Climate Action LedgerTracking climate leadership · Aotearoa NZ
LL-016··Labour-led government (Greens confidence & supply)·legislation

Industrial allocation ETS reforms (2023)

Win +1

What happened

Climate Change Response (Late Payment Penalties and Industrial Allocation) Amendment Act 2023: reformed industrial free allocation to address over-allocation; tighter eligibility for new activities; updated allocative baselines from 2024.

Why it matters

Reduces ETS free-allocation overhang - strengthens carbon price signal for industry.

Impact assessment

Meaningful ETS integrity reform; National later implemented baseline updates from 2024.

Attribution

shared (high confidence) -Labour, Greens

Labour-led ETS reform passed August 2023 before election.

Coalition period: Labour-led government (Greens confidence & supply) (17 October 2020 - 26 November 2023)

Categories

governancemitigation

Sources