Industrial Allocation
Issue 7, 8 July 2010

Welcome to the seventh issue of our e-newsletter to keep you up to date with the regulations-making process for allocating emissions unit credits to businesses under the New Zealand Emissions Trading Scheme (NZ ETS).

In this issue:

Applications for industrial allocation open

Applications for industrial allocation open today (8 July 2010) for the first group of eligible industrial activities:

  • production of methanol
  • production of carbamide (urea)
  • production of hydrogen peroxide
  • production of high purity ethanol
  • production of burnt lime
  • production of newsprint
  • production of tissue paper
  • production of chlorine gas and sodium hydroxide (caustic soda) solution
  • production of packaging and industrial paper
  • production of cartonboard
  • production of market pulp
  • aluminium smelting.

DEADLINE FOR PROVISIONAL ALLOCATION: 8 OCTOBER 2010

You must submit an online application form by this date to be considered for 2010 provisional allocation for the activities listed above. The form can be accessed from the climate change website – go to industrial allocation.

Application process

To apply for industrial allocation in 2010, a firm undertaking an eligible activity must:

  1. Set up an Emission Unit Register (EUR) holding account.
  2. Apply for industrial allocation by completing the online application form by the deadline. You’ll need to submit details about your activity, your 2009 production volumes, and your assessment of your entitlement to units. There is a spreadsheet to help you calculate your assessment.
  3. Check and sign the summary of your application sent by the Ministry for the Environment and return it to the Ministry with proof of identity.

If there are no problems with your application, we expect you will receive your units within six weeks of the Ministry receiving your signed application summary.

For more information on the application process, please visit industrial allocation on the climate change website.

If you need help, call 0800 CLIMATE (254 628) or email etsallocations@mfe.govt.nz

Publication of allocation decisions

Once provisional allocation decisions for 2010 have been made, the Ministry for the Environment will publish the names of the firms receiving allocations, but not the amount allocated.

The Ministry is required to publish all final allocation decisions, including the name of the person who received a final allocation, and the number of units allocated. The first final allocation decisions are likely to be published early 2011. The Ministry may withhold publishing the number of units allocated if the person can demonstrate this information would be likely to unreasonably prejudice their commercial position.

Please see What you need to know before applying for more information about the difference between provisional and final allocations.

Any firm who considers that publication of their allocation decision is likely to unreasonably prejudice their commercial position should contact the Ministry for the Environment, before or when making an application for an allocation, by email to: etsallocations@mfe.govt.nz

New calls for the provision of data

The production of reconstituted wood panels has been identified as potentially eligible for allocation. The Minister for Climate Change Issues has now issued a Gazette notice calling for data on emissions, production and revenue from firms carrying out this activity. The data submission deadline for this activity is 25 August 2010.

Data requested by way of Notice in the New Zealand Gazette is necessary to determine whether an activity will qualify for an allocation of emission units. Firms who do not submit data by 5.00 pm on the relevant deadline may not be able to receive units. Information on how firms should submit their data is available on the climate change website.

Freephone: 0800 CLIMATE (0800) 254 628
Email: industrialallocation@mfe.govt.nz