AgForce still cloudy on ETS impact after exclusion

AGFORCE president John Cotter yesterday said the impact of the federal government’s decision to exclude agriculture from the proposed Emissions Trading Scheme was far from clear.

While Mr Cotter welcomed the move, he said the ETS would still affect other costs involved in agriculture such as power, fuel and transport.

"Processors in both the meat and dairy industries stand to be significantly impacted, but what it will specifically mean to them is still to be determined and without significant assistance through the Emissions Incentive Trade Exposed package of compensation, it is unclear how these industries can remain competitive in an international market" Mr Cotter said.

Mr Cotter said the policy framework around ‘offsets’ opportunities also needed clarification.

"While AgForce has long advocated that agriculture must be part of the solution not part of the problem, there still remains a lot of work to be undertaken to ensure this is done in an appropriate manner and that significant opportunities are not lost to landholders due to perverse policy rules," he said.

Mr Cotter said the need for a balance under land use and land use change issues, as competition for productive agricultural land had already increased.

"There needs to be a balance found to ensure the protection of appropriate landscapes in relation to their food and fibre production".



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