Transport
Most forms of travel are fuelled by liquid fossil fuels, such as petrol and diesel, which result in emissions of greenhouse gases into the atmosphere. The emissions trading scheme covers liquid fossil fuels used in New Zealand. It covers petrol, diesel, aviation gasoline, jet kerosene, light fuel oil, and heavy fuel oil. Emissions from fuel used for international aviation and marine transport are exempt from the scheme, consistent with the Kyoto Protocol.
The Climate Change Response (Emissions Trading) Amendment Act sets up a process for the potential inclusion of two sources of fuel that are otherwise excluded from the scheme:
- fuel used by international cargo carriers on domestic shipping legs when domestic cargo is carried; and
- fuel used while fishing in the exclusive economic zone where the fuel was not purchased in New Zealand.
Future inclusion of these activities would ensure that the same emission trading costs are faced by all carriers of domestic cargo and all vessels fishing in New Zealand waters.
Participants can start reporting their greenhouse gas emissions voluntarily from 1 January 2009. The due date for the voluntary report is 31 March 2010. Participants in the transport sector will be required to report their greenhouse gas emissions from 1 January 2010. The due date for the mandatory report is 31 March 2011. The transport sector starts having obligations to surrender emission units from 1 January 2011.
The NZ ETS is presently under review by the Government. These dates may change.
- Climate Change Response (Emissions Trading) Amendment Act (NZ Legislation website)
- Climate Change (Liquid Fossil Fuels) Regulations 2008 (NZ Legislation website)
- Draft regulations to provide for Unique Emissions Factors for the liquid fossil fuels sector have been released for consultation. Submissions closed on 30 June 2009.
Last updated: 17 September 2009
