation systems to modern centre pivot irrigators.

These measures already in place will help ‘clean up’ dirty rivers and lakes over a generation; increases in intensity of land are already being controlled through nutrient allocation limits imposed on irrigators; and improvements to farm practice are already underway to offset environmental burdens caused by intensive farming.

INZ agrees with Mr Parker that New Zealanders can have their ‘cake and eat it’ - good water quality and a vibrant farming economy is achievable with a better defined environmental management framework for irrigators to operate within. Reducing uncertainty is key as it allows for investment. The future is about developing policy that enables irrigators to invest in the latest technology to improve water use efficiency and decrease their impacts on water quality.

Fairly funded and properly regulated irrigation is needed to achieve the next level of prosperity and sustainability in New Zealand. Visit www.smartirrigation.co.nz for more information on what irrigators are up to.

Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Extended Cease Fire: Gaza Celebrates!!!!

Images and video from Gaza.Scoop - Julie Webb Pullman in Gaza.

Gazans took to the streets tonight to celebrate their victory in achieving the end of hostilities and the lifting of the illegal seven-year siege. Whatever tomorrow may bring, tonight was a time to rejoice! More>>

Details:

 

Parliament Today:

Collins 'Misinterprets Media Reports': "Too Compromised To Remain Justice Minister"

Bizarre claims by Judith Collins this morning that she had been cleared of inappropriate behaviour by the Privacy Commissioner demonstrates she is too compromised to remain Justice Minister, Labour MP Grant Robertson says. More>>

ALSO:

Labour On Climate Change: Focus On The Now For The Future

A Labour Government will put in place a comprehensive climate change strategy focusing on both mitigation and adaptation, establish an independent Climate Commission and implement carbon budgeting, says Labour Climate Change spokesperson Moana Mackey. More>>

ALSO:

Gordon Campbell: On National’s Housing Assistance Plan

So, as many as 90,000 people could derive some benefit from National’s housing assistance plans for low and middle-income earners... Yet in reality, the benefits seem likely to be insignificant, and they will be skewed towards those at the top end of the income group that’s supposedly the target. More>>

ALSO:

Election Data Consortium: National’s Worst Case Scenario At Stage One?

A month out from the general election and ipredict traders are still forecasting National’s vote to slip below current polling levels and there is potential for it to fall further. More>>

ALSO:

From The Scoop Video Archive: PM Says SIS "Told Me" About OIA Release

In a press conference immediately following an controversial OIA release of notes on an SIS briefing to then Labour leader Phil Goff, Key said "at that point [Tucker] told me he'd release it ...". Since the release of Nicky Hager's 'Dirty Politics' Key has denied being personally informed and said references by officials to 'the PM' being told briefed referred to his office. He now says the same about his own statement. More>>

ALSO:

  • Scoop Video in the news - New questions over Key claims | NZ Herald News - Stuff.co.nz
  • Earlier - Felix Marwick: Laying out facts over SIS documents - Newstalk ZB
  • Labour - Director’s letter contradicts Key’s claims
  • ACT - The Letter - 26 days to go
  • TV3 Video - Housing issue nudges Dirty Politics aside - David Cunliffe: Key's SIS explanation 'defies belief' - SIS leak came from Key's Office - Goff - Key 'categorically denies' Slater OIA discussion - Video: Key faces more Dirty Politics questions

  • TVNZ - Winston Peters: ‘Dirty Politics' is a new low
  • The Nation - Debate Between Grant Robertson And Russel Norman
  • NZ First - “The Words Mean What I Say They Mean”
  • Schools, PPTA Sign Up: Primary Teachers And Principals Vote Down Govt Plan

    Teachers and principals have voted overwhelmingly against the Government’s controversial “Investing in Educational Success” policy, including proposed highly-paid principal and teacher roles. More>>

    ALSO:

    Gordon Campbell: On The Usual Round Of Mud Slinging And Name-Calling

    This week gave an interesting example of how hard it is to untangle the reality from the slanging matches. The issue that emerged early this week could hardly be more important. Does the government intend to cut spending in health, education and on the environment if re-elected, or not? More>>

    Earlier:

    Electionresults.co.nz: National and NZ First Rise in Roy Morgan Poll

    National has bounced back in the latest Roy Morgan Poll but the big winner has been New Zealand First who rise to their highest level of support since September 2013. More>>

    ALSO:

    Get More From Scoop

     

    LATEST HEADLINES

     
     
     
     
     
     
     
     
    Politics
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news