The Finance and Expenditure Committee has released its report on the Climate Change (Emissions Trading and Other Matters) Amendment Bill and has recommended that the Bill be passed with very few material amendments. The full report and Bill, as amended, can be accessed here.
The Bill represents the Government’s response to the recommendations of the ETS Review Panel and to international developments. The main objectives of the Government's amendments are:
- •to ensure that the ETS supports the Government’s economic growth priorities more effectively;
- •to ensure that the ETS is flexible enough to cater for various potential international outcomes in the period from 2013 to 2020; and
- •to improve the operation and administration of the ETS.
The Bill has come under fire from opposition parties, with the relevant members of the Committee including Labour, the Greens, and New Zealand First not supporting the Bill's progression. The concern is that the Bill weakens the ETS and does not go far enough in promoting the climate change objectives the ETS was originally designed for.
For further analysis of the Bill, its key amendments, and the corresponding recommendations of the Committee, please see our Climate Change Issues Alert here.