The New Zealand government on Thursday ruled out further delays to the start of the Emissions Trading Scheme (ETS) for high-polluting sectors of the economy.
Businesses were putting pressure on the New Zealand government to again postpone the introduction of the Scheme to the energy, transport and industrial sectors on July 1.
If key trading partners have not made significant progress by next year, it is likely the 2013 date for the full scheme to take effect, will be pushed out, China’s Xinhua news agency quoted New Zealand Climate Change Minister Nick Smith as saying to Radio New Zealand on Thursday.
However, Smith added that there will be no changes until then because the system has just begun to encourage the new forestry planting which the country needs urgently.
He said New Zealand must take a soft first step into emissions trading now to begin its long term approach to climate change.
It is only a 50 percent obligation starting on July 1 and there is a carbon price cap, so the cost will not be excessive to businesses, Smith said.
New Zealand’s ETS legislation allows for a formal review of the scheme in 2011 and a increase in obligations from Jan 1, 2013.
At that time, the New Zealand government would look at international progress, especially in Australia, the United States, Japan and Europe, Smith said.
An average New Zealand family could expect an 165 NZ dollars (US$116) annual increase in expenses from July, he said.
