Prime Minister Helen Clarke is setting the direction for a realignment of the NZ economy to carbon neutrality. New Zealand is taking the lead to be the first country to be net zero emissions across all sectors.

The New Zealand government is in the process of developing a series of targets, the first of which is that 6 of its 34 own agencies will be carbon neutral by 2012.

"New Zealand is targeting all key sectors of its economy, aiming to reduce its emissions to near zero and then offset the rest. At the same time the Australian government, representing some of the biggest polluting industries in the world (such as BHP and Rio Tinto), can't even agree to the 108% increase on 1990 levels that we would be bound to under the Kyoto agreement, which is the biggest concession given to any industrialised country," said Matthew Wright, Beyond Zero Emissions campaigner.

On the back of the NZ Prime Minister's stated policy position, Contact Energy, supplier of 25% of New Zealand's energy, has announced it will at least delay if not cancel its already consented carbon-producing, gas-fired, 400 MW Otahuhu C power plant by at least 18 months. Contact Energy subsequently followed up this announcement with a commitment to develop two billion dollars worth of wind power and geothermal resource.

"As soon as the New Zealand government stated their position, the debate shifted and now we've seen some really positive response from industry. One large energy company is moving strategy, resources and capital away from a carbon producing energy infrastructure and towards renewables. If this was done in Australia then we'd see the same result," said Adrian Whitehead, BZE lead campaigner.

Meridian Energy, NZ's largest electricity producer, has certified its entire electricity product as net zero emissions by doing a full audit, reducing remaining emissions to near zero and then offsetting what's left.

"This is more than an electricity company just having a green option - this is a company that only sells carbon neutral electricity and it's the biggest in New Zealand." said Mr Whitehead.

"In New Zealand you've got the Labour government saying they'll go carbon neutral. In Australia you've got the now disgraced former Environment Minister holding up wind projects with bogus excuses, Labor governments and the Federal Labor opposition committing to waste more and more billions on unproven clean coal technologies, and you've even got the Australian Greens political party touting weak targets for greenhouse reductions.

"I'd like to see the Australian Greens come out in front and set the national agenda. I'd like the Greens to call for near zero emissions by 2020 with a complete phase out of coal mining for the energy sector by 2020. Jobs will be easily transferred into the renewables sector with any remaining jobs to be targetted for reskilling, retraining and ongoing employment subsidies," said Mr Wright.

He also stated that, "As for the effect on export earnings, quick action by the government to create value across the economy, utilising the intellectual capacity of our nation, will cushion us against the effects of downscaling the $25 billion in dirty money we bring in each year."

"New Zealand took the lead when it was the first in the world to give the vote to women, and Australia followed suit soon after, it's now time we do the same on going to Zero Emissions and beyond across all sectors of our economy."

Meridian has certified carbon neutral electricity

Public Service Takes Lead Becoming Carbon Neutral

David Parker, Energy/Climate Change Minister - Sustainability and the electricity sector

Contact issues sustainable energy challenge to Govt goal

Contact outlines $2 billion in a new renewable generation programme