Agriculture emissions pricing deadline extended by a month

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The Government has agreed to extend the timeframe for consultation and recommendations on agricultural emissions pricing options.

Consultation will now close in late March and industry partnership He Waka Eke Noa will report its recommendations to Ministers by May 31, rather than April 30.

The extension was requested by the partnership after New Zealand moved to the red traffic light setting of the Covid-19 Protection Framework.

He Waka Eke Noa programme director Kelly Forster said Minister of Agriculture Damien O'Connor and Minister for Climate Change James Shaw understood the need for more time to discuss the options, to allow for additional meetings of smaller audiences while noting the timetable was already tight.

The current legislation requires agriculture to be included in the New Zealand Emissions Trading Scheme (ETS) by January 1, 2025, unless an alternative is agreed upon and implemented before that date.

The Government will consider the He Waka Eke Noa recommendations and consult the wider public later this year, before making a final decision in December on a pricing system for agricultural emissions.

If an alternative to the ETS is agreed on, then new legislation would need to be drafted and passed and the scheme set up by January 1, 2025.

Meetings with farmers are continuing during the red traffic light setting, with restrictions on numbers attending and key health and safety measures in place.

There will also be more online opportunities for farmers, growers and others in the primary sector to discuss the options and give feedback.