Farmers could escape being forced into the Emissions Trading Scheme, even if farm gate pricing isn't ready to go in 2025.
The government has announced its response to the Climate Change Commission and the farming partnership He Waka Eke Noa.
The response says it supports farm-level pricing, but it has concerns whether it's possible to introduce a levy system by 2025 when farms will start paying for their emissions.
The rate of the levy will have input from farmers, but the final pricing decision will be made by the government. This proposal is a an alternative to including farmers into the ETS until individual farm pricing can be established.
The governments proposal also says farmers will be able to claim credit for on-farm trees during the early years of the scheme but will eventually be transitioned into the ETS.
