Last week, the New Zealand Government proposed a tax on farm animals’ greenhouse gas emissions. This is part of New Zealand’s effort to reduce the pollution of these animals, which is ultimately contributing to climate change.
First Tax on Animal Emissions
The proposed tax is the first of its kind, as nowhere else in the world has placed a tax on the gas that is passed by farm animals. Experts believe that the burps, urination, and other excretions of these animals are a large contributor to the rising temperature around the globe.
Economically Beneficial
Consumers around the world are shifting to become more conscious of the environment, likely inspiring this tax in some form. Another positive of this is that tax revenue generated from this proposal will be used towards researching and purchasing technologies that will help contain animal emissions. The generated revenue will also be used to give incentive payments to farmers that become more eco-conscious.
New Zealand Prime Minister Statement
New Zealand Prime Minister Jacinda Ardern had this to say about the tax proposal on animal emissions:
“New Zealand’s farmers are set to be the first in the world to reduce agricultural emissions, positioning our biggest export market for the competitive advantage that brings in a world increasingly discerning about the provenance of their food.”
Damage From Livestock
Livestock such as cows or sheep release methane when they “pass gas”. According to experts, methane is a greenhouse gas that causes 80 times more warming than carbon dioxide in the first 20 years that it enters the atmosphere. The biggest source of this methane gas comes from the burping of farm animals.
According to the U.S. Environmental Protection Agency, methane accounts for roughly 20% of global greenhouse gas emissions. And according to the United Nations, livestock accounts for almost 15% of global emissions.
Rural New Zealand
New Zealand is mostly agricultural, which is seen as the country has roughly 5 million people, while housing 10 million cattle and a whopping 26 million sheep. According to New Zealand’s Government data from 2019, 37% of the country’s greenhouse emissions were due to methane. On top of that, 88% of the methane emissions came from the livestock of New Zealand. Roughly 75 % of the methane comes from cows, while the remaining 25% is credited to the sheep.
Country Going Green
The government of New Zealand has pledged to reach zero net emissions in the next 28 years. This will be done by reducing the methane emissions of livestock by 10% in the next 8 years, and a hefty 47% by the year 2050.
Backlash from Industry Leaders
When the taxation was proposed last week, it was greeted with much skepticism from agricultural industry leaders. These leaders argued that the tax would devastate the businesses of ranchers and farmers all around New Zealand.
Andrew Hoggard, the national president of Federated Farmers of New Zealand said his group has found the government to be unresponsive and unwilling to work with his organization. He also went on to say that this taxation would “rip the guts out of small-town New Zealand”.
Wrap Up
As governments all around the world are becoming more eco-conscious, New Zealand is paving the way for this new taxation on livestock global emissions. While the proposed tax is getting some push-back from industry leaders, it is good news to see climate change being addressed.
The New Zealand Agricultural Minister said that this move will help protect the future livelihoods of the farmers and ranchers in New Zealand.
“Farmers are already experiencing the impact of climate change with more regular drought and flooding. Taking the lead on agricultural emissions is both good for the environment and our economy.”