Agricultural emissions

Over the next few months, we have a programme of work to look at measurement, management and pricing of agricultural emissions and also what assistance – if any – is needed for agricultural emissions pricing. We are clear in our advice – Ināia tonu nei – that emissions pricing is important, but that it is only one part of the response in reducing agricultural emissions. You can read more about it here.

Agricultural Progress Assessment

This work is about assessing the primary sector’s readiness for a farm-level system for managing agricultural emissions. This involves an assessment of the progress that the He Waka Eka Noa partnership has made towards designing and implementing a farm-level system for pricing agricultural emissions, outside of the New Zealand Emissions Trading Scheme (NZ ETS).

By June 2022, we must report to the Minister on the primary sector’s readiness to participate in emissions pricing at farm-level, identifying any barriers to implementation and the steps needed to support progress.

Agricultural Assistance

We have been asked by the Minister of Climate Change and the Minister of Agriculture for our advice on what assistance, if any, should be provided to farmers in a future farm-level emissions pricing system. This request has been made under Section 5K of the Climate Change Response Act. 

The terms of reference for this work are published below as required under the Act, along with our correspondence with Ministers on this matter.  

This is a specific piece of advice that will form part of our wider Agricultural Progress Assessment which looks at measurement, management and pricing of agricultural emissions. 

We are clear in our advice – Ināia tonu nei – that emissions pricing is important, but that it is only one part of the response in reducing agricultural emissions.  

This Terms of Reference and accompanying letter also note a month delay to when He Waka Eke Noa will have its final recommendations of an alternative pricing system ready. We understand the need for the HWEN process to be delayed. However, the parallel development of HWEN's emissions pricing proposal and the Commission's assessment of that proposal, alongside further detail to be announced in the Government’s Emissions Reduction Plan will potentially affect the scope and depth of our advice.  

Letter from Minister’s requesting advice from the Commission under 5k and draft Terms of Reference (TOR) (441 KB)
Our response letter and suggested amendments to the TOR (595 KB)
Letter from Minister’s providing final TOR for the request (397 KB)
Terms of Reference (PDF 291 KB)

Agriculture work programme information (PDF 103 KB)