TTR hearing - EPA How is the decision being made? Best interest of - PowerPoint PPT Presentation

TTR hearing - EPA • How is the decision being made? – Best interest of New Zealand?

TTR hearing - questions • Assets of New Zealand will be harvested through a 90% + owned company – Will everyone in NZ be better off? – What are the real benefits and real costs? – What are the risks? – What are the values all the assets involved? – What are the hidden costs? Who will have to pay it? – What will really be the net benefit for New Zealand?

Concepts • Economy concept: – Equilibrium can be achieved in a Pareto Optimal situation. – Pareto Optimallity is reached when everyone involved is better off. • Is everyone better off? • Has TTR proved that everyone involved is better off?

Concepts • Economy concept: – Market Equilibrium is different than Social Equilibrium – Government can interfere to ensure Social Equilibrum • Is social equilibrium achieved? • Has TTR and the government established the policy to ensure that?

Concepts • Environmental Economics concept: – Culture and society are social assets – Enviromental services and goods are natural assets • Have these social and natural assets being evaluated to see if there is no impact? • How much of them will be lost? Environmental Economics Theory and Policy Alfred Endres 2010

Concepts • Environmental Economics concept: – How to value Biodiversity and Human diversity • What is the real value of a life? • What is the real value of a landscape? • What is the real value of a community? • Can anything converted into money value and freely exchanged? • Can money replace it? Environmental Economics Theory and Policy Alfred Endres 2010

Concepts • Natural Capitalism concept: – The society cannot mantain its level of production and consumption: • Is there a better way to do it? • Can we produce the same amount of iron in a different way? • Can we produce the same amount ot value in a different way? Natural Capitalism: Creating the Next Industrial Revolution Paul Hawken , Amory Lovins , L. Hunter Lovins 1999

Risks: • NZ Tourism Industry: Revenues 25,000 Millions Jobs 20,000 15,000 Tourism 150,000 (2013) 10,000 Tourism 100,000 TTR (2013) 5,000 (projection) 50,000 TTR 0 0 1.2% Jobs 0.18% http://www.mbie.govt.nz/pdf-library/what-we-do/business-growth-agenda/sectors-reports-series/tourism-report.pdf

Risks: • NZ Whale Watch Tourism Industry: Revenues 400 Millions 425000 visitors went for whale Whale 300 watching in NZ (2005) Watch NZ (2005) 200 TTR 100 (projection) 0 10% growth yearly worldwide (2005), Total in 10 years can surpass Expenditure http://www.ecolarge.com/wp-content/uploads/2010/06/NZ_Whale_Watching_Report_2005-Final1.pdf

Risks: • NZ Agricultural Industry: Revenues Dairy (2012) 15,000 Millions Horticultural (2012) 10,000 NZ’s Agribusiness Top AGENDA ranks 2: Beef and Meat (2012) “ROBUST PRACTICES TO SUPPORT NZ’S CLEAN GREEN IMAGE ” Seafood (2012) 5,000 Wine (2012) TTR 0 0.7% (projection) Exports http://www.mbie.govt.nz/pdf-library/what-we-do/business-growth-agenda/sectors-reports-series/tourism-report.pdf

Risks: • Environment: Investment to recriate environment 200 Millions Biosphere 2 failed to 150 maintain life in 0.01km2 Biosphere 100 – how can we 2 recover 65.6 km2? 50 0 Total Expenditure http://www.mbie.govt.nz/pdf-library/what-we-do/business-growth-agenda/sectors-reports-series/tourism-report.pdf

Social Compensation / Mitigation: • How much will be paid for the 3.000 submitters envolved? • How much will be paid for people who live in affected places in compensation for devaluation of their assets, homes, jobs and lifestyle? • How much will be paid for the 104.000 Taranaki and 382.000 Waikato Population? • How much will be paid for the Iwi?

Environmental Compensation / Mitigation: • What is the amount of investment from TTR to recover all the life and the environmental services provided? • What is the cost to raise and breed a new specie of Dolphin or Whale?