The Government should spend more money on reducing New Zealand's carbon emissions rather than paying it to other countries in the future in the form of carbon credits, Green Party co-leader Jeanette Fitzsimons said today.
New Zealand is a signatory to the Kyoto Protocol which designates a target for the
country's carbon emissions from 2008 through to the end of 2012.
If it exceeds its target then it will have to buy internationally tradeable carbon credits from countries that have undershot their target.
Based on projections for our emissions and level of forest cover, Treasury puts that potential cost at $522 million over the five-year period.
But some commentators say the cost -- which is also dependent on the exchange rate and price of credits -- could as much as double.
Ms Fitzsimons said today New Zealand would be far better off pouring the money into initiatives to reduce emissions and boost forest cover rather than paying the money to another country.
"Kyoto never envisaged that a whole lot of people would give each other money in 2012. That's only the fall back position if countries fail to take action," she said on National Radio.
"We've still got time to change that number."
While New Zealand would struggle to meet its target, urgent action could ensure it came close.
"What we're saying is let's spend that money in New Zealand now for the benefit of New Zealanders to help reduce emissions and not have to give the money to Russia in 2012."
She said the Government could also reduce the cost of exceeding its target by buying some carbon credits now before their price rose.
National environment spokesman Nick Smith told National Radio the Government should consider withdrawing from the Kyoto Protocol.
He said the agreement came with a huge price tag, which would not actually reduce emissions in any way.
- NZPA
