Ensuring Emissions Trading Scheme (ETS) market-sensitive information is released fairly

The Ministry for the Environment (MFE) uses a protocol for the release of market sensitive information to ensure fairness and equal access to information. This helps support a credible ETS market.

The protocol is applied strictly. However, there may need to be a slight deviation from the protocol in certain circumstances.

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What is Emissions Trading Scheme market-sensitive information?

Market-sensitive information is information that’s not publicly available and, if known, could:

  • influence someone to trade New Zealand Units (NZUs), or
  • affect the price of NZUs.

You can find the fully detailed protocol here: Appendix 1 Core Components of Protocol for New Zealand Carbon Unit (NZU) Market Sensitive Information [PDF 168KB]

There are four categories of information

Category 1: High impact and high complexity

Example: Release of an emissions reduction plan.

Category 2: High impact, lower complexity

Example: Release of ETS settings decisions.

Category 3: Other market-sensitive information

Example: Modelling results or responses to questions after an earlier announcement.

Category 4: Not directly market-sensitive but of interest to the market.

Example: release of ETS auction dates.

Important: Announcements with market-sensitive information must not occur within two weeks before, or two days after ETS auctions.

Controls for each category

Categories 1 & 2

  • Market participants get at least 24 hours’ advance email notice (without sensitive details) that an announcement will take place the next day. 
  • Announcements are made outside trading hours (8am–8pm), ideally before 7:30am. 
  • Exception: If release must occur during trading hours (eg a report tabled in Parliament), advance notice will alert the market. 

Category 3

  • Announcements are made outside trading hours, ideally before 7:30am. 
  • Exception: If release must occur during trading hours (eg a report tabled in Parliament), advance notice will alert the market.  

Category 4 

  • Market participants are emailed about the release. 
  • Emails and announcements can occur during trading hours. 

 

Governance and next steps

  • Cabinet endorsed this protocol in March 2025. MfE is working to include it in a Cabinet Circular so Ministers also know how to follow the protocol.
  • We invite feedback from market participants and commentators to ensure the protocol remains fair and effective. Please send feedback to ETSFeedback@mfe.govt.nz.
  • If you would like to be included in the emails to market participants, please send a request to ETSFeedback@mfe.govt.nz.

Why this matters

The ETS is a key tool for meeting our domestic and international climate change targets, and ETS market must function with integrity and maintain credibility.  These controls ensure fairness and transparency for all ETS market participants.