Westland Milk Products Joins Voluntary ETS Programme

20 April 2011

Westland is pleased to announce that it has taken the initiative of signing up to an Emissions Trading Scheme (ETS) voluntary participation programme with the Government and MAF ahead of the scheme’s introduction to New Zealand next year.

The Emissions Trading Scheme is to take effect from January 2012. Against this scheme the dairy sector across New Zealand will be required by law to keep within an annual allocation of carbon credits. To exceed this allocation will result in a series of penalties and taxes levelled against the industry.

Westland chief executive Rod Quin says it has taken the initiative to sign up to the voluntary programme to familiarise itself with the scheme’s requirements and to prepare the industry on the West Coast for what is to become obligatory in January 2015.

“Voluntary participation is an opportunity for Westland Milk Products to record emission units within the scheme and not be penalised for any emissions over the annual allocated amount of units given,” Quin says. “It is an opportunity to review and improve production processes, allowing for a more sustainable industry. This is a great opportunity to see what we are up against and how best to improve. There will be no such opportunities after 2011.”

Emissions in the dairy sector are to be allocated according to the energy required to produce its products. Dairy processors will need to record the energy required to produce total quantities of milk solids processed from cows.

The Government initiated programme involves a series of voluntary reporting to MAF of the total energy units used during the manufacturing of its dairy products.

“As part of this programme we will also be asking our shareholders what the Emissions Trading Scheme means to them,” Quin says. “Many dairy farmers are unsure as to what impact the scheme may have on their farming activities. Shareholders will be represented at all levels of discussions with MAF and central government. Facts learnt from this “voluntary year” will then be forwarded to farmers and recommendations made.”

Quin says the scheme is likely to be challenging for the industry and the farming community. Westland Milk Products is taking a proactive stance to ensure a smooth transition.

“Voluntary participation will allow us to review our current manufacturing processes against the requirements of the ETS and adapt as and where necessary in order to reduce the carbon footprint of our operations and the wider dairy industry.”

ENDS

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