The political activist suing major New Zealand emitters over climate change damage says a law change blocking his case and others like it is “an affront to democracy”.

The government announced yesterday it would amend climate laws to prevent companies from being sued over damage caused by greenhouse gas emissions.

The change will prevent findings of liability in torts — a type of civil case where one person or entity claims another has caused them harm.

Justice Minister Paul Goldsmith said it would apply to current and future cases — stopping a landmark case against Fonterra and five other major emitters in its tracks.

In 2024, iwi leader and activist Mike Smith was granted permission by the Supreme Court to sue Fonterra and other major dairy and fossil fuel companies.

He argued the companies, which collectively contributed about a third of New Zealand’s emissions, had a legal duty to him and others in communities that are being damaged by the effects of greenhouse gas emissions.

The hearing, which was sent back to the High Court, was due to start in April next year.

‘Creating uncertainty’
Dr Goldsmith said Smith’s case was “creating uncertainty in business confidence and investments that the government must address”.

The law change would “remove the possible development of a new regime that contradicts the framework Parliament has already enacted to respond to climate change”.

New Zealand already had a legal framework to manage emissions, through the Climate Change Response Act and the Emissions Trading Scheme, he said.

“Our response to climate change is best managed by the government at a national level and not through piecemeal litigation in the courts.”

Smith told RNZ’s Nine to Noon programme the government’s decision was unprecedented and outrageous.

“It’s an affront to democracy,” he said.

“If Parliament can cancel a live court case, then no legal claim is secure at all, once it becomes politically inconvenient.”

‘Public interest case’
The legal case was asking the court to decide whether the companies involved could be held responsible for their emissions, he said.

He said they were not seeking costs or damages and it was instead a “public interest case” to establish that the companies were liable. They hoped to prompt the companies to take action to reduce greenhouse emissions.

“These companies are not fools. They’ve got some of the best science available to them … All we’re asking is that they act responsibly, and if they can’t decide that themselves then they need to be nudged along.”

He countered Dr Goldsmith’s claims that the case was undermining business confidence.

“Real business confidence comes from predictable law — not from government intervention in active court cases.”

What the big emitters should really worry about were the effects of climate change itself, Smith said.

“If the farmers are feeling nervous about [the case] and lobbying the government to have these cases struck out, if I were them I’d be more nervous about the the droughts that are pending… That’s the real threat to their model.”

‘Shocking abuse of power’
Greenpeace labelled the change a “shocking abuse of power” that would protect climate polluters from paying for the damage they had caused.

Greenpeace executive director Russel Norman, told RNZ Midday Report, it was “outrageous” and he believed it was being done to protect large corporations.

“People will have their right to go to court removed.

“They intervened mid-case. It is an outrageous overreach.”

Lawyers for Climate Action president Jenny Cooper KC said the decision was shortsighted.

“What it looks like is a kneejerk reaction to legislate over the top of the unanimous Supreme Court decision in Smith and Fonterra before that’s gone to trial.”

That would leave New Zealanders with no avenue to claim damages or compensation against emitters in future, she said.

“It’s really hard to understand why we would want to legislate now to say we could never bring claims against emitters for the harms and losses we’ve suffered.

“If they are not responsible for paying then who does? Well, everybody, basically.”

Climate ‘wrecking ball’
Green Party co-leader Chlöe Swarbrick said the goverment was using its “dying breaths” to remove New Zealanders’ right to hold emitters accountable.

“They’ve spent two and a half years taking a wrecking ball to climate laws and, at the 11th hour, they’re now ripping away New Zealanders’ and the courts’ ability to do what this government lacks the spine to do.”

The minister’s claims that common law could cut across the government’s climate change framework made no sense, she said.

“The Climate Change Response Act and the ETS do not deal with this issue at all — there is no framework or mechanism for any type of compensation for climate related harm.”

Instead, the change “appears to be cutting off the only potential mechanism we have at the moment before we are anywhere near having legislation that would address these issues.”

The law change would not alter the government’s responsibilities under the Act, and businesses that had obligations under the ETS would still be required to meet them, Dr Goldsmith said.

Another landmark climate case, taken against Climate Change Minister Simon Watts over the government’s plan to tackle climate change, is also unaffected.

That case was heard in March and a reserved decision is expected later this year.

The case against Watts was taken jointly by the Environmental Law Initiative (ELI) and Lawyers for Climate Action.

This article is republished under a community partnership agreement with RNZ.

Article by AsiaPacificReport.nz

New Zealand’s Finance Minister says she has “never felt so dependent on the actions and feelings of one administration and its leaders”, as concerns grow about the fuel shock triggered by the US-Israel war on Iran.

And the Prime Minister has called the US President’s foul-mouthed threats to Iran “unhelpful” and the US’ goals and objectives in Iran “unclear”.

Few ships carrying stock have been allowed to pass through the Strait of Hormuz since Iran effectively closed it just over a month ago, in retaliation for the attacks.

That has triggered a global spike in prices at the pump, and New Zealand — wholly dependent on importing refined fuels — has not been spared.

At the weekend, US President Donald Trump issued an expletive-laden threat at Iran, telling it to “open the F*****’ Strait, you crazy bastards, or you’ll be living in Hell” or its civilian infrastructure would be attacked.

He followed that up on Monday (US time) with a claim the “entire country can be taken out in one night”.

The comments come as Foreign Minister Winston Peters heads to the US to meet US Secretary of State Marco Rubio.

Asked about Trump’s comments today, Finance Minister Nicola Willis first was diplomatic.

‘Acting with restraint’
“We actually want to see all parties acting with restraint, moving toward a negotiated solution so the crisis can end,” she told RNZ Morning Report.

“And it’s simply the fact that the longer the conflict goes on, the more severe the impact. And once again, we call on the US, Iran, all actors in this conflict to uphold international law.”

Asked again, she replied: “Well, I have reflected that never have I felt so dependent on the actions and feelings of one administration and its leaders as New Zealand is right now.

“And I see the pain that so many New Zealanders are experiencing as a result of this fuel shock, and I wish for it to end.

“And the sad reality is that it’s not in New Zealand’s hands, that lies in the hands of countries very far away.”

Prime Minister Christopher Luxon, appearing on Morning Report shortly after Willis, said Trump’s rhetoric was “unhelpful”.

“I think the bottom line is that the focus needs to be on not seeing this conflict expand any further. It is critical that the US and Iran find a way to de-escalate. Absolutely critical for the world and certainly for us in New Zealand.

“But, you know, yeah, I mean, unhelpful — because more military action is not necessary.”

‘Comply with international law’
He said he expected “all parties to comply with international law, as you’d expect, and international humanitarian law”.

“It would be an attack on innocent civilians and not something New Zealand should in any way condone.

“Threatening to blow up innocent civilians is not the sort of thing you would expect to see the president of the United States engaging in — it’s totally unacceptable and New Zealand should condemn it.”

Steady as she goes
Willis was resisting the temptation to cut fuel taxes and road user charges (RUC) as prices spiked — particularly for diesel — saying it would make no sense to encourage fuel consumption at the same time as calling for restraint.

According to the Ministry of Business, Innovation and Employment’s (MBIE) latest data national fuel stocks are stable, with sufficient stock levels — for now.

Diesel levels have dipped slightly since the last report, while jet fuel and petrol levels have risen slightly. There is now just 17.5 days’ worth of diesel in the country, with more on ships headed this way — 12 outside our exclusive economic zone and four inside.

“We haven’t had any reports of any issues with those shipments that are in international waters,” Willis told Morning Report. “We would expect to get reporting from fuel importing companies if they were seeing any issues with those. They seem to be safely on their way.”

Gaspy figures show diesel is now more expensive than 91 at more than $3.70 a litre, while its users also have to pay RUC.

“That price is really, really tough on many, many businesses in our economy, and also individuals and families who use diesel,” Wilis said. “We’re used to seeing diesel at the pump cheaper than 91.

Prime Minister Luxon said he was “gravely concerned” that the longer the conflict went on, the “harder it gets for Kiwis here at home”. Just how long it would take to get back to normal was “unknown”, he said, but no restrictions on use were yet planned.

Supply challenges
“Even if we’ve got a ceasefire miraculously and a quality one tomorrow, there clearly will be supply challenges as production has ramped back up again, as storage is always put in storage and it’s transported out through the Hormuz out into the refineries around the world.”

Luxon said Peters would be making it clear to Rubio the conflict was impacting New Zealand and “pushing them to deescalate”.

“I think the goals and the objectives from the US administration have been somewhat unclear. For us, that’s why the world is suffering, everybody around the world. I’ve spoken to a number of world leaders.

“Some of those developing economies are doing it incredibly tough. I know it’s difficult for our New Zealand folk here at home as well, dealing with higher prices at the pump.

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Pacific Island governments are urging their citizens not to panic about the supply of fuels amid the conflict in the Middle East between Israel, the United States and Iran.

The conflict has resulted in the closure of the Strait of Hormuz, a vital shipping route that carries around 20 percent of the world’s oil (20 million barrels a day), by Iran’s Islamic Revolutionary Guard Corps (IRGC).

The IRGC has warned that any ship passing through the strait would be attacked, triggering a near-total halt in vessels attempting to pass through the waterway, causing a surge in oil prices.

However, according to Iran’s Foreign Minister Abbas Araqchi, the Strait of Hormuz is closed only to Iran’s “enemies and their allies”, the IRGC-aligned Tasnim News Agency reported.

US President Donald Trump has demanded that allies send naval vessels to the Middle East to help escort ships through the strait.

Pacific Islands nations get nearly all of their refined fuel from refineries in Singapore, South Korea and Japan. But roughly 80 percent of the crude oil used by these Asian refineries passes through the Strait of Hormuz.

The Fiji government said on Monday that fuel supplies in the country were sufficient to meet energy needs for the next few months.

“There is no need to indulge in ‘panic buying’ at the service station,” it said in a statement.

Closely monitoring the war
It added that the government was closely monitoring the US-Israel war on Iran, and meeting with local suppliers who had already secured fuel supplies.

Prime Minister Sitiveni Rabuka and his cabinet were meeting today “to firm-up on the plan of action for the long-term, if there is no resolution to the conflict in the near future”.

Tonga’s government has also called on Tongans not to queue at petrol stations.

“There is no immediate need for concern or panic buying of fuel,” the Tonga Prime Minister’s Office said in a statement.

“We are assured by the energy sector that there is sufficient fuel available for now.”

Samoa’s Prime Minister Laaulialemalietoa Leuatea Polataivao Schmidt said his government’s immediate priority was to ensure that the country had enough fuel supply to meet its needs.

“What is happening . . .  we can’t control, but we are working to ensure we have enough fuel for the next one or two years because we do not know what’s going to happen next,” La’auli said during a joint press conference with New Zealand Prime Minister Christopher Luxon yesterday.

Current stocks sufficient
Vanuatu’s government said it has engaged with Pacific Energy, Vanuatu’s primary fuel importer and supplier, to assess potential impacts on national fuel supply.

“Pacific Energy reports current stocks are sufficient to cover usual consumption, the company’s supply programme, based on a three-month rolling forecast, is secured, and no shortages are anticipated in the foreseeable future,” the Ministry of the Prime Minister in Vanuatu said in a statement.

In the Solomon Islands, the country’s central bank said that while the fuel prices at the petrol stations were currently stable, “the impact of the oil price shock is expected to be felt from April 2026 onwards”.

“Preliminary assessment indicates that sustained increases in global oil prices are likely to push up domestic fuel costs, thereby feeding into higher imported inflation and overall headline inflation,” the Central Bank of Solomon Islands said in a statement.

This article is republished under a community partnership agreement with RNZ.

Article by AsiaPacificReport.nz