9. Question No. 9—Minister for Climate ChangeCHLÖE SWARBRICK (Green) to the Minister for Climate ChangeQuestion No. 9—Minister for Climate Change9. CHLÖE SWARBRICK (Green) to the Minister for Climate Change: What are the Government's next steps for climate change action now that the Climate Change Response (Emissions Trading Reform) Amendment Bill has passed?Hon JAMES SHAW (Minister for Climate Change): Now that the emissions trading reform bill has passed the Government can finally set a cap on emissions under the emissions trading scheme (ETS). That cap will reduce over time as we head towards our goal of net zero emissions by 2050. The independent Climate Change Commission will provide advice about exactly how fast and how much to reduce those caps to ensure that we have both an effective and a just transition. With the legal networks now in place our focus will start to shift towards practical measures to support Kiwi businesses and industries to upgrade to clean energy technology.Chlöe Swarbrick: What kinds of actions to reduce Aotearoa's impact on the climate does he expect that we will see incentivised and supported by the emissions trading scheme's new sinking cap on emissions?Hon JAMES SHAW: The whole point of an emissions price is for businesses to minimise the costs that they have to pay by reducing their impact on the climate. I expect that we'll see factories swapping out coal boilers transport companies starting to order electric and hydrogen trucks and the electricity industry getting on with building more wind solar and hydrogen generation. Businesses are not alone in this of course and I'm sure that the Minister of Energy and Resources will join me in encouraging businesses who want to make changes to get in touch with the Energy Efficiency and Conservation Authority to see what Government support is available.Chlöe Swarbrick: Will polluters be able to get away with using so-called hot air credits from dubious overseas sources to meet their ETS requirements?Hon JAMES SHAW: No they will not. ETS units need to come from genuine New Zealand forests and even if future Governments decide to allow the use of some international credits they would need to be satisfied that their credits are genuine and have environmental integrity. For now the ETS remains closed to international units.Chlöe Swarbrick: Does he agree that the ETS alone will not be enough and that other policies to reduce the impact that transport energy and agriculture have on the climate will be vital?Hon JAMES SHAW: Absolutely. The ETS is an important tool in the climate change toolbox but we need to use the whole toolbox. That's why this Government has invested billions of dollars in clean transport options like cycling buses trains; required default KiwiSaver providers to stop investing in fossil fuels; banned new oil and gas exploration; started replacing coal boilers in schools and hospitals with clean heating alternatives; put solar panels on 25 schools with many more to come; and funded electric vehicle charging stations nationwide including on the Interislander ferry. And we know that there is more to do and we will do it.Chlöe Swarbrick: Supplementary.Rt Hon Winston Peters: Supplementary question.SPEAKER: The Rt Hon Winston Peters. I think there's trouble.Rt Hon Winston Peters: Will hot air providers in New Zealand be able to access the ETS?Hon JAMES SHAW: I suspect he's making a reference to the Opposition in terms of the output of hot air there but I think that that would be against the Standing Orders.Chlöe Swarbrick: Does he agree with the chair of the independent Climate Change Commission that Now is not the time for postponements or looking the other way"?Hon JAMES SHAW: Yes I do. The climate crisis demands an urgent response and the longer we delay the harder and more expensive the challenge becomes. Our Government does not believe in kicking the can down the road. We know that in these challenging economic times a low-emissions economy creating clean and sustainable jobs in the cities and in the regions is the best way to see Aotearoa prosper."