Hon Dr Nick Smith MP
National Party Climate Change Spokesman

24 June 2008

Cynical bid to sway MPs on ETS

MPs will react with cynicism to the report funded by the government-owned Meridian Energy and Mighty River Power companies urging them to quickly pass the emissions trading legislation, says National's Climate Change spokesman Nick Smith.

Dr Smith is commenting on the release of a report today by the New Zealand Business Council for Sustainable Development, funded by the two power companies.

"It is a sign of how desperate Labour has become that it is now using its state owned enterprises to do its political bidding.

"Meridian Energy has advised the Finance and Expenditure Select Committee that it stands to increase in value by $750 million from the emissions trading scheme - and the gain to Mighty River Power is $280 million.

"It's no surprise that these companies and the Government will want to pocket this tidy profit of over $1 billion. Parliament needs to have some consideration for those paying this bill.

"This shonky analysis being touted by former SOE Minister Peter Neilson is sunk by its own conclusion which reads: 'The time available for preparing this report has precluded any robust analysis or even comprehensive review of available information. There would be benefit in undertaking a more comprehensive review of opportunities and benefits associated with a cost of carbon.'

"There is no need to rush this critical legislation when Labour has delayed its implementation for two years.

"National's approach of wanting to take the time to address real problems with the proposed legislation is the responsible way forward."

ENDS

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