Govt strikes deal with Maori Party on ETS bill

Published: 3:56PM Monday November 23, 2009 Source: NZPA/ONE News

  • Print this article
  • Text size + -

After years of debate New Zealand is set to have a working emissions trading scheme (ETS) in 2010.

The centrepiece of climate change policy will come into force after National and the Maori Party reached a deal to amend the existing ETS put in place by the outgoing Labour government.

The original ETS was put on hold by National and the amendments water down parts of it while delaying the full cost of emissions faced by many industries, but Climate Change Minister Nick Smith said it was an "important first step".

Smith says that without the deal the ETS would have been put on hold until 2011.

The deal makes little difference to the design of the ETS as put forward by National earlier this year. Howeverm, it does soften the blow for sectors and groups with large Maori representation.

The key components of the deal mean that:

- Another $24 million will be spent on insulating the homes of 8000 low income people.
- A Treaty of Waitangi clause will be inserted in the ETS legislation giving the Crown the obligation to consult Maori on ETS regulations.
- Iwi who felt the ETS unfairly undermined their treaty settlements will get the rights to plant 35,000 hectares of crown land and claim the carbon credits worth an estimated $25 million to $50 million.
- A tree planting incentive policy will be reviewed.

Included in the deal, but already announced by National was a softening in the price increases on fuel and power bills, as well as more carbon credits for the fishing industry.

Prime Minister John Key says the ETS would balance economic opportunity with environmental responsibility.

Ngai Tahu had been pushing for changes to the rules which punish owners of pre-1990 forests if they cut down trees and don't replace them on the same land.

Foresters want to be able to plant elsewhere to offset the loss of trees, Smith said this was not possible without a change to international rules which the Government is pushing for.

He said allowing Ngai Tahu and others to use crown land was an "elegant" compromise which removed the threat of litigation from the iwi.

Others would be able to plant permanent forests on crown land, but they would have to share the carbon credits that accumulated.

Maori Party co-leader Pita Sharples says the deal and the ETS would benefit all New Zealanders.

He says the amended bill would be passed in Parliament this week with the support of the Maori Party and Peter Dunne.

As part of the deal, five iwi will be given rights to plant trees rent free on about 35,000  hectares of DoC land and then reap the benefit of the carbon credits.

The deal involves Ngai Tahu, Tuwharetoa, Ngati Awa, Waikato Tainui and Te Uri O Hau.
 
National says it's a Treaty requirement rather than preferential treatment for Maori. 

"In their settlement it specifically said that the Crown had an obligation before the lands were selected any material information that would adversely affect the value of those lands," says Smith.

There appeared to be little hope of any cross-party accord on climate change in the near future  with Labour leader Phil Goff slamming the ETS.

"Today's quick and dirty deal with the Maori Party lumps taxpayers with a $110 billion bill allowing big polluters to continue polluting,"  Goff says.

The government has disputed the $110 billion figure saying it was a long term number dependent on many highly variable factors, they also say it is not a cost but forgone revenue from  polluters.

Goff also says Key was using the threat of legal action as a smokescreen to justify the deal, as there was a legal opinion that the iwi had no chance in court.

"Mr Key needs to explain to New Zealanders why he's making these concessions which give preferential treatment to Maori companies which other forestry companies do not get from the Government," Goff says.

"Let's be clear this deal will not benefit Maori as a whole, it is a deal done with a handful of iwi to guarantee Maori Party support for National's shambles of an ETS."

Political parties would be briefed on the deal and the ETS amendments on Tuesday.

Once the law was passed detailed regulations would be drawn up and the ETS would start working in July next year.

The ETS will eventually bring all sectors of the economy under a regime designed to reduce greenhouse gas emissions through a carbon trading scheme.

  • Print this article
  • Text size + -
  • more...

Politics News Video

Advertising

How do you want your news?

  • Mobile Devices

    TVNZ is available on mobile phones: Text TVNZ to 8869.

  • News Feeds

    See when TVNZ have added new content. You can get the latest headlines anywhere.

  • Podcasts

    Enjoy TVNZ on the move - a wide range of programmes and highlights are available.