This page has information on the New Zealand Emissions Trading Scheme review 2015/16 which concluded in July 2017.
About the review
The Government has completed the 2015/16 review of the New Zealand Emissions Trading Scheme (NZ ETS). The review assessed how the NZ ETS should evolve to support New Zealand in meeting future emissions reduction targets and its ongoing transition to a low emissions economy. The review followed the announcement by the Government in July 2015 that New Zealand's post 2020 target is to reduce greenhouse gas emissions to 30 per cent below 2005 levels by 2030.
The review focused on:
- some transitional measures introduced to moderate the impacts of the NZ ETS
- what is required for the NZ ETS to evolve with changing circumstances including future targets
- operational and technical improvements.
The review followed a two-stage process.
Outcomes from stage one of the review
Stage one considered the priority issues of moving to full surrender obligations and managing the costs of this. It concluded in May 2016 with a Decision to phase out the one-for-two transitional measure from the NZ ETS.
For a summary of submissions from stage one see New Zealand Emissions Trading Scheme Review 2015/16: Summary of stage one priority issues consultation responses.
Outcomes from stage two of the review
Stage two of the review focused on the design and operation of the NZ ETS, to assess how the settings can best support New Zealand to meet the 2030 target and subsequent targets.
Stage two concluded in July 2017 with in-principle decisions on a package of four proposals to improve the operation of the NZ ETS in the 2020s. See Outcomes from stage two of the NZ ETS Review 2015/16
Submissions on stage two of the review reinforced that stakeholders want a clear and stable policy direction and continued engagement with the Government on the NZ ETS. For a summary of submissions from stage two of the review see New Zealand Emissions Trading Scheme Review 2015/16: Stage two submissions
Background information on consultation
The review discussion document set out the issues that the Government consulted on from 24 November 2015 to 30 April 2016, as well as the objective and drivers for the review. It also contains the terms of reference for the review. The following three technical notes were made available to support submissions on the NZ ETS review's priority issues, which were due on 19 February 2016.
- The New Zealand Emissions Trading Scheme evaluation report 2016
- Economic impacts of removing NZ ETS transitional measures
- Afforestation responses to carbon price changes and market certainties
As part of stage two of the review, the following two technical notes provided information and sought feedback on specific issues relating to forestry and on operational matters that could be improved.