Warning

 

Close

Confirm Action

Are you sure you wish to do this?

Confirm Cancel
BCM
User Panel

Site Notices
Posted: 6/19/2003 10:06:21 PM EDT
[url]http://www.nzherald.co.nz/storydisplay.cfm?storyID=3508451&thesection=news&thesubsection=general[/url]

Livestock burp tax sticks in throats

20.06.2003
By LIAM DANN primary industries editor

Farmers will be taxed on the flatulence of their livestock in a bid to reduce New Zealand's contribution to global warming.

The levy could cost a typical family farmer up to $300 a year. Larger corporate farmers could pay up to $10,000.

Sheep will be levied at 9c each and cows at up to 72c under the Government's proposals.

Deer and goat farmers will also be taxed.

The money will be used for research on meeting New Zealand's Kyoto Protocol commitment to lower greenhouse gas emissions.

The new Agriculture Emissions Research body will be financed by sheep, cattle, deer and goat farmers and will cost $8.4 million a year.

The levy, expected to be in place by the middle of next year, has infuriated farming organisations.

"That's overkill," said Meat New Zealand chairman Jeff Grant.

"This is a public good rather than an industry good. It should be funded by the Government, not farmers."

Livestock accounts for about half of New Zealand's greenhouse gas emissions.

The emissions are caused by the complex process of digesting grass, and are belched into the air.

Mr Grant said the levy was bad news at the worst possible time for farmers already hit by a high dollar, low commodity prices and drought.

The industry was already paying for its own research through the Pastoral Greenhouse Gas Research Consortium, he said.

The consortium, less than a year old, is made up of representatives from Fonterra, AgResearch, Wrightson, DeerResearch and Meat New Zealand.

The participants are investing $800,000 a year in emission research. The Government has supported the group by matching its investment, taking its total funding to $1.6 million.

Chairman Mark Leslie said the levy was "a real kick in the teeth for the consortium".

The new Government recommendations mirrored those from the consortium, he said.

"The Government is telling the industry consortium that 'It is too little too late' after giving us less than a year to prove ourselves."

Mr Leslie said throwing money at the issue would not necessarily speed things.

Time was needed to train skilled researchers and to understand how the digestion process worked.

Agriculture Minister Jim Sutton said agriculture had been exempted from emission charges in the climate change policy, but was expected to meet the costs of research.

The Government will introduce an emissions tax for other industries in 2007.

Federated Farmers president Tom Lambie said the levy disadvantaged farmers struggling to compete in the world markets.

"As far as I'm aware, we're the only country in the world to impose a levy like this."

Farmers will have until July 31 to voice their concerns, although the Government says consultation will be about how the levy is paid, not whether it will be paid.

It has decided against a levy on pig and poultry farms, as these produce less than 1 per cent of agricultural emissions.

Flatulence tax

How much: $8.4 million a year, or $300 for a typical farmer

What it means: A cost of 9c a year for every sheep and 54c to 72c for every beef and dairy cow in the country.

When: The levy is expected to be in place by the middle of next year.

Why: Livestock generates about half New Zealand's greenhouse gas emissions.

How: Animals expel belch greenhouse gases as they digest grass.
Link Posted: 6/19/2003 10:16:05 PM EDT
[#1]
Really... is this what civilized society is reduced to?  


Ooops... looks like I gotta pay a little tax myself!
Link Posted: 6/20/2003 6:17:45 AM EDT
[#2]
That sounds like something that you'd see on Saturday Night Live...

WTF are people thinking?  Next we'll be taxed for our farts.

72 cents each time!

Link Posted: 6/20/2003 6:21:31 AM EDT
[#3]
Do you still wonder why Bush didnt sign the Kyoto Treaty?
Link Posted: 6/20/2003 6:30:00 AM EDT
[#4]
[b]Farmers, business unhappy over Kyoto signing[/b]

10.12.2002 4.01 pm

Farmers and business will lose out because of the Government's decision to sign the Kyoto Protocol on climate change, lobby groups said today.

This afternoon, Prime Minister Helen Clark will sign New Zealand's "instrument of ratification" for the Kyoto Protocol in a ceremony at the Beehive.

Her signature will commit the nation to reducing its emissions of six key greenhouse gases to 1990 levels in the first commitment period of 2008-12.

The 1997 Kyoto Protocol -- a treaty aimed at cutting greenhouse gas emissions worldwide to reduce the potentially catastrophic effects of long-term climate change -- is expected to take effect next year when Russia ratifies it.

So far, the United States -- which is responsible for about a quarter of the world's man-made carbon dioxide emissions -- and Australia have declined to ratify it.

Federated Farmers and Business NZ, in a joint statement today, said the protocol would result in taxation on energy use.

"More than anything else, this will be a tax on the productive sector," Federated Farmers president Tom Lambie said.

"Farmers are part of an integrated supply chain from pasture to plate and will have costs imposed all along that supply chain compromising our international competitiveness."

Business NZ chief executive Simon Carlaw said extra costs on New Zealand products would affect exporters.

"We already face bigger transport costs than our international competitors because of our distance from our markets.

"Energy taxes will add further to their cost, making them harder to sell."

The groups said New Zealand should follow its major trading partners, the US and Australia, and not join the protocol.

[url]http://www.nzherald.co.nz/latestnewsstory.cfm?storyID=3008740&thesection=news&thesubsection=general&thesecondsubsection=latest[/url]
Link Posted: 6/20/2003 6:33:17 AM EDT
[#5]
That stinks  !
Link Posted: 6/20/2003 7:35:18 AM EDT
[#6]
Solved. The new "Pooby Flowmaster" cowtalytic converter.
[img]http://photos.ar15.com/ImageGallery/Attachments/DownloadAttach.asp?iImageUnq=13872[/img]
Close Join Our Mail List to Stay Up To Date! Win a FREE Membership!

Sign up for the ARFCOM weekly newsletter and be entered to win a free ARFCOM membership. One new winner* is announced every week!

You will receive an email every Friday morning featuring the latest chatter from the hottest topics, breaking news surrounding legislation, as well as exclusive deals only available to ARFCOM email subscribers.


By signing up you agree to our User Agreement. *Must have a registered ARFCOM account to win.
Top Top