More Treaty deals because of emissions trading?

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More Treaty deals because of emissions trading?

Reports that an emissions trading scheme could spark a new round of Treaty compensations show there’s a need for more work on the Emissions Trading Bill, says Business NZ.

This week the Press reported that a Christchurch valuation company had made an assessment to Government of the loss of value in Maori-owned forestry land resulting from the proposed emissions trading scheme.

The amount has not been disclosed, but the Federation of Maori Authorities says preventing Maori forest owners from changing land use would be a breach of the Treaty and could require compensation of $2 billion.

Business NZ says it shows the need to consider the emissions trading legislation very carefully.

Chief Executive Phil O’Reilly says many sectors of society stand to be disadvantaged by an emissions trading scheme, not just Maori.

“For example, New Zealand business is concerned at becoming uncompetitive if our scheme does not have the same protections that other countries are planning. And New Zealand consumers generally will have to face higher petrol and electricity prices arising from an emissions trading scheme. Emissions trading compensation should apply to all affected sectors, not just some.”

Mr O’Reilly said the numerous loose ends that were becoming apparent showed the legislation was not ready to be passed.

“The public of New Zealand should have a chance to have their say on the Bill as it now stands, with all recent amendments.

“This Bill will have a huge impact on the economy and should not be forced through without adequate consultation.”