Emissions Requirements Continue to Evolve
From 2025, farmers will be issued an invoice accounting for their annual emissions, with potential discounts to be gained by using emission-reducing stock or planting trees. Currently, the farming sector are campaigning for a variety of vegetation – not just trees - to be counted as part of their emissions discount and there is disagreement about how much carbon is being sequestered by those trees. The Government has agreed to revisit which vegetation will be included for discounts.
In December, it was announced that fertiliser application will be excluded from carbon dioxide emissions that need to be paid for.
It is currently not clear how much every tonne of greenhouse gas emitted will cost. The farming sector has proposed price caps that the Government has not yet agreed to, but the Government has said it will provide a pricing plan for methane and nitrous oxide from 2025 to 2029. Initially released rates are not guaranteed to be locked in, and they will be flexible depending on how well New Zealand meets its climate goals.
The farming sector was not able to secure control over prices through an oversight board, as suggested by He Waka Eke Noa. Industry-set rates are not afforded to any other industries.
The Climate Change Commission continues to report recommendations to the government regarding goals and prices. The Government does not have to accept all recommendations from the CCC and remains open to making changes later. The Government can reject recommendations if there are socio-economic or political effects that they foresee as being problematic.
Rural Accountants is continuing to stay up to date with this situation as it develops so that we can advise our rural clients on their financial position and responsibilities related to their emissions.
Great local Accountants. They provide an excellent service with great explanations for the layman. They provide accounting services for non rural clients too.
Rural Accountants is a real asset to our business.
The team at Rural Accountants pretty much manage all our administrative tasks for the group including payroll and tax planning, ensuring we don’t pay any more than necessary. They are at the forefront of technology and have helped us get up and running with Xero and Figured which is much more efficient than the way we used to work.
Christine is very knowledgeable, great to deal with and knows our business well. She is also a sheep & beef farmer so knows the industry really well and understands our needs.
Rural Accountants keeps us on track through strategic and forward planning meetings throughout the year. Christine knows our business inside out so she can deal with our questions instantly.
What Our Customers Think
I used to work out my GST and process it manually which would take me at least a full day every two months. The team set up reconcilliation rules and other quick tools, and showed me how to do all my reconcilliations and process my GST returns through Xero which now takes me no time at all!
As a farmer, Christine understands our business and how farmers and growers operate.
We use Rural Accountants to provide a full accounting service to an orcharding partnership which operates a number of orchards with a wide spread of varieties and management systems. Rural Accountants are always timely and accurate, and their annual financial accounts are extremely easy to understand and very grower-friendly.