Carter Creating Confusion On ETS

John Boscawen MP, ACT New Zealand
Press Release Thursday, May 27 2010.

ACT New Zealand Climate Change Spokesman John Boscawen today called on Agriculture Minister David Carter to come clean on the true costs of the emissions trading scheme to farmers.

"Yesterday on Radio New Zealand Mr Carter told listeners that ‘at this stage you should not assume that agriculture will necessarily be included unless we see the rest of the world making its contribution to climate change.’  Yet today in the house he contradicted that statement by stating that ‘deferral is now simply not an option’," Mr Boscawen said.

"So which is it?  Is the ETS set in stone and unable to be changed or is it fluid as you said yesterday, Mr Carter?

"Today he contradicted himself further.  In the same interview yesterday, Minister Carter said that he accepted Meat & Wool NZ’s estimated costs of the ETS on farmers.  These figures are quite clear - from July 1 2010, dairy farmers will face a cost of $3,900 per annum, or 3c/kg of milk solids, rising to $10,200 per annum, or 7c/kg from 2015.

"But in the house today, Minister Carter reaffirmed his statement, made to the DairyNZ Forum on May 5 that the ETS will only cost dairy farmers 2.5 cents per kilogram of milk solids in 2015.  This figure significantly understates the true cost to farmers in 2015 on the basis of current policy.

"How can farmers have any confidence in the Minister of Agriculture when he is creating so much confusion about the true cost of the ETS, when clarity rather than confusion is required?" Mr Boscawen said.