government climate change policy - summary
26 Jan 2005
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The following is a verbatim summary of Government Climate Chagne Policy released by the Climate Change Office.
CLIMATE CHANGE IN NEW ZEALAND
New Zealand is a great place to live, to work, and to bring up our families. To keep it that way we all have a part to play in sustaining our environment.
Nearly all the environmental challenges we face at present also have economic and public health implications. More sustainable use of water, reduction of waste, and improving our efficient use of energy are all essential for creating wealth and quality of life as well as for environmental sustainability.
New Zealand’s low population and limited industrial base means that the pressures on our environment are generally less severe than those in more industrialised nations. However, we need to make progress with these issues if New Zealanders are to have the healthy environment and quality of life they want.
Of all the environmental challenges, climate change is considered to be the most serious facing mankind today.
After years of debate, there is now a strong scientific consensus that, by the end of this century, climatic changes will occur on a scale that will cause serious harm to ecosystems, industries, infrastructure, human health, biosecurity and economies world wide. The impacts in New Zealand are expected to include more frequent extreme weather events such as droughts and floods, warmer average temperatures and significant changes in rainfall patterns.
What is climate change?
A blanket of gases surrounds our planet and makes life on earth possible. The atmospheric blanket is made up of oxygen, nitrogen, water vapour and a small percentage of greenhouse gases. These gases - mainly carbon dioxide, methane and nitrous oxide - have a natural greenhouse effect in that they trap warmth from the sun. Without them, the earth would be too cold to support life.
Over the past 100 years, human use of fossil fuels for energy has significantly increased concentrations of carbon dioxide in the atmosphere. This has caused the earth’s surface to heat up at an unprecedented rate. This global warming has begun to affect the world’s climate. The effects on weather patterns and larger-scale climatic trends are expected to become steadily more pronounced over time.
New Zealand’s Climate Change Office
The New Zealand Climate Change Office was set up in 2003 to coordinate a whole of government approach to this issue. Its goal is to enable New Zealand to manage the risks and opportunities arising from the effects of climate change, and to ensure that New Zealand meets its international obligations and targets.
It aims to do this by:
The Climate Change Office, therefore, is responsible for coordinating the development of climate change policies and legislation, implementing some of these policies, raising public awareness, and providing information and guidance on climate change and climate change issues.
The International Response
Climate change is an international issue requiring an international response. Acting alone New Zealand cannot make a difference, but to do nothing ignores the problem and leaves responsibility to others. The Government ratified the United Nations Framework Convention for Climate Change (UNFCCC) in 1993, and ratified the subsequent Kyoto Protocol in December 2002. While the UNFCCC focuses on voluntary action, the Kyoto Protocol takes the next step and sets country specific, legally binding targets for reducing greenhouse gas emissions.
New Zealand ratified the Kyoto Protocol for the following reasons: -
Under the Kyoto Protocol and therefore in cooperation with other developed nations, New Zealand has committed to taking action to reduce the greenhouse gas emissions that are causing climate change. New Zealand also needs to think ahead to prepare for and adapt to the likely impacts – positive and negative - of climate change. For example, investments in infrastructure in certain river catchments may need to take into account an increasing risk of flooding.
New Zealands Kyoto target is to reduce our greenhouse gas emissions down to the level they were in 1990. If this is not possible, we must take responsibility (pay or purchase emission credits on the world market ) for excess emissions produced in the period 2008 - 2012. At present, our economy and our emissions are growing and this trend has been consistent since 1990.
The Government’s Policy Package
Climate change policy is still evolving as this is a new and complex issue. The government announced its preferred policy package in April 2002 and confirmed its main policies, following extensive consultation, in October 2002. These policies will be reviewed in 2007 and 2010 to ensure that New Zealand can successfully meet its climate change objectives and obligations. These reviews will allow policies to be modified in the light of new technological developments or if new, more effective approaches have been identified.
The current mix of policies and strategies aims to encourage early action and awareness with regard to reducing greenhouse gas emissions and preparing for climate change. To a large degree, current policies focus on promoting efficient energy consumption (including via the use of incentives) and seeking to change or minimise energy-inefficient activities. The policies build on existing government measures with related outcomes including the National Energy Efficiency and Conservation Strategy (NEECS).
One of the key new policies in the government’s mix of measures is for a greenhouse gas emissions charge to be introduced before 2008. This will focus on carbon dioxide emissions and the goal is to create an incentive for a shift to cleaner, low-emission technologies and energy sources.
The 2008 to 2012 emissions charge will not have a major impact on energy prices for domestic consumers. At current international emissions prices of around $15 a tonne of carbon dioxide, it would increase petrol by approximately 3 cents per litre. With a small effort to use energy more wisely, such as keeping car engines maintained and using energy efficient light bulbs, consumers can save this much and offset the impact of the charge.
Most firms will be able to make similar small changes to improve their efficient use of energy and to this end a number of information and assistance schemes have been developed in partnership with the Energy Efficiency and Conservation Authority .
To assist larger, energy-intensive businesses adjust to the emissions charge, a tax offset scheme has been introduced (Negotiated Greenhouse Agreements). Eligible firms can commit to reduce their greenhouse gas emissions in return for a partial or total rebate to offset the cost of the emissions charge.
Firms can also apply for an innovative project programme (Projects to Reduce Emissions or PRE). Under this measure, firms that introduce new projects that lead to real reductions in greenhouse gas emissions, receive emission credits. These credits can be traded on the emerging world market. To date this measure has encouraged new renewable energy projects and seen a number of firms switching the fuel they use to biological sources e.g. wood waste.
Agricultural activities result in emissions of methane (livestock) and nitrous oxide (soils). At present, farmers have few practical options at their disposal to reduce these greenhouse gas emissions. The industry and government, therefore, have signed an agreement to fund research to find innovative solutions through the Pastoral Greenhouse Gas Research Consortium (PGGRC). The Government will take responsibility for any excess agricultural emissions above 1990 levels over the relevant years (known as the “first commitment period” from 2008 to 2012).
Forestry plays a very important part in the New Zealand policy mix. Under the Kyoto Protocol, forestry has value in terms of creating emission credits. These credits recognise forests’ role in absorbing carbon from the atmosphere. Classification of forests as “carbon sinks” in the Protocol was a major victory for New Zealand as many other countries fought to remove them from the equation.
At present, the growth in emissions in the agricultural sector since 1990 can be met by the growth in planted forests in New Zealand during the same period. However, it is must be remembered that forests are not permanent – the carbon sinks develop as the trees grow but are lost once the trees are removed e.g. by harvesting or fire.
Other programmes include Communities for Climate Protection – NZ which recognises that local government has a significant role to play in New Zealand's climate change response. Using a model which has been successful in other countries, it helps councils to measure their current level of greenhouse gas emissions, set targets for emission reductions, and devise action plans for achieving them. Actions can include ways to save energy, enhance public transportation, and reduce landfill emissions. The programme monitors the reductions achieved. Central government is also helping councils and communities prepare for climate change by providing information on expected local impacts, and how to plan for these.
Already a growing number of firms in New Zealand are taking advantage of domestic and international business opportunities in climate change, such as the provision of renewable energy systems, energy efficiency services and technologies. The government is developing policy to encourage further innovation and other opportunities, domestically and in overseas markets.
Further information see www.climatechange.govt.nz and www.4million.org.nz |
