Brash urges Kyoto rethink

National leader Don Brash has called for an immediate review of New Zealand's continued participation in the Kyoto Protocol.

But Prime Minister Helen Clark scotched any suggestion that the Government might be having a rethink, saying she would have ratified it regardless of whether it was a financial liability "so that we do not freeload on other countries' efforts".

"National may want to freeload. Labour does not."

Dr Brash made his call in a snap debate in Parliament yesterday after revised estimates of New Zealand's carbon emissions mean taxpayers will be about $1 billion worse off than first thought when the protocol's first commitment period, from 2008 to 2012, begins.

Dr Brash also spelt out the criteria for National's decision on whether it would retain New Zealand's membership if it led the next Government.

In order for National to justify participation in the protocol, it would need to be convinced that global warming was occurring and that the sacrifices were commensurate to any potential gain.

Two of New Zealand's largest trading partners, Australia and the United States, have decided not to ratify the protocol.

But in answer to a question from New Zealand First deputy Peter Brown, Helen Clark agreed that other costs may be faced as trading in carbon credits evolved.

"I think it is entirely likely in future that countries that are not meeting international environmental standards and obligations could well find new kinds of trade barriers erected against them."

Dr Brash said that Labour had signed New Zealand up to a "very bad deal".

"They were so intent on looking good to their socialist friends in Europe that they forgot the enormous cost to New Zealand taxpayers," he said.

Deputy Prime Minister Michael Cullen said New Zealand stood to suffer more from moderate global warming than any country "because we are more dependent on temperate zone land-based industries than any other developed economy".

Brash's Kyoto terms

National leader Don Brash wants to be convinced that:

* Global warning is occurring.
* Warming is being caused by human activity and, specifically, the increasing emissions of carbon dioxide and other greenhouse gases.
* Reducing emissions at enormous cost is in some sense a sacrifice commensurate to the potential gain.