Business support for ETS slumps

Business support for the Emissions Trading Scheme has slumped ahead of its July 1 introduction, and many are in the dark over their eligibility for carbon credits, a new survey shows.

The online survey, conducted by the Employers and Manufacturers Association (EMA), found 86 per cent of businesses did not support implantation of the scheme before comparable schemes were adopted by New Zealand's trading partners.

It also found 90 per cent of businesses did not know if they were eligible for carbon credits - a key provision in the scheme.

Of the 612 businesses surveyed, 44 per cent said the scheme would have a serious or extremely serious impact on them, while 48 per cent said the scheme would be an issue to manage, though not serious.

Half the respondents said they wanted New Zealand to adopt climate change measures at the same pace as trading partners, while 38 per cent supported late adoption and 11 per cent early adoption.

EMA chief executive Alasdair Thompson said support for the scheme had slumped since a similar survey in October.

The previous survey found 53 per cent of businesses thought a 10 to 20 per cent reduction in carbon emissions by 2020 would not be achievable, compared with 65 per cent now.

The number that thought the target was achievable dropped from 31 to 23 per cent, while those that thought it was very achievable fell from 5 to 2 per cent.

The results showed businesses did not support New Zealand leading the world with climate change measures, Mr Thompson said.

"No other country is adopting an 'all sectors, all gases' approach to reducing climate gas emissions. The only other scheme - in the EU - will cover just four per cent of output. Ours will cover 100 per cent of output."

- NZPA