Climate Change Response (Emissions Trading Reform) Amendment Bill

Last updated: January 17, 2020

Energy

Climate Change Response (Emissions Trading Reform) Amendment Bill

Published: January 17, 2020

Submitting To: Environment Select Committee

Issue for Business: An emissions trading scheme is a market-based policy instrument that provides a cost effective way to assist in controlling greenhouse gas emissions if designed properly. The nature and significance of the NZ ETS has evolved from a nested system under the Kyoto Protocol to a key policy instrument supporting the decarbonisation of the NZ economy at a low cost. Many of the current NZ ETS settings – reflecting legacy objectives or transitional measures – are incompatible, incomplete, or altogether lacking for the purpose of meeting emissions reduction budgets at a low cost. BusinessNZ accepts that the NZ ETS must be reformed. The nature of the changes proposed in the Amendment Bill – and which we address in this submission – is to enable the Minister to recommend regulations on various matters pertaining to the ETS (and specifically, if auctions are introduced). We therefore recognise that (except industrial allocation) the Amendment Bill addresses ETS design changes from a high-level perspective and expect that technical details on these changes will be consulted on separately in the context of amendments to ETS regulations (e.g. as per MfE’s most recent (2019) consultation document on auction price control levels and auction volumes).

0 Comments

Submit a Comment

Reports in Energy

Ensuring an Orderly Thermal Transition

Submitting to: Electricity AuthorityAuthor: Levi GibbsDate: 2023-07-28Category: EnergyIssue for Business: The EA has assessed the risk of an disorderly exit of thermal electricity generation. The Authority considers the risks to be low. Based on their assessment with ...

Input Methodology Review 2023 regarding EDBs

Submitting to: Commerce CommissionAuthor: Levi GibbsDate: 2023-07-19Category: EnergyIssue for Business: The Commission's draft decision largely retains the current methodology. This may not be prudent considering the evolving needs of electrification. There are instances ...

Strengthening national direction on renewable electricity generation and transmission

Submitting to: Ministry of Business, Innovation and Employment (MBIE)Author: Levi GibbsDate: 2023-06-01Category: EnergyIssue for Business: The Government has announced two new National Policy Statements on the national direction for renewable electricity and ...