The setting of carbon budgets for five year periods would will allow the dairy sector and farmers to plan over the longer term how they will reduce their emissions. However, this is a complex challenge which requires a well thought out approach.
This report provides a good platform to start discussions on what the appropriate framework is for providing certainty and clarity on how the dairy industry and the wider economy will contribute to New Zealand's greenhouse gas reduction targets.
It is important to remember that as a food producing nation New Zealand has a very different greenhouse gas profile to the United Kingdom, where only 8 per cent of emissions are agricultural. As almost half our emissions are from agriculture we face a far greater challenge to meet future targets.
While our dairy sector is one of the most emissions efficient producers in the world, we know more action is required to address our emissions over the longer term.
We launched the Dairy Action Plan for Climate Change in June which, in partnership with the Government and Fonterra, aims to increase education and awareness of mitigation options for farmers, and the Biological Emissions Reference Group which looks to ensure we have the right science in place to look at what can be done to reduce emissions.