Gas tax: New Zealand proposes plan to charge farmers for livestock burps


Farmers in New Zealand might have a beef with their local government’s latest climate change-related tax proposal.

The New Zealand government has unveiled a draft plan to tax farmers for sheep and cattle burps in hopes of countering one of the country’s largest sources of greenhouse gas. If passed, the plan would make New Zealand the first country to have farmers pay for livestock emissions.

“There is no question that we need to cut the amount of methane we are putting into the atmosphere, and an effective emissions pricing system for agriculture will play a key part in how we achieve that,” Climate Change Minister James Shaw said in a statement.

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New Zealand has a heavily agriculture-focused economy. Over 10 million cattle and 26 million sheep live in New Zealand as of 2019, according to Stats NZ. This means that nearly half of its greenhouse emissions come from cattle and sheep, but livestock have been exempted from the country’s emissions trading scheme.

The proposed draft plan was recommended by He Waka Eke Noa, a partnership between farming leaders and the government, according to the Guardian. While select agricultural leaders support the bill, it is expected that such a proposal could create tension between the leaders and grassroots farmers, who have protested implementing environmental regulations in recent years.

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The plan would also include economic incentives for farmers to reduce their emissions through changes to the animals’ diets, such as feeding them seaweed.

If passed, this draft plan would have farmers pay for gas emissions by 2025. The measures would also help the country move toward its goal of cutting agriculture-related methane emissions by 24% to 27% by 2050. The New Zealand government is expected to make a final decision on the plan by December.

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