Aluminium & forestry businesses seek Negotiated Greenhouse Agreements
The Government will enter negotiations for Negotiated Greenhouse Agreements with New Zealand Aluminium Smelters Limited
and some of Carter Holt Harvey's key manufacturing operations.
Negotiated Greenhouse Agreements (NGAs) are a key element of New Zealand's climate change policy.
An NGA is a binding agreement between a firm and the Government that commits the firm to moving towards world's best
practice in managing greenhouse gas emissions. In return, the Government provides a full or partial exemption for the
firm from the emissions charge that is to be introduced by 2008. NGAs are limited to firms or industries whose
international competitiveness would be at risk from an emissions charge.
In 2003, the Government signed New Zealand’s first NGA with the New Zealand Refining Company, which runs New Zealand's
only oil refinery. In November, it announced agreements to negotiate with ACI Glass Packaging, paper mill operator
Norske Skog Tasman and mining companies Newmont Waihi and GRD Macraes.
Mr Hodgson said the negotiations were a significant step in the implementation of climate change policy, which is
designed to enable New Zealand to meet its obligations under the Kyoto Protocol. "NGAs will constrain greenhouse gas
emissions while protecting the international competitiveness of New Zealand businesses. They encourage businesses to
pursue the economic and environmental advantages of best practice in emissions management." The New Zealand Climate
Change Office at the Ministry for the Environment takes applications from firms seeking NGAs and assesses their
eligibility and priority. It has further applications under assessment.
Carter Holt Harvey
Carter Holt Harvey (www.chh.com) is a wood fibre processing company with significant interests in wood products,
packaging, tissue, forests and pulp and paper. The company employs 10,500 people directly and has a head office in
Auckland. Its manufacturing operations related to the NGA are: Pulp and Paper, producing kraft market pulp and
linerboard at the Kinleith and Tasman mills, recycled medium paper at Penrose and cartonboard at Whakatane. Tissue,
producing soft paper products at Swanson, Te Rapa and Kawerau.
Reconstituted wood panels, manufacturing particleboard, fibreboard and mouldings at Rangiora and Kopu.
Plywood, manufacturing a range of plywood products at Tokoroa.
New Zealand Aluminium Smelters Limited
New Zealand Aluminium Smelters Limited (NZAS) operates New Zealand’s only primary aluminium smelter at Tiwai Point. NZAS
is a joint venture owned by Comalco Limited (79.36 per cent) and Sumitomo Chemical Co. Ltd (20.64%). NZAS produces
334,000 tonnes of aluminium per year.