We have posted in the past about the alignment between the Business Council for Sustainable Development and the Labour led Government on emissions trading. New suggested of vested interests hijacking the process are reported today on page 4 of today's National Business Review. This article carries suggestions that NZX CEO Mark Weldon might be pushing his own interests with regard to the types of credits that might be tradeable under the New Zealand scheme. Specifically it seems that Weldon does not want cheap credits created by the downturn in the former Soviet Union economies to be accepted in New Zealand, even though these credits would greatly reduce the cost of complying with the new scheme for New Zealand business. The Hive understands that Weldon's plan has been opposed by Peter Neilson and Suzi Kerr from Motu, and have been subject to criticism from Business New Zealand's Phil O'Reilly.
The Hive can see where Weldon is coming from in terms of reputation for a carbon exchange, however, we do not believe that this should be the determinant of the policy direction that is followed. Surely the key to solving this GLOBAL problem is to get countries such as China, India and the US to sign up to binding commitments to control emissions. If it is, failing to accept credits that Russia and other economies have legitimate rights to sell would be sending all the wrong signals. And then there is the cost to New Zealand business angle. Should the interests of the overall economy be overridden by the interests of the NXZ? We think not.
