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That is because non-polluting electricity, whether from hydro dams or wind farms, will rise in price along with electricity from fossil fuels when emissions trading comes into effect.
The analysts say the Government will benefit too because it owns most of the big companies.
Analyst Brian Leyland says a $20-a-tonne carbon charge would increase the price of electricity by two cents a kilowatt hour, but all producers would get that two cents.
However, the Government says the whole point of the emissions trading system is to ensure that clean companies earn more than polluting ones, providing an incentive to reduce emissions.
It denies there will be a windfall, saying any extra profits will be needed to pay for more renewable energy projects.
Farmers 'being subsidised'
Environmental groups say taxpayers will end up subsidising the agricultural sector until 2013.
Under the proposed emissions trading scheme, an unspecified price will be put on greenhouse gases and various sectors of the economy have a time line to adjust.
Agricultural emissions account for almost half of New Zealand's total, but farmers will be the last to join the trading scheme.
Forestry will be included from 2008. Transport fuels will be covered from 2009. Energy producers and large industrial emitters will be included from 2010.
Agriculture will not be part of the scheme until 2013, when the Government will give them 90% of their allocation of emission units, based on 2005 levels.
This means farmers will initially be accountable for 10% of their 2005 emissions. The allocation is intended as an incentive for farmers to reduce their emissions.
Environmental umbrella group ECO says farmers are being given a free ride, which doubles the burden on the rest of the community.
But Federated Farmers says New Zealand farmers are at world's best practice in producing food with the least climate change effect.
No sense of urgency - Greens
The Green Party says there is no sense of urgency in the proposed scheme. Greens co-leader Jeanette Fitzsimons says the scheme lets the farming sector off scot-free until 2013 and by the time it is fully operational, it may be too late.
Ms Fitzsimons says the party needs a lot more answers before it will support any legislation on the proposal.
The National Party says the proposed emissions trading scheme appears sound.
Deputy leader Bill English says National has argued for a tradeable emissions permit system and believes the Government's proposal is broadly consistent with National's policies.
Mr English says the Government must consider reforming the Resource Management Act, to make it easier for renewable energy projects to get off the ground.
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