New Zealand: New Zealand Sets Out Plans for Agricultural Emissions Pricing

Recently, the New Zealand Primary Sector Climate Action Partnership – He Waka Eke Noa (HWEN) – delivered their recommendations on an alternative agricultural emissions solution to the NZ Emissions Trading Scheme (ETS). In its report, HWEN outlined various recommendations which center around a farm-level split gas levy on emissions. This farm-level split gas levy would separate charges directed at producers for short-lived gas emissions such as methane (CH4) and long-lived gas such as nitrous oxide (N20) and carbon dioxide (CO2). The final decision on the outcome of these recommendations sits with the Government and is expected to be made in December 2022. Following this, the relevant legislation is planned to be drafted in 2023.