He Waka Eke Noa emissions pricing consultation | Beef + Lamb New Zealand

He Waka Eke Noa emissions pricing consultation

The He Waka Eke Noa partners – including B+LNZ – have developed two emissions pricing options as alternatives to bringing agriculture into the Emissions Trading Scheme (ETS). This page sets out what’s happening and links to relevant resources.

View DairyNZ, B+LNZ and Federated Farmers February roadshow dates and locations

What are we doing?

In 2019, following the passage of the Zero Carbon Act the Government consulted on bringing agriculture into the Emissions Trading Scheme (ETS). The agricultural sector, working together, convinced the Government not to do this and to work with the sector and iwi on an alternative approach for managing our emissions – through the He Waka Eke Noa partnership – with a view to introducing the framework in 2025.  

However, the Government made it clear that if we did not meet certain milestones, it would bring agriculture immediately into the ETS. There is already legislation in place that would allow it to do this – the ‘ETS backstop’.   

The partnership needs to provide advice to the Government by the end of April 2022 on an alternative framework.    

Learn more about He Waka Eke Noa.

What has been released?

The partners in He Waka Eke Noa (including the Government) have developed two alternative options to the ETS.

A high-level explanation of these options has been released, along with an outline of what the ETS backstop would look like. Farmers have also been mailed a joint DairyNZ/B+LNZ summary of the options – you can access an online copy of this here (PDF, 3.7MB).

Information is being made available now, so you have time to understand what’s being considered, how the options work and how they compare. There will be a full formal consultation process in February where you can provide feedback (more detailed information will be released in late January ahead of this). 

What are we trying to achieve? 

B+LNZ has worked to try and come up with a better system for agriculture that seeks to fairly treat different types of farming systems and the different stages of farmers in their development, as well as working for other sectors. We have been part of this process with other agricultural organisations, including DairyNZ and Federated Farmers, and the Government and iwi.

Our key priorities have been: 

  • de-linking the methane price from the carbon price (to reflect the separate greenhouse gas targets in the Zero Carbon Act)
  • getting more recognition of the sequestration happening on farms than currently under the ETS
  • the ability for farmers to be recognised for progress on reducing their warming impact, and
  • money raised being invested back to agricultural research or on-farm changes that reduce emissions.

Our vision is to establish a framework that is separate for agricultural emissions from the ETS and which can be evolved and improved over time.  

While they’re not perfect, we believe the alternative emissions pricing options have advantages over the ETS for sheep, beef and dairy farmers. We believe they provide farmers with a lot more control and options to reduce the costs they face over time, either through getting their on-farm actions recognised or through better recognition of their sequestration. 

The proposals are a starting point and will evolve as science, measurement and technology allow more accurate recognition of what’s happening on individual farms. 

How does this process relate to the methane reduction targets? 

New Zealand is the only country into the world to have taken a split gas approach to methane emissions, through the Zero Carbon Act. B+LNZ does not agree that the methane targets in the Act are justified based on the science around methane’s impact on warming.  

However we can’t change the targets through He Waka Eke Noa and this is a separate process. There will be a review of the targets in 2024 and we are committed to working with Federated Farmers, DairyNZ and others to get the targets reviewed using the latest science. 

Our overall vision is to come up with an agricultural specific framework through He Waka Eke Noa and get the methane targets successfully reviewed in 2024, so that by 2025 when the He Waka Eke Noa framework comes into effect we have the fundamental building blocks in place for a fair system for agriculture. 

It’s important to note that if we’re unable to reach agreement on a pricing framework and agriculture goes into the ETS, in effect we will have lost the split gas outcome and it won’t matter what the targets are as the methane price will simply be linked to a rapidly-increasing carbon price.  

Next steps

February 2022: All farmers will have a chance to have their say on the pricing options, through a formal engagement process – B+LNZ, DairyNZ and Federated Farmers will be running a roadshow around New Zealand (see below for dates and locations) to get farmer feedback and answer questions and there will also be an opportunity to provide feedback online.

April 2022: Farmer feedback will inform the recommendations He Waka Eke Noa partners provide to the Government about pricing. The Government will consider this advice and farmers will then likely get a further opportunity to provide feedback on pricing as part of further public consultation before the final framework is put in place in 2025.

February roadshow dates and locations

Please note: events may be subject to COVID-19 requirements and could change.

Register for an event near you here

Taranaki

New Plymouth 1 February 2022, 12.30–2.30pm Plymouth International, 220 Courtenay Street, New Plymouth
Hawera 3 February 2022, 10.30am–12.30pm TSB Hub, Camberwell Road, Hawera

Manawatu

Palmerston North 1 February 2022, 10.30am–12.30pm Awapuni Racecourse, Silks Lounge, 67 Racecourse Road, Palmerston North
Whanganui 4 February 2022, 10.30am–12.30pm Concert Chamber, Whanganui War Memorial Centre, Watt Street, Whanganui
Dannevirke (NEW) 9 February 2022, 1–3pm Dannevirke Services and Citizens Club, 1 Princess Street, Dannevirke

Wairarapa

Masterton 4 February 2022, 10.30am–12.30pm Copthorne Solway Park, High Street, Masterton

Waikato/Hamilton

Pokeno/Te Kauwhata 8 February 2022, 10.30am–12.30pm Kauwhata Rugby Club, The Domain, Mahi Road, Te Kauwhata
Te Kuiti (NEW) 9 February 2022, 2.30–4.30pm Les Munro Centre, 8 King Street East, Te Kuiti
Te Awamutu 10 February 2022, 10.30am–12.30pm Te Awamutu Bible Chapel, 110 Chapel Drive, Te Awamutu
Morrinsville 11 February 2022, 10.30am–12.30pm Morrinsville Rotary Community Centre Hall (previously Senior Citizens Hall), 45 Canada Street, Morrinsville

Bay of Plenty

Rotorua 10 February 2022, 10.30am–12.30pm Te Puna Aroha room  Holiday Inn Rotorua, 10 Tryon Street, Whakarewarewa, Rotorua
Edgecumbe 11 February 2022, 10.30am–12.30pm Edgecumbe War Memorial Hall, 2 Kauri Street, Edgecumbe

Northland

Whangārei 8 February 2022, 12.30–2.30pm Kamo Golf Club, Meldrum Street, Kamo, Whangārei
Wellsford (NEW) 8 February 2022, 4–6pm Wellsford Memorial RSA, 1 Olympus Road, Wellsford

Hawke’s Bay

Napier 28 February 2022, 11.30am–2pm Napier Memorial Conference Centre 48 Marine Parade, Napier

East Coast

Gisborne 28 February 2022, 7–9pm Emerald Hotel 13 Gladstone Road, Gisborne

Otago

Milton 17 February 2022, 12.30–2.30pm Toko Rugby Club, Union Street, Milton
Alexandra 18 February 2022, 10.30am–12.30pm Cellar Door Alexandra, 143 Centennial Avenue, Alexandra
Oamaru 25 February 2022, 10.30am–12.30pm Oamaru Opera House, 94 Thames Street, Oamaru

Tasman

Nelson/Richmond 22 February 2022, 12.30–2.30pm Saxtons – Netball Pavilion, 142 Saxton Road East, Stoke

Marlborough

Blenheim 23 February 2022, 10.30am–12.30pm Clubs of Marlborough, 42 Alfred Street, Blenheim

Southland

Winton 17 February 2022, 12.30–2.30pm Winton Salvation Army Community Centre, 7 deJoux Road, Winton
Gore 18 February 2022, 10.30am–12.30pm Gore Districts RSA, 12 Bowler Avenue, Gore

Canterbury

Kaikoura (NEW) 21 February 2022, 7–9pm Kaikoura
Rakaia Gorge (NEW) 21 February 2022, 12.30–2.30pm 546 High Peak Road, RD2, Darfield
Amberley 22 February 2022, 12.30–2.30pm Amberely Pavillion, Douglas Road, Amberley
Ashburton 23 February 2022, 10.30am–12.30pm Ashburton Trust Events Centre, 211 Wills Street, Ashburton
Timaru 24 February 2022, 10.30am–12.30pm Caroline Bay Hall  – Caroline Bay Timaru
Twizel (NEW) 24 February 2022, 4–6pm Twizel Events Centre, Market Place, Twizel

West Coast

Westport 24 February 2022, 12–2pm NBS Theatre, 105 Palmerston Street, Westport
Hokitika 25 February 2022, 10.30am–12.30pm Regent Theatre Hokitika, 23 Weld Street, Hokitika

Webinars (NEW)

Online webinar 3 February 2022, 7-8.30pm
Online webinar 10 February 2022, 7–8.30pm
Online webinar 17 February 2022, 7–8.30pm
Online webinar 24 February 2022, 7–8.30pm

Key resources

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