Hi de Hi. Here we are again. You will remember my brief comment about the Proposed NPS Fresh Water a year ago. I referred to its associated document Te Mana o te Wai. It was maoridoms demands associated with the NPS. Specifically ownership of water and infrastructure .
My comments were some what flippant given the release of the 3 Waters discussion/consultation paper back in August. The Local Paper and Farmers Weekly titles were remarkedly similar to the release of Horizons One Plan. in 2007. The Farmers Weekly, Aug 16th pg 7. Scarce on detail. The District Councils across the Country questioned the detail provided. 4 publicly owned companies across the country managing drinking, waste and storm water assets, along with the debt. The public will still own but they won’t. Same happened in 2007. But then it was their roles and functions. Think they still remember? Now step forward to October and 60 of the country’s 67 T A,s have said bugger off . The Local paper the Chronical head lines pg 5. Oct 1st. Three Waters “Failure of epic proportions”. The proposal challenges our sense of democracy, localism and fundamental rights. It has turned into a ideological and political debate with lack of information and detail around ownership. Cr Piri Hira -Tukapua said the tension in the room was that the representation model was to have 50% Maori. At no stage were local Iwi consulted. The reform has holes everywhere, prioritization, privatization?. Her view, it was safer in councils hands. Minister Local Govt Mahuta said in response. I will legislate. A large number of councils along with some others, are pursuing a legal challenge to such. Bring it on.
Since leaving the farm i have had to think of different ways of growing one’s wealth. I looked hard at the carbon market way back when the price crashed to $2 per tonne. Even seeked out a bit of advice but alas decided against. I have not taken any interest in it again other than to comment once or twice in this blog. I was fortunate to have dinner one night with a group of people in higher places who had, and they said the market would not last thus take advantage whilst it was in the worlds eye. Carbon certainly has bolted in recent times and it is picked to go higher. my research tells me this coming week is to momentous for carbon world wide. The big climate conference started today ,called COP26. The IMF has called for a international $75 a tonne minimum price needed to force most nations toward? achieving their Paris agreement commitments. The price forecast to 2030 in USD$ is $130 per tonne. The voluntary carbon market (VMC) is the biggest market you have never heard of. And for good reason. Petrol, energy and groceries. Wondered why they are getting dearer?. It is the last thing our Govt wants us to wake up to. It is said that the VMC has rocket fuel poured all over it. 2 years ago, Article 6 of the Paris agreement was supposed to be ratified. It would have created standards for the global carbon market. It was to complex and the countries involved could not reach a agreement. But Article 6 is back on the table at the top of the agenda and no body is going home till the IMF gets it,s way. The elimination of double counting which country’s use both those that produce and those that buy, will double the price of carbon credits over night. A recent study of Kyoto credits reveal that 4 billion credits remain in circulation, = 4 gigatonnes of emissions. 1gigatonnne is equal to 3 million Boeing 747 jets. The 2nd goal for Article 6 is to eliminate all of the Kyoto carbon credits, shrinking supply. Thus with regard to the above will put heavy buying pressure on the voluntary market. The 3rd goal of Article 6 .Up until now countries have been able to meet their climate change goals via tax’s and emission trading schemes. Article 6 will enable countries to compete with companies on the VCM to meet their goals. Forget about Microsoft or Shell buying millions of carbon off sets per yr, you will have countries buying millions of offsets per day. The Environmental Defence Fund refers to the effects of Article 6 as “Rocket Boosters” for the VCM.
Just what does that mean for NZ,s farm land. I note that James Shaw is over there, be sure he is advocating for Article 6 and did I hear a press release this afternoon from Jacinda and Shaw saying NZ would 1/2 its 2003 emissions by 2030. I also note that Labour is investigating a wealth tax targeting the countries perceived wealthy. I think there could be quite a few wealthy farmers, ex farmers soon? and it will not only be hill country. My mind boggles at the flow on effect for the nation. Again is NZ to become the dumping ground for the world emissions?.
I have written about Coal before. Could it be the elephant in the room that spoils Article 6 agenda. Govt,s hate nothing more than cold hungry voters. Last year coal dropped to $45 per tonne. Today in the northern hemisphere countries facing a cold winter, where upon natural gas and endless funding for renewables lulled utilities into a false sense of security. Coal has rocketed to $250 per tonne. Gas has rocketed 500% and power company’s are scrambling to keep lights on at any cost including COP26. Its going to get dirty. For how long?????. But i have said the World needs a humongous depression to sort all this horrendous garbage once and for all. .
Mike