Reforming industrial allocation in the NZ ETS

Results updated 12 Mar 2025

Decision

The Government has announced it is to introduce changes to industrial allocation policy in the New Zealand Emissions Trading Scheme (NZ ETS). 

Industrial allocation changes will be progressed through a Bill that would amend the Climate Change Response Act (CCRA). This is scheduled to be introduced at the end of 2022. 

Read the summary of proposed changes

See also related:

• Cabinet paper
• Cabinet minute
• Regulatory impact statement

Timeline for changes and opportunity for public input

• The public will have an opportunity to comment on policy decisions during the Select Committee stage of the Bill.
• Subject to changes to the CCRA, the government will undertake a data collection exercise to inform updates to allocative baselines and retesting of eligibility. Changes to the Climate Change (Eligible Industrial Activities) Regulations 2010 will then follow.
• The earliest the changes could be implemented is 2024. This means that the earliest any downward shifts in eligibility could come into effect would be 2026.

About the consultation

From 8 July to 17 September 2021, the Ministry for the Environment (the Ministry) consulted on a range of options to improve industrial allocation (IA) policy in the New Zealand Emissions Trading Scheme (NZ ETS).

Thank you to all who made a submission.

Read the summary of submissions (PDF 528KB)

Individual Submissions

Files:

• Emailed submissions, 26.9 MB (PDF document)

Published responses

View submitted responses where consent has been given to publish the response.