Govt’s Emissions Trading Scheme Legislation Runs Into Trouble
May 14th, 2008
• Little Parliamentary time left.
• Smaller parties wavering.
• Govt already backpedalling.
The Govt is suffering a backlash from watering down the key element of its climate change policy, the emissions trading scheme, and now it is running out of time to push through major legislation before the election, including its Bill to implement the ETS. With fewer than 37 sitting days left before Parliament is likely to dissolve for the election, the Labour-led coalition still has about 70 Bills to push through, not counting several related to the forthcoming budget.
Passage of the ETS before the election could be at risk not only because small parties are threatening to pull their support, but because of controversy over the Select Committee process. Labour does not have a majority on the Committee, so parties dissatisfied with the way the Bill is being handled could move to extend the deadline for the report back.
This would give the Select Committee time to look at the Govt’s proposed amendments to delay the introduction of fuels into the scheme from 2009 to 2011, and to give export industries five more years of free emission allocations. Several of the minor parties which normally support the Govt’s legislation have qualms about the ETS Bill, and the Maori Party is also equivocating. The carbon emissions trading scheme has been a high priority for the Govt, and Cabinet is yet to determine what other Bills will get priority in the House before the election. The Govt wants the Select Committee considering the ETS Bill to report back by June 11, and the Committee has been having some long sessions to meet the deadline. Last week it met in Auckland and Wellington to consider submissions, with many submitters complaining to Committee Chairman Charles Chauvel the time given to hear submissions was far too short.
In Auckland the committee allocated an average of 12 minutes to those making submissions. The Bill lays out a 20-year plan touching every part of NZ life in an attempt to tackle global warming. Senior National MP Dr Lockwood Smith told NZPA he believes the Select Committee process “is one of the worst I have seen.” The Opposition has argued there is insufficient time to hear the evidence properly.
Last week the Govt announced it no longer intended transport fuel to be included in the ETS until 2011, two years later than in the Bill, and it also said some major polluters would get an extension to the date from which they would have to accept the costs of their pollution. Smith says this came as news to the Committee and the changes have flow-on effects to submissions already made. “You would think the Committee would get more time to look at it and people would be able to make submissions on the changes.”
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