New Zealand postpones agricultural emission levy

This was announced by Damien O'Connor, the New Zealand Minister of Agriculture, after a consultation with agricultural representatives. Initially, the intention was that farmers as dairy farmers would start registering and paying for methane, ammonia and CO1 emissions from January 2024, 2. After consultation with the agricultural sector, mandatory registration has been postponed until the fourth quarter of 2024. Payments for emissions must be made from the fourth quarter of 2025.

The rules will also be adjusted so that farmers can compensate for emissions by building green areas and shrubs/trees, in order to capture more CO2. A total of almost NZ$370 million has been allocated to the transition plan. That is the equivalent of €200 million.

Tone-deaf government
Although farmers have been consulted about the government plan, Wayne Langford, chairman of the Federated Farmers, has not had a good word to say about the government plans in various media. “Our farmers are having a hard enough time keeping their heads above water. If this plan is implemented, we expect sheep and beef production to fall by 20% and milk production to fall by 5%. last thing our country needs in the current economic climate. It is therefore not a plan that Federated Farmers will ever support, but the government continues in a tone-deaf manner."

Climate Minister James Shaw, who is also co-chairman of the Green party, believes that the government is not going far enough. Still, he can live with a little more time for the farmers to adapt, if the plan goes ahead.