Have your say on updates to auction settings and regulations for the NZ ETS
The Government is seeking feedback on its annual review of auction settings and other regulations for the New Zealand Emissions Trading Scheme (NZ ETS).
We are seeking feedback from people who participate in the NZ ETS and anyone with an interest in the NZ ETS.
The NZ ETS is our key tool to reduce our emissions and meet our climate change targets. The NZ ETS helps to achieve this by putting a price on greenhouse gas emissions. People carrying out certain activities must provide a New Zealand Unit (NZU) to the Government for every tonne of climate pollution they emit. This is known as a surrender obligation.
The Government holds quarterly auctions of NZUs that NZ ETS participants can purchase to meet their surrender obligations. This consultation relates to the unit limits and price control settings for the Government’s quarterly auctions.
The Government updates NZ ETS unit limits and price control settings each year, for the following five years. This year’s consultation is on annual updates for the period 2026 – 2030.
- Unit limits — help cap the supply of units into the NZ ETS over time. This helps to keep emissions in line with greenhouse gas reduction targets.
- Price control settings — set upper and lower price controls for NZUs at auction.
This consultation covers other technical changes to NZ ETS regulations to help the NZ ETS run more accurately and efficiently for participants.
The Ministry is hosting two webinars on the proposals included in the consultation.
- ETS Settings and Regulations webinar 1: 10.00am, Wednesday 4 June. Register for webinar 1.
- ETS Settings webinar 2: 10.00am, Wednesday 11 June. Register for webinar 2.
- Government officials will analyse feedback received during consultation, before making final decisions on the settings and regulation changes.
- These decisions will be finalised by the end of September 2025, and will come into effect from 1 January 2026 unless specified otherwise.