David Littleproud
LEADER of The Nationals David Littleproud has called for ‘Scope 3’ emissions to be taken out of the Government’s climate-related financial disclosures – in a bid to stop farmers from having to take emissions baselines to access finance and enter supply chains.
The Government entered the bill the parliament in March, requiring large companies including banks and supply chains to report their emissions profile. The regulation includes scope 3 emissions or emissions from assets that are not owned or controlled by the company.
In many cases, agriculture falls into scope 3 emissions, with producers being the scope 3 emissions for processors, retailers and banks.
Mr Littleproud said the “draconian Bill” will make food more expensive amid a cost-of-living crisis, while also causing confusion and uncertainty for farmers and small businesses.
“Labor’s proposed Scope 3 measures are another example of Labor coming after the agriculture sector and making life harder for small businesses,” Mr Littleproud said.
“During a cost-of-living crisis, Labor is increasing the burden on the farming industry. This will make prices even more expensive at the supermarket checkout for families, because farmers will be forced to pass on costs and when supply goes down, prices go up.
“As Leader of The Nationals, I firmly believe Scope 3 needs to be entirely removed, given the enormous burden this would place on our farming industry, as well as the lack of data and measurement available.”
Scope 3 emissions reporting is also a trend internationally, with an UN-backed target setting organisation called the Science Based Targets initiative also requiring scope 3 reporting – supermarkets, processors and other supply chains are involved in the SBTi.
Mr Littleproud said large reporting entities could pass their risk down through the supply chain. He said Labor’s policy could also have significant compliance costs with accounting and recording on-farm emissions.
“The Bill is a compliance green tape time bomb, with Treasury’s own figures estimating this measure will cost $2.3 billion a year in compliance costs and this doesn’t include any potential cost to farmers.
“This unfair and bureaucratic burden comes despite Australian farmers already having some of the best land management practices in the world. Given there is currently no standardised method for calculating land and livestock emissions in Australia, this policy is downright dangerous.
“There are also concerns about the disclosure of data, how it will be utilised and shared and if some industry groups might be discriminated against. The United States has completely removed its Scope 3 reporting requirement, which would have otherwise pushed some farmers and other entities out of business.
“In Australia, we can fulfil our international climate commitments, without a confusing and harmful Scope 3 system.”
Source: David Littleproud
It is doomed to fail spectacularly but still transfer money from producers to others.
If people stopped to think about it. Scope 3 emissions go both ways. Consumers if they buy retail goods will have to provide their emissions to the retailer.
Cattle sold will have to have all their emissions data for the next owner. Backgrounders, will be asking it from breeders, who will also be asking it from contract fencers and musterers and feed merchants and stock and station agents.
If you stay in a motel as part of going to a business related event, better get the emission data from the motel manager as well.
Feedlotters will need to know the emissions history of every individual animal in their facility. When they send them to a processor, every animal will have it’s individual emissions passport to to speak.
Or more likely what will happen is no one will care and people will just make it all up and the world will go on. More producers money will go to unproductive people in unproductive jobs and other countries will be laughing at how stupid western countries have become.
The agricultural sector in Australia is paying its “climate change dues” through the massive amount of thickening of native vegetation. Government bodies don’t like to recognise this as they want a villain to whip. We are in credit so this legislation is just another arbitrary tax imposed by lazy bureaucrats and their left wing bosses .
I think these comments are not helpful and Scope 3 emissions provide huge opportunities for the beef industry!
The reality is that farmers can not pass their costs on , they are price takers
Qld went from a net exporter of milk to a net importer as wholesale milk prices were below the true cost of production for too long and milk producers allocated their resources elsewhere
The MDB price of water has facilitated the industry able to pay the highest ie almonds plus diversion to increased environmental flows has restricted
production of rice and dairying
Strategically is this what Australia needs ?
Scope 3 emissions are imbedded in most farm inputs