Averaging punishes good, insulates bad

The threat of an emissions tax on farmers is growing:

Livestock farmers could face an initial greenhouse gas emissions tax of $50 million a year rising to $1 billion, Interim Climate Change Committee David Prentice says. . .

The $50m is subsidised by the Government allocating units equivalent to 95% of emissions to the primary sector to help it transition and is calculated on a carbon price of $25 a tonne.

However, the tax might rise to $1b at an indeterminate time in the future.

The figures are in a discussion document delivered to the Agricultural Climate Change Conference in Palmerston North by Prentice. . . 

The document, on the committee’s website, reveals the committee’s thinking on charges farmers will face as the Government moves the economy to be carbon neutral by 2020.

Adding insult to the financial injury is the government’s blanket refusal to allow genetic engineering which could provide at least part of the answer to reduced emissions.

It says an emission tax levied at farm level could be implemented from 2025. In the interim it could be collected by processors from next year. 

That will give certainty to the primary sector, respond to calls for agriculture to meet its emissions’ obligations and raise awareness with farmers who will see the deduction on kill sheets and milk receipts.

This would average the cost.

That would reduce the incentive to take action, punishe farmers who have lower emissions and insulate those with higher ones from the consequences of their actions, or inaction.

Money raised will be used to introduction the policy but also to help rural communities cope with the likely loss of jobs and services such as schools as farming families leave areas when farmland is planted in trees to offset emissions.

The committee is investigating the impact on rural communities. . . 

The committee only needs to look at what happened to rural communities during and after the ag-sag of the 1980s.

Jobs were lost, people moved in search of work, businesses which serviced and supplied farmers failed, adult children left for education or jobs and didn’t return . . .

Add costs to production with an emissions tax, replace stock with trees and there will be a similar impact.

It will have a detrimental economic and social impact, increase the cost of food and won’t do anything for the environment because loss of production here will be replaced by an increase in other countries whose methods are far less efficient than hours.

 

 

 

Rural round-up

Government should use tertiary funding to push Kiwis into primary industries– Sarah Perriam:

Imagine two high school students.

One drops out to work in a factory.

The other finishes school, and now travels the world with chefs and photographers.

They’re both 25 years old, and earning $100,000.

How did they do it? They chose to work in the ‘food’ industry, which has for too long been called a ‘primary’ industry. . . 

Interim climate change committee immediately asked how to deal with agricultural emissions – Henry Cooke:

Climate Change Minister James Shaw has announced the members of a climate change committee and asked them to look at how to get agricultural emissions down.

The interim committee is chaired by David Prentice, who was most recently CEO and managing director of infrastructure firm Opus International Consultants, and features former Parliamentary Commissioner for the Environment Jan Wright.

The interim group will be replaced when an independent Climate Change Commission takes over in May of 2019, when Shaw hopes to pass a Zero Carbon Act, with an amendment at select committee to deal with agriculture. . . 

This is Wilfrid. His Mum didn't like him and kept head butting him against the walls of her pen. We rescued him and he's now a pet lamb. He's a sad and small lamb at the moment but it won't be long before he gets his personality back. pic.twitter.com/k0xWUc79Mg

— Sally Urwin (@PintSizedFarmer) April 16, 2018

MPI committed to efficient Mycoplasma bovis compensation payouts:

The Ministry for Primary Industries (MPI) is committed to helping farmers affected by the cattle disease Mycoplasma bovis receive their due compensation and is working hard to process all current claims.

MPI’s director of response, Geoff Gwyn says MPI has not yet received compensation claims relating to its decision to direct the cull of some 22,000 cattle on infected properties, which MPI announced last month.

“However, we are aware some farmers are nervous about compensation timeframes and I would like to provide reassurance that we are running as fast and efficient a process as possible. . . 

$35,000 paid for Holstein calf – Sally Rae:

A six-week-old heifer calf from North Otago’s Busybrook Holsteins is believed to have set a New Zealand record, selling for $35,000.

The Bayne family held an on-farm “gold label” sale near Duntroon on Friday. The offering included both North American genetics and high-indexing New Zealand-bred cows.

The sale comprised calves, heifers and in-milk cows, with 45 lots sold in total – averaging more than $6700 and grossing $303,200. Buyers came from Northland to Southland, PGG Wrightson agent Andrew Reyland said. . . 

Providing insight into primary industries – Sally Rae:

She calls herself a multipotentialite.

Primary industries advocate Chanelle O’Sullivan wears a lot of hats and there is so much more to her than her Instagram handle, Just A Farmer’s Wife, would lead you to believe.

Indeed, she is a farmer’s wife, but she is also the mother of two energetic young children, an entrepreneur, a social media specialist, a futurist and someone with a never-ending source of ideas.

“Wherever I see anything, I see an opportunity,” she said.

Now she is getting excited about her latest venture — a business that combines her passion for the primary industries and technology to highlight New Zealand’s produce, careers, environment and skills. . .

Seeing trees for the wood :

The forestry sector is fired up with discussion about how to meet the Government’s One Billion Trees planting initiative. Partnering with red meat farmers to help them achieve what they want to achieve with trees in their businesses will be important to persuade any change of land-use, those attending a recent conference heard.

Delegates from throughout the forestry sector were in Wellington last month at ForestWood 2018 (21 March), a pan-sector conference drawing people from forestry companies to wood and paper manufacturers. . . 

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