The Dairy Companies Association of New Zealand (DCANZ) welcomes the Government’s announcement that it will introduce legislation to remove the liability on processors for on-farm emissions in the ETS and continue working with the sector on practical and effective approaches to reduce emissions at the farm level.

"It’s been widely recognised that pricing on-farm emissions at processor level wouldn’t be effective at driving change. It would have been a blunt tax, with no recognition of individual farmer efforts that drive real emissions reductions," says DCANZ Chairman Matt Bolger.

"It is good to see this policy being removed from the legislation".

DCANZ has maintained a position that effective farm behaviour change to reduce emissions starts with farmers knowing their emissions numbers and having confidence in the options available to them to make emissions reductions. Dairy Companies have worked with their farmer suppliers over the past 5-years to roll out on-farm emissions reporting and planning to better equip farmers to actively manage on-farm emissions.

"The New Zealand dairy industries rollout of farm emissions reporting has been world-leading. Through their dairy company-supplied reports farmers can understand their current opportunities and will be better supported to adopt new technologies within their individual businesses as they become available."

DCANZ is committed to working with the Government and other industry stakeholders on the challenge of biogenic methane.

"Dairy companies continue to actively work with their farmer suppliers to further improve the world-leading emissions footprints of New Zealand dairy products. The Government’s investment to accelerate the commercialisation of tools and technology to reduce emissions is valued."

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