Carbon taxes under the Emissions Trading Scheme in New Zealand are said to put the country’s shippers at a disadvantage, local media reports.
According to the New Zealand Shipping Federation, carbon charges to local shipping companies are estimated to be approximately $250,000 per ship each year while foreign container ships that visit New Zealand ports do not pay emissions costs. In particular, The fee is the result of the Emissions Trading Scheme, under which credits bought by fuel companies are passed on to customers, such as shipping operators.
“It is a direct imposition on our costs and, at some point, it is going to feed through into the cost of moving freight and people by ships,” said Annabel Young, the shipping federation’s executive director, adding: “it will have a disincentive effect.”
“In other countries, and internationally, it is accepted the shipping is the most efficient way to move goods or people and, therefore, you don’t want to penalise them by imposing carbon charges,” commented Annabel Young.