Emissions Trading Scheme: Big Cost, No Benefit

The Cawthron Institute's report on the Emissions Trading Scheme fuels the need for both Labour and National to re-think New Zealand's response to the Kyoto Protocol, ACT Leader Rodney Hide said today.

"The cost to New Zealand families of New Zealand's Kyoto commitments is huge, and the ETS will have a severe impact on the country's economy for no discernible benefit," Mr Hide said.

"Treasury's low estimate for New Zealand's Kyoto commitments post-2012 is $1.3 billion per year - or $1,000 per household annually. The ETS will hike the cost of everything to hardworking New Zealanders, render our businesses uncompetitive and put even more stress on already burdened Kiwi families.

"Along with the National Party, ACT opposes the proposed regional fuel tax - but the added cost that this tax will place on New Zealanders, as high as it is, is small beer compared to the costs that the ETS will impose.

"ACT was the only Party to vote against the ETS on its introduction. It is time for all Parties to re-consider the cost that the ETS and New Zealand's commitment to Kyoto is going to have on New Zealand. We need to be smart green to achieve good environmental and economic outcomes - not have the mindless policy we have now," Mr Hide said.