June 10, 2022

New Zealand proposes farmers to pay for livestock emissions

New Zealand has announced a proposal to require farmers to pay for livestock emissions, if passed, would make it the first country to put a price on methane emissions from cattle and sheep, Yale Environment 360 reported.

Agriculture accounts for nearly half of greenhouse gas emissions in New Zealand, where sheep outnumber people five to one. Agriculture, on the other hand, has been exempt from the country's carbon trading scheme so far.

Farmers would begin paying for emissions in 2025 under the new proposal, with revenue going to agricultural research, development, and advisory services.

James Shaw, New Zealand's Climate Change Minister, said the country needs to reduce the amount of methane they emit, and an effective emissions pricing system for agriculture will play a key role in how they achieve that.

Farmers can reduce emissions by supplementing livestock feed with additives that help ruminants produce less methane, such as seaweed, or by planting trees to offset their carbon emissions.

Incentives for such measures are included in the new plan, which could help New Zealand meet its goal of reducing methane emissions from agriculture and waste by 24 to 27 percent by 2050. In December, the government will make a final decision on the proposal.

Shaw said customers all over the world are demanding higher levels of sustainability in the products they buy, so the proposal will be able to gain a significant competitive advantage.

-      Yale Environment 360