“This includes a farm-level levy and a split-gas approach that prices biogenic methane separately – recognising that its warming impact differs from that of long-lived gases, such as carbon dioxide.
“It is still proposed that any revenue generated through emissions pricing will be reinvested back into the sector to support R&D and incentivise action on-farm, that will reduce emissions – this is significant for farmers too.”
However, DairyNZ strongly disagrees with some of the changes made to limit the recognition and reward farmers will get for their on-farm planting, by removing classes of sequestration like shelterbelts, woodlots and scattered trees.
DairyNZ is also disappointed the Government has removed the ability for farmers to form collectives to work together to report, reduce or offset their emissions – a key mechanism that would drive the change that is needed.
“These are material changes that will be of real concern to most farmers, and we will be raising them directly with the Government on farmers behalf over the coming weeks,” said Mr van der Poel.