Creating jobs with FIT for renewable energy


So how about this picture. If the Government gives us interest free loans to install solar panels on roofs, we could reduce the need for expanding coal and oil based electricity, whilst maintaining our geothermal and hydro production.

The Government would set up Feed In Tariffs enabling power companies to purchase spare power units to feed in to the grid to supplement its own resources and those of the community as and when required.

The technology would include smart meters where appliances and power consumption may be monitored by the consumer This is already available in NZ from companies such as SmartNow. This is very important because it educates consumers of all ages  as to the impact of each household appliance.

Smart Meter

You would be able to monitor this on your SmartPhone as well as the touch screen in your home, perhaps even control appliances remotely. Now you will know if you turn your 3 TV’s off instead of having them on stand by, exactly how much energy and cost you are saving.

Many of our household devices are developing sufficient intelligence to be turned on and off remotely. This can apply to anything from your stove or microwave, to your TV Set Top Box, washing machine, heating etc.

Kiwis are very clever. With a little encouragement and support, we could have people coming up with new technologies for smoothing power, sharing and reticulating, designing solar panels that look good and work more efficiently in our environment.

Whole new industries and thousands of jobs would come out of this. Educators, estimators, designers, manufacturers, installers, inspectors, service people, finance companies, new boutique electrical companies, to name a few.

New Zealand is an island and we can be potentially isolated from gas and fossil fuels, especially if the worst happened and a serious war broke out somewhere on the planet.

Do you think that in the Middle East, Europe or USA, they would be saying, oh don’t forget New Zealand, we must set aside x number of tonnes of crude for our antipodean mates down under? But I digress. We are smart people and I think we could create not only some serious domestic growth, but our inventions spawned from this adventure could also contribute to some huge potential export revenue through the innovations that we would produce.

We also made a commitment to being clean and green. Digging up coal and gas doesn’t exactly honor that commitment, although I agree we need the money. Maybe we can’t do it with solar and wind alone, but if we could produce even half of our requirements from our roofs whilst at the same time reducing power consumption through smarter use and education, wouldn’t that be cool?

We could also lead in international design and R & D, with companies like Fisher & Paykel in the development of new technologies that burn much less power, including heating, consumer electronics and more. We need revival of new companies like Gallagher, Rakon and Taits, which have shown that we can be world leaders in technology. Those number 8 fencing wire companies we are so proud of.

The problem is that all of this needs to start with the politicians and all I seem to hear from them is that the coal, oil and gas is worth a lot of money and we should sell them. OK, if we need to do that because New Zealand is insolvent, then do it, but put the money earned into renewables, try to make ourselves self sufficient and then develop export revenues by exporting the technologies we built and developed locally, exploiting our IP. Kiwis are smart people.

Come on National, Labour and Green Parties, lets take a long term view beyond the next election. Change only happens when you do something different. Make it happen and you can have the credit if that is what drives your ambitions, but lets show our leadership.

I didn’t mention tourism, but I don’t think people really buy into clean green anymore. Lets show them we can be clean and green and beautiful and then generate export revenue out of our new skills and industries.

As a footnote, a quote by Farrell J. January 2011 on the Ontario FIT which started in 2009 from New Rules Project:

Ontario’s clean energy program encourages local ownership and distributed generation, in part to broaden support for renewable energy and in part to capture the increased economic impact generated from local ownership.

The domestic content requirement has already resulted in the promise of 43,000 jobs and dozens of new manufacturing plants to support the 5,000 MW of new clean energy.

As a footnote, imagine if the panel didn’t have to be on your roof, but could be on every one of your windows and you could see through it? That’s what MIT is hoping for. 

The World Dairy Summit and Water


Auckland’s Sky City Convention Centre is hosting the World Dairy Summit this week, a conference which will be attended by delegates from all over the world.

I was pleased to hear that sustainability is a major part of this event, with a day committed to the environment. One of those sections is on knowing your water footprint and water accounting in the dairy industry. Another is zero waste, although I’m not sure if that takes into consideration the leaching of all sorts of bio waste, hormones and fertilizers into the rivers, such as the Waikato River from which we Aucklanders have to drink, but I digress.

In a recent blog about In Vitro Meat I mentioned that according to Fred Pearce who wrote the book When the Rivers Run Dry, it requires around 24,000 liters of water to grow the feed to make a kilo of beef, or 2,400 liters for a Quarter Pounder. Now that’s a lot of water. We’re quite lucky in New Zealand being an island nation, that we get a lot of rain, but a lot of the world is not so lucky.

Of course this water is recycled in some ways, although not scientifically, most of it flows back into the ground together with whatever chemicals and particulates have been absorbed with it. That is why I previously blogged about the water quality issue in Auckland with the Super City Elections, but this was not high on any agendas.

Now my blog has been criticized before by farmers saying I am anti farming. This couldn’t be further from the truth and I love eating meat. I’ve gone off pork in recent times having seen how its farmed, but I won’t say no to wild pork.

I chose the following video because it helps explain the water issue in growing beef, but I won’t be following the advice to become a vegetarian. I don’t think humans were supposed to be vegetarian. I just think we need to stop the outrageous waste of water in our current farming methods and find better ways to grow feed, recycle water and reduce the amounts required in the farming process. I hope that New Zealand will take a stronger leadership position on water and its preservation. We are on the verge of a global water crisis and I believe that we are taking it for granted that we will always have plenty downunder.

Barter, the New Old Economy


I’ve just got back from a break in Rarotonga, which was a wonderful place to visit for peace and rest. It was thought provoking even though thought was not high on my agenda.

I finished a piece of music I had been working on and called it Rarotonga, which you can find on Youtube and my About Songwriting blog. While there I attended a wonderful gospel church service where I had some great singing. This was followed by a bountiful morning tea put on by the open generosity of the locals.

Most of the church service was in Rarotongan Maori, however 2 words that I did understand were Climate Change. In a country where most of the land is very close to sea level this is a real challenge. You need to spend a little time on a South Pacific Island to understand what is at risk.

The one thing you must do when visiting a new country is visit with the people. 3 things stood out:

1. Everyone expressed their gratitude that we visited and explained that their country was entirely dependent on tourism.

2. Every person had at least 2 or 3 jobs and good pay was considered to be about US5 an hour. Other than Sunday’s, most people would be working 12+ hour days.

3. There was a sub economy operating below the cash economy. People trade goods or services. It might be people swapping fish for Taro or playing music in return for food and the ability to promote and sell merchandise such as CD’s.

As you do, when you deliberately disconnect from the grid, you catch up with reading and I got to reading up on Life Inc by Douglas Rushkoff. One of his arguments is that the world’s economies are driven by corporations, banks and other large entities who perhaps care more about themselves and keeping communities reliant on them than helping the people they serve gain any level of independence.

I was blown away by some of the examples of alternative trading systems he came up with, although I don’t know why. Barter as a concept is probably as old as mankind, but a new economy seems to   be reemerging in innovative ways. I’ve known doctors who accepted fish or other produce from patients who couldn’t afford to pay fees in New Zealand. I’ve known plenty of people who share their specialties, a plumber who does work on an electricians home and the electrician is owed a favor by a motor mechanic who then does a job for the plumber for free. The traditional economy still gets revenue from the parts that are used, which includes all the traders and of course tax in all its forms.

From a business point of view, I use Bartercard and they are a great organisation who I recommend. They have Bartercard Maps which uses GeoSmart Maps technology to help you find what you need based on location. However, fundamentally it is still a form of currency and our accounts department and Inland Revenue treat it no different than cash. In some cases, such as accommodation I also sometimes feel that the product you get is a little less quality than you would get if you were paying cash.

One good thing about Bartercard I like is that it is local, at least it encourages companies to use local suppliers. Despite our position, I feel many organisations in NZ from Government Departments through to consumers do not consider supporting their local economy as a major factor in making purchasing decisions.

I don’t want to go into any real detail about the examples in Rushkoff’s book, because that’s what the book is for and you might want to read it. There are some great deals on Amazon. I don’t think you’ll find it in your local bookstore.

Here’s a couple of cool examples.

  • CSA or Community Shared Agriculture. The concept is that people not only commit to buying their produce from a particular local farm, but they even commit to doing a small amount of work on it to help support it. This gives some security to the local farmer, but also helps build local community spirit and has people involved and doing something they would not normally do in their daily lives.
  • In Japan, the Sawayaka Welfare Foundation came up with a ‘complementary currency’ where young people could earn credits for taking care of elderly people. Those credits, called Fureai Kippu can then be applied to the care of their own elderly relatives who may live in a different part of the country. Because it is by the people and for the people, many say that the standard of support they get is far better than if it was provided by commercial caregivers.

The book also has lots of ideas about local loyalty programs that serve to build greater loyalty to local traders and creates stronger community feeling, which can and should apply to any town or village. The people who work, have restaurants or businesses near your home, are your neighbors. We are  often too quick to go and give profit to multinationals, when we could be supporting our local businesses and then complain when our potential customers don’t use our services.

To a degree this blog was motivated by my trip to Rarotonga and the music I wrote which you can listen to below. But it is also out of concern for our future. New Zealand, like Rarotonga runs the risk of becoming isolated. If a war were to strike overseas and our imports (including oil products, food, clothing and technology) how well prepared are we to continue living to the standard we are accustomed to? People in Rarotonga told us about the island running out of fuel for a few days and the chaos that ensued. How long would we continue our lifestyle without petrol and diesel?

Food scarcity and arid land


In my last blog post I wrote about the importance of agriculture to our economy. Then I started hearing stories that farm sales were down, especially dairy. Apparently of over 4,000 farms on the market, only around 200 sold last month.

Good news for some of the farmers who want out, because there are foreign investors who want to buy them. One company wants to spend $1.5 Billion dollars buying NZ farms. You would have to wonder if we can’t make a good living out of farming how can other countries do it? If we do sell them, where will the earnings from those farms go? Not into our pockets I would suggest.

China has a problem. They have a large dry land mass and not enough water to grow the crops they need and a huge and growing population. What are they doing about it? They and other countries such as Middle East are buying good arable land wherever they can get it for a good price. For example China is buying farming land in Mozambique, Angola, Malawi, Nigeria and even Zimbabwe. It’s not all bad, they are teaching local farmers better techniques in animal husbandry, improving crop yields etc.

What are the motives of China and Arabic countries in buying this land? They need the food. In Ethiopia, one of the worlds poorest countries, not only are they selling land to foreign countries, they are giving them tax holidays for a number of years, but what is of greater concern is the expectation that most, if not all of the crops will be going back to countries such as China, Saudi Arabia and Kuwait.

I ask myself therefore, again, why can’t we produce high yield crops on our fertile soils and sell it to the countries that need it. Once those countries have bought our land, we won’t be getting it back and I wouldn’t expect us to gain much in GDP from the crops they grow.

As I said in my last blog, the ‘good old days’ were when we were largely an agrarian economy, we had plenty and we also had plenty to export. Now we have fantastic biotechnology and the ability to increase yields, quality and in many cases without using GM technologies.

I would hate to look into our future and see a country that can’t feed itself, that grows crops on farms owned by other countries, go straight offshore to feed them with minimal economic benefit to us. I would welcome someone to explain the logic of this.

We have expertise, maybe we should be assisting some of those countries who are unable to maximise the return on their land, help them thrive and clip the ticket. That would be a win win. While we do that, we also continue to research and improve product, the grasses and other food sources for animal feed etc. We do have some successes such as Fonterra, Livestock Improvements and many other thriving areas of research and results in biotechnology. We should stick with what we are good at and rather than give our farms to the Chinese, Arabs and others who want them, let the Government buy them. They could be run by unemployed people, who would get training on the job and perhaps even interest free loans to purchase some of those plots and use the skills they have obtained to build themselves a healthy asset and income, while increaseing our balance of payments. Is that silly? What’s wrong with my thinking?

In February this year there were around 168,000 people unemployed. Lets put them to work on those farms, teach them a trade, help them make something of themselves and help them earn the money to buy there way in with low interest loans and subsidies. What could we produce with 168,000 people working instead of paying them to do nothing. The single person benefit is around $160. That works out to a wasted loss of around $26,880,000 per annum. I say lets buy those farms and keep them in New Zealand hands.

This Video from TVNZ gives an example of what is happening.

I’ve been thinking


Do what you do well, is advice that is often given. Get back to basics. So let’s think about this for a moment from a New Zealand perspective. At the moment our economy, like many economies is looking grim. We are borrowing lots of money to stay afloat. We look to electronics, bioengineering and other things that we are good at, but aside from a few exceptions we don’t seem to capitalise on it. We are great with ideas, but not so good at doing something about it.

We have some success stories sure, wine does ok, lamb was doing ok until they invented food miles and we are pretty successful at controlling segments of milk and fruit, particularly apples and kiwifruit. The legacy of people like Angus Tait (who I had the privilege of working for 7 years) continues, but without his innovative attitude. We have some success stories, but they are really far and few between.

Many years ago, when we all took it for granted, we were an agrarian economy and very successful at it. We’ve been successful food exporters, right back to when the Dunedin, the world’s first refrigerated ship left New Zealand full of frozen meat carcasses, back in 1882.

New Zealand fed many parts of the world for over a hundred years and life was good. Live sheep have been exported for over 100 years, although a number of incidents where thousands of sheep died have had a negative impact on this. My biggest argument, besides the inhumanity of keeping live animals penned up for so long, was that much of the stock was exported for breeding purposes, which of course reduced the demand for our own product.

But I digress. In today’s economy, we seem to have turned our backs on some opportunities, such as creating large call centres to look after communications needs of other English-speaking countries in other time zones, a market that South Africa has made a huge industry out of. We aren’t doing enough in areas such as science and medicine, possibly because the people with the smarts go offshore.

So lets look at what problems the world is going to face in the near future, in fact many parts of the world are facing right now, food! Scarce water resources, growing populations and growing tracts of land that are becoming so dry and depleted that nothing will grow on them. Then of course we also have oceanic dead zones, which are killing fish and other sea life.

Is this something we could look at with a different De Bono Hat on? Oceanic Dead Zones thrive through a combination of fertilisers and nutrients that leach into rivers and down to the sea, causing large algae blooms. These compound as the phytoplankton absorbs available oxygen and pretty much kills everything off.

Could this be another opportunity? When I need some extra energy before a run, I swallow a pile of Spirulina. Spirulina is actually algae. Of course the algal blooms often contain toxins, but there are many algae that can be used as a food source. Perhaps we could turn a bad situation into a good one.

In New Zealand, since we signed the Kyoto protocol, it has become relatively economic to grow forests (which while gobbling up Carbon Dioxide also use up a lot of water). We have lots of land, a good climate for agriculture and a need to find new sources of income. In fact I have heard that NZ can no longer feed its population without importing food. So why don’t we start looking at ways of growing bulk food?

If we want to do the right thing, we could look at product that has low cost to grow, that we can export for a profit and help countries that have problems at the same time. More than 1 billion people (1 in 6) suffer from food deprivation.

Food Science is something we are very good at. Most universities have food science and biotechnology majors and there is even a Food Science Institute. Many people have a problem with GE Food. I don’t personally know enough about it, but one way or another we either have to put production into overdrive or accept that hundreds of millions of people will die soon through malnutrition and starvation.We have a food crisis now. Grain is scarce and with oil running out a lot of people are now growing grain to fuel cars, creating even less food source.

Whilst human population growth is slowing, there were still 74 million new mouths to feed last year. A large chunk of these are in countries where soils are eroding, water tables falling and wells going dry.

Water politics is becoming a new issue and it could be that future wars are fought between countries that share water sources. This is especially likely where low lands are reliant on water coming from highlands. Think Europe, where many of our recent wars have begun. But again I digress.

Can we go back to agriculture as something we are very good at and the world needs? Dairy is currently our biggest export and apparently Fonterra’s income represented 25% of New Zealand’s total export revenue 2 years ago!

So we are good at growing crops, but could we do more? I think so. First, we should be self sustainable. We can’t afford to rely on other markets, especially when things get to a crisis where 1st world countries start fighting over resources. Then we should look at how we can feed the world and get paid for it. As a country surrounded by sea, we do not face the extremes that occur with countries that have large land masses, including our neighbours Australia.

As to Food Miles, I’m all for sustainability, so lets look at this is an opportunity. This can mean focussing on closer markets such as Australia and Asia, but also on biotechnology to get more for less.

Sometimes I think we try to be too clever. Faster computers, cloud computing, cars, planes, rockets, 3D TV, all things I want to continue to enjoy, are meaningless to the ever rowing numbers of starving and malnourished people around the world. Because of our geographic isolation, we became very good at food. Let’s look for more and new ways to exploit this. Lets make sure that if everything turns to dung, we can still feed ourselves, then lets look at how we can help feed the world and pay off our national debt at the same time.

I’ll leave the last word to NASA who have remote sensing technology to monitor conditions affecting food resources and their management: