Revised Emissions Trading Scheme is an Improvement

Revised Emissions Trading Scheme is an Improvement

The government’s revised Emissions Trading Scheme is a good improvement on the original proposal but it is still a complicated scheme with a number of issues to be addressed according to the Wellington Regional Chamber of Commerce.

“We will study the scheme in more detail but at first glance it looks to be easier on business and consumers than the previous scheme,” said Chamber CEO, Charles Finny.

“There are a number of issues which will need to be dealt with and we look forward to working with the select committee on these.

“The Chamber’s position is to support New Zealand doing its bit to reduce emissions, as long as it does not jeopardise the economy in the process.

“We have consistently argued a carbon tax is preferable to an emissions trading Scheme. It would be a simpler and more efficient way of pricing carbon than what is proposed. However, there are some positives with the revised scheme.

“The closer alignment with Australia’s approach is a good thing. It is important to realise that while this scheme is more affordable than the original one, it will only be effective if it is aligned to what our trading partners are doing.

“If we move ahead of other countries, emission-producing economic activity would simply relocate overseas - often to countries with lower standards meaning global emissions would increase. It is essential that we do not jeopardise the economy by moving ahead of our major trading partners.

“We look forward to working with the government, the select committee and other parties in parliament to improve the proposed scheme,” Mr Finny concluded.

ENDS

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