Ownership of Sink Credits
- "We believe that there are fundamental problems regarding who actually owns sequestered carbon and fairly allocating benefits and responsibilities of ownership."
- "It would be immoral for the Government to seize a windfall gain from sink credits. Sink credits belong to the owner of the tree."
- "The Cabinet has agreed that some proportion of the benefits from the sink credits will go to those undertaking the sink activities. Should not all the benefits go to those undertaking sink activities?"
- "Sink credits should be returned to growers through tax credits - implying that the Government should assess the credits earned."
- "If the Government received a portion of the benefits, it is likely to decrease the incentive for forest owners to trade their credits. It would also discourage the planting of new sinks, especially considering the costs of measuring, monitoring and reporting carbon sequestration."
- "If the Government received a portion of the benefits it is likely to erode international perceptions of New Zealand. It is also likely to create legal inconsistencies around forest ownership and ownership of the carbon credit (given that carbon sink credits are expected to be separated from the trees or land and able to be sold or borrowed against)."
- "If the Government received a portion of the benefits, how could it also expect to minimise the risk of legal liability to the Crown?"
- "We are concerned that the Government will apportion some of the benefits of carbon sinks. What effect would this have on harvest - would the Government also be subject to harvesting obligations if foresters do not acquire the full credit?"
- "We are concerned that the Government will expropriate the carbon in existing forests and devolve liabilities upon harvest. We do not support such action without compensation."
- "The Government has in numerous statements made clear that New Zealand's greenhouse gas emitters will be held responsible for the full cost of their emissions. By this statement we understand the Government intends to make all sources of greenhouse gases responsible for emissions regardless of sink activities, thus encouraging action to reduce emissions.
- We believe full responsibility for all sources and sinks should be allocated leaving Government with little more than a monitoring and auditing role.
- Any intent by Government to retain a percentage of forest sink credits to cover potential national shortfalls in assigned amount will not allow forest sink owners to fully realise the economic benefit of their forest sinks. For example, retention of 15% of forest sinks credits will result in forest sink owners only realising 85% of the full economic benefit of their forest sinks. In the same way as emitters will face the full costs for their emissions, so too should forest sink owners realise the full economic benefit of their sinks.
- We believe forest sink owners should be in a position to realise the full economic benefit of their forest sinks, and does not support any intent by Government to retain forest sink credits."
- "I oppose foreign ownership of New Zealand generated sink credits and in particular the right to emit upon holding sink credits."
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