The Emissions Trading Scheme (ETS) is the price-based mechanism established by Parliament to:

• Reduce net greenhouse gas emissions below business-as-usual levels
• Comply with our international obligations, including our Kyoto Protocol obligations

MAF administers the scheme for the forestry and agriculture sectors, in conjunction with the Ministry for the Environment and Ministry of Economic Development.

Forestry entered the scheme in 2008 and, under the Climate Change Response Act 2020, agriculture is set to enter the scheme in 2015, with mandatory reporting starting in 2012.

The ETS is a key part of the Government's overall climate change policy. It is subject to review every three years, with the first review having been conducted in 2011.

MAF also represents New Zealand in international negotiations on climate change that relate to agriculture and forestry, to advance New Zealand's interests and support it to meet its international commitments.

ETS Review 2011

The Climate Change Response Act 2002 required a review of New Zealand’s Emissions Trading Scheme (ETS) to be completed before the end of 2011. The review was conducted by an independent Review Panel which released an issues statement for consultation, and reported to the Minister for Climate Change Issues on 30 June 2011.

For more information, including the report, visit the Government Climate Change website

Related Publications

• Introduction to Forestry in the ETS
• A Guide to Forestry in the Emissions Trading Scheme
• A Guide to Agriculture in the Emissions Trading Scheme - a brief, general introduction to the New Zealand Emissions Trading Scheme as it applies to the agriculture sector.