Emissions Trading Scheme Review Committee

Background

Immediately after the New Zealand general election, 2008, the new National-led government announced that, in accordance with its coalition agreement with the ACT Party, it would delay implementation of the New Zealand Emissions Trading Scheme ("NZ ETS") as established by the Labour Government in the Climate Change Response (Emissions Trading) Amendment Act 2008 and set up the Emissions Trading Scheme Review Committee to review the NZ ETS.{{cite news

Terms of reference

The National-ACT coalition agreement mentioned reviewing the emissions trading scheme and possible alternatives to it, as well as "hear[ing] competing views on the scientific aspects of climate change" and considering whether responding to climate change is economically worthwhile.{{cite web |url-status = dead

However, the final terms of reference, released on 9 December 2008,{{cite web

Report of the Select Committee

On 31 August 2009, the Emissions Trading Scheme Review Committee reported back to Parliament, with Climate Change Issues Minister Nick Smith stating that the National-led Government was still intending to amend the NZ ETS. The report consisted of minority reports from the New Zealand Labour Party, the Green Party, the Māori Party and the ACT Party.{{cite web

According to NZ Law firm Simpson Grierson, although the review report made 34 recommendations on climate change policy, it did not make any specific recommendations to amend either the NZ ETS or the Climate Change Response Act 2002. Simpson Grierson considered that the key findings of the review were that:{{cite web |url-status=dead

• the IPCC Fourth Assessment Report represents a consensus on scientific evidence, and should underpin New Zealand's policy.
• the ETS should be the primary economic mechanism to respond to climate change.
• the ETS should cover all sectors and all gases
• at the December 2009 Copenhagen Climate Conference New Zealand should seek an agreement that reflects New Zealand's willingness to do its fair share and play its part in setting the stage for further multilateral action for the post-2012 period.

Rod Oram described the recommendations made by the report as "obvious, indecisive or generic". Oram considered that the politics of the review were to provide a "sop to the ACT party and a time-waster for National". Oram concluded that the review had 'failed to make any serious contribution towards improving the working of the ETS'.

On 14 September 2009, the National Government announced that it had reached an agreement with the Māori Party about revisions to the NZ ETS.{{cite press release

References

References

1. [[Nick Smith (New Zealand politician). Nick Smith]], Minister for Climate Change Issues, [http://www.beehive.govt.nz/release/govt+welcomes+ets+review+committee+report Govt welcomes ETS Review Committee report], 31 August 2009, retrieved 15 September 2009, New Zealand Government Media Release.
2. NZPA. (31 August 2009). "Report on emissions trading scheme review released". 3 News.
3. (7 December 2009). "Climate Change Response (Moderated Emissions Trading) Amendment Bill". New Zealand Parliament.