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5 ‘Mitigation tech sidelined in NZ’ Vol 22 No 21, June 3, 2024
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Ag burned up over fire funding plan NEWS
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Insurance
GOVERNMENT proposal to remove the exemption status of forestry and some farm infrastructure from the fire and emergency insurance levy could lead to no or under-insurance, say sector leaders. Insurers already face a 12.8% increase in the levy from July 1, with further increases possible from 2026 should a Department of Internal Affairs proposal for an 11c/$100 insured levy be accepted on non-residential property that was previously exempt. Assets that would no longer be exempt include forestry, livestock, crops, silage, hay, hazardous substances, transport infrastructure such as roads and bridges, poles, quarries, retaining walls, fences and walls, water tanks, towers and septic tanks, water reticulation pipes, electrical supply and telecommunications cabling. A Fire and Emergency NZ (FENZ) spokesperson said the 12.8% increase from July 1 was approved by the previous government. The first since FENZ was established in 2017, it was set to support the “fair pay” of firefighters. Previously funding was provided through transitional levy arrangements based on those for the NZ Fire Service.
Possible changes to levy exemptions were decided by the cabinet in March after consultation in 2022-2023. Federated Farmers board member Toby Williams said FENZ appears to be treating levy payers as an endless source of funds and should instead be looking for efficiencies. A NZ Forest Owners Association (NZFOA) submission earlier this month on the proposed levy changes and exemption proposed from 2026 said they cannot be justified. The levy should be calculated on the proportion of incidents attended by FENZ. “We do not believe that the forestry sector would receive the proportional benefits of FENZ services relative to the cost that it will incur because of the proposed levy.” In 2016 it was estimated that the 2017 creation of FENZ following the amalgamation of 40 fire services from across the country would generate savings of $47 million. NZFOA claimed that in the five years to 2022-23, FENZ costs have risen 90%, from $389m to $738m, and could further increase to $928m by 2028-29. “It would appear that the efficiencies of scale on which the case for the merger was predicated have failed to materialise,” the NZFOA said. Continued page 3
Farming the winner on the day Federated Farmers president Wayne Langford offers some words of wisdom after a recent rugby clash between the Feds and Parliament in Gisborne. The sports tournament raised $300,000 for east coast farmers recovering from Cyclone Gabrielle.
STORY 31
Where native mushrooms are champignon
S FOECT CU OR S
Neal Wallace
There is a twist in Southland mushroom grower Janine Donaldson’s story – she doesn’t really like to eat mushrooms.
HORTICULTURE 24-27 Farmers happy in their work, but frustrated by regs, The Farmer’s Voice survey reveals.
Current downturn in the sheep industry is likened to the economic crisis of the 1980s.
Farming technology needs to be adopted in a series of small steps, says David Eade.
NEWS 4
NEWS 8-10
OPINION 21
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