Voluntary Greenhouse Gas Reporting Feasibility Study

Final Report

Prepared for	Ministry of Agriculture and Forestry PO Box 2526 Wellington 06 June 2007
Project Manager: Vanessa Browne Associate Environmental Scientist	URS New Zealand Limited Level 4 Lambton House 160 Lambton Quay PO Box 3367, Wellington 6140 New Zealand Tel: 64 4 496 3750 Fax: 64 4 496 3755
Project Director: Kerry Griffiths Principal

Disclaimer
Tables, Figures, Plates, Drawings
Executive Summary
1 Introduction
2 Agricultural sector GHG emissions in NZ
- 2.1 Introduction
- 2.2 Background to New Zealand agriculture
- 2.3 Greenhouse gas emissions from New Zealand agriculture
- 2.4 Biological pathways of emissions
  - 2.4.1 Methane (CH₄)
  - 2.4.2 Nitrous oxide (N₂O)
- 2.5 Factors influencing CH₄ and N₂O emissions
- 2.6 Mitigation of CH₄ and N₂O
- 2.7 Summary
- 2.8 Recommendations
3 Estimating GHG emissions in NZ
- 3.1 Introduction
- 3.2 National inventory method
  - 3.2.1 CH₄ national inventory method
  - 3.2.2 N₂O national inventory method
- 3.3 Value of adopting the national inventory for VGGR
- 3.4 Existing farm scale models that could be used to estimate GHG emissions
  - 3.4.1 Derived emission factors for CH₄ & N₂O
  - 3.4.2 Methods being used to predict CH₄
  - 3.4.3 Methods being used to predict N₂O
- 3.5 Value of adapting an existing farm scale model or creating a new model
  - 3.5.1 Criteria for assessment
  - 3.5.2 Assessment
- 3.6 Summary
- 3.7 Recommendations
4 Greenhouse gas reporting systems in other countries
- 4.1 Introduction
- 4.2 Overview of GHG reporting systems
- 4.3 Review of four relevant GHG systems
  - 4.3.1 Greenhouse Challenge Plus (Australia)
  - 4.3.2 Voluntary Reporting of Greenhouse Gases (US)
  - 4.3.3 California Climate Action Registry (US)
  - 4.3.4 Canadian GHG Challenge Registry (Canada)
- 4.4 Summary
- 4.5 Recommendations
5 Possible incentives and disincentives for farmers
- 5.1 Introduction
- 5.2 Incentives to participate
  - 5.2.1 Financial incentives
  - 5.2.2 Stewardship
  - 5.2.3 Market incentives
  - 5.2.4 Protecting baseline emissions
  - 5.2.5 Information about emissions and mitigation opportunities
  - 5.2.6 Information about offset opportunities
  - 5.2.7 Ability to improve productivity
  - 5.2.8 Ability to improve nutrient management
  - 5.2.9 Ability to 'demystify' the science
- 5.3 Disincentives to participate
  - 5.3.1 Mitigation opportunities
  - 5.3.2 Capital costs
  - 5.3.3 Time and effort
  - 5.3.4 Concern about confidentiality
  - 5.3.5 Suspicion about purpose
- 5.4 Proposed assessment framework
- 5.5 Summary
- 5.6 Recommendations
6 VGGR design options
- 6.1 Introduction
- 6.2 VGGR requirements
- 6.3 Core VGGR option
  - 6.3.1 Overview of concept
  - 6.3.2 Participation
  - 6.3.3 Scope
  - 6.3.4 Data requirements and data entry arrangements
  - 6.3.5 Central database and calculation module
  - 6.3.6 Reporting
  - 6.3.7 Technical assistance
  - 6.3.8 Administration
  - 6.3.9 Co-location with NZEUR
  - 6.3.10 Compatibility with E-Govt. Initiative
- 6.4 Likely uptake by farmers of core VGGR option
- 6.5 Indicative cost of developing core VGGR option
  - 6.5.1 Establishment costs
  - 6.5.2 Ongoing costs of ownership and operation
- 6.6 Summary of core VGGR option
- 6.7 Design options and their cost implications
  - 6.7.1 Participation
  - 6.7.2 Scope
  - 6.7.3 Data requirements and data entry arrangements
- 6.8 Summary of VGGR design options
7 Consultation guidance
- 7.1 Introduction
- 7.2 Stage one
- 7.3 Stage two
- 7.4 Key cost components
8 Risk identification and mitigation
9 Project plan
- 9.1 Introduction
- 9.2 Consultation
- 9.3 Development
- 9.4 Promotion
- 9.5 Technical guidance
- 9.6 Governance
- 9.7 Operation
- 9.8 Timelines
10 Conclusion
11 References
12 Limitations

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Tables, Figures, Plates, Drawings

Tables

Table 2-1 Farm number, animal populations and GHG emissions by sector in New Zealand
Table 2-2 Enteric CH4 emissions from New Zealand livestock in 2004 (Source MfE 2006)
Table 2-3 CH4 emissions from manure management in New Zealand 2004 (Source: MfE 2006)
Table 2-4 Nitrous oxide emissions by livestock type and emission pathway (source: calculated from MfE 2006). All figures in Gg CO₂equivalent/annum
Table 2-5 Breakdown of Non CO₂ agricultural emissions and influences on these
Table 3-1 Data needs and sources for national CH4 inventory
Table 3-2 Advantages/disadvantages of using the national inventory methodologies at a local scale
Table 3-3 Assessment of options to adapt model or create new model
Table 4-1 Overview of GHG reporting systems
Table 4-2 Review of relevant reporting systems
Table 5-1 Comparison with similar programmes
Table 5-2 Framework to assess likely uptake by farmers
Table 6-1 Assessment of drivers for uptake of core VGGR option
Table 6-2 Platform architecture options
Table 6-3 One-off software licence costs
Table 6-4 Software development cost
Table 6-5 Cost of ownership
Table 6-6 Costs for technical assistance
Table 6-7 Estimated establishment costs for core scheme
Table 6-8 Estimated annual operating costs
Table 6-9 Estimated establishment costs for optional additional functionality
Table 7-1 Key cost components for consultation
Table 8-1 Key risks and mitigation

Figures

Disclaimer

While every effort has been made to ensure the information in this publication is accurate, the Ministry of Agriculture and Forestry does not accept any responsibility or liability for error of fact, omission, interpretation or opinion that may be present, nor for the consequences of any decisions based on this information. Any view or opinion expressed does not necessarily represent the view of the Ministry of Agriculture and Forestry.

Contact for Enquiries

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