Katene Rahui: Questions for Oral Answer — Questions to Ministers 
Katene Rahui: Questions for Oral Answer — Questions to Ministers 
[Volume:653;Page:2623] 
5.  
RAHUI KATENE (Maori Party—Te Tai Tonga) 
 to the  
Minister for Climate Change Issues 
: Has he received advice that the emissions trading scheme will cost Ngai Tahu up to $120 million; if so what strategies will he establish to ensure that the scheme is not prejudicial for assets transferred under Treaty settlements? 
Hon Dr NICK SMITH (Minister for Climate Change Issues) 
: 
 I am advised that Ngai Tahu is affected by the emissions trading scheme in the same way as all pre-1990 forest owners in that if their areas are deforested they incur very substantial liabilities. The cost is difficult to assess as it depends on which areas of forests would give higher returns from alternative land uses. This issue adds complexity to the Treaty settlement process as it significantly affects land values and the quantum of settlements. The Government wants to act in good faith with Maori on these complex Treaty and climate change issues while also acknowledging that issues over the emissions trading scheme application to forestry also impact significantly on the property rights of all landowners. 
Rahui Katene 
: What responsibility do forest companies have for situations such as that of Ngai Tahu which has no control over trees on its land that are cleared by forest companies but thereby incurs a liability of $40 million to $120 million? 
Hon Dr NICK SMITH 
: Landowners who may be faced with forest companies removing their trees have the option of either replanting trees themselves contracting with an alternative forest company to plant trees on the land or in the event that they want to change the land use incurring those liabilities. I think there are legitimate questions and debate to be had about the application of the emissions trading scheme in respect of forestry and that is one of the reasons the Government is reviewing the scheme through the select committee process. 
Hekia Parata 
: A tena koe e Te Mana Whakawa tena tatou e te Whare. 
[ 
And greetings to you Mr Speaker and to us the House. 
] 
Has the Minister received any specific reports on Ngai Tahu’s concerns about the impacts of the emissions trading scheme on its settlement? 
Hon Dr NICK SMITH 
: Yes the previous Government commissioned a report by Helen Aikman QC on the very specific concern of Ngai Tahu that they were prejudicially adversely affected by the emissions trading scheme in that the Government knew but did not disclose the adverse effect that climate change policy would have on forest values. This independent report rejected this claim and concluded that the Government had acted in good faith. I have provided this report to Ngai Tahu and want them to have the opportunity to comment on its analysis and conclusions. 
Rahui Katene 
: What progress has been made to respond to the concerns of Te Ohu Kai Moana Aotearoa Fisheries Sealord Group and Endurance Fishing that during the process of reviewing the scheme the effect of emissions trading on Maori fishing interests must be explicitly recognised? 
Hon Dr NICK SMITH 
: An issue with the emissions trading scheme is that for industries like cement steel aluminium and dairy a 90 percent allocation of its emissions is provided through to 2018 and then phased out as compared with the fishing industry which receives an allocation of only 50 percent of its emissions and for a period of only 3 years. I know that the Maori Party has a keen interest in that issue and it is one on which the Government is keen to have a dialogue to ensure that our important fishing industry is treated fairly.