Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698753360387.pdf (New Zealand)
Reprint as at 26 September 2008 Climate Change Response Act 2002 Public Act Date of assent 2002 No 40 18 November 2002 1 Title Contents Part 1 Preliminary provisions 2 2A 3 4 5 Commencement Application of Schedules 3 and 4 Purpose Interpretation Act binds the Crown Page 11 11 12 14 15 37 Note Changes authorised by section 17C of the Acts and Regulations Publication Act 1989 have been made in this eprint.
A general outline of these changes is set out in the notes at the end of this eprint, together with other explanatory material about this eprint.
1 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Part 2 Institutional arrangements 6 7 8 8A 9 Subpart 1—Powers of Minister of Finance Minister of Finance may carry out trading activities with respect to units Minister of Finance may give directions to Registrar regarding accounts and units Registrar must give effect to directions of Minister of Finance Minister of Finance must publish directions Minister of Finance may obtain information from inventory agency and Registrar Subpart 2—Registry Purpose of Registry 10 Purpose of Registry Registrar Appointment of Registrar Registrar responsible for Registry Registrar may refuse access to, or suspend operation of, Registry Registrar must give effect to directions [Repealed] Registrar to allocate unique numbers Carry­over of certain Kyoto units Commitment period reserve Unit register Form and content of unit register Opening holding accounts Closing holding accounts Transfer of units 18 18A 18B 18C 18CA Effect of surrender, retirement, cancellation, and conversion 18CB Restriction on surrender of assigned amount units 18CC Restriction on surrender of assigned amount units issued during ﬁrst commitment period 18CD Effect of surrendering restricted assigned amount units 18D 18E 19 20 Succession Trusts, representatives, and assignees of bankrupts Retirement of Kyoto units by the Crown Transactions must be registered 2 37 37 40 40 40 41 42 42 43 43 43 44 44 45 46 47 48 49 50 50 51 51 52 52 53 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Registration procedure for Kyoto units 21 21AA Registration procedure for New Zealand units and approved overseas units Electronic registration Defective applications Transactions take effect when registered Receiving Kyoto units from overseas registries Receiving New Zealand units and approved overseas units from overseas registries Priority of registration Correction of unit register Unit register must be open for search Information accessible by search Search of unit register
 Printed search result receivable as evidence Recovery of fees The Crown or Registrar not liable in relation to searches in certain cases Expiry of long­term certiﬁed emission reduction units and temporary certiﬁed emission reduction units Expiry of long­term certiﬁed emission reduction units Replacement of certain long­term certiﬁed emission reduction units Expiry of temporary certiﬁed emission reduction units Miscellaneous provisions Conversion of New Zealand units into designated assigned amount units for sale overseas or cancellation Restrictions on certain New Zealand units allocated to landowners of pre­1990 forest land Regulations relating to Part 2 Procedure for certain regulations relating to units Incorporation by reference in regulations made under section 30G Signing false declaration with respect to regulations made under section 30G Providing false or misleading information to Registrar 21A 21B 22 23 23A 24 25 26 27 28 29 30 30A 30B 30C 30D 30E 30F 30G 30H 30I 30J 30K 53 56 57 57 58 58 59 60 60 61 62 65 65 66 66 67 68 69 69 71 71 74 74 75 75 3 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Subpart 3—Inventory agency [Repealed] Part 3 Inventory agency Meaning of greenhouse gas Primary functions of inventory agency Inventory agency under direction of Minister Record keeping Publication Inspectors Authorisation of inspectors Power to enter land or premises to collect information to estimate emissions or removals of greenhouse gases Limitation on power of entry under section 37 Power of entry for inspection Applications for warrants Entry of defence areas Proof of authority must be produced Notice of entry Information obtained under section 39 or section 40 only admissible in proceedings for alleged breach of regulations made under section 50(2) Return of items seized Protection of persons acting under authority of this Part Offences and penalties Failing to provide required information to inventory agency Obstructing, hindering,
 resisting, or deceiving person exercising power under Part Signing false declaration in respect of regulations made under section 50 Providing false or misleading information to Registrar [Repealed] Miscellaneous provisions Reporting Regulations Incorporation by reference in regulations made under section 45A 46 47 48 48A 49 50 51 4 Reprinted as at 26 September 2008 Climate Change Response Act Inventory agency must report to Minister on certain matters before certain regulations are made Consequential amendments Part 4 New Zealand greenhouse gas emissions trading scheme Subpart 1—Participants Participants Associated persons Registration as participant in respect of activities listed in Schedule 3 Applications to be registered as participant in respect of activities listed in Schedule 4 Removal from register of participants in respect of activities listed in Schedule 4 Removal from register of participants in respect of activities listed in Schedules 3 and 4 Exemptions in respect of activities listed in Schedule 3 Participants must have holding accounts Monitoring of emissions and removals Liability to surrender units to cover emissions Entitlement to receive New Zealand units for removal activities Annual emissions returns Quarterly returns for other removal activities Retention of emissions records Subpart 2—Issuance and allocation of New Zealand units Interpretation Issuance of New Zealand units Notiﬁcation of intention regarding New Zealand units Allocation in respect of pre­1990 forest land Minister to appoint person to hold certain New Zealand units Allocation to industry Establishment of Innovation Fund Allocation to ﬁshing vessel operators Allocation to agriculture Other matters with respect to allocation plans Draft allocation plans Governor­General may
 issue allocation plans Correction and publication of allocation plans Content of criteria and methodologies in allocation plans Climate Change Response Act 2002 Reprinted as at 26 September 2008 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 Determinations made in accordance with allocation plan Minister may require further information after determination made New determination made in accordance with allocation plan Effect of new determination Balance of units at end of true­up period or other balance date Subpart 3—Chief executive General administrative provisions Functions of chief executive Directions to chief executive Chief executive to publish certain information Chief executive may prescribe form of certain documents Approval of unique emissions factors Recognition of veriﬁers Veriﬁcation and inquiry Appointment of enforcement ofﬁcers Power to require information Power to inquire Inquiry before District Court Judge No criminal proceedings for statements under section 95 or 96 Expenses in relation to inquiries by chief executive or District Court Judge Obligation to maintain conﬁdentiality Power of entry for investigation Applications for warrants Proof of authority must be produced Notice of entry Information obtained under section 100 or 101 only admissible in proceedings for alleged breach of obligations imposed under this Part and Part 5 Return of items seized Protection of persons acting under authority of this Part Emissions rulings Applications for emissions rulings 107 108 Matters in relation to which chief executive may decline to make emissions rulings 109 Making of emissions rulings 6 124 126 127 130 131 133 133 134 135 136 137 137 138 139 139 140 140 141 142 143 144 144 145 145 146 146 147 148 Reprinted as at 26 September 2008 Climate Change Response Act 2002 110 111 112 113 114 115 116 117 118 119
Act Notice of emissions rulings Conﬁrmation of basis of emissions rulings Notifying chief executive of changes relevant to or failure to comply with emissions rulings Correction of emissions rulings Cessation of emissions rulings Appeal from decisions of chief executive Effect of emissions rulings Chief executive may publish certain aspects of emissions rulings Emissions returns Submission of ﬁnal emissions returns Power to extend date for emissions returns Amendment to emissions returns by chief executive Assessment if default made in submitting emissions return Amendment or assessment presumed to be correct Effect of amendment or assessment Reimbursement of units by chief executive Repayment of units by persons in case of error Obligation to surrender or repay units not suspended by review or appeal Time bar for amendment of emissions returns Amendments and assessments made by electronic means Subpart 4—Offences and penalties Strict liability offences Offence for breach of section 99 Offence for failure to provide information or documents Other offences Evasion or similar offences Penalty for failing to surrender or repay units Reductions in penalty Additional penalty for knowing failure to comply Interest for late payment Obligation to pay penalty not suspended by appeal Liability of body corporate Liability of directors and managers of companies Liability of companies and persons for actions of director, agent, or employee Limitation period for commencement of proceedings Evidence in proceedings Climate Change Response Act 2002 Reprinted as at 26 September 2008 Subpart 5—Review and appeal provisions Request for review of decisions Right of appeal to District Court Appeals to High Court on questions of law only Subpart 6—Miscellaneous
 provisions Giving of notices by chief executive Giving of notices to chief executive Sharing information Formation of consolidated group Changes to consolidated groups Nominated entities Effect of being member of consolidated group Emissions returns by consolidated group in respect of activities in Part 1 of Schedule 4 Ceasing to be member of consolidated group Effect of ceasing to be member of consolidated group Joint activities Compensation for participants where public works result in liability to surrender units Chief executive must surrender or repay units for person who is in default or insolvent Reviews of operation of emissions trading scheme Appointment and conduct of review panel Regulations adding further activity to Part 2 of Schedule 4 Regulations relating to methodologies and veriﬁers Regulations relating to unique emissions factors Procedure for regulations relating to methodologies, veriﬁcation, unique emissions factors, and offsetting Regulations relating to fees and charges Other regulations Incorporation by reference in regulations made under section 163 Effect of amendments to, or replacement of, material incorporated by reference in regulations Proof of material incorporated by reference Effect of expiry of material incorporated by reference Requirement to consult Public access to material incorporated by reference Acts and Regulations Publication Act 1989 not applicable to material incorporated by reference Reprinted as at 26 September 2008 Climate Change Response Act 2002 176 177 178 Application of Regulations (Disallowance) Act 1989 to material incorporated by reference Application of Standards Act 1988 not affected Recovery of fees or charges 199 199 199 Part 5 Sector speciﬁc provisions Subpart
 1—Forestry sector General 179 Forest land to be treated as deforested in certain cases 200 Pre­1990 forest land Participant in respect of pre­1990 forest land 180 181 When deforestation to be treated as occurring in respect of 183 pre­1990 forest land Applications for exemption for land holdings of less than 50 hectares of pre­1990 forest land Exemptions for deforestation of land with tree weeds Effect of exemption 184 185 186 Methodology for pre­1990 forest land 187 188 189 190 191 192 193 194 Post­1989 forest land Conditions on registration as participant in respect of certain activities relating to post­1989 forest land Registration as participant in respect of post­1989 forest land Emissions returns for post­1989 forest land activities Special rules regarding surrender of units in relation to post­1989 forest land Ceasing to be registered as participant in respect of post­1989 forest land Transfer of registration as participant in respect of post­1989 forest land Transfer of registration on expiry or termination of registered forestry right, registered lease, or Crown conservation contract in relation to post­1989 forest land Information about status of forest land Post­1989 forest land and pre­1990 forest land 195 Notiﬁcation of status of forest land Transitional provisions 201 202 202 204 206 207 207 209 212 217 218 220 223 225 226 196 First emissions return for pre­1990 forest land activities 227 9 Climate Change Response Act 2002 Reprinted as at 26 September 2008 197 First emissions return for post­1989 forest land activities 228 Subpart 2—Liquid fossil fuels sector 198 199 200 201 202 203 Registration as participant by purchasers of jet fuel Historical information sufﬁcient to satisfy chief executive Effect of purchasing less than the threshold level of obligation jet fuel Effect of registration by purchasers of jet fuel Activities added to Part 2 of Schedule 3 Treatment of obligation fuels Subpart 3—Stationary energy sector Participant with respect to
 mining coal or natural gas 204 205 Mining natural gas in exclusive economic zone and continental shelf Obligation with respect to combusting used oil, waste oil, and waste Obligation with respect to mining coal Purchase of coal or natural gas from wholly owned subsidiary of Part 3 of Schedule 3 participant Registration as participant by purchasers of coal or natural gas Historical information sufﬁcient to satisfy chief executive Effect of purchasing less than threshold level of coal or natural gas Effect of registration by purchasers of coal or natural gas Subpart 4—Agriculture Registration as participants by persons carrying out activities listed in Part 5 of Schedule 4 Historical information sufﬁcient to satisfy chief executive Effect of purchasing or farming less than threshold level Effect of registration by farmers Subpart 5—Transitional provisions Transitional provision for penalties Transitional provision for voluntary reporting Transitional provision for mandatory reporting by certain participants Additional transitional provision for mandatory reporting for subpart 3 of Part 2 of Schedule 4 participants Additional transitional provisions for Part 3 of Schedule 4 participants Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 2 222 Transitional provisions regarding regulations that replace existing unit register regulations 244 Part 6 Other matters 223 224 Establishment of Household Fund Gazetting of targets Schedule 1 United Nations Framework Convention on Climate Change Annex I Annex II Schedule 2 Kyoto Protocol to the United Nations Framework Convention on Climate Change Annex A Annex B Schedule 3 Activities with respect to which persons must be participants Schedule 4 Activities with respect to which persons may be participants 244 245 246 276 277 278 304 306 309 313 The
 Parliament of New Zealand enacts as follows: 1 2 Title This Act is the Climate Change Response Act 2002.
Part 1 Preliminary provisions Commencement This Act comes into force on a date to be appointed by the Governor­General by Order in Council; and 1 or more orders 11 Part 1 s 2A Climate Change Response Act 2002 Reprinted as at 26 September 2008 may be made bringing different provisions into force on dif­ ferent dates.
Section 2: section 1, Part 1, subpart 3 of Part 2, sections 36­49, 50(1)(b), 50(1)(i)­(k), 50(2)­(7), 52, and 53 brought into force, on 1 August 2003, by clause 2 of the Climate Change Response Act Commencement Order 2003 (SR 2003/151).

Section 2: subparts 1 and 2 of Part 2, sections 50(1)(a), (c)­(h), and 51 brought into force, on 19 November 2007, by clause 2 of the Climate Change Response Act Commencement Order 2007 (SR 2007/336).
2A Application of Schedules 3 and 4 (1) Any provision in this Act that imposes an obligation on, or provides an entitlement to, a person in respect of an activity listed in Schedule 3 or 4— (a) does not apply to that person unless the Part or subpart in Schedule 3 or 4 in which the activity is listed applies; and applies subject to sections 217 to 221.

(b) Part 1 of Schedule 3 and Parts 1 and 3 of Schedule 4 apply on and after 1 January 2008.
Part 2 of Schedule 3 and Part 4 of Schedule 4 apply on and after 1 January 2009.

Part 3 of Schedule 3, subpart 1 of Part 4 of Schedule 3, and subpart 1 of Part 2 of Schedule 4 apply on and after 1 January 2010.

Subpart 1 of Part 5 of Schedule 3 applies on and after 1 January 2011, unless repealed under subsection (10) before that date.

Subpart 3 of Part 5 of Schedule 3 applies on and after 1 January 2011, unless repealed under subsection (11) before that date.
Subpart 2 of Part 4 of Schedule 3, Part 6 of Schedule 3, and subpart 3 of Part 2 of Schedule 4 apply on and after 1 January 2011.

Subpart 2 of Part 5 of Schedule 3 applies on and after 1 January 2011 if the Governor­General makes an Order in Council to that effect.

Subpart 4 of Part 5 of Schedule 3 applies on and after 1 January 2011 if the Governor­General makes an Order in Council to that effect.
(2) (3) (4) (5) (6) (7) (8) (9) 12 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 2A (10) (11) (12) (13) If the Governor­General makes an Order in Council under subsection (8), then subsection (5) and subpart 1 of Part 5 of Schedule 3 expire and are repealed.

If the Governor­General makes an Order in Council under subsection (9), then subsection (6) and subpart 3 of Part 5 of Schedule 3 expire and are repealed.
If, by 30 June 2010, the Governor­General does not make an Order in Council under subsection (8) that applies subpart 2 of Part 5 of Schedule 3, then that subpart and subsection (8) ex­ pire and are repealed on 30 June 2010.

If, by 30 June 2010, the Governor­General does not make an Order in Council under subsection (9) that applies subpart 4 of Part 5 of Schedule 3, then that subpart and subsection (9) ex­ pire and are repealed on 30 June 2010.
(14) Subpart 2 of Part 2 of Schedule 4 applies on and after a date to be appointed by the Governor­General by Order in Council.

(15) Subpart 1 of Part 5 of Schedule 4 applies on and after a date no earlier than 1 January 2011 to be appointed by the Governor­ General by Order in Council.

(18) (17) (16) Subpart 2 of Part 5 of Schedule 4 applies on and after a date no earlier than 1 January 2011 to be appointed by the Governor­ General by Order in Council.
If, by 31 December 2012, the Governor­General does not make an Order in Council under subsection (15) that applies subpart 1 of Part 5 of Schedule 4, then that subpart and sub­ section (15) expire and are repealed on 31 December 2012.

If, by 31 December 2012, the Governor­General does not make an Order in Council under subsection (16) that applies subpart 2 of Part 5 of Schedule 4, then that subpart and sub­ section (16) expire and are repealed on 31 December 2012.
If, by 31 December 2012, the Governor­General does not make an Order in Council under subsection (15) or (16) that applies subpart 1 or 2 of Part 5 of Schedule 4, as the case may be, then subpart 4 of Part 5 (consisting of sections 213 to 216) expires and is repealed on 31 December 2012.

Section 2A: inserted, on 26 September 2008, by section 4 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(19) 13 Part 1 s 3 Climate Change Response Act 2002 Reprinted as at 26 September 2008 3 (1) (2) Purpose The purpose of this Act is to— (a) (b) (ii) enable New Zealand to meet its international obliga­ tions under the Convention and the Protocol, including (but not limited to)— (i) its obligation under Article 3.1 of the Protocol to retire Kyoto units equal to the number of tonnes of carbon dioxide equivalent of human­induced greenhouse gases emitted from the sources listed in Annex A of the Protocol in New Zealand in the ﬁrst commitment period; and its obligation to report to the Conference of the Parties via the Secretariat under Article 7 of the Protocol and Article 12 of the Convention: provide for the implementation, operation, and admin­ istration of a greenhouse gas emissions trading scheme in New Zealand that supports and encourages global ef­ forts to reduce greenhouse gas emissions by assisting New Zealand to meet its international obligations under the Convention and the Protocol, and by reducing New Zealand’s net emissions below business­as­usual levels.
For the purposes of this section, business­as­usual levels means the levels of New Zealand’s greenhouse gas emissions, estimated by a Minister or chief executive with powers or functions under this Act at any particular point in time, as if the greenhouse gas emissions trading scheme provided for under this Act had not been implemented.
(2) A person who exercises a power or discretion, or carries out a duty, under this Act must exercise that power or discretion, or carry out that duty, in a manner that is consistent with the purpose of this Act.

Section 3(1): substituted, on 26 September 2008, by section 5 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Subsection (1)(a) was amended, as from 14 November 2006, by section 4 Cli­ mate Change Response Amendment Act 2006 (2006 No 59) by inserting the word “ﬁrst” after the words “New Zealand in the”.

First section 3(2): inserted, on 26 September 2008, by section 5 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
14 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 4 (1) Interpretation In this Act, unless the context otherwise requires,— account number means a unique account number assigned to a holding account by the Registrar under section 15(1)(a) allocation plan means an allocation plan issued under section 79 or 80 animal material has the same meaning as in section 4(1) of the Animal Products Act 1999 animal product has the same meaning as in section 4(1) of the Animal Products Act 1999 approved overseas unit means a unit, other than a Kyoto unit,— (a) (b) issued by an overseas registry; and prescribed as a unit that may be transferred to accounts in the Registry assigned amount unit means a unit issued out of a Party’s initial assigned amount and designated as an assigned amount unit by— (a) (b) the Registry; or an overseas registry of a Party listed in Annex B of the Protocol associated person has the meaning given to it by subsection (3) cancel, in relation to a unit, means the transfer of the unit to a cancellation account in the Registry with the effect speciﬁed in section 18CA(1) carbon accounting area means an area of post­1989 forest land that— (a) is deﬁned by a person who is registered or has applied to register as a participant under section 57 in relation to an activity listed in Part 1 of Schedule 4; and (b) meets any relevant criteria speciﬁed in regulations made under this Act carbon dioxide equivalent, in relation to a gas in Annex A of the Protocol, means the amount, in tonnes, of carbon dioxide that would produce the same global warming as the amount of that gas, calculated by multiplying the tonnes of that gas by its 15 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 global warming potential (as determined under Article 5.3 of the Protocol) carry­over means the transfer of an assigned amount unit, cer­ tiﬁed emission reduction unit, or emission reduction unit from the relevant commitment period to a subsequent commitment period so that the
 unit remains capable of being transferred, retired, cancelled, or carried­over in that subsequent commit­ ment period CDM registry means the registry established and maintained as the clean development mechanism registry under Article 12 of the Protocol certiﬁed emission reduction unit means a unit derived from a clean development mechanism project, issued by the CDM registry, and designated as a certiﬁed emission reduction unit by the CDM registry chief executive, in relation to a Part, means the chief execu­ tive of the department that is, with the authority of the Prime Minister, responsible for the administration of the Part chief executive responsible for the administration of this Act means the chief executive of the department that is, with the authority of the Prime Minister, responsible for the admin­ istration of this Act clean development mechanism project means a project undertaken under Article 12 of the Protocol for the beneﬁt of a Party not listed in Annex I of the Convention clean development mechanism project: this deﬁnition was amended, as from 1 August 2003, by section 5(1)(b) Climate Change Response Amendment Act 2006 (2006 No 59) by omitting the words “that results in certiﬁed emission reductions”.
clear, in relation to a tree,— (a) includes— (i) felling, harvesting, burning, removing by mech­ anical means, spraying with a herbicide intended to kill the tree, or undertaking any other form of human activity that kills the tree; and felling, burning, killing, uprooting, or destroying by a natural cause or event; but (ii) (b) does not include pruning or thinning 16 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 coal has the same meaning as in section 2(1) of the Crown Minerals Act 1991 commitment period[Repealed] commitment period: this deﬁnition was repealed, as from 1 August 2003, by section 5(3) Climate Change Response Amendment Act 2006 (2006 No 59).
[Repealed] commitment period reserve means a number of Kyoto units equal to the lesser of— (a) 90% of the assigned amount units issued out of New Zealand’s initial assigned amount; or 5 times the number of tonnes of carbon dioxide equiva­ lent of human­induced greenhouse gases emitted from the sources listed in Annex A of the Protocol in the most recent year, as estimated by the most recent inventory of greenhouse gases that has been reported in accordance with Article 7 of the Protocol and reviewed in accord­ ance with Article 8 of the Protocol (b) Conference of the Parties means the Conference of the Par­ ties to the Convention Convention means the United Nations Framework Conven­ tion on Climate Change done at New York on 9 May 1992, a copy of the English text of which is set out in Schedule 1 conversion account means an account in the Registry used for the purpose of converting New Zealand units into assigned amount units convert, in relation to a New Zealand unit, means the transfer of the unit to a conversion account in the Registry with the effect speciﬁed in section 18CA(5) Crown conservation contract means a written agreement with the Crown (including a concession granted in accordance with Part 3B of the Conservation Act 1987) for the removal and storage of greenhouse gases on post­1989 forest land that is Crown land managed or administered under the Conserva­ tion Act 1987 or any of the Acts listed in Schedule 1 of that Act Crown land has the same meaning as in section 2(1) of the Crown Minerals Act 1991 17 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 dairy processing, in relation to milk or colostrum, means the ﬁrst occasion, other than at a farm dairy, on which the milk or colostrum is made subject to heat treatment, freezing, sep­ aration, concentration, ﬁltering, blending, extraction of milk components, and the addition of other material, including (but not limited to) food, ingredients, additives, or processing aids as deﬁned in the Food Standards Code deforest, in
 relation to forest land,— (a) means to convert forest land to land that is not forest land; and (b) includes clearing forest land, where section 179 applies designated operational entity means an operational entity designated under Article 12(5) of the Protocol designated operational entity: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
disposal facility means any facility, including a landﬁll,— (a) (b) at which waste is disposed; and at which the waste disposed includes waste from a household that is not entirely from construction, reno­ vation, or demolition of a house; and that operates, at least in part, as a business to dispose of waste; but does not include a facility, or any part of a facility, at which waste is combusted for the purpose of generating electricity or industrial heat (c) (d) dispose, in relation to waste,— (a) means— (i) the ﬁnal or more than short­term deposit of waste into or onto land set apart for that purpose; or the incineration of waste by deliberately burning the waste to destroy it; but (ii) (b) does not include any deposit of biosolids for rehabilita­ tion or other beneﬁcial purposes document means a document in any form whether or not signed or initialled or otherwise authenticated by its maker; and includes— (a) any writing on any material: 18 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 (b) (c) (d) (e) any information recorded or stored by means of any tape recorder, computer, or any other device; and any mater­ ial subsequently derived from information so recorded or stored: any label, marking, or other writing that identiﬁes or describes any thing of which it forms part, or to which it is attached by any means: any book, map, plan, graph, or drawing: any photograph, ﬁlm, negative, tape, or other device in which 1 or more visual images are embodied so as to be capable (with or without the aid of some other equipment) of being reproduced draft allocation plan means a draft allocation plan prepared under section 78 elect, in relation to a sink activity under Article 3.4 of the Protocol, means that a Party has advised the Secretariat of its intention to report to the Secretariat on that activity for the pur­ pose of compliance with that Party’s obligations under Article 3.1 of the Protocol emission reduction unit means a unit derived from a joint im­ plementation project, issued
 by converting an assigned amount unit or removal unit, and designated as an emission reduction unit by— (a) (b) the Registry; or an overseas registry of a Party listed in Annex B of the Protocol emissions, in relation to an activity listed in Schedule 3 or 4, means carbon dioxide equivalent emissions of greenhouse gases from the activity emissions return means— (a) an annual emissions return submitted under section 65; or an emissions return submitted under section 66; or a ﬁnal emissions return submitted under section 118; or an emissions return submitted under section 187, 189, 191, or 193 (b) (c) (d) 19 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 entity, in relation to a group, means a reporting entity or reporting entity’s subsidiary, within the meaning of section 2(1) of the Financial Reporting Act 1993 executive board means the board established under Article 12(4) of the Protocol executive board: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
exempt land— (a) means pre­1990 forest land that has been declared to be exempt land— (i) (ii) (b) under section 183; or under section 184 and in respect of which the conditions in section 184(6) have been met; but does not include any forest land that met the deﬁnition in paragraph (a), but has been deforested, and in respect of which the number of units that would have been re­ quired to be surrendered in relation to an activity listed in Part 1 of Schedule 3, had the land not been exempt land, have been surrendered under section 187(2) exotic forest species means a forest species that is not an in­ digenous forest species expire or expiry, in relation to a long­term certiﬁed emission reduction unit or a temporary certiﬁed emission reduction unit, means a unit that is no longer capable of being— (a) transferred to any account other than the general can­ cellation account; or retired (b) expire or expiry: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
export has a corresponding meaning to exportation in section 2(1) of the Customs and Excise Act 1996 farm dairy has the same meaning as in section 4(1) of the Animal Products Act 1999 ﬁrst commitment period means the commitment period from 1 January 2008 to 31 December 2012 (inclusive) ﬁrst commitment period: this deﬁnition was inserted, as from 1 August 2003, by section 5(3) Climate Change Response Amendment Act 2006 (2006 No 59).
Food Standards Code has the same meaning as in section 4(1) of the Animal Products Act 1999 20 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 (b) forest land— (a) means an area of land of at least 1 hectare that has, or is likely when the forest species reach maturity to have, tree crown cover from forest species of more than 30% in each hectare; and includes an area of land that temporarily does not meet the requirements speciﬁed in paragraph (a) because of human intervention or natural causes but that is likely to revert to land that meets the requirements speciﬁed in paragraph (a); but does not include— (i) (c) (ii) a shelter belt of forest species, where the tree crown cover at maturity has, or is likely to have, an average width of less than 30 metres; or an area of land where the forest species have, or are likely to have, a tree crown cover at maturity of an average width of less than 30 metres, unless the area is contiguous with land that meets the requirements speciﬁed in paragraph (a) or (b) forest species means a tree species capable of reaching at least 5 metres in height at maturity in the place where it is located general cancellation account means an account in the Regis­ try for the purpose of holding units on behalf of the Crown that are cancelled for any reason other than sink activities being a source of emissions or a determination that New Zealand is not in compliance with Article 3.1 of the Protocol greenhouse gas means a gas listed in Annex A of the Protocol group has the same meaning as in section 2(1) of the Financial Reporting Act 1993 holding account means an account in the Registry for the pur­ pose of holding units that have not been retired, surrendered, converted, or cancelled import has a corresponding meaning to importation in sec­ tion 2(1) of the Customs and Excise Act 1996 indigenous forest species means a forest species that occurs naturally in New Zealand or has arrived in New Zealand with­ out human assistance 21 Part 1 s 4 Climate Change
 Response Act 2002 Reprinted as at 26 September 2008 indirect greenhouse gas — (a) means a gas that— (i) (ii) reacts with other gases to form a greenhouse gas; or changes the chemistry of the atmosphere in a way that increases the lifetime of other greenhouse gases; and (b) includes, but is not limited to, carbon monoxide, nitro­ gen oxides, non­methane volatile organic compounds, and sulphur dioxide industrial or trade premises means any premises used for any industrial or trade purposes, or any premises used for the storage, transfer, treatment, or disposal of waste materials or for other waste­management purposes; but does not include any production land initial assigned amount means the allowance of emissions of greenhouse gas assigned to a Party listed in Annex B of the Protocol, measured in tonnes of carbon dioxide equivalent, and calculated under Articles 3.7 and 3.8 of the Protocol international transaction log means an international log es­ tablished and maintained by the Secretariat to conﬁrm the val­ idity of transactions, including the issue and transfer of Kyoto units between registries and between accounts in the Registry inventory agency means the chief executive of the department that is, with the authority of the Prime Minister, responsible for the administration of Part 3 joint implementation project means a project aimed at re­ ducing the human­induced emissions of greenhouse gases by sources or enhancing the human­induced removals by sink ac­ tivities of a Party listed in Annex I of the Convention that is undertaken under Article 6 of the Protocol Kyoto units means all of the unit types speciﬁed in, or in ac­ cordance with, the Protocol (namely, assigned amount units, certiﬁed emission reduction units, emission reduction units, long­term certiﬁed emission reduction units, removal units, and temporary certiﬁed emission reduction units) 22 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 landowner,— (a) (b) in
 relation to Crown land, means the appropriate Minis­ ter (as that term is deﬁned in section 2(2) of the Crown Minerals Act 1991); and in relation to land other than Crown land, means— (i) (ii) the legal owner of a freehold estate in the land; or if the land is Maori customary land (as deﬁned in section 4 of Te Ture Whenua Maori Act 1993), the person or persons who have title to the land as determined under Te Ture Whenua Maori Act 1993; or if the land is Maori freehold land (as deﬁned in section 4 of Te Ture Whenua Maori Act 1993), the legal owner of the land (iii) local authority means a local authority within the meaning of the Local Government Act 2002. local authority: this deﬁnition was substituted, as from 1 July 2003, by section 262 Local Government Act 2002 (2002 No 84).
See sections 273 to 314 of that Act as to the savings and transitional provisions.
long­term certiﬁed emission reduction replacement ac­ count means an account in the Registry— (a) for the purpose of— (i) (ii) replacing long­term certiﬁed emission reduction units in that account or the retirement account, before they are due to expire, with assigned amount units, certiﬁed emission reduction units, emission reduction units, or removal units; or replacing long­term certiﬁed emission reduction units, no more than 30 days before they are due to expire as a result of a reversal of sinks or non­ receipt of a certiﬁcation report, with— (A) assigned amount units, certiﬁed emission reduction units, emission reduction units, or removal units; or long­term certiﬁed emission reduction units from the same clean development mechanism project; and that is limited to the relevant commitment period (B) (b) 23 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 long­term certiﬁed emission reduction replacement account: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
long­term certiﬁed emission reduction unit means a unit de­ rived from a clean development mechanism project, issued by the CDM registry, and designated as a long­term certiﬁed emission reduction unit by the CDM registry Maori land has the same meaning as in section 4 of Te Ture Whenua Maori Act 1993 merchantable timber means timber from the stem of a tree more than 10 years old, other than— (a) (b) wood that is decayed or grossly distorted; and (c) wood that is less than 10 centimetres in diameter, ex­ cluding the bark the stump; and mining has the same meaning as in section 2(1) of the Crown Minerals Act 1991 Minister, in relation to a Part of this Act, means the Minister who is, under the authority of any warrant or under the author­ ity of the Prime Minister, responsible for the administration of the Part Minister responsible for the administration of this Act means the Minister who is, under the authority of any warrant or under the authority of the Prime Minister, responsible for the administration of this Act natural gas means— (a) all gaseous hydrocarbons produced from wells, includ­ ing wet gas and residual gas remaining after the extrac­ tion of condensate from wet gas; and liquid hydrocarbons, other than condensate, extracted from wet gas and sold as natural gas liquids, for ex­ ample, liquid petroleum gas; and coal seam gas (c) New Zealand unit means a unit issued by the Registrar and designated as a New Zealand unit non­compliance cancellation account means an account in the Registry for the purpose of holding any units on behalf of the Crown that are cancelled as a result of a determination (b) 24 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 that New Zealand is not in compliance with Article 3.1 of the Protocol obligation fuel means any fuel speciﬁed as obligation fuel in regulations made under this Act obligation jet fuel means any jet fuel speciﬁed as obligation jet fuel in regulations made under this Act operating, in relation to a disposal facility, means being
 in control of the facility ordinary hours of business means the hours of 8 am to 6 pm from Monday to Friday overseas registry means— (a) a registry of a Party listed in Annex B of the Protocol (other than New Zealand): the CDM registry any other prescribed registry (b) (c) participant means a person who is a participant under section 54 Party means a Party to the Protocol performance, in relation to ruminants and other farmed live­ stock, means the production statistics with respect to those ani­ mals, including, but not limited to, weight, milk production, lambing and calving percentage, and wool weight post­1989 forest land means forest land that— (a) (b) was forest land on 31 December 1989 but was defor­ ested between 1 January 1990 and 31 December 2007; or was pre­1990 forest land, other than exempt land,— (i) was not forest land on 31 December 1989; or (c) that was deforested on or after 1 January 2008; and in respect of which any liability to surrender units arising in relation to an activity listed in Part 1 of Schedule 3 has been satisﬁed; or (ii) (d) was exempt land— (i) (ii) that has been deforested; and in respect of which the number of units that would have been required to be surrendered in relation to an activity listed in Part 1 of Schedule 25 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 3, had the land not been exempt land, have been surrendered under section 187(2) pre­1990 forest land— (a) means forest land— (b) (i) (ii) that was forest land on 31 December 1989; and that remained as forest land on 31 December 2007 (taking into account subsection (5)); and (iii) where the forest species on the forest land on 31 December 2007 consisted predominantly of exotic forest species; but does not include any forest land that met the deﬁnition in paragraph (a), but— (i) has been deforested and in respect of which any liability to surrender units arising in respect of an activity listed in Part 1 of Schedule 3 has been
 satisﬁed; or (ii) was declared to be exempt land, has been defor­ ested, and the number of units that would have been required to be surrendered in respect of an activity listed in Part 1 of Schedule 3 had the land not been exempt land have been surrendered under section 187(2)(b) previous commitment period means a commitment period, including (but not limited to) the ﬁrst commitment period, that— (a) (b) is speciﬁed or determined under the Protocol; and begins and ends before a subsequent commitment period previous commitment period: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
primary representative means an individual appointed by an account holder as a primary representative of the account holder in accordance with any regulations made under Part 2 production land means any land used for the production of primary products (including agricultural, pastoral, horticul­ tural, and forestry products); but does not include any build­ ings 26 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 Protocol means the Protocol to the United Nations Framework Convention on Climate Change done at Kyoto on 11 Decem­ ber 1997, a copy of the English text of which is set out in Schedule 2 public notice means a notice published in a daily newspaper in each of the cities of Auckland, Wellington, Christchurch, and Dunedin, and made accessible via the Internet recover, in relation to dispose,— (a) means the extraction of materials or energy from waste for further use or processing; and includes making waste into compost (b) recycle, in relation to dispose, means the reprocessing of waste to produce new materials registered forestry right means a forestry right registered under the Forestry Rights Registration Act 1983 registered lease,— (a) in relation to a lease in respect of land registered under the Land Transfer Act 1952,— (i) (ii) means a lease registered under that Act; and includes a lease registered under the Land Trans­ fer (Computer Registers and Electronic Lodge­ ment) Amendment Act 2002: (b) in relation to a lease in respect of land that is not regis­ tered under the Land Transfer Act 1952, means a lease registered under the Deeds Registration Act 1908 Registry means the Registry established in New Zealand for the purpose set out in section 10 relevant commitment period means a commitment period that is speciﬁed or determined under the Protocol, and— in which a particular activity or transaction occurs; or (a) (b) to which an account or Kyoto unit is associated removal activity means an activity that is listed in Part 1 or 2 of Schedule 4 removal unit means a unit— (a)
 derived from a Party’s sink activities that result in a net removal of greenhouse gases; and designated as a removal unit by— (i) the Registry; or (b) 27 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (ii) an overseas registry of a Party listed in Annex B of the Protocol (ii) removals, in relation to a removal activity, means carbon diox­ ide equivalent greenhouse gases that are, as a result of the re­ moval activity,— (a) (b) (c) removed from the atmosphere; or not released into the atmosphere; or a reduction from emissions reported in— (i) New Zealand’s annual inventory report under section 32 as required under the Convention or Protocol for any year; or any emissions report from New Zealand under a successor international agreement retire, in relation to a Kyoto unit, means the transfer of that Kyoto unit to a retirement account in the Registry with the effect speciﬁed in section 18CA(2) retirement account means an account in the Registry for the purpose of holding Kyoto units that the Minister of Finance has retired on behalf of the Crown reuse, in relation to dispose, means the further use of waste in its existing form for the original purpose of the materials or products that constitute the waste or for a similar purpose Secretariat means the Secretariat of the Convention sink activity, in relation to greenhouse gas removals, means— an activity under Article 3.3 of the Protocol; or (a) an elected activity under Article 3.4 of the Protocol (b) sink cancellation account means an account in the Registry for the purpose of holding units that the Minister of Finance has cancelled on behalf of the Crown as a result of sink activ­ ities resulting in a net source of emissions subsequent commitment period means a commitment period that— (a) (b) subsequent commitment period: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
is speciﬁed or determined under the Protocol; and begins and ends after a previous commitment period 28 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 supervisory committee means the committee established to supervise the veriﬁcation of emission reduction units gener­ ated by project activities under Article 6 of the Protocol surrender means the transfer of a unit to a surrender account in the Registry with the effect speciﬁed in section 18CA(3) or (4) surrender account means an account in the Registry for the purpose of holding units that account holders have surrendered temporary certiﬁed emission reduction replacement ac­ count means an account in the Registry— (a) for the purpose of replacing temporary certiﬁed emis­ sion reduction units, before they are due to expire, with assigned amount units, certiﬁed emission reduction units, emission reduction units, removal units, or tem­ porary certiﬁed emission reduction units that are due to expire in a subsequent commitment period; and (b) that is limited to the relevant commitment period temporary certiﬁed emission reduction replacement account: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
temporary certiﬁed emission reduction unit means a unit derived from a clean development mechanism project issued by the CDM registry, and designated as a temporary certiﬁed emission reduction unit by the CDM registry unit means a Kyoto unit, a New Zealand unit, or an approved overseas unit waste means any thing that— (a) (b) has been disposed of or discarded; and includes waste that is deﬁned by its composition or source (for example, organic waste, electronic waste, or construction and demolition waste) year means a calendar year ending on 31 December Terms and expressions used and not deﬁned in this Act but deﬁned in the Convention or Protocol have, unless the context otherwise requires, the same meaning as in the Convention or Protocol.
(2) (3) A person is an associated person in relation to 1 or more other persons if— 29 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) each person is a body corporate and each of the bodies corporate— (i) consist substantially of the same members or shareholders; or are under the control of the same persons; or (ii) any of the bodies corporate— (i) has the power, directly or indirectly, to exercise, or control the exercise of, 25% or more of the voting power at a meeting of the other; or is able to appoint or control 25% or more of the governing body of the other.
(ii) reused or recycled; or recovered; or removed from the land for any other reason.
For the purposes of the deﬁnition of dispose, a deposit of waste is short­term if, not later than 6 months after the deposit (or any later time that the chief executive has agreed to in writing), the waste is— (a) (b) (c) Pre­1990 forest land, in respect of which conversion to land that is not forest land had commenced prior to 31 December 2007, is to be treated as deforested on 31 December 2007 if, on that date, the land had— (a) no standing exotic forest species (dead or alive), other than a strip of standing exotic forest species that had, or was likely at maturity to have, tree crown cover of an average width of less than 30 metres; and no other merchantable timber species.
from exotic forest (b) Section 4(1) account number: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) allocation plan: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

inserted, on 26 September 2008, by section Section 4(1) animal material: 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) animal product: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(4) (5) 30 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 Section 4(1) approved overseas unit: inserted, on 26 September 2008, by sec­ tion 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) assigned amount unit: amended, on 26 September 2008, by sec­ tion 6(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) associated person: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) cancel: substituted, on 26 September 2008, by section 6(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) carbon accounting area: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) carbon dioxide equivalent: amended, on 26 September 2008, by section 6(5) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) carry­over: amended, on 26 September 2008, by section 6(6)(a) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) carry­over: amended, on 26 September 2008, by section 6(6)(b) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

carry over: this deﬁnition was amended, as from 1 August 2003, by section 5(1)(a) Climate Change Response Amendment Act 2006 (2006 No 59) by in­ serting the word “relevant” after the words “unit from the”.
Section 4(1) certiﬁed emission reduction unit: amended, on 26 September 2008, by section 6(7) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) chief executive: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) chief executive responsible for the administration of this Act: inserted, on 26 September 2008, by section 6(2) of the Climate Change Re­ sponse (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) clear: inserted, on 26 September 2008, by section 6(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) coal: inserted, on 26 September 2008, by section 6(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) commitment period reserve: amended, on 26 September 2008, by section 6(8) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
31 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 4(1) commitment period reserve paragraph (b): amended, on 26 Sep­ tember 2008, by section 6(9) of the Climate Change Response (Emissions Trad­ ing) Amendment Act 2008 (2008 No 85).

Section 4(1) conversion account: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) convert: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) Crown conservation contract: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amend­ ment Act 2008 (2008 No 85).

Section 4(1) Crown land: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) dairy processing: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) deforest: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) disposal facility: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) dispose: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) document: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) draft allocation plan: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) emission reduction unit: amended, on 26 September 2008, by section 6(10) of the Climate Change Response (Emissions Trading) Amend­ ment Act 2008 (2008 No 85).

Section 4(1) emissions: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) emissions return: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) entity: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

32 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 Section 4(1) exempt land: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) exotic forest species: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) export: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) farm dairy: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) Food Standards Code: inserted, on 26 September 2008, by sec­ tion 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) forest land: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) forest species: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) group: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) holding account: amended, on 26 September 2008, by section 6(11) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

holding account: this deﬁnition was amended, as from 1 August 2003, by sec­ tion 5(1)(c) Climate Change Response Amendment Act 2006 (2006 No 59) by omitting the words “on behalf of the Crown”.
Section 4(1) import: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) independent transaction log: repealed, on 26 September 2008, by section 6(12) of the Climate Change Response (Emissions Trading) Amend­ ment Act 2008 (2008 No 85).

Section 4(1) indigenous forest species: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) initial assigned amount: amended, on 26 September 2008, by sec­ tion 6(13) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) international transaction log: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
33 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 4(1) inventory agency: substituted, on 26 September 2008, by section 6(14) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) Kyoto units: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) landowner: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

long­term certiﬁed emission reduction unit: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
Section 4(1) long­term certiﬁed emission reduction unit: amended, on 26 September 2008, by section 6(15) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) Maori land: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) merchantable timber: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) mining: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) Minister: substituted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
in­ Section 4(1) Minister responsible for the administration of this Act: serted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) Minister responsible for the inventory agency: repealed, on 26 September 2008, by section 6(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) Minister responsible for the Registry: repealed, on 26 September 2008, by section 6(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) natural gas: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) New Zealand unit: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) obligation fuel: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

34 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 1 s 4 Section 4(1) obligation jet fuel: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) operating: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) overseas registry paragraph (c): added, on 26 September 2008, by section 6(16) of the Climate Change Response (Emissions Trading) Amend­ ment Act 2008 (2008 No 85).

Section 4(1) participant: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) post­1989 forest land: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) pre­1990 forest land: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) primary representative: inserted, on 26 September 2008, by sec­ tion 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) public notice: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) recover: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) recycle: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) registered forestry right: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) registered lease: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

relevant commitment period: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).
Section 4(1) relevant commitment period paragraph (b): amended, on 26 Sep­ tember 2008, by section 6(17) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) removal activity: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
35 Part 1 s 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 4(1) removal unit paragraph (b): amended, on 26 September 2008, by section 6(18) of the Climate Change Response (Emissions Trading) Amend­ ment Act 2008 (2008 No 85).

Section 4(1) removals: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) representative identiﬁer: repealed, on 26 September 2008, by section 6(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) retire: substituted, on 26 September 2008, by section 6(20) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) retirement account: amended, on 26 September 2008, by section 6(21) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) reuse: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) surrender: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) surrender account: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
temporary certiﬁed emission reduction unit: this deﬁnition was inserted, as from 1 August 2003, by section 5(2) Climate Change Response Amendment Act 2006 (2006 No 59).

Section 4(1) temporary certiﬁed emission reduction unit: amended, on 26 September 2008, by section 6(22) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) unit: repealed, on 26 September 2008, by section 6(23) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(1) units: inserted, on 26 September 2008, by section 6(23) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) waste: inserted, on 26 September 2008, by section 6(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(1) year: inserted, on 26 September 2008, by section 6(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 4(3): added, on 26 September 2008, by section 6(24) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 4(4): added, on 26 September 2008, by section 6(24) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
36 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 7 Section 4(5): added, on 26 September 2008, by section 6(24) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

5 6 7 (1) Act binds the Crown This Act binds the Crown.
Part 2 Institutional arrangements Subpart 1—Powers of Minister of Finance Minister of Finance may carry out trading activities with respect to units The Minister of Finance may, on behalf of the Crown,— (a) direct the Registrar to establish or close holding ac­ counts: direct the Registrar to transfer units to any holding ac­ count in the Registry or to an overseas registry: buy or sell units, or otherwise acquire or dispose of units: enter into agreements to buy or sell units, or otherwise acquire or dispose of units, with any person (including any other Party): buy or sell, or enter into any agreement to buy or sell, or otherwise acquire or dispose of, any ﬁnancial deriva­ tives or other ﬁnancial instruments relating to units or in connection with transactions relating to units: appoint agents to conduct the activities referred to in paragraphs (a) to (e) on the terms and conditions that the Minister of Finance thinks ﬁt.
(b) (c) (d) (e) (f) Minister of Finance may give directions to Registrar regarding accounts and units The Minister of Finance may give directions to the Registrar to— (a) establish the following accounts in the Registry for the Crown: (i) (ii) (iii) a sink cancellation account: a non­compliance cancellation account: a general cancellation account: 37 Part 2 s 7 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (vi) (iv) (v) a retirement account: a long­term certiﬁed emission reduction replace­ ment account: a temporary certiﬁed emission reduction replace­ ment account: (vii) a surrender account: (viii) a conversion account: issue assigned amount units in the Registry: issue removal units or emission reduction units: transfer, subject to any prescribed restriction or prohib­ ition, units (other than long­term certiﬁed emission re­ duction units or temporary certiﬁed emission reduction units) from holding accounts to the general cancella­ tion account, the long­term certiﬁed emission reduction replacement account, the non­compliance cancellation account, the retirement account, the surrender account, the conversion account, the temporary certiﬁed emis­ sion reduction replacement account, or the sink cancel­ lation account: transfer long­term certiﬁed emission reduction units or temporary certiﬁed emission reduction units from hold­ ing accounts to the general cancellation account, the long­term certiﬁed emission reduction replacement ac­ count, the temporary certiﬁed emission reduction re­ placement account, or the retirement account: carry­over assigned amount units, certiﬁed emission re­ duction units, and emission reduction units held in hold­ ing accounts: (b) (c) (d) (da) (e) (2) Despite subsection (1), or any regulations made under this Act, the Minister of Finance may not give a direction to transfer units from an account held by an account holder other than the Crown to another account in the Registry, unless— (a) the Minister of Finance has the written consent of the account holder; or if
 written consent is not given, the Minister of Finance gives the account holder reasonable notice and— (i) the transfer is required to comply with New Zealand’s obligations under the Protocol; or (b) 38 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 7 (3) (ii) the account holder has failed to comply with Part 2 or any regulations made under section 30G; or section 30F(3) applies.
(c) For the purposes of subsection (2)(b)(i), reasonable notice means sufﬁcient opportunity in the circumstances for the rele­ vant account holder to make a written submission to the Min­ ister of Finance on the transfer of the units before the units are transferred.

Section 7(1)(a)(v): added, on 19 November 2007, by section 6(1) of the Climate Change Response Amendment Act 2006 (2006 No 59).
Section 7(1)(a)(vi): added, on 19 November 2007, by section 6(1) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).

Section 7(1)(a)(vii): added, on 26 September 2008, by section 7(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 7(1)(a)(viii): added, on 26 September 2008, by section 7(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 7(1)(b): substituted, on 19 November 2007, by section 6(2) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).

Section 7(1)(d): substituted, on 19 November 2007, by section 6(3) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).

Section 7(1)(d): amended, on 26 September 2008, by section 7(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 7(1)(d): amended, on 26 September 2008, by section 7(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 7(1)(da): inserted, on 19 November 2007, by section 6(3) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 7(1)(e): substituted, on 19 November 2007, by section 6(4) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).
Section 7(1)(e): amended, on 26 September 2008, by section 7(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 7(2): added, on 19 November 2007, by section 6(5) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 7(2)(b): substituted, on 26 September 2008, by section 7(5) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 7(2)(c): added, on 26 September 2008, by section 7(5) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 7(3): added, on 19 November 2007, by section 6(5) of the Climate Change Response Amendment Act 2006 (2006 No 59).
39 Part 2 s 8 Climate Change Response Act 2002 Reprinted as at 26 September 2008 8 Registrar must give effect to directions of Minister of Finance The Registrar must give effect to any directions given by the Minister of Finance under section 6 or section 7 in accordance with, and subject to, the procedures set out in subpart 2 of this Part and regulations made under section 30G.
Section 8: amended, on 26 September 2008, by section 8 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

8A Minister of Finance must publish directions As soon as practicable after giving a direction under section 6 or 7, the Minister of Finance must publish a copy of the direction on the Registry’s Internet site.

Section 8A: inserted, on 19 November 2007, by section 7 of the Climate Change Response Amendment Act 2006 (2006 No 59).
Minister of Finance may obtain information from inventory agency and Registrar For the purposes of managing the Crown’s holding of units and discharging New Zealand’s obligations under section 32(1)(b), the Minister of Finance may, as and when he or she thinks ﬁt,— (a) direct the inventory agency to provide information es­ timating New Zealand’s human­induced emissions of greenhouse gases by sources and removals by sink ac­ tivities: direct the Registrar to provide information on those units, including, but not limited to, information indi­ cating— (i) (ii) how many units the Crown holds; and how many units the Crown has issued or ac­ quired, transferred, retired, replaced, cancelled, and carried­over.
(b) Section 9: amended, on 19 November 2007, by section 8(1) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 9(b)(ii): amended, on 26 September 2008, by section 9 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 9(b)(ii): amended, on 19 November 2007, by section 8(2)(a) of the Climate Change Response Amendment Act 2006 (2006 No 59).
9 40 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 10 Section 9(b)(ii): amended, on 19 November 2007, by section 8(2)(b) of the Climate Change Response Amendment Act 2006 (2006 No 59).
Subpart 2—Registry Purpose of Registry 10 (1) (2) (3) Purpose of Registry The purpose of the Registry in relation to Kyoto units is to— ensure, for the ﬁrst commitment period or a subsequent (a) commitment period, the accurate, transparent, and efﬁ­ cient accounting of— (i) (ii) (iii) the issue, holding, transfer, retirement, surrender, and cancellation of Kyoto units; and the carry­over of assigned amount units, certiﬁed emission reduction units, and emission reduction units; and the replacement of expired long­term certiﬁed emission reduction units and expired temporary certiﬁed emission reduction units; and (b) ensure, in accordance with Article 7.4 of the Protocol, the accurate, transparent, and efﬁcient exchange of in­ formation between— (i) (ii) [Repealed] the Registry and overseas registries; and the Registry and the international transaction log.
(c) The purpose of the Registry in relation to New Zealand units and approved overseas units is to ensure— (a) the accurate, transparent, and efﬁcient accounting of— (i) (ii) the issue of New Zealand units; and the holding, transfer, surrender, and cancellation of New Zealand units and approved overseas units; and the conversion of New Zealand units into as­ signed amount units; and (iii) (b) the accurate, transparent, and efﬁcient exchange of in­ formation between the Registry and overseas registries.
The purpose of the Registry in relation to all units is to facili­ tate the exchange of information between those persons with functions, duties, and powers under this Act to enable all of 41 Part 2 s 11 Climate Change Response Act 2002 Reprinted as at 26 September 2008 them to perform their functions and duties, and exercise their powers.

Section 10: amended, on 26 September 2008, by section 10(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 10(1)(a): amended, on 26 September 2008, by section 10(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 10(a): amended, on 19 November 2007, by section 9(1) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 10(1)(a)(i): amended, on 26 September 2008, by section 10(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 10(1)(a)(i): amended, on 26 September 2008, by section 10(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 10(a)(i): amended, on 19 November 2007, by section 9(2) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).

Section 10(a)(iii): added, on 19 November 2007, by section 9(3) of the Climate Change Response Amendment Act 2006 (2006 No 59).
Section 10(1)(b)(ii): amended, on 26 September 2008, by section 10(5) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 10(1)(b)(ii): amended, on 26 September 2008, by section 10(6) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 10(1)(c): repealed, on 26 September 2008, by section 10(7) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 10(2): added, on 26 September 2008, by section 10(8) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 10(3): added, on 26 September 2008, by section 10(8) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Registrar Appointment of Registrar The chief executive must appoint a Registrar in accordance with the State Sector Act 1988.
Section 11: amended, on 26 September 2008, by section 11 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Registrar responsible for Registry The Registrar is responsible for the operation of the Registry.
11 12 42 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 15 13 14 15 (1) Registrar may refuse access to, or suspend operation of, Registry The Registrar may refuse access to the Registry, or otherwise suspend the operation of the Registry (in whole or in part),— (a) (b) (c) (d) for maintenance; or in response to technical difﬁculties; or to ensure the security or integrity of the Registry; or to give effect to New Zealand’s international obliga­ tions.
Section 13: substituted, on 19 November 2007, by section 10 of the Climate Change Response Amendment Act 2006 (2006 No 59).

Registrar must give effect to directions [Repealed] Section 14: repealed, on 26 September 2008, by section 12 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Registrar to allocate unique numbers The Registrar must, in accordance with regulations made under this Act,— (a) allocate a unique account number to each account when the account is created; and allocate a unique serial number to— (i) (b) each assigned amount unit when the Registrar records the initial assigned amount; and each removal unit when the Registrar issues the removal unit.
(ii) (1A) The Registrar may, subject to regulations made under this Part, allocate a unique serial number to— a New Zealand unit; or (i) an approved overseas unit; or (ii) a class or subclass of New Zealand units; or (iii) (iv) a class or subclass of approved overseas units.
If the Minister of Finance directs the Registrar to issue emis­ sion reduction units under section 7, the Registrar must con­ vert the assigned amount units or removal units speciﬁed by the Minister of Finance into emission reduction units by— (2) 43 Part 2 s 16 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) giving the emission reduction units the serial numbers of the units from which the emission reduction units are being converted; and replacing the identiﬁers on the converted units with identiﬁers that designate that the converted units are emission reduction units.
Section 15 heading: amended, on 26 September 2008, by section 13(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 15(1A): inserted, on 26 September 2008, by section 13(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Carry­over of certain Kyoto units 16 (1) An account holder may, subject to regulations made under this Act, apply to the Registrar to carry­over assigned amount units, certiﬁed emission reduction units, or emission reduction units held in that account holder’s holding account.

Long­term certiﬁed emission reduction units, removal units, and temporary certiﬁed emission reduction units may not be carried­over.
Section 16: substituted, on 19 November 2007, by section 12 of the Climate Change Response Amendment Act 2006 (2006 No 59).

(2) Section 16 heading: amended, on 26 September 2008, by section 14(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 16(1): amended, on 26 September 2008, by section 14(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 16(2): amended, on 26 September 2008, by section 14(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Commitment period reserve 17 (1) Despite anything in this Act, the Registrar may not transfer or cancel Kyoto units if the transfer or cancellation would cause the total of the Kyoto units in all holding accounts and the retirement account in the unit register, excluding those Kyoto units subject to a notiﬁcation from the international transaction log under section 21(3), to fall below the commitment period reserve.
This section does not apply to transfers or cancellations of Ky­ oto units that the Registrar has issued as emission reduction units that were veriﬁed by the supervisory committee.

(2) 44 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 18 Section 17(1): substituted, on 26 September 2008, by section 15(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 17(2): amended, on 26 September 2008, by section 15(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Unit register 18 (1) (2) Form and content of unit register The Registry must have a unit register that is— (a) (b) (c) in electronic form; and accessible via the Registry’s Internet site; and operated at all times, unless the Registrar suspends its operation (in whole or in part) under section 13 or as prescribed in regulations.
The unit register must contain— (a) a record of the holdings of units in holding accounts in New Zealand; and the particulars of transactions, including, but not limited to,— (i) (b) (ii) (iii) the issue, transfer, retirement, surrender, conver­ sion, and cancellation of units; and the carry­over of assigned amount units, certiﬁed emission reduction units, and emission reduction units; and the replacement of long­term certiﬁed emission reduction units and temporary certiﬁed emission reduction units; and (c) any other matters that are required to be registered under this Act or regulations made under this Act.
(3) A unit recorded in the unit register is— (a) (b) indivisible with respect to the issue, holding, transfer, retirement, replacement, surrender, carry­over, cancel­ lation, and conversion of a unit within the unit register; and transferable, subject to any regulations made under this Act,— (i) (ii) within the unit register; or between the unit register and overseas registries.
45 Part 2 s 18A Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 18(1)(b): amended, on 19 November 2007, by section 13(1) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).

Section 18(2)(b)(i): amended, on 26 September 2008, by section 16(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 18(2)(b)(i): amended, on 19 November 2007, by section 13(2) of the Climate Change Response Amendment Act 2006 (2006 No 59).
Section 18(2)(b)(iii): added, on 19 November 2007, by section 13(3) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 18(3): added, on 19 November 2007, by section 13(4) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 18(3)(a): substituted, on 26 September 2008, by section 16(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) (3) 18A Opening holding accounts (1) Any person may submit an application to the Registrar to open 1 or more holding accounts in the unit register by using the form and paying the fees (if any) prescribed in regulations made under this Act.

The Registrar may approve the opening of a holding account subject to any regulations made under this Act.
If the Registrar approves an application to open a holding ac­ count, the Registrar must, as soon as practicable,— open a holding account in the applicant’s name; and (a) (b) provide the applicant with an account number.

If the application is incomplete, the Registrar must, as soon as practicable, ask the applicant to provide the information or fee (if any) that is required to make the application complete.
The Registrar may refuse to provide a holding account to any applicant who provides an incomplete application.

(5) (4) (6) A holding account is subject to any regulations made under this Act.

Section 18A: inserted, on 19 November 2007, by section 14 of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 18A(3)(b): amended, on 26 September 2008, by section 17 of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
46 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 18B 18B Closing holding accounts (1) An account holder may submit a request to the Registrar to close 1 or more of that account holder’s holding accounts in the unit register by using the form and paying the fee (if any) prescribed in regulations made under this Act.
The chief executive may give a direction to the Registrar to close an account holder’s holding account— (a) if the chief executive has the written consent of the ac­ count holder; or (2) (b) where written consent is not given,— (i) (ii) if the chief executive has given the account holder reasonable notice; and if— (A) the closure is required to comply with New Zealand’s obligations under the Protocol; or the account holder has failed to comply with this Part or any regulations made re­ garding the matters speciﬁed in section 30G; or the chief executive is satisﬁed that the ac­ count holder no longer requires the ac­ count.
(B) (C) (3) (4) (5) (6) If there are any units remaining in a holding account when it is closed,— (a) (b) the units are forfeited to the Crown; and the Registrar must, as soon as practicable, transfer the units to a Crown holding account.

If a request is incomplete, the Registrar must, as soon as prac­ ticable, ask the account holder to provide the information or fee (if any) that is required to make the request complete.
The Registrar may not close a holding account if the account holder provides an incomplete request.
For the purposes of subsection (2)(b)(i), reasonable notice means sufﬁcient opportunity in the circumstances to— (a) transfer the units to another account before the holding account that is the subject of the closure direction is closed; or 47 Part 2 s 18C Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) (c) in the case of non­compliance, comply with this Part or any regulations made under section 30G; or if the chief executive is satisﬁed that an account holder no longer requires a holding account, make a written submission to the chief executive, before the account is closed, regarding the account holder’s need to retain the account.
Section 18B: inserted, on 19 November 2007, by section 14 of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 18B(2): amended, on 26 September 2008, by section 18(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 18B(2)(a): amended, on 26 September 2008, by section 18(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 18B(2)(b)(i): amended, on 26 September 2008, by section 18(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 18B(2)(b)(ii)(B): amended, on 26 September 2008, by section 18(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 18B(2)(b)(ii)(B): amended, on 26 September 2008, by section 18(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 18B(2)(b)(ii)(C): amended, on 26 September 2008, by section 18(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 18B(6): substituted, on 26 September 2008, by section 18(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
18C Transfer of units (1) An account holder may, by using the form and paying the fees (if any) prescribed in regulations made under this Act, apply to the Registrar to transfer units from that account holder’s holding account to another account in— (a) (b) The Registrar must transfer the speciﬁed units as requested, subject to any regulations made under this Act.

the unit register; or an overseas registry.


(2) 48 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 18CA (3) Despite subsection (2), if the Registrar is asked to transfer Ky­ oto units held in an account holder’s holding account to a re­ tirement account, the Registrar must— (a) seek a direction from the Minister of Finance as to whether the units may be transferred to a retirement account; and transfer the units to a retirement account if the Minister of Finance so directs.
(b) (4) An account holder who receives units is under no obligation to initiate any registration process.

Section 18C: inserted, on 19 November 2007, by section 14 of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 18C(3): amended, on 26 September 2008, by section 19(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 18C(3): amended, on 26 September 2008, by section 19(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 18C(3)(a): amended, on 26 September 2008, by section 19(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 18C(3)(b): amended, on 26 September 2008, by section 19(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
18CA Effect of surrender, retirement, cancellation, and conversion (1) A unit that is transferred to a cancellation account may not be further transferred, retired, surrendered, carried­over, or can­ celled.

(2) A Kyoto unit that is transferred to a retirement account may not be further transferred, retired, surrendered, carried­over, or cancelled.
(3) A Kyoto unit that is transferred to a surrender account may only be further transferred, in accordance with a direction from the Minister of Finance, to— (a) (b) a retirement account or a cancellation account; or a participant’s holding account, if the direction was given on receipt of a notice from the chief executive under section 124 (which relates to reimbursement of Kyoto units).
49 Part 2 s 18CB Climate Change Response Act 2002 Reprinted as at 26 September 2008 (4) A New Zealand unit or an approved overseas unit that is trans­ ferred to a surrender account may be further transferred only in accordance with a direction from the Minister of Finance given on receipt of a notice from the chief executive under section 124 (which relates to reimbursement of New Zealand units or approved overseas units).
(5) A New Zealand unit that is transferred to a conversion account may not be surrendered, cancelled, or otherwise further trans­ ferred except as required by section 30E(4)(b).

Section 18CA: inserted, on 26 September 2008, by section 20 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
18CB Restriction on surrender of assigned amount units (1) No participant may surrender, or permit to be surrendered, an imported assigned amount unit to meet the participant’s obli­ gations under section 63 unless the assigned amount unit meets the conditions or requirements prescribed in regulations made under this Part.

In this section and section 18CD, imported assigned amount unit means an assigned amount unit that is issued out of the initial assigned amount of a Party other than New Zealand.
Section 18CB: inserted, on 26 September 2008, by section 20 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) 18CC Restriction on surrender of assigned amount units issued during ﬁrst commitment period (1) No participant may surrender, or permit to be surrendered, a CP1 imported assigned amount unit to meet the participant’s obligations under section 63 in respect of any emissions from any activities listed in Schedule 3 or 4 carried out by the par­ ticipant after 31 December 2012.
In this section and sections 18CD and 19, CP1 imported as­ signed amount unit means an assigned amount unit that is issued out of the initial assigned amount of a Party, other than New Zealand, during the ﬁrst commitment period.

Section 18CC: inserted, on 26 September 2008, by section 20 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) 50 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 18D 18CD Effect of surrendering restricted assigned amount units (1) This section applies if at any time the Registrar discovers that— (a) (b) an imported assigned amount unit has been transferred to a surrender account that does not meet any of the con­ ditions or requirements prescribed in regulations made under this Part; or a CP1 imported assigned amount unit has been trans­ ferred to a surrender account to meet a participant’s obligations under section 63 in respect of any emissions from any activities listed in Schedule 3 or 4 carried out by the participant after 31 December 2012.
(2) (3) If this section applies, the Registrar must— (a) (b) reverse the transfer; and notify the participant and the chief executive of the department responsible for the administration of Part 4 that the transfer has been reversed.
If a transfer is reversed under subsection (2),— (a) the chief executive of the department responsible for the administration of Part 4 must treat the transfer as never taking place for the purpose of assessing whether a participant has surrendered the required number of units by the due date as required under any section of this Act; and if the chief executive of the department responsible for the administration of Part 4 considers that the person has not surrendered the required number of units by the due date, give a notice to the participant under section 134(3)(a).
(b) Section 18CD: inserted, on 26 September 2008, by section 20 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

18D Succession (1) This section applies if an account holder— is a natural person and dies; or (a) is not a natural person and is wound up, liquidated, dis­ (b) solved, or otherwise ceases to exist.
51 Part 2 s 18E Climate Change Response Act 2002 Reprinted as at 26 September 2008 (2) (3) If this section applies, the person listed on the holding account as the account holder’s representative may operate the holding account until— (a) (b) a successor is determined; and the Registrar is informed of that determination in writ­ ing.

If a successor is determined, and the Registrar is informed of that determination in writing, the Registrar must register the successor as the account holder.
Section 18D: inserted, on 19 November 2007, by section 14 of the Climate Change Response Amendment Act 2006 (2006 No 59).

18E Trusts, representatives, and assignees of bankrupts (1) Notice of a trust, whether expressed, implied, or constructive, may not be entered on the unit register.
(2) Despite anything in section 18D, the existence of a representa­ tive that may operate the holding account of an account holder who has died, or that has been wound up, liquidated, or dis­ solved, or otherwise has ceased to exist, does not constitute notice of a trust.

The assignee of the property of a bankrupt may be entered on the unit register as the assignee of the bankrupt’s units.
Section 18E: inserted, on 19 November 2007, by section 14 of the Climate Change Response Amendment Act 2006 (2006 No 59).

(3) 19 (1) Retirement of Kyoto units by the Crown The Crown may offset each tonne of carbon dioxide equivalent of human­induced greenhouse gas emissions, emitted from sources listed in Annex A of the Protocol, by transferring a Kyoto unit to the retirement account.
(2) Despite subsection (1), the Crown may not retire a CP1 imported assigned amount unit to offset any carbon dioxide equivalent of human­induced greenhouse gas emissions that are emitted after 31 December 2012 from sources listed in Annex A of the Protocol.

(3) New Zealand units and approved overseas units may not be retired.

Section 19: substituted, on 26 September 2008, by section 21 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
52 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 21 Transactions must be registered 20 (1) A transaction to issue, transfer, cancel, retire, surrender, con­ vert, or replace units must be registered on the unit register.
(2) However, the Registrar may not register a transaction on the unit register if— (a) (b) (c) the Registrar receives a notiﬁcation from the inter­ national transaction log that there is a discrepancy with the transaction; or the transaction is not submitted in the prescribed form; or the prescribed fees (if any) have not been paid to the Registrar (unless arrangements for payment have been made in accordance with regulations made under this Act).
Section 20(1): amended, on 26 September 2008, by section 22(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 20(1): amended, on 19 November 2007, by section 15(1) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 20(2): substituted, on 19 November 2007, by section 15(2) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).
Section 20(2)(a): amended, on 26 September 2008, by section 22(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Registration procedure for Kyoto units 21 (1) On receipt of a direction in relation to Kyoto units given by the Minister of Finance, or an application for the registration of a transaction in relation to Kyoto units by an account holder that is completed to the satisfaction of the Registrar and in accord­ ance with any regulations made under this Act, the Registrar must— (a) (b) create an unique transaction number; and if the proposed transaction concerns the international transaction log, send a record of the proposed transac­ tion to the international transaction log if required to do so by the international transaction log; and if the proposed transaction does not concern the inter­ national transaction log,— (c) 53 Part 2 s 21 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (i) (ii) record in the unit register the particulars of the transaction set out in the direction or the applica­ tion; and send electronic notiﬁcation that the transaction has been recorded in the unit register to,— (A) (B) in the case of a direction, the Minister of Finance and, if the direction speciﬁes that Kyoto units are to be transferred to a hold­ ing account of an account holder other than the Crown, the account holder: in the case of an application, the account holder who submitted the application and the account holder speciﬁed in the applica­ tion as the account holder to whose hold­ ing account Kyoto units are to be trans­ ferred.
(b) (c) If the Registrar sends a record of the proposed transaction to the international transaction log under subsection (1)(b) and receives notiﬁcation back from the international transaction log that there are no discrepancies in the transaction, the Regis­ trar must, as soon as practicable,— (a) record in the unit register the particulars of the transac­ tion set out in the direction or the application; and send notiﬁcation that the transaction has been recorded in the unit register to the international transaction log; and send electronic notiﬁcation that the transaction has been recorded in the unit register to,— (i) (ii) in the case of a direction, the Minister of Finance; or in the case of an application, the account holder.
If the Registrar receives a notiﬁcation from the international transaction log that there is a discrepancy in a transaction in relation to Kyoto units, the Registrar— (a) may not register the transaction; and (b) must terminate the transaction; and (c) must give notiﬁcation of the termination, as soon as practicable, to the international transaction log; and (2) (3) 54 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 21 (4) (d) (ii) send electronic notiﬁcation that the transaction has been terminated to,— (i) in the case of a direction, the Minister of Finance; or in the case of an application, the account holder.
This section does not apply to the carry­over of assigned amount units, certiﬁed emission reduction units, and emission reduction units.

Section 21 heading: amended, on 26 September 2008, by section 23(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 21(1): substituted, on 19 November 2007, by section 16(1) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).
Section 21(1): amended, on 26 September 2008, by section 23(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 21(1): amended, on 26 September 2008, by section 23(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 21(1)(b): substituted, on 26 September 2008, by section 23(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 21(1)(c): added, on 26 September 2008, by section 23(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 21(2): substituted, on 26 September 2008, by section 23(5) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 21(2): substituted, on 19 November 2007, by section 16(1) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).
Section 21(3): amended, on 26 September 2008, by section 23(6) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 21(3): amended, on 26 September 2008, by section 23(7) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 21(3)(c): substituted, on 26 September 2008, by section 23(8) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 21(3)(c)(ii): repealed, on 19 November 2007, by section 16(2) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 21(3)(c)(iii): substituted, on 19 November 2007, by section 16(3) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 21(3)(d): added, on 26 September 2008, by section 23(8) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 21(4): amended, on 26 September 2008, by section 23(9) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
55 Part 2 s 21AA Climate Change Response Act 2002 Reprinted as at 26 September 2008 21AA Registration procedure for New Zealand units and approved overseas units (1) On receipt of a direction in relation to New Zealand units or approved overseas units given by the Minister of Finance, or an application for the registration of a transaction in relation to New Zealand units or approved overseas units by an account holder, which is completed to the satisfaction of the Registrar and in accordance with any regulations made under this Act, the Registrar must— (a) (b) create a unique transaction number; and if the proposed transaction concerns an overseas regis­ try, send a record of the proposed transaction to the overseas registry if required to do so by the overseas registry; and if the proposed transaction does not concern an overseas registry,— (i) (c) (ii) record in the unit register the particulars of the transaction set out in the direction or the applica­ tion; and send electronic notiﬁcation that the transaction has been recorded in the unit register to,— (A) (B) in the case of a direction, the Minister of Finance and, if the direction speciﬁes that New Zealand units or approved overseas units are to be transferred to the holding account of an account holder other than the Crown, the account holder: in the case of an application, the account holder who submitted the application and the account holder speciﬁed in the ap­ plication as the account holder to whose holding account New Zealand units or ap­ proved overseas units are to be transferred.
If the Registrar sends a record of the proposed transaction to an overseas registry under subsection (1)(b) and receives no­ tiﬁcation back from the overseas registry that there are no dis­ crepancies in the transaction, the Registrar must, as soon as practicable,— (2) 56 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 21B (3) (ii) (a) (b) (c) record in the unit register the particulars of the transac­ tion set out in the direction or the application; and send notiﬁcation to the overseas registry that the trans­ action has been recorded in the unit register; and send electronic notiﬁcation that the transaction has been recorded in the unit register to,— (i) in the case of a direction, the Minister of Finance; or in the case of an application, the account holder.
If the Registrar receives a notiﬁcation from the overseas regis­ try that there is a discrepancy in a proposed transaction in re­ lation to New Zealand units or approved overseas units, the Registrar— (a) may not register the transaction; and (b) must terminate the transaction; and (c) must notify the overseas registry of the termination; and send electronic notiﬁcation that the transaction has been (d) terminated to,— (i) in the case of a direction, the Minister of Finance; or in the case of an application, the account holder.
Section 21AA: inserted, on 26 September 2008, by section 24 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(ii) 21A Electronic registration A direction by the Minister of Finance or an application by an account holder to register a transaction must be— (a) made electronically in the prescribed form via the Registry’s Internet site, and contain the particulars speciﬁed in the form; and accompanied by the fee (if any) prescribed in regula­ tions made under this Act; and (b) (c) made in accordance with regulations made under this Act.
Section 21A: inserted, on 19 November 2007, by section 17 of the Climate Change Response Amendment Act 2006 (2006 No 59).

21B Defective applications (1) If an application is defective, the Registrar may— 57 Part 2 s 22 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) [Repealed] direct, in writing by electronic notiﬁcation, the appli­ cant to correct the defect within a speciﬁed period of time.
If a direction to correct a defect is not complied with within the speciﬁed period of time, the Registrar may refuse to— (a) (b) proceed with the registration; or register the transaction.

(2) (3) Any fees paid to the Registrar in relation to an uncorrected defective application are forfeited.

Section 21B: inserted, on 19 November 2007, by section 17 of the Climate Change Response Amendment Act 2006 (2006 No 59).
Section 21B(1)(a): repealed, on 26 September 2008, by section 25 of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

22 Transactions take effect when registered (1) A transaction takes effect when it is registered.

(2) A transaction is registered when the Registrar— (a) (b) assigns a registration number, date, and time, and other information that may be required by this Act, to the transaction; and enters those particulars in the unit register.
Receiving Kyoto units from overseas registries If the Registrar receives notiﬁcation from an overseas registry of a proposal to transfer Kyoto units to an account in the Regis­ try, the Registrar must register the transaction, in accordance with the notiﬁcation, when the Registrar receives the follow­ ing: (a) notiﬁcation from the international transaction log that the proposed transaction does not contain any discrep­ ancies; and [Repealed] (b) If the Registrar receives notiﬁcation from an overseas regis­ try of a proposal to transfer Kyoto units to an account in the Registry and receives notiﬁcation from the international trans­ action log that there is a discrepancy, the Registrar— (a) may not register the transaction; and 23 (1) (2) 58 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 23A (b) must terminate the transaction; and (c) must notify the international transaction log of the ter­ mination.
(3) A transfer of Kyoto units from an overseas registry is subject to any regulations made under this Act.

Section 23 heading: amended, on 26 September 2008, by section 26(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 23(1): amended, on 26 September 2008, by section 26(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 23(1)(a): amended, on 26 September 2008, by section 26(3) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 23(1)(b): repealed, on 19 November 2007, by section 18(1) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).

Section 23(2): amended, on 26 September 2008, by section 26(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 23(2): amended, on 26 September 2008, by section 26(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 23(2)(c): amended, on 26 September 2008, by section 26(3) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 23(2)(c): amended, on 19 November 2007, by section 18(2) of the Cli­ mate Change Response Amendment Act 2006 (2006 No 59).
Section 23(3): added, on 19 November 2007, by section 18(3) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 23(3): amended, on 26 September 2008, by section 26(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
23A Receiving New Zealand units and approved overseas (1) (2) units from overseas registries If the Registrar receives notiﬁcation from an overseas registry of a proposal to transfer New Zealand units or approved over­ seas units to an account in the Registry and the Registrar is satisﬁed that there is no discrepancy with the transaction, the Registrar must register the transaction in accordance with the notiﬁcation.
If the Registrar receives notiﬁcation from an overseas regis­ try of a proposal to transfer New Zealand units or approved overseas units to an account in the Registry and the Registrar is satisﬁed that there is a discrepancy with the transaction, the Registrar— 59 Part 2 s 24 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) may not register the transaction; and (b) must terminate the transaction; and (c) must notify the overseas registry of the termination.
(3) A transfer of New Zealand units or approved overseas units from an overseas registry is subject to any regulations made under this Act.

Section 23A: inserted, on 26 September 2008, by section 27 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Priority of registration 24 (1) A direction given by the Minister of Finance or an application for the registration of a transaction by an account holder must, as soon as practicable, be processed in the chronological order in which it is received by the Registrar.

(3) (2) A direction or an application is received by the Registrar when it is recorded as being downloaded into the computer main­ tained to operate the unit register.
Subsection (1) applies to an application for the registration of a transaction only if the application is completed to the satis­ faction of the Registrar and in accordance with any regulations made under this Act.

Section 24(1): substituted, on 26 September 2008, by section 28(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 24(1): amended, on 19 November 2007, by section 19(1) of the Climate Change Response Amendment Act 2006 (2006 No 59).
Section 24(2): amended, on 19 November 2007, by section 19(2) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 24(3): added, on 26 September 2008, by section 28(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Correction of unit register If the unit register records a transaction inaccurately, and the inaccuracy is the result of an error or omission made by the Registrar when registering the transaction, then a request to correct the inaccuracy may be submitted by— (a) the Minister of Finance, if the Registrar registered the transaction following receipt of a direction from the Minister of Finance; or 25 (1) 60 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 26 (b) the account holder who applied to register the transac­ tion.
(2) The request— (a) may be made at any time; and (b) must specify— (i) (ii) the inaccuracy; and the correction required; and (c) must be in the form, and accompanied by the fees (if any), prescribed in regulations made under this Act.
(3) If the Registrar is satisﬁed that the unit register is inaccurate in any respect, the Registrar may— (a) (b) correct the unit register accordingly; and record on the unit register— the nature of the correction; and (i) the time that the correction was made; and (ii) give notiﬁcation of the correction, as soon as practic­ able, to— (i) (c) any person whom the Registrar considers to be affected by the correction; and the international transaction log (if required to do so); and an overseas registry (if required to do so).
(ii) (iii) Section 25: substituted, on 19 November 2007, by section 20 of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 25(1): substituted, on 26 September 2008, by section 29(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 25(3): amended, on 26 September 2008, by section 29(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 25(3)(c)(ii): substituted, on 26 September 2008, by section 29(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 25(3)(c)(iii): substituted, on 26 September 2008, by section 29(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

26 (1) Unit register must be open for search Except as provided in section 13, the unit register must be open at all times for searches by a person via the Registry’s Internet site.
61 Part 2 s 27 Climate Change Response Act 2002 Reprinted as at 26 September 2008 The Registrar is not required to make publicly available any information that is not listed in section 27.

Section 26: amended, on 19 November 2007, by section 21 of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 26(2): added, on 26 September 2008, by section 30 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Information accessible by search The following information must be accessible by a search of the unit register: (a) the following up­to­date information for each account: (i) (ii) (iii) (iv) the name of the account holder; and the type of account; and the account number; and the full name, mailing address, telephone num­ ber, fax number, and email address of any pri­ mary representatives of the account holder; and (b) (c) a list of account holders; and the relevant commitment period of any— (i) (ii) general cancellation account or retirement ac­ count; and long­term certiﬁed emission reduction replace­ ment account or temporary certiﬁed emission re­ duction replacement account; and (d) any other information prescribed in regulations made under this Part.
The following information must be made accessible by a search of the unit register, and be available by 31 January in each year, in a form that shows the relevant totals at the end of the previous year: (a) (b) the total holdings of Kyoto units in the Registry; and the total holdings of assigned amount units, emission re­ duction units, certiﬁed emission reduction units, long­ term certiﬁed emission reduction units, temporary cer­ tiﬁed emission reduction units, and removal units in the Registry; and the total quantity of New Zealand units issued during that year; and (c) (2) 27 (1) (2) 62 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 27 (d) (e) (f) (g) (h) (i) (j) (k) the total quantity of New Zealand units transferred for each removal activity during that year; and the total holdings of New Zealand units in the Registry; and the total holdings of approved overseas units in the Registry; and the total holdings of each type of approved overseas units in the Registry; and the total quantity of assigned amount units issued on the basis of New Zealand’s initial assigned amount during that year; and the total quantity of emission reduction units issued on the basis of a joint implementation project during that year; and the following information in relation to units transferred to the Registry from overseas registries during that year: the total quantity of units transferred; and (i) the total quantity of each type of unit transferred; (ii) and the identity of the transferring overseas registries, including the total quantity of— (A) (iii) units transferred from each overseas regis­ try; and each type of unit transferred from each overseas registry; and (B) the following information in relation to units transferred from the Registry to overseas registries during that year: the total quantity of units transferred; and (i) the total quantity of each type of unit transferred; (ii) and the identity of the acquiring overseas registries, including the total quantity of— (A) (iii) units
 transferred to each overseas registry; and each type of unit transferred to each over­ seas registry; and (B) (l) the total quantity of units transferred between holding accounts in the Registry during that year; and 63 Part 2 s 27 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (m) (n) (o) (p) (q) (r) (s) (t) (u) the total quantity of each type of unit transferred be­ tween holding accounts in the Registry during that year; and the total quantity of removal units issued in relation to sink activities during that year; and the total quantity of Kyoto units transferred to the sink cancellation account during that year; and the total quantity of Kyoto units transferred to the non­ compliance cancellation account during that year; and the total quantity of units transferred to the general can­ cellation account during that year; and the total quantity of Kyoto units retired during that year; and the total quantity of units surrendered during that year; and the total quantity of each type of unit surrendered during that year; and the following information in relation to New Zealand units transferred to the conversion account during that year: (i) the total quantity of New Zealand units con­ verted; and the total quantity of New Zealand units con­ verted for the purpose of transferring designated assigned amount units to— (A) (B) an account in an overseas registry; or the general cancellation account; and (ii) (v) (w) the total quantity of assigned amount units, certiﬁed emission reduction units, and emission reduction units carried­over from a previous commitment period dur­ ing that year; and the expiry date of each long­term certiﬁed emission re­ duction unit and each temporary certiﬁed emission re­ duction unit held in the Registry.
(3) The following information must be accessible by a search of the unit register in a form that shows the relevant totals at the beginning of the previous year: 64 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 29 (a) (b) the total holdings of Kyoto units in each holding ac­ count in the Registry (including any holding account held by the Crown); and the total holdings of assigned amount units, emission re­ duction units, certiﬁed emission reduction units, long­ term certiﬁed emission reduction units, temporary certi­ ﬁed emission reduction units, and removal units in each holding account in the Registry (including any holding account held by the Crown).
Section 27: substituted, on 26 September 2008, by section 31 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 27: amended, on 19 November 2007, by section 22(1) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 27(a)(iii): substituted, on 19 November 2007, by section 22(2) of the Climate Change Response Amendment Act 2006 (2006 No 59).
Section 27(b): amended, on 19 November 2007, by section 22(3) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 27(b)(iv): amended, on 19 November 2007, by section 22(4) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 27(b)(xia): inserted, on 19 November 2007, by section 22(5) of the Climate Change Response Amendment Act 2006 (2006 No 59).
Section 27(b)(xib): inserted, on 19 November 2007, by section 22(5) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 27(b)(xic): inserted, on 19 November 2007, by section 22(5) of the Climate Change Response Amendment Act 2006 (2006 No 59).

Section 27(b)(xii): repealed, on 19 November 2007, by section 22(6) of the Climate Change Response Amendment Act 2006 (2006 No 59).
28 29 Search of unit register A person may, by using the form and paying the fees (if any) prescribed by regulations made under this Act, search the unit register, and obtain a printed search result, in accordance with this Act and any regulations made under this Act.

Sections 28 and 29 were substituted, as from 14 November 2006, by section 23 Climate Change Response Amendment Act 2006 (2006 No 59).
Printed search result receivable as evidence A printed search result, or a copy of a printed search result, that purports to be issued by the Registrar is receivable as evidence and is, in the absence of evidence to the contrary, proof of any 65 Part 2 s 30 Climate Change Response Act 2002 Reprinted as at 26 September 2008 matter recorded in the unit register, including (but not limited to)— (a) (b) (c) Sections 28 and 29 were substituted, as from 14 November 2006, by section 23 Climate Change Response Amendment Act 2006 (2006 No 59).
the ownership of units; and the date and time of the registration of a transaction; and information that the Registry holds.

Recovery of fees 30 (1) A fee that is not paid in accordance with regulations made under this Part may be recovered from the person liable to pay the fees by the chief executive in any court of competent jurisdiction.
The chief executive may enter into any agreement or arrange­ ment, on any terms that the chief executive thinks ﬁt, with any person to collect, or assist in the collection of, any fees that are payable.

Section 30(1): amended, on 26 September 2008, by section 32(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(2) Section 30(1): amended, on 26 September 2008, by section 32(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 30(2): amended, on 26 September 2008, by section 32(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
30A The Crown or Registrar not liable in relation to searches in certain cases No action may be brought against the Crown or the Registrar for any loss or damage resulting from— (a) (b) an inaccuracy in a search of the unit register; or an inaccurate entry or omission in the unit register if the inaccuracy or omission arises from reasonable reliance on information received by the Registrar from— the international transaction log; or (i) an overseas registry; or (ia) a third party; or (ib) an account holder.
(ii) Sections 30A to 30D were inserted, as from 14 November 2006, by section 24 Climate Change Response Amendment Act 2006 (2006 No 59).

66 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 30B Section 30A headng: amended, on 26 September 2008, by section 33(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 30A(b)(i): amended, on 26 September 2008, by section 33(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 30A(b)(ia): inserted, on 26 September 2008, by section 33(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 30A(b)(ib): inserted, on 26 September 2008, by section 33(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Expiry of long­term certiﬁed emission reduction units and temporary certiﬁed emission reduction units This heading was inserted, as from 14 November 2006, by section 24 Climate Change Response Amendment Act 2006 (2006 No 59).

30B Expiry of long­term certiﬁed emission reduction units (1) A long­term certiﬁed emission reduction unit expires at the end of the last crediting period for the clean development mechanism project to which it relates.
an assigned amount unit; or a certiﬁed emission reduction unit; or an emission reduction unit; or a removal unit.
(2) A person who holds a long­term certiﬁed emission reduction unit in a retirement account or a long­term certiﬁed emission reduction replacement account must replace that unit before it expires by transferring 1 of the following units to the long­term certiﬁed emission reduction replacement account: (a) (b) (c) (d) Thirty days before a long­term certiﬁed emission reduction unit in a retirement account or a long­term certiﬁed emission reduction replacement account expires, the Registrar must no­ tify in writing the person who holds that unit that it is due to expire and must be replaced.
If a long­term certiﬁed emission reduction unit is not held in a retirement account or a long­term certiﬁed emission reduction replacement account, the Registrar must transfer that unit to the general cancellation account when that unit expires.

(4) (3) 67 Part 2 s 30C Climate Change Response Act 2002 Reprinted as at 26 September 2008 (5) If subsection (4) applies, then section 18C(3) does not apply.
Sections 30A to 30D were inserted, as from 14 November 2006, by section 24 Climate Change Response Amendment Act 2006 (2006 No 59).
30C Replacement of certain long­term certiﬁed emission reduction units (1) A person who holds a long­term certiﬁed emission reduction unit must replace that unit in accordance with this section if the designated operating entity of the relevant clean development mechanism project— (a) provides a certiﬁcation report that indicates a reversal of net anthropogenic greenhouse gas removals by sinks since the previous certiﬁcation; or does not provide a certiﬁcation report.
(2) (b) If subsection (1) applies,— (a) each identiﬁed long­term certiﬁed emission reduction unit, as notiﬁed by the executive board, must be re­ placed by 1 of the following units: (i) (ii) (iii) (iv) (v) assigned amount units; or certiﬁed emission reduction units; or emission reduction units; or removal units; or long­term certiﬁed emission reduction units from the same clean development mechanism project; and (b) the Registrar must notify in writing the person who holds the affected long­term certiﬁed emission reduc­ tion unit.
(4) (3) A person notiﬁed under subsection (2)(b) must replace the af­ fected long­term certiﬁed emission reduction unit within 30 days of receiving the notice.

Sections 354 to 361 of the Property Law Act 2007 apply, with all necessary modiﬁcations, to any notice required under sub­ section (2)(b).

Sections 30A to 30D were inserted, as from 14 November 2006, by section 24 Climate Change Response Amendment Act 2006 (2006 No 59).
Section 30C(4): amended, on 1 January 2008, by section 364(1) of the Property Law Act 2007 (2007 No 91).

68 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 30E 30D Expiry of temporary certiﬁed emission reduction units (1) A temporary certiﬁed emission reduction unit expires at the end of the subsequent commitment period that immediately follows the relevant commitment period.
(2) A person who holds a temporary certiﬁed emission reduction unit in a retirement account or a temporary certiﬁed emission reduction replacement account must replace that unit before it expires by transferring 1 of the following units to the tempo­ rary certiﬁed emission reduction replacement account: (a) (b) (c) (d) (e) an assigned amount unit; or a certiﬁed emission reduction unit; or an emission reduction unit; or a removal unit; or a temporary certiﬁed emission reduction unit that is due to expire in a subsequent commitment period.
(3) (4) (5) Thirty days before a temporary certiﬁed emission reduction unit in a retirement account or a temporary certiﬁed emission reduction replacement account expires, the Registrar must no­ tify in writing the person who holds that unit that it is due to expire and must be replaced.
If a temporary certiﬁed emission reduction unit is not held in a retirement account or a temporary certiﬁed emission reduction replacement account, the Registrar must transfer that unit to the general cancellation account when that unit expires.

If subsection (4) applies, then section 18C(3) does not apply.

Sections 30A to 30D were inserted, as from 14 November 2006, by section 24 Climate Change Response Amendment Act 2006 (2006 No 59).
Miscellaneous provisions Heading: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
30E Conversion of New Zealand units into designated assigned amount units for sale overseas or cancellation (1) An account holder may apply to the Registrar to convert a New Zealand unit held by that person into a designated assigned amount unit held for the purposes of transferring that assigned amount unit to— (a) an account in an overseas registry; or 69 (b) (c) (b) (c) Part 2 s 30E Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) the general cancellation account.
(2) An account holder who applies to convert any New Zealand units into designated assigned amount units for either purpose speciﬁed in subsection (1) must— (a) submit the prescribed form to the Registrar specifying the New Zealand units that the account holder wishes to convert; and submit an application under section 18C for the transfer of an equivalent number of designated assigned amount units (into which the account holder is converting the New Zealand units) to— (i) (ii) pay the prescribed fee (if any).
an account in an overseas registry; or the general cancellation account; and (3) Upon receipt of an application under subsection (2) the Regis­ trar must, as soon as practicable,— (a) transfer the New Zealand units speciﬁed in the applica­ tion from the account holder’s account to the conversion account; and transfer to the account holder’s account an equivalent number of designated assigned amount units; and subject to section 21(3), register the transaction applied for under subsection (2)(b).
If the Registrar receives notiﬁcation from the international transaction log under section 21(3) that there are discrepancies in the transaction relating to the application submitted under subsection (2)(b), the Registrar must— comply with section 21(3); and (a) (b) reverse the transfers in subsection (3)(a) and (b).
For the purposes of this section, designated assigned amount unit means an assigned amount unit that— (a) was issued by the Registrar on the basis of New Zealand’s initial assigned amount; and is held by the Crown in a Crown holding account.

(b) Section 30E: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(4) (5) 70 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 30G 30F Restrictions on certain New Zealand units allocated to (1) landowners of pre­1990 forest land This section applies to any New Zealand units referred to in section 71(2)(b)(ii) that are allocated in accordance with an allocation plan made under section 79 that relates to those units.

(3) 1 January 2013; or any later date speciﬁed in the allocation plan.
(2) Despite anything in section 18C or 30E, the Registrar may not transfer any New Zealand units to which this section applies to a surrender account or a conversion account until— (a) (b) If the activity listed in Part 1 of Schedule 3 is repealed, the Minister of Finance may issue a direction to the Registrar under section 7 to transfer from any holding account to a can­ cellation account any New Zealand units to which this section applies.
Section 30F: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
30G Regulations relating to Part 2 (1) The Governor­General may, by Order in Council made on the recommendation of the Minister, make regulations for any or all of the following purposes: (a) prescribing procedures and requirements relating to any powers of the Minister of Finance under subpart 1 of this Part: prescribing matters, including (but not limited to) limi­ tations, restrictions, conditions, exemptions, require­ ments, or prohibitions, in respect of— (i) the transfer of units, including (but not limited to)— (A) (b) the transfer of units from an account holder’s holding account to an account in an overseas registry: the transfer of units within the unit regis­ ter: the transfer of units from an overseas registry: (B) (C) 71 Part 2 s 30G Climate Change Response Act 2002 Reprinted as at 26 September 2008 (D) prohibitions on the transfer of units for the purposes of holding those units in an account in the Registry: (ii) the opening or closing of holding accounts: prescribing matters in respect of the holding, surrender, conversion, and cancellation of units, including (but not limited to) limitations, restrictions, conditions, exemp­ tions, requirements, procedures, or thresholds: prescribing matters in respect of the carry­over of as­ signed amount units, certiﬁed emission reduction units, and emission reduction units, including (but not limited to) limitations, restrictions, conditions, exemptions, re­ quirements, procedures, or thresholds: prescribing procedures, requirements, and other matters in respect of the unit register and its operation, includ­ ing, but not limited to, matters relating to— (i) (ii) (iii) (iv) access to the unit register: the location of the unit register: the hours of access to the unit register: the format of unique numbers to be used in the unit register: the allocation of unique serial numbers to New Zealand units and approved overseas units: the exchange of data between— (A) (B) the Registry and overseas registries: the Registry and the international transac­ tion log: (v)
 (vi) the registration of transactions: (vii) (viii) the form and content of the unit register: prescribing matters in respect of which fees are payable under this Part, the amounts of those fees, and the pro­ cedures for payment: prescribing procedures, requirements, and other matters in respect of the form, use, and manner of obtaining electronic veriﬁcation statements to conﬁrm a registra­ tion: prescribing procedures, requirements, and other matters in respect of searching the unit register, including, but not limited to,— (c) (d) (e) (f) (g) (h) 72 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 30G (i) (ii) (iii) (iv) the criteria by which a search may be conducted: the method of disclosure: the form of search results: the abbreviations, expansions, or symbols that may be used in search results: prescribing forms and notices for the purposes of this Part: prescribing, for the purpose of the deﬁnition of overseas registry, overseas registries from which and to which units may be transferred to and from accounts in the Registry: prescribing the units issued by an overseas registry that may be transferred to accounts in the Registry: prescribing procedures for transactions involving ap­ proved overseas units: prescribing matters in respect of the taking of posses­ sion of an emissions unit for the purposes of section 18(1A)(b) of the Personal Property Securities Act 1999: in respect of this Part, giving effect to the terms of the Convention and the Protocol, including any decisions, rules, guidelines, principles, measures, methodologies, modalities, procedures, mechanisms, or other matters adopted, agreed on, made, or approved in accordance with the Convention or the Protocol: providing for the matters that are contemplated by, or necessary for, giving full effect to this Part and for its due administration.
(i) (j) (k) (l) (m) (n) (o) (2) Regulations made under subsection (1) may be made in respect of different units, transactions, persons, classes of units, sub­ classes of units, classes of transactions, or classes of persons.

(3) Any regulation made under subsection (1)(b)(i) or (c) does not apply to the transfer of units that are held in an account in the Registry at the time that the regulation comes into force.
(4) Any regulations made under subsection (1) must be consistent with the Convention and the Protocol.

Section 30G: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
73 Part 2 s 30H Climate Change Response Act 2002 Reprinted as at 26 September 2008 (2) 30H Procedure for certain regulations relating to units (1) Before making a recommendation under section 30G(1) relat­ ing to regulations under section 30G(1)(b)(i), (c), (d), (j) or (k), the Minister must consult, or be satisﬁed that the chief execu­ tive has consulted, the persons (or representatives of those per­ sons) that appear to the Minister or the chief executive likely to be substantially affected by any regulations made in accord­ ance with the recommendation.
The process for consultation must, to the extent practicable in the circumstances, include— (a) (b) giving adequate and appropriate notice of the proposed terms of the recommendation, and of the reasons for it; and the provision of a reasonable opportunity for interested persons to consider the recommendation and make sub­ missions; and adequate and appropriate consideration of submissions.
(3) Unless subsection (4) applies or a later date is speciﬁed in the regulations, regulations referred to in this section come into force 3 months after the date of their notiﬁcation in the Gazette.

Subsections (1) and (3) do not apply in respect of any regula­ tions if the Minister considers it is in the national interest that they be made urgently.

(4) (c) (5) A failure to comply with this section does not affect the val­ idity of regulations made under section 30G(1)(b)(i), (c), (d), (j), or (k).
Section 30H: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Incorporation by reference in regulations made under section 30G The following written material may be incorporated by refer­ ence in regulations made under section 30G: (a) rules, guidelines, principles, measures, decisions, methodologies, modalities, procedures, mechanisms, or other matters adopted, agreed on, made, or approved by any international or national organisation in accord­ ance with the Convention or the Protocol; and 30I (1) 74 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 2 s 30K (b) any standards, requirements, or recommended prac­ tices— (i) of any international or national organisation that are adopted, agreed on, made, or approved in accordance with the Convention or the Protocol: prescribed in any country or jurisdiction that are adopted, agreed on, made, or approved in accord­ ance with the Protocol.
(ii) (2) Material may be incorporated by reference in regulations— in whole or in part; and (a) (b) with modiﬁcations, additions, or variations speciﬁed in the regulations.

(3) Material incorporated by reference in regulations has legal ef­ (4) fect as part of the regulations.
Sections 170 to 177 apply to material incorporated by refer­ ence into regulations under section 30G as though all refer­ ences to sections 163 to 165, 167, and 168 were references to section 30G and all references to the chief executive were ref­ erences to the Registrar.

Section 30I: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
30J Signing false declaration with respect to regulations made under section 30G Every person who signs a declaration that is required under regulations made under section 30G, knowing the declaration to be false,— (a) (b) Section 30J: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

commits an offence; and is liable on conviction to a ﬁne not exceeding $5,000.
30K Providing false or misleading information to Registrar (1) Every person who knowingly provides false or misleading in­ formation to the Registrar commits an offence and is liable on conviction to a ﬁne not exceeding,— (a) (b) in the case of an individual, $50,000: in the case of a body corporate, $200,000.
75 Part 3 s 31 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (2) Every person who recklessly provides false or misleading in­ formation to the Registrar commits an offence, and is liable on conviction to a ﬁne not exceeding $2,000.

Section 30K: inserted, on 26 September 2008, by section 34 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Subpart 3—Inventory agency [Repealed] Subpart 3 heading: repealed, on 26 September 2008, by section 35 of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Part 3 Inventory agency Part 3 heading: inserted, on 26 September 2008, by section 35 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
31 Meaning of greenhouse gas For the purposes of this subpart, despite anything in section 4, greenhouse gas means a gas in the earth’s atmosphere that strongly absorbs and re­emits infrared radiation, and includes indirect greenhouse gases, but does not include a gas that is covered by the Montreal Protocol on Substances that Deplete the Ozone Layer.
(b) Primary functions of inventory agency The primary functions of the inventory agency are to— (a) estimate annually New Zealand’s human­induced emis­ sions by sources and removals by sinks of greenhouse gases; and prepare the following reports for the purpose of dis­ charging New Zealand’s obligations: (i) New Zealand’s annual inventory report under Article 7.1 of the Protocol, including (but not limited to) the quantities of long­term certiﬁed emission reduction units and temporary certiﬁed emission reduction units that have expired or have been replaced, retired, or cancelled; and 32 (1) 76 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 33 (ii) New Zealand’s national communication (or peri­ odic report) under Article 7.2 of the Protocol and Article 12 of the Convention; and (2) (iii) New Zealand’s report for the calculation of its initial assigned amount under Article 7.4 of the Protocol, including its method of calculation.
In carrying out its functions, the inventory agency must— (a) (b) identify source categories; and collect data by means of— (i) (ii) voluntary collection; and collection from government agencies and other agencies that hold relevant information; and collection in accordance with regulations made under this Part (if any); and (iii) (c) (d) (e) (f) estimate the emissions and removals by sinks for each source category; and undertake assessments on uncertainties; and undertake procedures to verify the data; and retain information and documents to show how the es­ timates were determined.
Subsection (1)(b)(i) was amended, as from 14 November 2006, by section 25 Climate Change Response Amendment Act 2006 (2006 No 59) by adding the words “, including (but not limited to) the quantities of long­term certiﬁed emission reduction units and temporary certiﬁed emission reduction units that have expired or have been replaced, retired, or cancelled”.

Section 32(2)(b)(iii): amended, on 26 September 2008, by section 36 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
33 (1) Inventory agency under direction of Minister The inventory agency must comply with any direction from the Minister in relation to the performance of its functions under this Part.

(2) As soon as practicable after giving the direction, the Minister must make a copy of the direction accessible via the inventory agency’s Internet site.

Section 33 heading: amended, on 26 September 2008, by section 37(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 33(1): amended, on 26 September 2008, by section 37(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

77 Part 3 s 34 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 33(1): amended, on 26 September 2008, by section 37(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 33(2): amended, on 26 September 2008, by section 37(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Subsection (2) was amended, as from 14 November 2006, by section 26 Climate Change Response Amendment Act 2006 (2006 No 59) by substituting the words “make a copy of the direction accessible via the inventory agency’s Internet site” for the words “publish a copy of the direction in the Gazette”.
Record keeping The inventory agency must keep a record of changes that occur from year to year in— (a) (b) the collection of data; and the use of methodologies and emission factors.

Publication The inventory agency must publish New Zealand’s annual in­ ventory report and its national communication (or periodic re­ port) in electronic form by placing the report on a publicly accessible portion of the inventory agency’s Internet site.
Section 35 was substituted, as from 1 August 2003, by section 27 Climate Change Response Amendment Act 2006 (2006 No 59).

Inspectors Heading: substituted, on 26 September 2008, by section 38 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Authorisation of inspectors The Minister may authorise the following persons, provided that they are suitably qualiﬁed and trained, to exercise any or all of the powers of, and carry out any or all of the duties of an inspector under this Part: (a) (b) employees of the inventory agency; or employees of the Ministry of Agriculture and Forestry and employees of any other department of the public service prescribed by regulation; or employees of New Zealand Forest Research Institute Limited, Landcare Research New Zealand Limited, New Zealand Pastoral Agriculture Research Institute Limited, and employees of any other Crown Research (c) 34 35 36 (1) 78 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 37 Institute (within the meaning of the Crown Research Institutes Act 1992) prescribed by regulation.
(2) An authorisation is subject to the terms and conditions that are agreed to by the Minister and the chief executive of the agency that employs the person authorised to be an inspector.

The Minister must supply an inspector with a warrant of au­ thorisation that clearly states the powers and duties of that in­ spector.
(3) (4) An inspector who exercises, or purports to exercise, a power conferred on that inspector under this Part must carry and be able to produce, if required to do so,— (a) (b) his or her warrant of authorisation; and evidence of his or her identity.

(5) An inspector who holds a warrant of authorisation issued under this section must, on the termination of that inspector’s authorisation, surrender his or her warrant of authorisation to the Minister.
Section 36(1): amended, on 26 September 2008, by section 39(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 36(1): amended, on 26 September 2008, by section 39(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 36(2): amended, on 26 September 2008, by section 39(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 36(3): amended, on 26 September 2008, by section 39(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 36(4): amended, on 26 September 2008, by section 39(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 36(5): amended, on 26 September 2008, by section 39(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
37 (1) Power to enter land or premises to collect information to estimate emissions or removals of greenhouse gases For the purposes of collecting information to assist with the estimation of New Zealand’s human­induced emissions by sources and removals by sinks of greenhouse gases, an inspector may, if authorised in writing by the Minister, enter or re­enter land, or premises where any livestock are likely to be held, excluding any dwellinghouse, at any reasonable time during the ordinary hours of business, to— 79 Part 3 s 38 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) carry out surveys, investigations, tests, or measure­ ments (including those that involve leaving measuring equipment on the land or premises): take samples of water, air, soil, or organic matter.
(b) To avoid doubt, the authorisation given by the Minister may be for a series of surveys, investigations, tests, measurements, or samples.

Reasonable notice, in writing, must be given to the occupier (if any) of the land or premises to be entered that speciﬁes— (a) (b) (c) Reasonable effort must be made to give notice under subsec­ tion (3) to the owner or owners of the land or premises.
If the owner or owners are not given notice, reasonable effort must be made to identify any wahi tapu areas and archaeo­ logical sites on the land by other means.

when, and by what means, entry is to be made; and the purpose for which entry is required; and that the entry is authorised under this section.

(2) (3) (4) (5) (6) An inspector who exercises the power of entry under this sec­ tion may use any assistance that is reasonably necessary to ex­ ercise the power.
(7) A person who provides assistance under subsection (6) may exercise the powers provided to inspectors under subsection (1).

Section 37(1): amended, on 26 September 2008, by section 40 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 37(2): amended, on 26 September 2008, by section 40 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Limitation on power of entry under section 37 The Minister may only authorise an inspector to exercise the power of entry under section 37 if satisﬁed that the information sought— (a) (b) requires speciﬁc technical expertise to collect; and cannot reasonably be obtained from the occupier or owner of the land or premises.

Section 38: amended, on 26 September 2008, by section 41 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
38 80 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 39 Power of entry for inspection 39 (1) An inspector authorised in writing by the inventory agency may enter land or premises (excluding any dwellinghouse) at any reasonable time during the ordinary hours of business, for the purpose of inspection, to determine whether or not a person is complying with regulations made under section 50(2)(a), (c), (e), or (f).
(2) During an inspection, an inspector may— (a) (d) (b) (c) require the production of, inspect, and copy any docu­ ments or business records (including electronic docu­ ments or records): take samples of water, air, soil, or organic matter: carry out surveys, investigations, tests, or measure­ ments (including those that involve leaving measuring equipment on the land or premises): demand from the occupier any other information that the inspector may reasonably require for the purpose of determining whether or not regulations made under section 50(2)(a), (c), (e), or (f) have been complied with.
(3) An inspector who exercises the power of inspection under this section must give the occupier or owner reasonable notice of the inspector’s intention to enter the land or premises unless doing so would defeat the purpose of the entry.

(4) A notice given under subsection (3) must specify— when entry is to be made; and the purpose for which the entry is required; and that the entry is authorised under this section.
(a) (b) (c) (5) An inspector who exercises the power of inspection under this section may be accompanied by any person or persons reason­ ably necessary to assist him or her with the inspection.

(6) A person who provides assistance under subsection (5) may exercise the powers provided to inspectors under subsection (2)(a) to (c).

(7) Nothing in this section limits the privilege against self­incrim­ ination.
81 Part 3 s 40 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Applications for warrants 40 (1) A District Court Judge who, on written application made on oath by an inspector authorised by the inventory agency, is sat­ isﬁed that there are reasonable grounds to believe that there are in or on or under or over any land, premises, or dwellinghouse any documents or other records or things (including samples) for which there are reasonable grounds to believe may be evi­ dence of the commission of an offence under section 46 may issue a warrant authorising the entry and search of that land, premises, or dwellinghouse.
Every search warrant must authorise the inspector executing the warrant to— (a) (2) enter and search the land, premises, or dwellinghouse within 30 working days of the date of the warrant at any time that is reasonable in the circumstances during the ordinary hours of business; and require the production, inspection, and copying of docu­ ments or business records (including electronic docu­ ments or records); and demand from the occupier any other information that the inspector may reasonably require for the purpose of determining whether or not the regulations made under section 50(2) have been complied with; and seize any documents or business records that the in­ spector has reasonable cause to suspect may be evidence of the commission of an offence under section 46; and take samples of water, air, soil, or organic matter; and use any assistance that is reasonably necessary in the circumstances; and use any force to enter (whether by breaking doors or otherwise) that is reasonable in the circumstances.
(b) (c) (d) (e) (f) (g) (3) An inspector may not enter a dwellinghouse unless that in­ spector is accompanied by a member of the police.

(4) A person who provides assistance under subsection (2)(f) may exercise the powers provided to inspectors under subsection (2)(a), (b), (d), (e), and (g).

(5) Nothing in this section limits the privilege against self­incrim­ ination.
82 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 43 41 42 43 (1) (2) Entry of defence areas Despite anything in sections 37, 39, and 40, an inspector may not enter a defence area (within the meaning of section 2(1) of the Defence Act 1990), except in accordance with a written agreement between the inventory agency and the Chief of De­ fence Force on the date or dates speciﬁed in that agreement.
Proof of authority must be produced If powers are exercised under section 37 or section 39 or sec­ tion 40, an inspector must, on initial entry, and if asked by the occupier at any time afterward, produce for inspection that in­ spector’s— (a) warrant of authorisation and evidence of his or her iden­ tity; and (b) written authorisation to enter required under section 37 or section 39 or a search warrant required under section 40.
Notice of entry If, when powers are exercised under section 37 or section 39 or section 40, the occupier is not present at the time that the writ­ ten authorisation or search warrant is executed, and notice is not given to the owner or owners under section 37 or section 39, the inspector must, in a prominent place, attach a written notice that shows— (a) (b) (c) (d) If the inspector removes, or has removed, any documents or business records from any land, premises, or dwellinghouse, the inspector must hand to the occupier, or attach in a promi­ nent place, a notice that— (a) (b) the date and time of the entry or search; and the purpose of the entry or search; and the name and phone number of that inspector; and an address at which enquiries may be made.
lists all of the items taken; and states where those items are being held (and, if they are being held in 2 or more places, state which items are being held in which place); and states the procedure that the person must follow to have those items returned.
(c) 83 Part 3 s 44 Climate Change Response Act 2002 Reprinted as at 26 September 2008 44 45 Information obtained under section 39 or section 40 only admissible in proceedings for alleged breach of regulations made under section 50(2) No document, business record, or other information obtained from a person under section 39 or section 40 is admissible against that person in any criminal or civil proceedings, other than proceedings for an alleged breach of regulations made under section 50(2).
Return of items seized Section 199 of the Summary Proceedings Act 1957 applies, with the necessary modiﬁcations, to any property seized or taken by an inspector as if— (a) references in that section to a constable were references to an inspector; and the reference in that section to section 198 of that Act were a reference to section 39 or section 40 of this Act.
(b) 45A Protection of persons acting under authority of this Part No inspector or person called upon to assist an inspector who does an act or omits to do an act when carrying out a duty, performing a function, or exercising a power conferred on that person by this Part is under any civil or criminal liability in respect of that act or omission unless the person has acted or omitted to act in bad faith or without reasonable cause.
Section 45A: inserted, on 26 September 2008, by section 42 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Offences and penalties Failing to provide required information to inventory agency Every person who fails, without reasonable excuse, to provide the information to the inventory agency required under regu­ lations made under section 50(2)— commits an offence; and (a) is liable on conviction to a ﬁne not exceeding,— (b) (i) (ii) in the case of an individual, $5,000; or in the case of a body corporate, $30,000.
46 84 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 48 47 Obstructing, hindering, resisting, or deceiving person exercising power under Part Every person— (a) commits an offence who— (i) wilfully obstructs, hinders, resists, or deceives a person exercising a power conferred on that person under this Part or regulations made under this Part; or (iii) (ii) wilfully interferes with any survey, investigation, test, or measurement carried out by an inspector under this Part; or refuses to provide information that an inspector has demanded from that person under section 39(2)(d) or section 40(2)(c), except on the grounds of self­incrimination; and is liable on conviction to a ﬁne not exceeding,— (i) (ii) in the case of an individual, $5,000; or in the case of a body corporate, $30,000.
(b) Section 47 heading: amended, on 26 September 2008, by section 43(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 47(a)(i): amended, on 26 September 2008, by section 43(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 47(a)(ii): amended, on 26 September 2008, by section 43(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
48 Signing false declaration in respect of regulations made under section 50 Every person who signs a declaration that is required by regu­ lations made under section 50, knowing the declaration to be false,— (a) (b) Section 48 heading: amended, on 26 September 2008, by section 44 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

commits an offence; and is liable on conviction to a ﬁne not exceeding $5,000.
85 Part 3 s 48A Climate Change Response Act 2002 Reprinted as at 26 September 2008 48A Providing false or misleading information to Registrar [Repealed] Section 48A: repealed, on 26 September 2008, by section 45 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Miscellaneous provisions Reporting For the purpose of reporting to the Secretariat under the Con­ vention and the Protocol, the Minister responsible for the ad­ ministration of this Act may, as and when the Minister thinks ﬁt, direct the inventory agency or the Registrar to provide re­ ports and information to the Minister or directly to the Secre­ tariat.

Section 49: amended, on 26 September 2008, by section 46 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Regulations The Governor­General may, by Order in Council, make regu­ lations for any or all of the following purposes: (a) (b) [Repealed] prescribing agencies whose employees may act as in­ spectors under section 36, being— (i) a Department of the Public Service listed in the First Schedule of the State Sector Act 1988; or a Crown Research Institute within the meaning of the Crown Research Institutes Act 1992: (ii) (c) (ca) (d) (e) (f) (g) (h) (i) (j) [Repealed] [Repealed] [Repealed] [Repealed] [Repealed] [Repealed] [Repealed] prescribing forms and notices for the purposes of this Part: for the purposes of, and subject to, Part 2, giving effect to the terms of the Convention and the Protocol, includ­ ing any decisions, rules, guidelines, principles, meas­ ures, methodologies, modalities, procedures, mechan­ 49 50 (1) 86 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 50 isms, or other matters adopted, agreed on, made, or ap­ proved in accordance with the Convention or the Proto­ col: providing for the matters that are contemplated by, or necessary for, giving full effect to this Part and for its due administration.
(k) (2) (3) If recommended by the Minister, the Governor­General may, by Order in Council, make regulations requiring persons to keep and provide information to the inventory agency for the purpose of estimating New Zealand’s human­induced emis­ sions by sources and removals by sinks of greenhouse gases on any or all of the following: (a) emissions of greenhouse gases into the atmosphere from industrial or trade premises: volumes of fuel produced, distributed, sold, or used, and the nature of the use of that fuel: industrial processes, including by­products from indus­ trial processes: composition of vehicle ﬂeets and use of vehicles, in­ cluding, but not limited to, distances travelled: imports and exports of hydroﬂuorocarbons, perﬂuoro­ carbons, and sulphur hexaﬂuoride: imports, exports, manufacture, sales, and the nature of the use of products that contain hydroﬂuorocarbons, perﬂuorocarbons, and sulphur hexaﬂuoride: (b) (c) (d) (e) (f) (h) (i) (j) (k) (g) waste composition and weight, dimensional character­ istics of landﬁlls, and volume of landﬁll gases extracted and combusted: numbers of ruminants and other farmed livestock and their performance: areas of crops and amounts produced: amount of nitrogenous and lime fertilisers used: native and planted trees, the amount of harvesting, the area of land in scrub, and the area of land in other land uses that are necessary to determine land use change under Article 3.3 or Article 3.4 of the Protocol.
If recommended by the Minister, the Governor­General may, by Order in Council, make regulations requiring persons to provide to the inventory agency information that the person 87 Part 3 s 50 Climate Change Response Act 2002 Reprinted as at 26 September 2008 holds on any matter speciﬁed in subsection (2) for any year from 1989 to the current reporting year.
Regulations made under subsection (2) may specify the man­ ner and form in which records must be kept and provided, in­ cluding specifying that those records must be declared as true, the form of that declaration, and who must sign that declar­ ation.

Regulations made under subsection (1) or (2) may be made in respect of different persons or classes of persons.

For the purposes of subsection (5), classes of persons includes local authorities.
(4) (5) (6) (7) Any regulations made under this section must be consistent this Act; and the Convention; and the Protocol.

with— (a) (b) (c) Section 50(1)(a): repealed, on 26 September 2008, by section 47(1) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 50(1)(c): repealed, on 26 September 2008, by section 47(2) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 50(1)(ca): repealed, on 26 September 2008, by section 47(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 50(1)(d): repealed, on 26 September 2008, by section 47(4) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 50(1)(e): repealed, on 26 September 2008, by section 47(5) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 50(1)(f): repealed, on 26 September 2008, by section 47(6) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 50(1)(g): repealed, on 26 September 2008, by section 47(7) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 50(1)(h): repealed, on 26 September 2008, by section 47(8) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 50(1)(i): amended, on 26 September 2008, by section 47(9) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

88 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 51 Section 50(1)(k): amended, on 26 September 2008, by section 47(10) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 50(2): amended, on 26 September 2008, by section 47(11) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 50(3): amended, on 26 September 2008, by section 47(11) of the Cli­ mate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 50(5): substituted, on 26 September 2008, by section 47(12) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
51 (1) Incorporation by reference in regulations made under section 50 The following written material may be incorporated by refer­ ence in regulations made under section 50: (a) (b) rules, guidelines, principles, measures, decisions, methodologies, modalities, procedures, mechanisms, or other matters adopted, agreed on, made, or approved by any international or national organisation in accord­ ance with the Convention or the Protocol; and any standards, requirements, or recommended prac­ tices— (i) of any international or national organisation that are adopted, agreed on, made, or approved in accordance with the Convention or the Protocol: prescribed in any country or jurisdiction that are adopted, agreed on, made, or approved in accord­ ance with the Protocol.
(ii) (2) Material may be incorporated by reference in regulations— in whole or in part; and (a) (b) with modiﬁcations, additions, or variations speciﬁed in the regulations.

(3) Material incorporated by reference in regulations has legal ef­ (4) fect as part of the regulations.
Sections 170 to 177 apply to material incorporated by refer­ ence into regulations under section 50 as though all references to sections 163 to 165, 167, and 168 were references to section 50 and all references to the chief executive were references to the inventory agency.

89 Part 3 s 52 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 51: substituted, on 26 September 2008, by section 48 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
52 (1) Inventory agency must report to Minister on certain matters before certain regulations are made Before regulations are made under section 50(2) or (3), the inventory agency must provide a report to the Minister on— whether or not the information to be collected under (a) the regulations is reasonably available to the inventory agency by other means, including, but not limited to,— (i) (ii) voluntary collection; or collection from a government agency that holds the information (provided that the release of the information by that government agency complies with the principles of the Privacy Act 1993 and any provisions of the enactment under which the information was collected); and (b) (c) any deﬁciencies with collecting the information using those other means, including, but not limited to,— (i) deﬁciencies in obtaining the required quality of information; and the lack of certainty that all the required informa­ tion can be provided; and (ii) whether or not the regulations are likely to place a dis­ proportionate burden on any particular group of per­ sons.
(2) When preparing a report under subsection (1), the inventory agency must consult any person or government agency that is likely to be affected by the proposed regulations.

(3) With respect to a report prepared under subsection (1), the Minister— (a) must have regard to the report and to the results of con­ sultation; and (b) may make, as he or she thinks ﬁt, recommendations to the Governor­General to make regulations under sec­ tion 50(2) or (3).
The Minister may not recommend the making of regulations under section 50(2) and (3) unless he or she is satisﬁed, on reasonable grounds, that the regulations are necessary to assist (4) 90 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 3 s 53 New Zealand to meet its obligations under the Convention or the Protocol.

Section 52 heading: amended, on 26 September 2008, by section 49(1) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section 52(1): amended, on 26 September 2008, by section 49(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 52(3): amended, on 26 September 2008, by section 49(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section 52(4): amended, on 26 September 2008, by section 49(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
53 “(g) Consequential amendments Section 31 of the Environment Act 1986 (1986 No 127) is amended by adding the following paragraph: to carry out any other functions that may be conferred on the Ministry by any enactment.” 91 Part 4 s 54 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Part 4 New Zealand greenhouse gas emissions trading scheme Part 4: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Subpart 1—Participants Subpart 1: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Participants 54 (1) A person is a participant,— (a) (b) in respect of an activity listed in Schedule 3, if the per­ son— (i) is required under section 180 or 204 to be treated as the person carrying out the activity; or if subparagraph (i) does not apply, carries out the activity; and (ii) in relation to an activity listed in Schedule 4, if the per­ son— (i) carries out the activity, is registered as a partici­ pant under section 57 in respect of the activity, and that registration has taken effect; or becomes a participant under section 192 or 193 in respect of the activity and is not removed from the register in respect of that activity.
(ii) (2) Any reference in this Part or Part 5 to a person or participant carrying out an activity must be read as referring to the person who is to be treated under section 180 or 204 as carrying out the activity, or if those sections do not apply, to the person or participant carrying out the activity.

Subsection (1)(a) is subject to any exemption under an Order in Council made under section 60.
(3) (4) A person who was a participant under subsection (1) continues to be a participant for the purposes of this Act in respect of any obligations, or entitlements under section 64, arising in respect of an activity listed in Schedule 3 or 4 that the person carried out while a participant.
92 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 56 (5) 55 (1) (2) (3) The chief executive must ensure that the registers, or the in­ formation contained in the registers, kept for the purposes of section 56 or 57 are open for public inspection, without fee, on the Internet site of the department of the chief executive, and in any other form that the chief executive considers appropri­ ate.
Section 54: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Associated persons This section applies if an activity listed in Schedule 3 has a threshold below or above which a person becomes a partici­ pant.

If this section applies, persons who are associated persons are to be treated as 1 person for the purpose of determining whether the threshold is met.
If a threshold for an activity listed in Schedule 3 is met by associated persons, each of the associated persons— (a) is to be treated as carrying out the activity for the pur­ poses of this Act; and (b) may elect to comply with this Part and Part 5 as a— (i) (ii) participant in relation to the activity; or a person engaged in a joint activity in accordance with section 157; or a member of a consolidated group under section 150, if the associated person qualiﬁes to be a member of a consolidated group.
Section 55: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(iii) 56 Registration as participant in respect of activities listed in Schedule 3 (1) A person who carries out an activity listed in Schedule 3 must— (a) notify the chief executive that the person is a participant in respect of the activity; and if the person does not already have a holding account— (b) 93 Part 4 s 56 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (i) (ii) apply to open a holding account under section 18A at the time the person notiﬁes the chief ex­ ecutive under paragraph (a); and supply the account number of the holding ac­ count, or ensure that the account number of the holding account is supplied, to the chief execu­ tive within 10 working days of receiving the ac­ count number from the Registrar.
(2) A notice under subsection (1)(a) must— (a) (b) (c) be submitted to the chief executive within 20 working days of the person becoming a participant in respect of the activity; and be in the prescribed form; and contain— (i) (ii) the name of the person; and the details of the activity that the person carries out; and any other information that the chief executive may require; and if the person already has 1 or more holding ac­ counts, the account number of the holding ac­ count that the person wishes to use for the pur­ pose of section 61(1).
(iii) (iv) (b) The chief executive must, as soon as practicable after receiving a notice under subsection (1)(a),— (a) enter on a register kept by the chief executive for the purpose of this section— the name of the person; and (i) (ii) the activity that the person carries out; and notify the person that the person’s name and the activity the person carries out have been entered on the register.
If the chief executive receives a notice under subsection (1)(a) from a person whose name is already on the register kept in accordance with subsection (3), the chief executive need not re­enter the person’s name on the register, but must enter next to the person’s name the activity that is speciﬁed in the notice, and notify the person that the activity has been entered on the register next to the person’s name.
(3) (4) 94 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 57 Section 56: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
57 Applications to be registered as participant in respect of activities listed in Schedule 4 (1) A person who carries out an activity listed in Schedule 4, or who will do so at the time that the person’s registration takes effect, may apply to be registered as a participant in respect of the activity by application to the chief executive in accordance with subsection (2).
(2) An application under subsection (1) must— (a) (b) (c) be in the prescribed form; and be accompanied by— (i) any information that the chief executive may re­ quire; and the prescribed fee (if any); and (ii) if the person already has 1 or more holding accounts, contain the account number of the holding account that the person wishes to use for the purpose of section 61(1).
(3) Any person who does not have a holding account at the time the person submits an application under subsection (1) must— apply to open a holding account under section 18A at (a) the time the person submits the application; and supply the account number of the holding account to the chief executive within 10 working days of receiving an account number from the Registrar.
(b) (4) Following the receipt of an application under subsection (1), the chief executive must register the person in accordance with subsections (5) and (7) if satisﬁed that the person— (a) in respect of the activity listed in Schedule 4 speciﬁed in the application— (i) is carrying out the activity in the year in which the chief executive receives the application; or (ii) will carry out the activity in the year in which the person’s registration will take effect in accord­ ance with subsection (8); and has met any conditions of registration in respect of the activity in this Part or Part 5.
(b) 95 Part 4 s 57 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (5) The chief executive registers a person by entering on a register kept by the chief executive for the purpose of this section— (a) (b) (c) the name of the applicant; and the activity carried out by the applicant; and the date from which the applicant’s registration as a par­ ticipant in respect of the activity will take effect in ac­ cordance with subsection (8).
(6) After registering a person under subsection (5), the chief ex­ ecutive must notify the following persons that the person has been registered as a participant in respect of the activity and the date from which the registration will take effect: (a) (b) the applicant; and by notice issued on the same date as the notice to the ap­ plicant, any other persons required to be notiﬁed under section 188(6)(a), 198(2)(a), 209(2)(a), or 213(2)(a), as the case may require.
If the chief executive receives an application under subsection (1) in respect of an activity listed in Part 2, 3, 4, or 5 of Sched­ ule 4, then the chief executive must, within 20 working days of receiving the application,— (a) (b) decline the application; or register the applicant under subsection (5), unless the chief executive requires further information from the applicant in order to satisfy himself or herself that the person is carrying out the activity speciﬁed in the ap­ plication, in which case the chief executive must either register the person within 20 working days of receiving the further information or decline the application.
The registration of a person takes effect from the date the person’s name is entered on the register under subsection (5) or any later date required by section 198(2)(b), 209(2)(b), or 213(2)(b).
If the chief executive receives an application under subsection (1) from a person whose name is already on the register kept in accordance with subsection (5), and registers the person in respect of the activity speciﬁed in the application, the chief ex­ ecutive need not re­enter the person’s name on the register, but must enter next to the person’s name the activity that is speci­ (7) (8) (9) 96 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 58 ﬁed in the application, and notify the person that the activity has been entered on the register next to the person’s name.
Section 57: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

58 Removal from register of participants in respect of activities listed in Schedule 4 (1) A person who is registered under section 57 as a participant in respect of an activity listed in Schedule 4 may apply to have that person’s name removed from the register in respect of the activity by application to the chief executive in accordance with subsection (2).
(2) An application under subsection (1) must— (3) be in the prescribed form; and (a) be accompanied by the prescribed fee (if any).
(b) Following receipt of an application under subsection (1), the chief executive must— (a) (b) (c) note on the register— (i) (ii) that the applicant has applied to be removed from the register as a participant in respect of the ac­ tivity; and the date on which the applicant’s name is to be removed in accordance with subsection (4); and notify the applicant of the date on which the applicant’s name was, or is to be, removed from the register in accordance with subsection (4); and notify, by notice issued on the same date as the no­ tice to the applicant under paragraph (b), any other per­ sons required to be notiﬁed under section 188(7)(a)(i), 198(3)(a), 209(3)(a), or 213(3)(a), as the case may re­ quire,— (i) that the applicant has applied to have the appli­ cant’s name removed from the register as a par­ ticipant in respect of the activity; and the date that the applicant’s name was, or is to be, removed in accordance with subsection (4).
(ii) (4) The chief executive must remove the name of an applicant under subsection (1) from the register in respect of the ac­ tivity speciﬁed in the application immediately or on any later 97 Part 4 s 59 Climate Change Response Act 2002 Reprinted as at 26 September 2008 date required by section 188(7)(a)(ii), 198(3)(b), 209(3)(b), or 213(3)(b).

Section 58: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
59 Removal from register of participants in respect of activities listed in Schedules 3 and 4 (1) A person who is registered under section 56 or 57 in respect of an activity listed in Schedule 3 or 4 must notify the chief executive as soon as practicable if the person ceases, or will cease, to carry out the activity.
The chief executive must, after receiving notice under subsec­ tion (1), or otherwise being satisﬁed that the person has ceased to carry out the activity,— (a) (2) (b) remove the name of the person from the register in re­ spect of the activity immediately or, if the notice spe­ ciﬁes that the person will cease the activity on a future date, on that date; and notify the person, and any other person speciﬁed in sec­ tion 188(7)(a)(i), 198(3)(a), 209(3)(a), or 213(3)(a), as the case may require, that the person’s name— (i) has been removed from the register in respect of the activity; or if the person’s name will be removed from the register in respect of the activity on a future date, that the person’s name will be removed from the register in respect of the activity on that date.
(ii) This section is subject to sections 200, 211, and 215.

Section 59: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Exemptions in respect of activities listed in Schedule 3 The Governor­General may, by Order in Council made on the recommendation of the Minister, exempt any person or class of persons carrying out an activity listed in Schedule 3 from being a participant under this Act in respect of— (a) (b) (c) an activity; or part of an activity; or a proportion of the emissions from an activity; or (3) 60 (1) 98 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 60 (d) a combination of the matters speciﬁed in paragraphs (a) to (c).
(2) (3) Before recommending the making of an order under subsec­ tion (1), the Minister must be satisﬁed that— (a) the order will not materially undermine the environ­ mental integrity of the greenhouse gas emissions trad­ ing scheme established under this Act; and the costs of making the order do not exceed the beneﬁts of not making the order.
(b) In determining whether to recommend the making of an order under subsection (1), the Minister must have regard to the fol­ lowing matters: (a) the need to maintain the environmental integrity of the greenhouse gas emissions trading scheme established under this Act; and the desirability of minimising any compliance and ad­ ministrative costs associated with the greenhouse gas emissions trading scheme established under this Act; and the relative costs of giving the exemption or not giving it, and who bears the costs; and any alternatives that are available for achieving the ob­ jectives of the Minister in respect of giving the exemp­ tion; and any other matters the Minister considers relevant.
(b) (c) (d) (e) (4) While an order made under this section is in force, any per­ son or class of persons in respect of whom the order is made is not required to comply with the obligations imposed on par­ ticipants under this Part and Part 5 in respect of the matters covered by the order.
Before recommending the making or revocation of an order under this section, the Minister must— (a) (5) consult with persons that the Minister considers are likely to be substantially affected by the making of the order; and give those persons the opportunity to make submis­ sions; and consider those submissions.
(b) (c) 99 Part 4 s 61 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (6) Despite anything in subsection (2) or (3), the Minister may make a recommendation for the making of an order under sub­ section (1) in respect of a person with whom the Crown has signed a negotiated greenhouse agreement if— (a) (b) (c) the negotiated greenhouse agreement was signed before 31 December 2005; and the order relates to an activity of the person that is covered by the negotiated greenhouse agreement; and the order is in force for a period not exceeding the term of the negotiated greenhouse agreement, includ­ ing any extension of the term made in accordance with the agreement.
(7) The Minister is not required to comply with subsection (5) before recommending the making of an order under subsection (1) in respect of a person with whom the Crown has signed a negotiated greenhouse agreement.

(8) A failure to comply with subsection (5) does not affect the validity of any order made.

Section 60: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(a) (b) Participants must have holding accounts 61 (1) A participant must have a holding account for the purpose of— surrendering units as required under this Part and Part 5; and receiving New Zealand units to which the participant becomes entitled under this Part or Part 5.
(2) Despite anything in subsection (1), a person who does not have a holding account at the time the person becomes a participant complies with subsection (1) if the person complies with sec­ tion 56(1)(b) or 57(3), as the case may require.
(3) Despite anything in this Act, the Registrar must, subject to sec­ tion 18A(5), open a holding account in the name of a person— who applies to open a holding account in accordance (a) with section 56(1)(b) or 57(3); and (b) whose name has been entered on a register kept for the purposes of section 56 or 57.

Section 61: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
100 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 64 62 Monitoring of emissions and removals A participant must, in respect of each activity listed in Sched­ ule 3 or 4 that is carried out by the participant in a year,— (a) collect the prescribed data or other prescribed informa­ tion (which data or information must, if required by regulations made under this Act, be veriﬁed by a per­ son or organisation recognised by the chief executive under section 92); and calculate the emissions and the removals from the ac­ tivity in accordance with the methodologies prescribed in regulations made under this Act; and if required by regulations made under this Act, have the calculations veriﬁed by a person or organisation recog­ nised by the chief executive under section 92; and keep records of the data or information and calculations in the prescribed format (if any).
(b) (c) (d) Section 62: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Liability to surrender units to cover emissions as calculated in accordance with this Act; and at the times required under this Act.
63 (1) A participant is liable to surrender 1 unit for each whole tonne of emissions from each activity listed in Schedule 3 or 4 that the participant carries out,— (a) (b) If a participant is liable to surrender units under this Act, the participant must make an application under section 18C to transfer the required number of units from the participant’s holding account to a surrender account designated by the chief executive.
Section 63: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(2) 64 Entitlement to receive New Zealand units for removal activities (1) A participant is entitled to receive 1 New Zealand unit for each whole tonne of removals from the participant’s removal activ­ ities, as calculated in accordance with this Act.
101 Part 4 s 65 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (2) If a participant is entitled to receive New Zealand units, the chief executive must notify the Minister of Finance of— (a) the number of New Zealand units to which the partici­ pant is entitled; and the details of the participant’s holding account.
(b) (4) (3) As soon as practicable after receiving notiﬁcation under sub­ section (2), the Minister of Finance must direct the Registrar to transfer the number of New Zealand units to which the par­ ticipant is entitled to the participant’s holding account.
Subject to subsection (5), if a participant submits an emis­ sions return to the chief executive containing an assessment of the participant’s entitlement to receive New Zealand units, the chief executive must, within 20 working days of receiving the emissions return, notify the Minister of Finance under sub­ section (2) of the number of New Zealand units contained in the assessment.
Subsection (4) does not apply if, within 20 working days of the chief executive receiving the emissions return, the chief ex­ ecutive or an enforcement ofﬁcer has served notice on the par­ ticipant under section 94 requiring the participant to provide information in respect of any matter contained in the emissions return.

Section 64: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(5) 65 (1) (2) Annual emissions returns Between 1 January and 31 March in each year, a participant must submit an annual emissions return to the chief executive in respect of each of the activities listed in Schedule 3 or Part 2, 3, 4, or 5 of Schedule 4 that the participant carried out in the immediately preceding year.
The annual emissions return must, in respect of activities that the participant carried out during the year covered by the re­ turn,— (a) (b) record the participant’s activities; and record the participant’s emissions and removals as calculated and, if required, as veriﬁed under section 62(b) and (c); and contain an assessment of the participant’s— (c) 102 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 66 (i) (ii) liability to surrender units in respect of the par­ ticipant’s emissions; and entitlement to receive New Zealand units for the participant’s removals; and (d) be accompanied by such other information as may be prescribed; and be accompanied by the prescribed fee (if any); and be signed by the participant.
(e) (f) The participant must submit the annual emissions return under subsection (1) by submitting it in the prescribed manner and format.

Following the submission of an annual emissions return under subsection (1), a participant must, by 30 April, surrender the number of units listed in the participant’s assessment under subsection (2)(c)(i).

(3) (4) (5) A participant who carries out an activity listed in Part 1 of Schedule 4 must submit emissions returns as set out in section 189(2).
Section 65: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Quarterly returns for other removal activities 66 (1) Despite anything in this Act, a person who is a participant in respect of an activity listed in Part 2 of Schedule 4 may, within 20 working days after the following dates, submit an emissions return that complies with subsection (2): (a) (b) (c) 31 March: 30 June: 30 September.
(2) An emissions return referred to in subsection (1) must— (a) (b) only relate to activities listed in Part 2 of Schedule 4 in respect of which the person is a participant; and in respect of each activity covered by the return, be in respect of the period— (i) commencing on the later of— (A) the day the person became a participant in respect of the activity; or 103 Part 4 s 67 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (B) the day after the end of the period covered by the participant’s last emissions return in respect of the activity; and (ii) ending on a date speciﬁed in subsection (1); and contain the information speciﬁed in section 65(2) in re­ spect of the period covered by the return; and be submitted in accordance with section 65(3).
(c) (d) (3) Despite anything in section 65, the annual emissions return of a participant who has submitted a return for an activity under this section in any year must cover only the part of the year not covered by a return under this section.

Section 66: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Retention of emissions records 67 (1) A participant must keep sufﬁcient records to enable the chief executive to verify, in respect of any year in which the partici­ pant carries or carried out an activity listed in Schedule 3 or 4,— (a) (b) the activities carried out by the participant; and the emissions and removals from those activities as calculated and, if required, as veriﬁed under section 62(b) and (c); and the participant’s assessment of the participant’s— (i) (ii) any other information contained in an emissions return submitted by the participant.
liability to surrender units; and entitlement to receive New Zealand units; and (c) (d) The records speciﬁed in subsection (1) must— (a) (b) include the records speciﬁed in section 62(d); and in the case where they relate to an activity listed in Part 1 of Schedule 3 or 4, be retained for a period of at least 20 years after the end of the year to which they relate; and in every other case, be retained for a period of at least 7 years after the end of the year to which they relate.
Section 67: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(c) (2) 104 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 69 Subpart 2—Issuance and allocation of New Zealand units Subpart 2: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Interpretation In this subpart,— determination means a determination made by the Minister under section 82(7)(b) draft determination means a draft determination made by the Minister under section 82(4) eligible land means pre­1990 forest land other than land that has been declared to be exempt land under section 183 or 184 eligible person means a person who meets any requirements speciﬁed in this subpart, and in an allocation plan, for receiv­ ing an allocation of New Zealand units free of charge existing determination means an existing— (a) (b) new determination means a determination made by the Min­ ister under section 84 person includes a person or class of persons or, if the context requires, a person representing a class of persons revoked determination means an existing determination that has been revoked.
Section 68: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

determination; or new determination Issuance of New Zealand units Subject to subsection (2), the Minister may, at any time, direct the Registrar to issue New Zealand units into a Crown holding account.
Before giving a direction, the Minister must— (a) (b) consult with the Minister of Finance; and have regard to the following matters: (i) the number of units that New Zealand has re­ ceived, or that the Minister expects New Zealand 68 69 (1) (2) 105 Part 4 s 69 Climate Change Response Act 2002 Reprinted as at 26 September 2008 to receive, under any international agreement; and (iii) (ii) New Zealand’s international obligations, includ­ ing any obligation to retire units equal to the number of tonnes of emissions that are emitted in New Zealand; and the proper functioning of the greenhouse gas emissions trading scheme established under this Act; and any other matters that the Minister considers rele­ vant; and (iv) (c) if there is no subsequent commitment period speciﬁed or determined under the Protocol or no successor inter­ national agreement to the Protocol, have regard to the following matters: (i) New Zealand’s annual emissions for the 5 years (on record) prior to the year of the direction under consideration; and the report of the most recent review completed under section 160(1); and (ii) (iii) New Zealand’s obligations under the Conven­ tion (if any); and (iv) New Zealand’s anticipated future international obligations.
(3) The Registrar must give effect to a direction given by the Min­ ister under subsection (1).

(4) As soon as practicable after giving a direction under subsec­ tion (1), the Minister must— (a) publish a copy of the direction in the Gazette; and (b) make a copy of the direction accessible via the Internet site of the department of the chief executive responsible for the administration of this Act; and present a copy of the direction to the House of Repre­ sentatives.
(c) The copies of the direction under subsection (4) must be ac­ companied by a statement setting out how the Minister has had regard to the matters speciﬁed in subsection (2)(b) and (c).

Section 69: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(5) 106 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 71 70 (1) (2) Notiﬁcation of intention regarding New Zealand units The Minister must recommend that the Governor­General make an Order in Council containing notiﬁcation of the Crown’s intentions to issue and sell or allocate free of charge New Zealand units at least 9 months before the end of each of the following periods: (a) the ﬁrst commitment period and each subsequent com­ mitment period (if any); and if there is no subsequent commitment period,— (i) (b) the 5­year period commencing on 1 January 2013; or each subsequent 5­year period after the period speciﬁed in subparagraph (i).
(ii) The notiﬁcation contained in the Order in Council made under subsection (1) must include— (a) the number of New Zealand units that will be issued under section 69; and the time frames for issuance of New Zealand units under section 69; and the intended time frame for any allocation of New Zealand units free of charge, or the sale of New Zealand units and the method of sale.
(b) (c) (4) (3) A copy of the report under section 160(4) must be presented to the House of Representatives before an Order in Council may be made under this section.

The Minister must make a copy of any Order in Council made under subsection (1) accessible via the Internet site of the de­ partment of the chief executive responsible for the administra­ tion of this Act.
The Crown is not bound by the notiﬁcation contained in any Order in Council made under subsection (1) to make any de­ cisions in relation to the issuance, sale, or allocation free of charge of New Zealand units.

Section 70: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(5) 71 (1) Allocation in respect of pre­1990 forest land The Minister must exercise his or her powers under this sub­ part to ensure that an allocation plan that provides for the mat­ 107 Part 4 s 71 Climate Change Response Act 2002 Reprinted as at 26 September 2008 ters in this section and section 78(2) is in force for the period from 1 January 2008 to 31 December 2021.
The matters that an allocation plan must provide for are— (a) an allocation of New Zealand units free of charge to— landowners, or former landowners, of eligible (i) land who are eligible persons; or a person appointed in accordance with section 72 to hold any New Zealand units allocated in respect of the eligible land covered in paragraph (c)(i)(A); and (ii) (b) (c) a total number of New Zealand units available for allo­ cation free of charge under the allocation plan consist­ ing of— (i) 21 million New Zealand units in the period from 1 January 2008 to 31 December 2012, reduced by 1 New Zealand unit for each tonne of emissions that the Minister estimates will result from the ac­ tivities speciﬁed in subsection (5) in that period; and 34 million New Zealand units in the period from 1 January 2013 to 31 December 2021, reduced by 1 New Zealand unit for each tonne of emissions that the Minister estimates will result from the ac­ tivities speciﬁed in subsection (5) in that period; and (ii) an allocation of New Zealand units free of charge con­ sisting of— (i) 18 New Zealand units for each hectare of eli­ gible land that was Crown forest licence land on 1 January 2008 and— (A) will not have been transferred to iwi as part of a Treaty of Waitangi settlement by the date on which the allocation plan is issued; or has been, or will have been, transferred to iwi as part of a Treaty of Waitangi settle­ ment either on or after 1 January 2008 but before the date on which the allocation plan is issued: (B) (2) 108 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 71 (ii) (iii) 39 New Zealand units for each hectare of eligible land that was transferred to the landowner, or former landowner, of the land— after 31 October 2002; or (A) prior to 1 November 2002 if, since that (B) date, ownership of any body corporate owning the land has changed in the man­ ner and to the extent speciﬁed in the allocation plan: for any hectare of eligible land not covered in subparagraph (i) or (ii), the number of New
 Zealand units calculated in accordance with the following formula: A= B − C D where A B C D is the number of units for each hectare of eligible land not covered in subparagraph (i) or (ii) is the total number of New Zealand units available for allocation under subsection (2)(b) is the total number of New Zealand units to be allocated in accordance with subpara­ graph (i) and (ii) is the number of hectares of eligible land not covered in subparagraph (i) or (ii).
(3) In addition to the matters provided for in subsection (2), an allocation plan— (a) must also specify the manner in which, and the extent to which, the ownership of any body corporate owning eligible land must have changed for the purposes of sub­ section (2)(c)(ii)(B); and (b) may specify, for the purposes of subsection (7), a date or event other than the settlement date upon which any or all eligible land is to be treated as transferred for the purposes of this section.
109 Part 4 s 72 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (5) (4) Despite subsection (2)(c), the allocation plan must treat any Crown forest licence land transferred pursuant to the Te Uri o Hau Claims Settlement Act 2002 as if it were eligible land covered by subsection (2)(c)(iii).
For the purposes of subsection 2(b)(i) and (ii), the activities are— (a) (b) deforestation on exempt land; and deforestation of 2 hectares or less of pre­1990 forest land for which no obligation to surrender units is im­ posed under this Act.
(6) An allocation plan that provides for the matters in this section may— (a) (b) provide for the New Zealand units referred to in subsec­ tion (2)(b)(ii) to be allocated at any time; and specify dates before which some or all of those New Zealand units may not be surrendered or converted by any person.
(7) (8) For the purposes of this section, eligible land is to be treated as transferred on the settlement date, unless the allocation plan speciﬁes another date or event upon which any or all eligible land is to be treated as transferred.

For the purposes of this section, Crown forest licence land means eligible land subject to a Crown forestry licence under section 14 of the Crown Forest Assets Act 1989.
Section 71: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
72 Minister to appoint person to hold certain New Zealand units The Minister must, prior to making a determination in respect of eligible land covered by section 71(2)(c)(i)(A), by notice in the Gazette,— (a) appoint a person to— (i) apply for an allocation of New Zealand units in respect of the land; and hold on trust for the future owners of the land any New Zealand units allocated in respect of the land; and (ii) (b) determine— (1) 110 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 73 (2) 73 (1) (2) (i) (ii) the structure, composition, and functions of the person; and the terms and conditions upon which the person is to hold the New Zealand units.
If the Minister has not appointed a person in accordance with subsection (1) prior to issuing a notice under section 82(1) inviting persons to apply for an allocation of New Zealand units under an allocation plan providing for the matters in section 71, then the Minister must, by notice in the Gazette, appoint a person to apply for an allocation of New Zealand units in respect of the land covered by section 71(2)(c)(i)(A) on behalf of the person to be appointed under subsection (1).
Section 72: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(c) Allocation to industry The Minister must exercise his or her powers under this sub­ part to ensure that an allocation plan that provides for the mat­ ters in this section and section 78(2) is in force for each of the following periods— (a) (b) the ﬁrst commitment period: each subsequent commitment period, but expiring no later than 31 December 2029: if there is no subsequent commitment period,— (i) the 5­year period commencing on 1 January 2013; or each subsequent 5­year period after the period speciﬁed in subparagraph (i), but expiring no later than 31 December 2029.
The matters that an allocation plan must provide for are— (a) an allocation of New Zealand units free of charge to persons who— (i) the Minister considers are likely to be trade­ex­ posed; and (ii) (ii) meet any tests or thresholds that are speciﬁed in (iii) the allocation plan; and in any year or years speciﬁed in the allocation plan— 111 Part 4 s 73 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (B) (A) are participants in respect of an activity listed in Part 4 of Schedule 3 or Part 4 of Schedule 4, unless the person does not face any obligations under section 63 in respect of the emissions from the activity in any year for which the allocation plan is in force; or as a result of the obligations imposed by this Act on participants who carry out an activity listed in Part 3 of Schedule 3, face increased costs in respect of the person’s direct use of coal, natural gas, or geother­ mal steam, direct combustion of any used oil or waste oil for the purpose of generat­ ing electricity or industrial heat, or direct consumption of electricity; and if the allocation plan is in force in any year from 1 Janu­ ary 2010 to 31 December 2018, a total number of New Zealand units available for allocation free of charge under the allocation plan, in each year that the alloca­ tion plan is in force, consisting of— (i) 90 New Zealand units for each 100 tonnes of emissions that the Minister is satisﬁed resulted from the persons speciﬁed in paragraph (a)— (A) (B) (C) carrying out any activity listed in Part 4 of Schedule 3 in 2005: directly using any coal, natural gas, or geothermal steam in 2005: directly combusting any used oil or waste oil for the purpose of generating electricity or industrial heat in 2005; and (ii) a number of New Zealand units that the Minister is satisﬁed is sufﬁcient to compensate the persons speciﬁed in paragraph (a) for 90% of the elec­ tricity cost increase that the Minister estimates those persons would face, due to the obligation imposed by this Act on participants to surrender
 units, in the period for which the allocation plan is in force, as if those persons purchased and con­ (b) 112 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 73 sumed the same amount of electricity per year in that period as those persons did in 2005; and (c) (d) if the allocation plan is in force in any year from 1 Janu­ ary 2019 to 31 December 2029, a total number of New Zealand units available for allocation free of charge under the allocation plan that is equal to eleven­twelfths of N in 2019, and then declining in each subsequent year at a linear rate to reach a number equal to one­twelfth of N in 2029, where N equals the total number of New Zealand units available for allocation under paragraph (b) in 2018; and the matters that the Minister must have regard to when considering if a person is likely to be trade­exposed, including (but not limited to)— (i) whether the person competes with a ﬁrm or ﬁrms that operate from outside New Zealand in respect of— (A) products the person sells into the New Zealand market; or products the person exports into overseas markets; and (B) (ii) if the person does compete with ﬁrms that operate from outside New Zealand, whether the person— faces higher costs in respect of the per­ (A) son’s emissions than the ﬁrm or ﬁrms with which the person competes face in respect of their emissions; and is unable to pass­on some or all of the person’s costs due to the competition the person faces.
(B) (3) If, after 31 December 2018, a person becomes eligible for an allocation of New Zealand units in accordance with an alloca­ tion plan providing for the matters in this section, the alloca­ tion plan may provide for the matters in subsection (2)(c) as if the person had been eligible for an allocation of New Zealand units in accordance with an allocation plan providing for the matters in this section that was in force in 2018.
(4) Nothing in subsection (3) entitles a person who becomes an eligible person after 31 December 2018 to an allocation of 113 Part 4 s 74 Climate Change Response Act 2002 Reprinted as at 26 September 2008 New Zealand units free of charge in any year before the year in which the person becomes an eligible person.

Section 73: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
74 (1) (2) (3) Establishment of Innovation Fund The Minister must establish a fund (the Innovation Fund) for the purpose of facilitating deployment of innovative technol­ ogy that signiﬁcantly reduces or avoids, or has the potential to signiﬁcantly reduce or avoid, greenhouse gas emissions from the industrial sector, or a part of the industrial sector.

The Innovation Fund consists of the New Zealand units allo­ cated to it in accordance with subsection (4).
The Minister— (a) must ensure that there is an Innovation Fund for the period from 1 January 2010 to 31 December 2012; and (b) may, following the completion of a review under section (ii) 160(1), continue the Innovation Fund for— (i) any subsequent commitment period following the ﬁrst commitment period; or if there is no subsequent commitment period fol­ lowing the ﬁrst commitment period,— (A) the 5­year period commencing on 1 Janu­ ary 2013; or any subsequent 5­year period after the period speciﬁed in subsubparagraph (A); and (B) (c) must disestablish the Innovation Fund no later than 31 December 2029.
(4) An allocation plan— (a) must provide for 150,000 of the New Zealand units available for allocation under the plan in each year from 1 January 2010 to 31 December 2012 to be allocated to the Innovation Fund; and (b) may, if the Innovation Fund is continued after 31 De­ cember 2012, provide for any number of New Zealand units available for allocation under the plan to be allo­ cated to the Innovation Fund.
114 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 75 (5) The Minister may make grants of New Zealand units from the Innovation Fund.
(6) Grants under subsection (5) must be made available on a con­ testable basis— (a) to persons who meet 73(2)(a)(i) and— (i) the requirements of section (ii) (iii) meet the requirements of section 73(2)(a)(iii), but are not receiving an allocation of New Zealand units in accordance with an allocation plan; or carry out an activity listed in Part 4 of Schedule 3 or Part 4 of Schedule 4, but are not receiving an allocation of New Zealand units in accordance with an allocation plan in respect of that activity; or face cost increases in respect of the matters re­ ferred to in section 73(2)(a)(iii)(B), but are not receiving an allocation of New Zealand units in accordance with an allocation plan in respect of those costs; and (b) in accordance with any criteria the Minister considers appropriate.
If in any year the number of New Zealand units in the Innova­ tion Fund are not fully granted and the Innovation Fund— (a) is to continue in the following year, the remaining New Zealand units may be granted under subsection (5) in any subsequent year in which the Innovation Fund is continued; or (b) will not be continued in the following year, the remain­ ing New Zealand units may be made available for allo­ cation in accordance with an allocation plan that applies in that following year.
In this section, allocation plan means an allocation plan pro­ viding for the matters in section 73.

Section 74: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Allocation to ﬁshing vessel operators The Minister must exercise his or her powers under this sub­ part to ensure that an allocation plan that provides for the mat­ (7) (8) 75 (1) 115 Part 4 s 75 Climate Change Response Act 2002 Reprinted as at 26 September 2008 ters in this section and section 78(2) is in force for the period from 1 January 2011 to 31 December 2013.
The matters that an allocation plan must provide for are— (a) an allocation of New Zealand units free of charge to persons who— (i) are or were ﬁshing vessel operators in any year or years speciﬁed in the allocation plan; and (ii) meet any tests or thresholds that are speciﬁed in the allocation plan; and (b) a total number of New Zealand units available for al­ location under the allocation plan calculated in accord­ ance with the following formula: A = 0.5 × B × 3 where— A B is the total number of New Zealand units avail­ able for allocation under the allocation plan is the total number of tonnes of emissions that the Minister is satisﬁed resulted in 2005 from the consumption of obligation fuel by ﬁshing ves­ sels— (a) required to be registered under section 103 of the Fisheries Act 1996; and registered under that section in 2005.
(b) For the purposes of this section,— ﬁshing vessel has the same meaning as in section 2(1) of the Fisheries Act 1996 ﬁshing vessel operator means the operator of a ﬁshing vessel that is required to be registered under section 103 of the Fish­ eries Act 1996 operator, in relation to a ﬁshing vessel, means the person who, by virtue of ownership, a lease, a sublease, a charter, a subchar­ ter, or otherwise, for the time being has lawful possession and control of the ﬁshing vessel.
Section 75: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) (3) 116 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 76 76 (1) (2) (b) (c) Allocation to agriculture The Minister must exercise his or her powers this section and section 78(2) under this subpart to ensure that an allocation plan that provides for the matters in this section and section 78(2) is in force for each of the following periods— (a) the subsequent commitment period following the ﬁrst commitment period (the second commitment period): each subsequent commitment period following the sec­ ond commitment period, but expiring no later than 31 December 2029: if there is no second commitment period,— (i) the 5­year period commencing on 1 January 2013; or each subsequent 5­year period after the period speciﬁed in subparagraph (i), but expiring no later than 31 December 2029.
The matters that an allocation plan must provide for are— (a) an allocation of New Zealand units free of charge to— (i) persons who— (A) meet any tests or thresholds that are speci­ (ii) (B) ﬁed in the allocation plan; and subject to subsection (3), in any year or years speciﬁed in the allocation plan, are participants in respect of an activity listed in Part 5 of Schedule 3 or Part 5 of Sched­ ule 4, or are not participants in respect of an activity listed in Part 5 of Sched­ ule 3, but who farm, raise, grow, or keep ruminant animals, pigs, horses, or poultry for reward or for the purpose of trade in those animals or in animal material or ani­ mal products taken or derived from those animals, or who purchase, other than for on­selling, synthetic fertiliser containing nitrogen; or (ii) bodies corporate or trusts representing the per­ sons speciﬁed in subparagraph (i)(B); and if the allocation plan is in force in any year from 1 Janu­ ary 2013 to 31 December 2018, a total number of New (b) 117 Part 4 s 77 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (c) Zealand units available for allocation free of charge under the allocation plan, in each year that the alloca­ tion plan is in force, consisting of 90 New Zealand units for each 100 tonnes of emissions that the Minister is satisﬁed resulted from the activities listed in Part 5 of Schedule 3 in 2005; and if the allocation plan is in force in any year from 1 Janu­ ary 2019 to 31 December 2029, a total number of New Zealand units available for allocation free of charge under the allocation plan that is equal to eleven­twelfths of N in 2019, and then declining in each subsequent year at a linear rate to reach a number equal to one­twelfth of N in 2029, where N equals the number of New Zealand units available for allocation under paragraph (b) in 2018.
(3) Despite subsection (2)(a)(i)(B), an allocation plan may only provide for an allocation of New Zealand units to one or the other, but not both, of the following persons: (a) (b) persons who are participants in respect of an activity listed in Part 5 of Schedule 3 or Part 5 of Schedule 4; or persons who are not participants in respect of an activity listed in Part 5 of Schedule 3, but who farm, raise, grow, or keep ruminant animals, pigs, horses, or poultry for reward or for the purpose of trade in those animals or in animal material or animal products taken or derived from those animals, or who purchase, other than for on­selling, synthetic fertiliser containing nitrogen.
Section 76: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Other matters with respect to allocation plans 77 (1) An allocation plan may not provide for an allocation of New Zealand units free of charge to any person other than a person speciﬁed in sections 71 to 76.
(2) Nothing in this subpart requires— (a) an allocation plan to provide for the allocation free of charge of the total number of New Zealand units avail­ able for allocation under the allocation plan; and 118 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 78 (b) the Minister, in making a determination, to allocate the total number of New Zealand units available for alloca­ tion under an allocation plan unless required to do so by the allocation plan.
(3) Despite section 71(2)(a), 73(2)(a), 75(2)(a), or 76(2)(a), a draft allocation plan, or an allocation plan,— is not required to specify— (a) (i) the identity of persons who are eligible to receive an allocation of New Zealand units; or the amount of any person’s allocation; and (ii) (b) may, in accordance with section 78(2) or 79(2)(b), spe­ cify the criteria, methodologies, and other things that the Minister must apply to make a determination speci­ fying— (i) (ii) the identity of each eligible person; and the amount of each eligible person’s allocation.
Section 77: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

78 (1) (2) Draft allocation plans Before recommending that an allocation plan be issued, the Minister must prepare a draft allocation plan.
Every draft allocation plan must specify— (a) (b) the period for which the allocation plan will apply; and any tests or thresholds that persons must meet to be eli­ gible for an allocation of New Zealand units; and the criteria and methodologies to be included in the al­ location plan that the Minister must apply to determine (if applicable)— (i) (c) (ii) (iii) (iv) the total number of New Zealand units available for allocation; and the persons who are eligible for an allocation of New Zealand units; and the total number of New Zealand units allocated to each eligible person; and the year or years in which each eligible person will receive the New Zealand units allocated to them; and 119 Part 4 s 78 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (d) (e) (f) the principal reasons for the inclusion of the criteria and methodologies to be included in the allocation plan, in­ cluding with reference to— (i) where the allocation plan will provide for the matters speciﬁed in section 73 or 76, the general principles speciﬁed in section 81; and (ii) where a review has been completed under sec­ tion 160(1), any relevant recommendations of the most recently completed review; and the data and information, or the kind of data and infor­ mation, that each eligible person must supply, and the form in which the person must supply the data and in­ formation, in order to— (i) receive an allocation of New Zealand units free of charge; and enable the Minister to verify that the person received the correct allocation of New Zealand units free of charge under the allocation plan; and (ii) in relation to an eligible person who receives an alloca­ tion of New Zealand units,— (i) the records, or the kind of records, that the person must retain; and the form in which the person must retain the records; and the period for which the person must retain the records; and (ii) (iii) (3) (g) the policies, procedures, and provisions to be applied by the Minister under the allocation plan.
The Minister must ensure that— (a) (b) public notice is given of any draft allocation plan; and the draft allocation plan is made available in hard copy at the ofﬁce of, and is accessible via the Internet site of the department of, the chief executive responsible for the administration of the Act and at such other places as the Minister considers appropriate.
(4) The notice of a draft allocation plan given under subsection (3) must specify— 120 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 79 (5) (6) 79 (1) (2) (a) (b) how a hard copy of the draft allocation plan may be obtained; and that any person may make a submission on the draft allocation plan, how submissions may be made, and by what date (which must be no earlier than 40 working days after the date on which notice is given).
If any submission is made on the draft allocation plan under subsection (4), the chief executive responsible for the admin­ istration of this Act must, after the expiry of the time for mak­ ing submissions, prepare for the Minister a report that contains recommendations in respect of the submissions.

The Minister must consider the report and recommendations made under subsection (5) and may make any changes to the draft allocation plan that the Minister thinks ﬁt.
Section 78: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Governor­General may issue allocation plans The Governor­General may, by Order in Council made on the recommendation of the Minister, issue an allocation plan.
The allocation plan must— (a) (b) specify the matters set out in section 78(2); and incorporate any changes made to the draft allocation plan under section 78(6); and be presented to the House of Representatives as soon as practicable after it is issued, along with the report pro­ vided to the Minister under section 78(5) and any of the Minister’s decisions on the recommendations contained in the report.
(c) (3) An allocation plan providing for the matters in— (a) (b) section 71 comes into force on the day after it is pre­ sented to the House of Representatives: section 73, 75, or 76 comes into force 15 sitting days after it is presented to the House of Representatives un­ less the House resolves, in that period, to disapply the allocation plan.
(4) If Parliament is dissolved or expires before the end of the period of sitting days within which the House of Represen­ tatives must resolve to disapply an allocation plan under sub­ 121 Part 4 s 80 Climate Change Response Act 2002 Reprinted as at 26 September 2008 section (3)(b), and the House has not, by that time, resolved to disapply the allocation plan, then the allocation plan comes into force on the day the House is dissolved or expires.
Section 79: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

80 (1) Correction and publication of allocation plans For the purpose of correcting any minor mistakes or defects in an allocation plan, the Minister may, without complying with section 78, recommend that the Governor­General revoke that allocation plan and replace it with a corrected allocation plan.
(2) A corrected allocation plan— comes into force at the time it is issued; and (a) (b) must, for advisory purposes, be presented to the House of Representatives as soon as practicable after it is is­ sued; and to avoid doubt, may not be disapplied by the House of Representatives under section 79(3)(b).
(c) The Minister must, as soon as practicable after an allocation plan or a corrected allocation plan comes into force, ensure that— (a) the allocation plan or corrected allocation plan is made available in hard copy at the ofﬁce of, and is accessi­ ble via the Internet site of, the department of the chief executive responsible for the administration of the Act; and the allocation plan or corrected allocation plan is pub­ lished in whatever other form the Minister considers ap­ propriate; and in respect of an allocation plan, the report provided to the Minister under section 78(5) is published in what­ ever form the Minister considers appropriate, along with any of the Minister’s decisions on the recommen­ dations contained in the report; and in respect of a corrected allocation plan, a summary of the corrections is made available in hard copy at the ofﬁce of, and is accessible via the Internet site of the department of, the chief executive responsible for the administration of the Act.
(b) (c) (d) (3) 122 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 81 (4) An allocation plan or corrected allocation plan is a regulation for the purposes of the Regulations (Disallowance) Act 1989, but it is not a regulation for the purposes of the Acts and Regu­ lations Publication Act 1989.

Section 80: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
81 Content of criteria and methodologies in allocation plans The Minister must, when considering the criteria and method­ ologies to be included in any draft allocation plan or allocation plan providing for the matters contained in sections 73 and 76, have regard to the following general principles— (a) the allocation of New Zealand units free of charge under any allocation plan should lead to the avoidance of— (i) (ii) (iii) economic regrets: signiﬁcant, regionally­concentrated job losses: perverse behavioural incentives, including with respect to decisions about investment and output levels: (b) (c) (d) (e) it is desirable to treat ﬁrms or individuals who are in­ tending to begin operating within a sector or industry (new entrants) in a similar manner, with respect to the allocation of New Zealand units under any allocation plan, as ﬁrms or individuals who are already operating within that sector or industry (incumbents) and who are intending to grow their operations: criteria and methodologies should be included in an al­ location plan that provide as much certainty as practic­ able about the number of New Zealand units to be al­ located under the allocation plan and the number to be allocated to each person: it is desirable to treat ﬁrms or individuals that are in the same sector or industry in a similar manner with respect to any allocation of New Zealand units free of charge if the ﬁrms or individuals have a similar degree of trade exposure: the application of any criteria or methodologies in­ cluded in an allocation plan, and the application of the allocation plan more generally, should minimise 123 Part 4 s 82 Climate Change Response Act 2002 Reprinted as at 26 September 2008 administrative and compliance costs as much as prac­ ticable: criteria and methodologies to be included in an alloca­ tion plan should ensure that ﬁrms and individuals con­ sidered to be trade­exposed only receive New Zealand units free of charge in respect of the parts of their busi­ ness operations that are involved in the production of goods that are trade­exposed: any other general principles that the Minister considers appropriate.
(f) (g) Section 81: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Determinations made in accordance with allocation plan 82 (1) As soon as practicable after an allocation plan is issued and is in force for a period speciﬁed in section 71(1), 73(1), 75(1), or 76(1), the Minister must give public notice inviting any person who may be eligible for an allocation of New Zealand units under the allocation plan to apply for an allocation.
The Minister must ensure that a notice given under subsection (1) speciﬁes— (a) (2) that the person must supply to the Minister the data and information, or the kind of data and information, speci­ ﬁed in the allocation plan; and how the data and information are to be supplied; and the date by which the data and information must be sup­ plied (which must be no earlier than 40 working days after the date on which notice is given); and that the data and information supplied is subject to the Ofﬁcial Information Act 1982.
(b) (c) (d) (a) (3) Despite anything in this subpart, or in any allocation plan,— a person must respond to a notice given under subsec­ tion (1) in order to receive an allocation of New Zealand units under any applicable allocation plan; and the Minister is not under any duty to make a determin­ ation in favour of any person who fails to respond to the notice within the period speciﬁed.
(b) Following the expiry of the time speciﬁed in a notice given under subsection (1) for the supply of data and information, (4) 124 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 82 the Minister must apply the criteria and methodologies speci­ ﬁed in the allocation plan to make a draft determination spe­ cifying— (a) the total number of New Zealand units available for al­ location under the allocation plan; and the identity of each eligible person; and the total number of New Zealand units allocated under the allocation plan to each eligible person; and the year or years in which each eligible person will re­ ceive the New Zealand units allocated to them.
(b) (c) (d) (5) After making a draft determination, the Minister must notify each eligible person speciﬁed in the draft determination, and every person who responded to the notice given under subsec­ tion (1) who is not speciﬁed as an eligible person in the draft determination,— (a) (b) of the draft determination; and if the person is not speciﬁed in the draft determination as an eligible person, of the reasons for the person not being speciﬁed as an eligible person; and that the person has an opportunity to identify any errors, mistakes, or miscalculations that have been made in the application of the criteria and methodologies to make the draft determination; and if the person identiﬁes any errors, mistakes, or mis­ calculations, that the person may provide the Minister with information concerning what the person consid­ ers should be the correct application of the criteria and methodologies; and of the date by which the person must supply the infor­ mation (which date must not be earlier than 20 working days after the date on which notice is given).
(c) (d) (e) (6) (7) The Minister may consult further with any person the Minister thinks ﬁt either before or after the expiry of the period speciﬁed in subsection (5)(e) for providing information.
Taking into account any information supplied under subsec­ tion (5), and any consultation under subsection (6), the Minis­ ter must— (a) make a new draft determination under subsection (4); or 125 Part 4 s 83 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) make a determination of the matters speciﬁed in subsec­ tion (4).
(8) As soon as practicable after making a determination under sub­ publish the determination in the Gazette; and section (7)(b), the Minister must— (a) (b) make the determination accessible via the Internet site of the department of the chief executive responsible for the administration of this Act; and provide for the transfer of New Zealand units to each eligible person in accordance with the determination.
(c) (9) A determination continues in force until— (a) (b) (c) the allocation plan in accordance with which the deter­ mination is made expires; or the determination is replaced by a new determination made in accordance with section 84; or one of the conditions in paragraph (a) or (b) is met, even if the allocation plan in accordance with which the determination is made is revoked and replaced with another allocation plan.
Section 82: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
83 Minister may require further information after determination made The Minister may, after making a determination, require the following persons to supply the records, data or information, or the kind of records, data and information, speciﬁed in the applicable allocation plan, in the form speciﬁed,— (a) persons who have been transferred New Zealand units in accordance with the determination; and persons who have not been transferred New Zealand units in accordance with the determination, but who have applied to the Minister for an allocation of New Zealand units in accordance with an allocation plan; and persons who have previously been transferred New Zealand units, but who are not eligible to receive a further transfer of New Zealand units, in accordance with the determination.
(b) (c) (1) 126 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 84 (2) Any requirement for the supply of records, data, or informa­ tion under subsection (1) must be made— (a) by notice to the person (which notice must specify that the records, data, or information supplied are subject to the Ofﬁcial Information Act 1982); and in accordance with any relevant policies, procedures, and provisions speciﬁed in the applicable allocation plan.
(b) (3) A person who— (a) (b) receives a notice issued under subsection (2)(a) must supply the records, data, or information requested within the time frame speciﬁed in the notice; and fails to respond within the speciﬁed time frame for sup­ ply of records, data, or information under subsection 2(a) may— (i) not receive any further allocation of New Zealand units until the person supplies the information; and commit an offence under section 131(1)(a) or 133(1)(d) as if the reference to the chief execu­ tive in those sections were to the Minister, and the reference to section 94 in section 131(1)(a) was to this section.
(ii) Section 83: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
84 (1) New determination made in accordance with allocation plan The Minister may (but is not required to) revoke and replace any existing determination with a new determination at any time if— (a) the allocation plan under which the existing determin­ ation was made has been revoked and replaced with a new allocation plan; or the existing determination has resulted, or will result, in a person receiving an incorrect allocation owing to— (i) an error in the application of the criteria and methodologies speciﬁed in the applicable alloca­ tion plan; or (b) 127 Part 4 s 84 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (ii) the person providing altered, false, incomplete, or misleading information in response to a notice given under section 82(1) or (5) in relation to the existing determination; or (c) (d) (e) a person who is speciﬁed as an eligible person under the existing determination is no longer an eligible person; or there has been a change in the circumstances of a person who is speciﬁed as an eligible person under the existing determination that, if taken into account, would increase or decrease that person’s entitlement to an allocation; or a person who is not speciﬁed as an eligible person under the existing determination has— (i) reasonable grounds to believe that he or she is an eligible person; and applied to the Minister for an allocation in ac­ cordance with the applicable allocation plan.
(ii) (2) However, the Minister may only make a new determination in accordance with an allocation plan that provides for the mat­ ters in section 71 if subsection (1)(a) or (b) applies.
In making a new determination, the Minister must,— (a) (3) (b) if the Minister considers that he or she has sufﬁcient in­ formation to make the new determination of the matters speciﬁed in section 82(4), comply with subsection (4); or if the Minister considers that he or she does not have sufﬁcient information to make the new determination of the matters speciﬁed in section 82(4), follow the process in section 82, except that the reference to— (i) (ii) 40 working days in section 82(2)(c) must be read as 20 working days; and 20 working days in section 82(5)(e) must be read as 10 working days.
If subsection (3)(a) applies, the Minister must— (a) give notice of the matters speciﬁed in section 82(5) to the following persons: (i) persons speciﬁed as eligible persons under the existing determination who would, once the new determination replaces the existing determin­ (4) 128 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 84 (ii) ation, receive greater or fewer New Zealand units than if the new determination did not re­ place the existing determination; and persons not speciﬁed as eligible persons under the existing determination whom the new deter­ mination speciﬁes as eligible persons; and comply with section 82(6) to (8) as if the notice given under paragraph (a) had been given under section 82(5).
If the Minister has provided notice of the matters speciﬁed in section 82(5) in accordance with subsection (4), the refer­ ence to 20 working days in section 82(5)(e) must be read as 10 working days.
(b) (5) (6) Any new determination made in accordance with subsection (3)— (a) may specify all of the matters speciﬁed in section 82(4), and may— (i) (ii) specify the correct allocation of a person whose allocation is speciﬁed incorrectly in the existing determination; or not specify as an eligible person a person who was speciﬁed as an eligible person under the existing determination but is no longer an eli­ gible person; or increase or decrease a person’s allocation owing to a change in the person’s circumstances since the existing determination was made; or specify as an eligible person a person who was not speciﬁed as an eligible person under the exist­ ing determination; and applies subject to section 85.
(iii) (iv) (b) (7) Despite anything in this section, the Minister may make a new determination that corrects any minor mistakes or defects in an existing determination without complying with section 82(1) to (6).

Section 84: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
129 Part 4 s 85 Climate Change Response Act 2002 Reprinted as at 26 September 2008 85 (1) Effect of new determination If the Minister makes a new determination in accordance with section 84, the new determination has the effect of immedi­ ately revoking and replacing the existing determination.
(2) A new determination made in accordance with section 84 ap­ plies from the date it is made, and, subject to subsections (5) and (6), does not change or otherwise affect any transfer of New Zealand units made to a person in accordance with any revoked determination before that date.
If a revoked determination incorrectly speciﬁed a person’s al­ location, a new determination may increase or decrease the number of New Zealand units the person is to receive by the difference between the number of New Zealand units that the person— received under the revoked determination; and (a) (b) would have received if the revoked determination had (3) speciﬁed the person’s correct allocation.
If the circumstances of a person speciﬁed as an eligible person under a revoked determination changed while that determin­ ation was in force, and the person received greater or fewer New Zealand units than the person’s entitlement as a result, then a new determination may increase or decrease the number of New Zealand units the person is to receive by the difference between the number of New Zealand units that the person— received under the revoked determination; and (a) should have received, given the person’s change in cir­ (b) cumstances.
If a person speciﬁed as an eligible person under a revoked de­ termination is not speciﬁed as an eligible person under a new determination, but the person received greater or fewer New Zealand units than they were entitled to under the revoked de­ termination, then,— (a) if the person received too few New Zealand units, the new determination may specify that the person is to re­ ceive a further allocation of New Zealand units equal to the difference between the number of New Zealand units the person received under the revoked determin­ ation and the number of New Zealand units that the per­ (4) (5) 130 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 86 (b) son would have received if the revoked determination had speciﬁed the person’s correct allocation; or if the person received too many New Zealand units, the chief executive may give a notice to the person, under section 125(1), specifying the number of New Zealand units the person received that the person was not entitled to, and requiring the person to transfer that number of New Zealand units in accordance with section 125(2).
If a new determination shows that a person received more New Zealand units than the person was entitled to receive under a revoked determination, and the person’s incorrect allocation was due to the person providing altered, false, incomplete or misleading information in response to a notice issued under section 82(2) or 82(5), then the chief executive may give a no­ tice to the person under section 125(1) specifying the number of New Zealand units the person received that the person was not entitled to, and requiring the person to repay that number of New Zealand units in accordance with section 125(2).
Section 85: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Balance of units at end of true­up period or other balance date By the end of the true­up period, the Minister must ensure that the Crown holds, in any Crown holding account in the Regis­ try, or in any retirement or surrender account, a number of Ky­ oto units equal to the number of New Zealand units issued into a Crown holding account during the ﬁrst commitment period but not including New Zealand units that are, during the ﬁrst commitment period,— (a) transferred to a conversion account in accordance with section 30E; or allocated to pre­1990 forest land owners in accordance with section 71(2)(b)(ii) and that have not been trans­ ferred to a cancellation account; or transferred to a cancellation account.
(c) Subsection (3) applies if New Zealand has received, or if the Minister expects New Zealand to receive, units under— (b) (6) 86 (1) (2) 131 Part 4 s 86 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) the Protocol during a subsequent commitment period; or a successor international agreement.
(b) If this subsection applies the Governor­General may, by Order in Council made on the recommendation of the Minister, spe­ cify a date by which the Crown must hold, in any Crown hold­ ing account in the Registry, or in any retirement or surren­ der account, a number of Kyoto units or approved overseas units received under any international agreement as calculated under subsection (4).
The number of Kyoto or approved overseas units held in ac­ cordance with subsection (3) must be equal to the number of New Zealand units issued into a Crown holding account up to the date speciﬁed in the order but not including New Zealand units that up to the date speciﬁed in the order are— (a) transferred to a conversion account in accordance with section 30E; or allocated to pre­1990 forest land owners in accordance with section 71(2)(b)(ii) and that have not been trans­ ferred to a cancellation account and are held subject to section 71(6)(b); or transferred to a cancellation account.
(c) If an order is made under subsection (3), the Minister must ensure that the Crown holds the required number of units by the date speciﬁed in the order.

For the purposes of subsection (1), true­up period means the 100 days, beginning on a date determined by the Conference of the Parties (acting as the Meeting of the Parties to the Proto­ col), providing Parties with an additional period for fulﬁlment of their obligation under Article 3.1 of the Protocol.
Section 86: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(b) Subpart 3—Chief executive Subpart 3: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(3) (4) (5) (6) 132 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 88 General administrative provisions Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
87 (1) (2) 88 (1) (2) Functions of chief executive The functions of the chief executive are to— (a) keep a register under section 56 of persons who carry out activities and a register of persons who register under section 57 as participants; and receive and collate the data and other information pro­ vided by participants under this Part and Part 5; and approve the use of unique emissions factors by partici­ pants in accordance with section 91; and give notice to the Minister of Finance of participants’ entitlements to receive New Zealand units for removal activities; and ensure participants comply with this Part and Part 5 and to take any action that may be appropriate to enforce those provisions and the provisions of any regulations made under this Part; and publish information in accordance with section 89; and issue emissions rulings to help persons meet their obli­ gations under this Part and Part 5.
(b) (c) (d) (e) (f) (g) The chief executive must comply with any direction that the Minister gives under section 88(1).

Section 87: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Directions to chief executive The Minister may give general directions to the chief execu­ tive in relation to the chief executive’s exercise of powers and performance of functions under this Part, Part 5, or any regu­ lations made under this Part or Part 5.

Subsection (1) does not authorise the Minister to give direc­ tions about the exercise of powers and performance of func­ tions in relation to a particular person.
(3) As soon as practicable after giving a direction under subsec­ tion (1), the Minister must— (a) publish a copy of the direction in the Gazette; and 133 Part 4 s 89 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) make a copy of the direction accessible via the Internet site of the department of the chief executive; and present a copy of the direction to the House of Repre­ sentatives.
(c) Section 88: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
89 (1) Chief executive to publish certain information The chief executive must publish the following information in accordance with subsection (2): (a) in respect of each activity listed in Schedule 3, the total number of participants— registered under section 56; and (i) (ii) removed from the register under section 59; and in respect of each activity listed in Schedule 4, the total number of participants— (i) (ii) registered under section 57; and removed from the register under 58(4) and 59; and sections the total number and type of activities reported in emis­ sions returns; and the total quantity of emissions and removals reported in emissions returns; and subject to subsection (3), the total quantity of emissions by activity and the total quantity of removals by activity reported in emissions returns; and the number of participants who failed to comply with their obligation to— (i) submit an emissions return under section 65(1), 118(2), 189(4), 191, or 193; or surrender or repay units under section 65(4), 118(5), 123(3) or (6), 125, 189, 191, or 193; and (ii) the total number of units surrendered; and the total number of New Zealand units transferred for removal activities; and the total number of New Zealand units allocated free of charge under any allocation plan.
(b) (c) (d) (e) (f) (g) (h) (i) (2) The chief executive— 134 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 90 (3) 90 (1) (2) (3) (a) must publish the information speciﬁed in subsection (1) by 30 June in each year; and (b) may publish the information speciﬁed in subsection (1), in whole or in part, at any other time and in whatever manner and format that the chief executive considers appropriate.
The chief executive is not required to publish the informa­ tion required under subsection (1)(e) in respect of an activity if the chief executive is satisﬁed that publishing the informa­ tion would result in the disclosure of a participant’s individual emissions, unless— (a) the participant to whom the information relates has con­ sented to the publication of the information; or (b) the information is already in the public domain.
Section 89: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Chief executive may prescribe form of certain documents The chief executive may, for the purposes of this Part and Part 5, prescribe— (a) the form and electronic format of any forms, applica­ tions, returns, information accompanying any applica­ tions or returns, or other documents that are not other­ wise prescribed in regulations made under this Act; and different forms or formats for different classes of par­ ticipants or different activities; and the manner in which any application, return, informa­ tion, or other document must be submitted or notiﬁed under this Part or Part 5 if this is not otherwise pre­ scribed in regulations.
(b) (c) The chief executive must publish any form or format pre­ scribed under subsection (1) via the Internet site of the depart­ ment of the chief executive.

The production by the chief executive of any document pur­ porting to be a prescribed form or an extract from a prescribed form or a copy of a form or extract is, in all courts and in all proceedings, unless the contrary is proved, sufﬁcient evidence that the form or electronic format was prescribed.
135 Part 4 s 91 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (4) 91 (1) To avoid doubt, if the chief executive prescribes an electronic form or format under subsection (1), the chief executive may require any signature on that form or that relates to that format to be an electronic signature.

Section 90: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Approval of unique emissions factors The chief executive may approve the use by a participant of a unique emissions factor when calculating emissions or re­ movals from an activity under section 62(b) if— (a) regulations made under section 164 provide a mechan­ ism for participants to apply for approval to use a unique emissions factor for the activity; and the chief executive is satisﬁed that the unique emissions factor that the participant has applied to use meets any requirements prescribed in regulations made under sec­ tion 164.
(b) (2) An approval under subsection (1)— (a) may be subject to the conditions that the chief executive (b) considers appropriate; and ceases to have effect on the earliest of the following dates: (i) the date of a material change in any of the infor­ mation or factors on which the approval is based; or the date of a material change to this Act or to any regulations to which the approval relates; or the date on which any of the conditions to which the approval is subject cease to be met or com­ plied with.
(ii) (iii) If the chief executive approves the use of a unique emissions factor under subsection (1), the chief executive must— notify the applicant of the approval; and (a) publish in the Gazette— (b) (i) (ii) (iii) the name of the participant; and a description of the activity; and the details of the unique emissions factor the chief executive has approved the participant to (3) 136 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 93 use when calculating emissions or removals for the activity.
Section 91: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
92 (1) Recognition of veriﬁers The chief executive may, in accordance with any regulations made under section 163, recognise a person or organisation with the prescribed expertise, technical competence, or quali­ ﬁcations as a person or organisation that may undertake veri­ ﬁcation functions for the purposes of section 62(a) and (c) or regulations made under section 164 relating to the process for approval of a unique emissions factor.
(2) A person or organisation may be recognised by the chief ex­ ecutive as able to verify information or unique emissions fac­ tors in respect of— (a) 1 or more types of data or information or calculations of types of emissions or removals: 1 or more activities in Schedule 3 or 4.

(b) The chief executive may suspend or revoke any recognition given under this section in accordance with regulations made under section 163.
Section 92: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(3) Veriﬁcation and inquiry Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
93 (1) Appointment of enforcement ofﬁcers The chief executive may appoint 1 or more persons as en­ forcement ofﬁcers to exercise all or any of the powers and perform the functions conferred on enforcement ofﬁcers under this Part.

(2) A person appointed under subsection (1) must be employed by (3) the chief executive under the State Sector Act 1988.

The chief executive must supply an enforcement ofﬁcer with a warrant of authorisation that clearly states the powers and functions of the enforcement ofﬁcer.
137 Part 4 s 94 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (4) An enforcement ofﬁcer who exercises, or purports to exercise, a power conferred on the enforcement ofﬁcer under this Act must carry and produce, if required to do so,— (a) (b) his or her warrant of authorisation; and evidence of his or her identity.

(6) (5) An enforcement ofﬁcer must, on the termination of the en­ forcement ofﬁcer’s appointment, surrender his or her warrant to the chief executive.
To avoid doubt, if the chief executive delegates the appoint­ ment power speciﬁed in subsection (1) to another chief execu­ tive under section 41 of the State Sector Act 1988, subsection (2) applies as if the reference to the chief executive were a ref­ erence to the chief executive to whom the power speciﬁed in subsection (1) is delegated.

Section 93: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Power to require information The chief executive or an enforcement ofﬁcer may, by notice, require a person to provide any information that is reasonably necessary for the purposes of— (a) ascertaining whether a person is complying, or has com­ plied, with this Part and Part 5; or ascertaining whether the chief executive should exer­ cise any powers under this Part or Part 5.
(b) The information required to be provided under subsection (1) must,— (a) if required by the chief executive or an enforcement ofﬁ­ cer, be accompanied by a statutory declaration attesting to the truthfulness of the information provided; and be provided— (i) in the form speciﬁed by the chief executive or enforcement ofﬁcer; and (b) (ii) within any reasonable time speciﬁed in the notice requiring the information; and free of charge.
(iii) Section 94: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
94 (1) (2) 138 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 96 95 (1) (2) 96 (1) (2) Power to inquire For the purpose of obtaining information for a purpose speci­ ﬁed in section 94(1), or any other information required for the purposes of the administration or enforcement of this Part or Part 5, the chief executive may require a person to— (a) appear before the chief executive or an enforcement of­ ﬁcer at a time and place that is speciﬁed in the notice to give evidence; and produce any document or class of documents in the per­ son’s possession or under the person’s control that is speciﬁed in the notice.
(b) The chief executive or enforcement ofﬁcer may require the evidence to be given on oath and either orally or in writing, and for that purpose the chief executive or enforcement ofﬁcer may administer an oath.

Section 95: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Inquiry before District Court Judge For the purpose of obtaining information for a purpose speci­ ﬁed in section 94(1), or any other information required for the purposes of the administration or enforcement of this Part or Part 5, the chief executive, if the chief executive considers it necessary, may apply in writing to a District Court Judge to hold an inquiry under this section.
For the purposes of an inquiry under this section,— (a) the District Court Judge— (i) may, with respect to any matter that is relevant to the subject matter of the inquiry, summon and examine on oath all persons whom the chief ex­ ecutive or any other interested person requires to be called and examined; and has the same jurisdiction and authority regarding the summoning and examination of a person as the Judge would have in respect of a witness in a civil action within the Judge’s ordinary jurisdic­ tion; and (ii) (b) the person summoned and examined has all the rights and is subject to all the liabilities that the person would 139 Part 4 s 97 Climate Change Response Act 2002 Reprinted as at 26 September 2008 have and be subject to if the person were a witness in a civil action within the Judge’s ordinary jurisdiction.
(3) (4) (5) The chief executive and any person materially affected by the subject matter of the inquiry may be represented by a barrister or solicitor, who may examine, cross­examine, and re­exam­ ine, in accordance with ordinary practice, any person sum­ moned under subsection (2).

Every examination under this section must take place in cham­ bers.
The statement of every person examined— (a) must be— (i) recorded in writing and signed by the person in the presence of the District Court Judge; and delivered to the chief executive; and (ii) does not form part of the records of the court.

(b) Section 96: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
97 No criminal proceedings for statements under section 95 or 96 (1) No person summoned or examined under section 95 or 96 is excused from answering a question on the ground that the an­ swer may incriminate the person or render the person liable to any penalty or forfeiture.

The testimony of a person examined is not admissible as evi­ dence in criminal proceedings against the person, except on a charge of perjury in relation to the testimony.
Section 97: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) Expenses in relation to inquiries by chief executive or District Court Judge The chief executive may pay, or a District Court Judge may order the chief executive to pay, to any person who has ap­ peared before the chief executive or an enforcement ofﬁcer under section 95 or the District Court Judge under section 96, out of money appropriated by Parliament for the purpose, the sum that in the chief executive’s or Judge’s opinion, as the case 98 140 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 99 may be, is reasonable in respect of that person’s travelling and other expenses.
Section 98: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
99 (1) Obligation to maintain conﬁdentiality This section applies— (a) to the chief executive, any enforcement ofﬁcer, and any other person who performs functions or exercises powers of the chief executive or an enforcement ofﬁcer under this Part and Part 5; and at the time during which, and any time after which, those functions are performed or those powers are ex­ ercised.
(b) (2) A person to whom this section applies— (a) must keep conﬁdential all information that comes into the person’s knowledge when performing any function or exercising any power under this Part and Part 5; and (b) may not disclose any information speciﬁed in paragraph (a), except— (i) with the consent of the person to whom the in­ formation relates or of the person to whom the information is conﬁdential; or to the extent that the information is already in the public domain; or for the purposes of, or in connection with, the exercise of powers conferred by this Part; or as provided under this Act or any other Act; or in connection with any investigation or inquiry (whether or not preliminary to any proceedings) in respect of, or any proceedings for, an offence against this Act or any other Act; or for the purpose of complying with any obligation under the Protocol.
(ii) (iii) (iv) (v) (vi) (3) A person to whom this section applies commits an offence under section 130 if the person knowingly contravenes this section.
(4) Nothing in subsection (2) may be treated as prohibiting the chief executive from— 141 Part 4 s 100 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) providing or publishing general guidance in relation to the operation of this Part and Part 5; or (c) (b) with the prior approval of the Minister, preparing and supplying statistical information to any person in a form that does not identify any individual; or providing information to any person about whether any forest land is considered by the chief executive to be pre­1990 forest land or post­1989 forest land, or has been declared to be exempt land by the chief executive.
Section 99: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

100 Power of entry for investigation (1) An enforcement ofﬁcer may enter land or premises (excluding any dwellinghouse or marae) at any reasonable time during the ordinary hours of business to investigate whether a person is complying with this Part and Part 5.
(2) During an investigation, an enforcement ofﬁcer may— (a) (b) (c) (d) require the production of, inspect, and copy any docu­ ments: take samples of water, air, soil, organic matter, or any other thing: carry out surveys, investigations, tests, inspections, or measurements (including those that involve leaving measuring equipment on the land or premises): demand from the occupier any other information that the enforcement ofﬁcer may reasonably require for the purpose of determining whether a person is complying with this Part and Part 5.
(3) An enforcement ofﬁcer who exercises the power of investiga­ tion under this section must give the occupier or owner rea­ sonable notice of the enforcement ofﬁcer’s intention to enter the land or premises, unless doing so would defeat the purpose of the entry.

(4) A notice given under subsection (3) must specify— when entry is to be made; and the purpose for which the entry is required; and that the entry is authorised under this section.
(a) (b) (c) 142 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 101 (5) An enforcement ofﬁcer who exercises the power of investiga­ tion under this section may be accompanied by any person or persons reasonably necessary to assist the enforcement ofﬁcer with the investigation.

(6) A person who provides assistance under subsection (5) may exercise the powers provided to enforcement ofﬁcers under subsection (2)(a) to (c).
(7) Nothing in this section limits the privilege against self­incrim­ ination.

Section 100: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
101 Applications for warrants (1) A District Court Judge, Justice of the Peace, Community Magistrate, or Registrar of any court who, on written applica­ tion made on oath by an enforcement ofﬁcer authorised by the chief executive, is satisﬁed that there are reasonable grounds to believe that there are in or on or under or over any land, premises, dwellinghouse, or marae any documents or other records or things (including samples) that may be evidence of the commission of an offence under section 129, 132, or 133 may issue a warrant authorising the entry and search of the land, premises, dwellinghouse, or marae.
Every search warrant may authorise the enforcement ofﬁcer executing the warrant to do any of the following things: (a) (2) enter and search the land, premises, dwellinghouse, or marae, at any time that is reasonable in the circum­ stances during the ordinary hours of business, within— 14 working days after the date of the warrant; or (i) if the Judge or other person issuing the warrant (ii) is satisﬁed that special circumstances justify a longer period, any period of up to 28 working days that is speciﬁed in the warrant: (b) (c) seize any document or other thing that the enforcement ofﬁcer has reasonable cause to suspect may be evidence of the commission of an offence under section 129, 132, or 133: take samples of water, air, soil, organic matter, or any other thing: 143 Part 4 s 102 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (d) (e) (f) use the assistance of any person that is reasonably ne­ cessary in the circumstances: use any force to enter (whether by breaking doors or otherwise) that is reasonable in the circumstances: carry out surveys, investigations, tests, inspections, or measurements (including those that involve leaving measuring equipment on the land or premises).
(3) An enforcement ofﬁcer may not enter a dwellinghouse or marae unless that enforcement ofﬁcer is accompanied by a member of the police.

(4) A person who provides assistance under subsection (2)(d) may exercise the powers provided to enforcement ofﬁcers under subsection (2)(a), (b), (c), and (f).

Section 101: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
102 Proof of authority must be produced If powers are exercised under section 100 or 101, an enforce­ ment ofﬁcer must, on initial entry, and if asked by the occupier at any time afterward, produce for inspection— (a) the enforcement ofﬁcer’s warrant of authorisation and evidence of his or her identity; and any notice given under section 100(3) or a search war­ rant issued under section 101, as the case may be.
Section 102: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(b) 103 Notice of entry (1) If, when powers are exercised under section 100 or 101, the oc­ cupier is not present, the enforcement ofﬁcer must, in a promi­ nent place, attach a written notice that states— (a) (b) (c) the date and time of the entry or search; and the purpose of the entry or search; and the name and phone number of the enforcement ofﬁcer; and the right, under the Ofﬁcial Information Act 1982, to access documentation relating to the application for a search warrant and the exercise of the search power; and an address at which inquiries may be made.
(d) (e) 144 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 105 (2) If the enforcement ofﬁcer removes, or has removed, any docu­ ment or other thing from any land, premises, dwellinghouse, or marae, the enforcement ofﬁcer must hand to the occupier, or attach in a prominent place, a notice that— lists all of the items taken; and (a) states— (b) (i) (ii) where those items are being held; and if they are being held in 2 or more places, which items are being held at which place; and (c) provides information about— (i) the procedures to be followed to initiate a claim that privileged or conﬁdential material has been seized; and access to and the disposition of seized items.
(ii) Section 103: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
104 Information obtained under section 100 or 101 only admissible in proceedings for alleged breach of obligations imposed under this Part and Part 5 No document or other information obtained from a person under section 100 or 101 is admissible against that person in any criminal or civil proceedings, other than proceedings for an alleged breach of an obligation imposed under this Part or Part 5.
Section 104: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
105 Return of items seized Section 199 of the Summary Proceedings Act 1957 applies, with the necessary modiﬁcations, to any property seized or taken by an enforcement ofﬁcer as if— (a) references in that section to a constable were references to an enforcement ofﬁcer; and the reference in that section to section 198 of that Act were a reference to section 100 or 101 of this Act.
Section 105: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(b) 145 Part 4 s 106 Climate Change Response Act 2002 Reprinted as at 26 September 2008 106 Protection of persons acting under authority of this Part No enforcement ofﬁcer or person called upon to assist an en­ forcement ofﬁcer who does an act, or omits to do an act, when performing a function or exercising a power conferred on that person by this Part is under any civil or criminal liability in respect of the act or omission, unless the person has acted, or omitted to act, in bad faith or without reasonable cause.
Section 106: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Emissions rulings Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
107 Applications for emissions rulings (1) A person may apply to the chief executive for an emissions ruling in respect of 1 or more of the following matters: (a) whether something that the person— (i) (ii) is doing is an activity listed in Schedule 3 or 4; or proposes to do would be an activity listed in Schedule 3 or 4: (c) (b) whether the person is a participant in respect of an ac­ tivity listed in Schedule 3 or is eligible to register as a participant in respect of an activity listed in Schedule 4: the correct application of any provision contained in regulations made under section 163(1)(a) to (c) in re­ spect of a particular matter speciﬁed in the person’s ap­ plication: any other matters prescribed in regulations made under section 168(1)(b).
(d) Every application under subsection (1) must— (a) (b) (c) be in the prescribed form; and state the name and address of the applicant; and specify the matter on which the applicant seeks a ruling; and specify the applicant’s opinion as to what the ruling should be; and contain, or have attached, all information that is relevant to a proper consideration of the application; and (d) (e) (2) 146 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 108 (3) be accompanied by the prescribed fee (if any).
(f) The chief executive may request any further information from an applicant that the chief executive considers necessary to assist in the consideration of the application.

Section 107: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
108 Matters in relation to which chief executive may decline (1) (2) to make emissions rulings The chief executive may not make an emissions ruling with respect to a provision that authorises or requires the chief ex­ ecutive to— (a) (b) impose or remit a penalty; or inquire into the correctness of any return or other infor­ mation supplied by any person; or prosecute any person; or recover any debt owing by any person.
(c) (d) The chief executive may decline to make an emissions ruling if— (a) (b) (c) (d) (e) (f) the chief executive considers that the correctness of the ruling would depend on which assumptions were made about a future event or other matter; or the matter on which the ruling is sought is subject to a review or appeal, or is the subject of proceedings, whether in relation to the applicant or any other person; or the applicant has outstanding unpaid fees relating to an earlier emissions ruling application; or the chief executive considers the application is frivolous or vexatious; or the matter on which the ruling is sought concerns an obligation to surrender units that are already due and payable, unless the application is received before the obligation arises; or an assessment or amendment relating to the same per­ son, activity, and period to which the proposed ruling would apply has been made (unless the application is received by the chief executive before the date an as­ sessment or amendment is made); or 147 Part 4 s 109 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (g) in the chief executive’s opinion— (i) the chief executive has insufﬁcient information to make the ruling; or it would be unreasonable to make a ruling in view of the resources available to the chief executive.
Section 108: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(ii) 109 Making of emissions rulings (1) The chief executive must make an emissions ruling regarding the matter in respect of which a ruling is sought under section 107 as soon as practicable after the receipt of— (a) (b) a properly completed application for a ruling; and all information that the chief executive considers rele­ vant to the consideration of the application, including information requested under section 107(3).
(2) Subject to section 114(2), a ruling comes into effect on the day on which it is made.

(3) A ruling may be made subject to any conditions that the chief (4) executive thinks ﬁt.

Subsection (1) is subject to section 108.

Section 109: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
110 Notice of emissions rulings The chief executive must, as soon as practicable, notify the applicant of— (a) an emissions ruling, together with the reasons for the ruling, and the conditions (if any) to which the ruling is subject; or a decision to decline to make an emissions ruling, to­ gether with the reasons for the decision.

(b) Section 110: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
111 Conﬁrmation of basis of emissions rulings At any time after an emissions ruling is made, the chief execu­ tive may, by notice, require an applicant to satisfy the chief executive, within 20 working days after receipt of the notice, 148 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 113 and in a manner that the chief executive considers appropriate, that— (a) the information on which the emissions ruling is based remains accurate; and the conditions (if any) to which the ruling is subject, have been, and continue to be, complied with.
Section 111: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(b) 112 Notifying chief executive of changes relevant to or failure to comply with emissions rulings (1) A person must, as soon as practicable, notify the chief execu­ tive of any material change that is relevant to the application if the person— (a) has made an application for an emissions ruling under section 107; and becomes aware of a material change relating to the ap­ plication before the emissions ruling is made by the chief executive.
(b) (2) A person who has obtained an emissions ruling under section 109 must, as soon as practicable, notify the chief executive of— (a) (b) any material change that is relevant to the ruling: any failure to comply with any of the conditions of the ruling.

(3) The notiﬁcation that a person provides under subsection (1) or (2) must state the date on which the person became aware of the material change or the failure to comply.
Section 112: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

113 Correction of emissions rulings (1) The chief executive may amend an emissions ruling to correct any error that the chief executive is satisﬁed is contained in the ruling.

The chief executive must, as soon as practicable after making a correction, notify the applicant of the corrected ruling.
(2) 149 Part 4 s 114 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (3) The correction to a ruling applies to the applicant from the date on which notice of the corrected ruling is given to the applicant.
(4) Despite subsection (3), if the corrected ruling has the effect of— (a) (b) increasing the number of units that a person is required to surrender, or decreasing the number of New Zealand units that a person is entitled to receive, in respect of a year, then the ruling as given prior to correction under this section must be applied to that year; or decreasing the number of units that a person is required to surrender, or increasing the number of New Zealand units that a person is entitled to receive, in respect of a year, then the corrected ruling must be applied to that year.
Section 113: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
114 Cessation of emissions rulings (1) An emissions ruling ceases to have effect on the earliest of the following dates: (a) the date of a material change in any of the information or facts on which the ruling is based; or the date of a material change to this Act or to any regu­ lations relevant to the ruling; or the date on which any of the conditions to which the ruling is subject cease to be met or complied with; or the date of a failure to satisfy the requirements of the chief executive under section 111.
(b) (c) (d) (2) An emissions ruling does not come into effect if any informa­ tion on which it is based is not accurate in all material respects.

Section 114: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
115 Appeal from decisions of chief executive (1) An applicant who is dissatisﬁed with an emissions ruling, or a decision to decline to make an emissions ruling, may, within 20 working days after the date on which notice of the ruling or 150 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 117 decision is given, appeal to a District Court against the ruling or decision.

The District Court may conﬁrm, reverse, or modify the emis­ sions ruling or decision appealed against.
(2) (3) An emissions ruling or decision appealed against under this section continues in force pending the determination of the appeal, and no person is excused from complying with any of the provisions of this Act on the ground that any appeal is pending.

Section 115: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
116 Effect of emissions rulings (1) An emissions ruling is conclusive evidence of the determin­ ation of the matter in respect of which a ruling is sought under section 107.

If the chief executive makes an emissions ruling under section 109,— (a) (2) the ruling applies to the matter in relation to which the ruling was sought; and if the applicant complies with the ruling, the chief ex­ ecutive must apply this Act to that matter in accordance with the ruling.
(b) (3) This section is subject to sections 113 and 114 and any decision of the District Court under section 115(2).

Section 116: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
117 Chief executive may publish certain aspects of emissions (1) (2) rulings For the purpose of providing general guidance about the ap­ plication of this Part or Part 5, the chief executive may, after making an emissions ruling, publish information that relates to the ruling.

The chief executive may not publish any information under subsection (1) that identiﬁes any person to whom the ruling relates.
151 Part 4 s 118 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (3) No person may treat, or rely on, the information published under subsection (1) as an emissions ruling with the effect spe­ ciﬁed by section 116.

Section 117: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Emissions returns Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
118 (1) Submission of ﬁnal emissions returns Subsection (2) applies to the following persons: (a) a person who the chief executive believes is about to— cease carrying out an activity listed in Schedule (i) 3 or 4 in relation to which the person is a partici­ pant; and leave New Zealand: (ii) a participant who has ceased to carry out any activities in New Zealand: the executors or administrators of a deceased partici­ pant: a participant who has become bankrupt or has been put into liquidation.
(b) (c) (d) (2) The chief executive may, at any time, require a person to whom subsection (1) applies to submit a ﬁnal emissions return in re­ lation to a speciﬁed activity listed in Schedule 3 or 4.
(3) Any of the following persons may, at any time, submit a ﬁ­ nal emissions return in relation to a speciﬁed activity listed in Schedule 3 or 4: (a) a person who is about to— (i) cease carrying out an activity listed in Schedule 3 or 4 in relation to which the person is a partici­ pant: leave New Zealand: (ii) a participant who has ceased to carry out any activities in New Zealand: the executor or administrator of a deceased participant: a participant who has become bankrupt or has been put into liquidation.
(b) (c) (d) 152 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 121 (4) A ﬁnal emissions return submitted under subsection (2) or (3) must— (a) contain all of the information required in an annual emissions return under section 65(2), but only for the period speciﬁed by the chief executive, or if the return is made under subsection (3), the period determined by the submitter; and be submitted in accordance with section 65(3).
(b) Following the submission of a ﬁnal emissions return under this section, the person submitting the return must, within 20 working days, surrender the number of units in the assessment under section 65(2)(c)(i).

Section 118: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(5) 119 Power to extend date for emissions returns The chief executive may extend the time for the submission of an emissions return by a period of no more than 20 working days if— (a) the participant has applied for an extension before the date upon which the emissions return is due; and the chief executive is satisﬁed that the participant is un­ able to submit the required emissions return by the due date.
(b) Section 119: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
120 Amendment to emissions returns by chief executive Subject to section 127, if the chief executive is satisﬁed that the information contained in an emissions return is incorrect, the chief executive may, at any time, amend the emissions return and any assessment of the participant’s liability to surrender units or entitlement to receive New Zealand units in the emis­ sions return as the chief executive thinks ﬁt.
Section 120: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
121 Assessment if default made in submitting emissions return (1) This section applies if— 153 Part 4 s 122 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) a participant fails to submit an emissions return when required to do so under this Act; or the chief executive has reason to believe that a person is a participant who should have submitted an emissions return, but did not.
If this section applies, the chief executive may make an as­ sessment of the matters that should have been in the person’s emissions return.

Section 121: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) 122 Amendment or assessment presumed to be correct An amendment made to an emissions return under section 120, or an assessment made under section 121, must be taken to be correct unless, on review or appeal, a different amendment or assessment is made.

Section 122: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
123 Effect of amendment or assessment (1) If the chief executive makes an amendment under section 120 or an assessment under section 121, the chief executive must, as soon as practicable after making the amendment or assessment, notify the participant of— (a) (b) the particulars of the amendment or assessment; and any grounds or information upon which the amendment or assessment was based; and the right of the person to seek a review of the decision under section 144.
(c) (2) A notice under subsection (1) must, if relevant, be accompan­ ied by a penalty notice under section 134(3)(b).

If the amendment or assessment results in a liability for the person to surrender units or any additional units, the partici­ pant must surrender those units within 90 days after the date of the notice under subsection (1).
If the amendment shows that a participant has surrendered too many units, the chief executive must, within 20 working days after the date of the notice under subsection (1), arrange for (3) (4) 154 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 124 (5) (6) reimbursement to the participant, in accordance with section 124, of the number of units incorrectly surrendered.
If the amendment or assessment results in an entitlement for a participant to receive New Zealand units for the participant’s removal activities, the chief executive must notify the Minister of Finance under section 64(2) of the entitlement.
If the amendment shows that a participant was transferred too many New Zealand units for the participant’s removal activ­ ities, the participant must, within 90 days after the date of the notice under subsection (1), repay the number of units to which the amendment shows the participant was not entitled by trans­ ferring them to a Crown holding account designated by the chief executive.
(8) (7) Units repaid by any person under subsection (6) must be of a type that may be transferred to a surrender account at the time the unit is repaid.

The chief executive is not required to meet the time frame in subsection (4) if consultation under section 124(6) on the units to be reimbursed makes this impracticable.

Section 123: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) 124 Reimbursement of units by chief executive (1) If the chief executive is required to arrange for the reimburse­ ment of units to a person under section 123(4), 126(2), 138(2), or 189(7), the chief executive may satisfy the requirement by giving notice to the Minister of Finance under subsection (2) or (4) in relation to the transfer of units to the person.
If the chief executive wishes to arrange reimbursement of New Zealand units or approved overseas units to a person, the chief executive must notify the Minister of Finance of— (a) the number of New Zealand units or approved overseas units to be reimbursed to the person from the units sur­ rendered or repaid by that person; and the details of the person’s holding account.
(3) As soon as practicable after receiving notiﬁcation under sub­ section (2), the Minister of Finance must direct the Registrar to transfer the New Zealand units or approved overseas units (b) 155 Part 4 s 125 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (4) (b) from the appropriate surrender account or Crown holding ac­ count to the person’s holding account.
If the chief executive wishes to arrange reimbursement of Ky­ oto units to a person, the chief executive must notify the Min­ ister of Finance of— (a) the number and type of Kyoto units to be reimbursed to the person; and the details of the person’s holding account.
(5) As soon as practicable after receiving notiﬁcation under sub­ section (4), the Minister of Finance must direct the Registrar to transfer the applicable number and type of Kyoto units from a surrender account or a Crown holding account to the person’s holding account.

The chief executive must take into account the views of the person to whom units will be reimbursed about the type of units to be reimbursed when determining what units to reim­ burse.
Section 124: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(6) 125 Repayment of units by persons in case of error (1) The chief executive may, if satisﬁed that as a result of an error, units to which a person is not entitled under a provision in Part 4 or 5 have been transferred from a Crown holding account or other Crown account to the person’s holding account, give a notice to the person requiring that person to repay the units referred to in the notice in accordance with subsection (2).
(a) (2) A person who receives a notice under subsection (1) must— repay any units transferred in error that are still in the person’s holding account, or are otherwise under the person’s control, by transferring those units as soon as practicable to the Crown holding account designated in the notice; and if not all the units transferred in error are repaid under paragraph (a), repay, within 30 working days of the date of the notice, the outstanding number of units by trans­ ferring units to the Crown holding account designated in the notice.
(b) 156 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 127 (3) Units repaid by any person under subsection (2)(b) must be of a type that may be transferred to a surrender account at the time the unit is repaid.

Section 125: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
126 Obligation to surrender or repay units not suspended by (1) (2) review or appeal The obligation to surrender or repay units under section 123 or 125 is not suspended by any review or legal proceedings.
If the applicant for a review or the appellant in proceedings is successful in the review or the proceedings, the chief executive must arrange for the reimbursement to the applicant or appel­ lant of the number of units surrendered or repaid in excess of those that are determined to be required to be surrendered or repaid.

(3) However, any obligation on the chief executive under subsec­ tion (2) is suspended pending the outcome of any appeal ﬁled by the chief executive under section 146.
Section 126: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
127 Time bar for amendment of emissions returns (1) If a participant has complied with the participant’s obligation to surrender units in relation to an emissions return submitted under— (a) any section except section 189 or 193, the chief execu­ tive may not amend the emissions return, or the assess­ ment made by the participant of the units to be surren­ dered or received, after the expiration of 4 years from the end of the year or other period in respect of which the emissions return was made, or in the case of a return under section 187 or 191, from the date of the submis­ sion of the emissions return, if the amendment would— increase the number of units required to be sur­ (i) rendered by the participant; or alter the number of New Zealand units that the participant is entitled to receive for removal ac­ tivities: (ii) 157 Part 4 s 128 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) section 189 or 193, the chief executive may not amend the emissions return, or the assessment made by the par­ ticipant of the units to be surrendered or received, after the expiration of 7 years from the end of the year or other period in respect of which the emissions return was made if the amendment would— (i) increase the number of units required to be sur­ rendered by the participant; or alter the number of New Zealand units that the participant is entitled to receive for removal ac­ tivities.
(ii) (2) However, if the chief executive is satisﬁed that an emissions return was fraudulent, was wilfully misleading, or deliberately omitted mention of emissions or removals in respect of which an emissions return was required to be submitted, the chief executive may amend the emissions return at any time, under section 120, so as to— (a) increase the number of units required to be surrendered by the participant: decrease the number of New Zealand units to which the participant is entitled in respect of removal activities.
(b) Section 127: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
128 Amendments and assessments made by electronic means Any amendment or assessment made by the chief executive for the purpose of this Act that is made automatically by a com­ puter or other electronic means in response to or as a result of information entered or held in the computer or other electronic medium— (a) must be treated as an amendment or assessment made by or under the properly delegated authority of the chief executive; and is not invalid by virtue of the fact that it is made auto­ matically by such means.
(b) Section 128: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

158 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 130 Subpart 4—Offences and penalties Subpart 4: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(a) 129 Strict liability offences (1) A person commits an offence against this Act if the person— is a participant in any year and, without reasonable ex­ cuse, fails to comply with section 62 (requirement to collect data or other information, calculate emissions and removals, and keep records); or (b) without reasonable excuse,— (i) (ii) (iii) (iv) (v) fails to notify the chief executive under section 56 that the person is carrying out an activity listed in Schedule 3; or fails to submit an emissions return when required to do so under section 65, 118, 189, 191, or 193; or fails to keep emissions records as required under section 67; or fails to notify the chief executive of a matter that is required to be notiﬁed under section 112; or fails to notify the chief executive of the transfer of any post­1989 forest land when required to do so under section 192 or 193.
(2) (b) Every person who is convicted of an offence against subsec­ tion (1) is liable on summary conviction,— (a) the ﬁrst time the person is convicted of that offence, to a ﬁne not exceeding $8,000: the second time the person is convicted of that offence, to a ﬁne not exceeding $16,000: on every subsequent occasion that the person is con­ victed of that offence, to a ﬁne not exceeding $24,000.
Section 129: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(c) 130 Offence for breach of section 99 Every person to whom section 99(1) applies who knowingly acts in contravention of section 99 commits an offence and is liable on summary conviction to— 159 Part 4 s 131 Climate Change Response Act 2002 Reprinted as at 26 September 2008 imprisonment for a term not exceeding 6 months; or a ﬁne not exceeding $15,000; or both.
(a) (b) (c) Section 130: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
131 Offence for failure to provide information or documents (1) A person commits an offence against this Act if the person, (2) without reasonable excuse,— (a) (b) fails to provide information to the chief executive or an enforcement ofﬁcer when required to do so under section 94; or fails to appear before the chief executive or an enforce­ ment ofﬁcer, or fails to produce any document or docu­ ments, when required to do so under section 95.
Every person who is convicted of an offence against subsec­ tion (1) is liable on summary conviction,— (a) in the case of an individual, to a ﬁne not exceeding $12,000; or in the case of a body corporate, to a ﬁne not exceeding $24,000.

(b) Section 131: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(a) (c) (b) 132 Other offences (1) A person commits an offence against this Act if the person— refuses to take an oath when required to do so under section 95; or refuses to answer any question when required to do so under section 95; or is a participant in any year and knowingly fails to comply with section 62 (requirement to collect data or other information, calculate emissions and removals, and keep records); or knowingly fails to submit an emissions return when re­ quired to do so under section 65, 118, 189, 191, or 193; or knowingly fails to keep records as required under sec­ tion 67; or (d) (e) 160 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 133 (f) knowingly provides altered, false, incomplete, or mis­ leading information (including emissions returns) to the chief executive or any other person in respect of any matter in this Part or Part 5; or (g) wilfully obstructs, hinders, resists, or deceives a person exercising a power conferred on that person under this Part or Part 5; or (h) wilfully interferes with any survey, investigation, test, or measurement carried out by an enforcement ofﬁcer or a person assisting an enforcement ofﬁcer under section 100; or refuses to provide information that an enforcement ofﬁcer has demanded from that person under section 100(2)(d).
(i) (2) Every person who is convicted of an offence against subsec­ tion (1) is liable on summary conviction,— (a) in the case of an individual, to a ﬁne not exceeding $25,000; or in the case of a body corporate, to a ﬁne not exceeding $50,000.

(b) Section 132: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
133 Evasion or similar offences (1) A person commits an offence against this Act if the person, with intent to deceive and for the purpose of either obtaining any material beneﬁt or avoiding any material detriment,— (a) (b) (c) (d) (e) fails to comply with any of the requirements speciﬁed in section 62; or fails to submit an emissions return when required to do so under section 65, 118, 189, 191, or 193; or fails to keep records as required under section 67; or fails to provide information to the chief executive or any other person when required to do so under this Part or Part 5; or provides altered, false, incomplete, or misleading infor­ mation (including emissions returns) to the chief execu­ tive or any other person in respect of a matter in this Part and Part 5.
161 Part 4 s 134 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (2) Every person who commits an offence against subsection (1) is liable on conviction on indictment to— (a) (b) (c) Section 133: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

imprisonment for a term not exceeding 5 years; or a ﬁne not exceeding $50,000; or both imprisonment and a ﬁne.
134 Penalty for failing to surrender or repay units (1) This section applies if— (a) (b) a person fails to surrender units by the due date when required to do so under section 65(4), 118(5), 189, 191, or 193; or an amendment to an emissions return under section 120 or an assessment made under section 121 results in a liability for a person— (i) to surrender units or additional units under sec­ tion 123(3); or to repay units in accordance with section 123(6); or (ii) (c) a person is required under section 125 to repay units transferred in error.
Subject to section 135, if this section applies, the person is liable to— (a) surrender or repay the units as required under the rele­ vant section; and pay to the chief executive an excess emissions penalty of $30 for each unit that,— (i) (b) if subsection (1)(a) applies, the person fails to surrender by the due date; or if subsection (1)(b) applies, the person is required to surrender under section 123(3) or repay under section 123(6); or if subsection (1)(c) applies, the person fails to repay by the due date.
(ii) (iii) If a person is liable to an excess emissions penalty under sub­ section (2), the chief executive must give a notice to the person that,— (a) if subsection (1)(a) or (c) applies,— (2) (3) 162 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 134 (i) (ii) (iii) (iv) (v) refers to the person’s failure to surrender units by the due date as required under section 65(4), 118(5), 189, 191, or 193, as applicable, or repay units by the due date under section 125; and sets out the number of units required to be sur­ rendered or repaid; and sets out the amount of the excess emissions penalty to which the person is liable under sub­ section (2)(b); and requires the person to surrender or repay the units speciﬁed in subparagraph (ii), and pay the penalty speciﬁed in subparagraph (iii) to the chief executive, within 20 working days of the date of the notice; and advises that, unless both the units are surrendered or repaid and the penalty paid in full by the due date, interest on the amount of the penalty will accrue in accordance with section 137; or (b) if subsection (1)(b) applies,— (i) (ii) (iii) (iv) refers to the relevant notice under section 123(1); and sets out the amount of the excess emissions penalty to which the person is liable under sub­ section (2)(b); and requires the person to pay the penalty speciﬁed in subparagraph (ii) within the period in which the person must surrender units under section 123(3) or repay units under section 123(6); and advises that, unless both the units are surrendered or repaid and the penalty paid in full by the due date, interest on the amount of the penalty will accrue in accordance with section 137.
(4) The amount of the excess emissions penalty, together with any interest that accrues on that penalty, constitutes a debt due to the Crown and is recoverable by the chief executive in a court of competent jurisdiction.

Section 134: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
163 Part 4 s 135 Climate Change Response Act 2002 Reprinted as at 26 September 2008 135 Reductions in penalty (1) The chief executive may reduce the excess emissions penalty imposed by section 134(2)(b)(i) or (iii) by up to 100%, if the person voluntarily discloses the failure to surrender or repay units before receiving a penalty notice under section 134.
The chief executive may reduce the excess emissions penalty imposed by section 134(2)(b)(ii) by up to 100%, if— (a) (2) (ii) the person voluntarily disclosed that an emissions re­ turn submitted by the person contained incorrect infor­ mation, or that the person failed to ﬁle a return when required to do so, before the chief executive or an en­ forcement ofﬁcer— (i) requested any information under section 94 or 95 in relation to the return; or gave notice of an intention to enter land or premises under section 100(3); or (iii) executed a warrant under section 101; or the chief executive is satisﬁed that the person formed a view as to the information on which the return was based or as to whether a return was required, that, while incorrect, was reasonable, having regard to the informa­ tion available to that person at the time the emissions return was required.
(b) Section 135: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
136 Additional penalty for knowing failure to comply (1) This section applies to a person who— (a) is or was liable following an amendment under section 120 or an assessment under section 121 to surrender units (or additional units) or to repay units, in respect of any period covered by, or that should have been covered by, an emissions return; and is convicted of an offence against section 132(1)(c) to (f) or 133 in relation to that period.
(b) If this section applies, the person is liable, in addition to any penalty imposed in respect of the offence, to— (a) surrender a number of units equivalent to the number of units determined by the chief executive in the amend­ (2) 164 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 137 (3) (4) (5) 137 (1) (b) ment under section 120 or the assessment under section 121, or in any review or appeal proceedings relating to that determination; and pay an excess emissions penalty of $30 for each unit the person is liable to surrender under paragraph (a).
If a person is liable under subsection (1), the chief executive must give a notice to the person that— (a) sets out the— (i) number of additional units that the person is re­ quired to surrender; and amount of the excess emissions penalty to which the person is liable; and (ii) (b) (c) requires the person to surrender the additional units and pay the penalty within 90 days after the date of the no­ tice; and advises that, unless both the units are surrendered and the penalty paid in full by the due date, interest on the amount of the penalty will accrue in accordance with section 137.
To avoid doubt, any liability to surrender units or pay a penalty under subsection (2) is additional to, and does not affect, the liability of a person to surrender or repay units under any other section of this Act or to pay a penalty under a penalty notice given by the chief executive under section 134.
The amount of the excess emissions penalty, together with any interest that accrues on that penalty, constitutes a debt due to the Crown and is recoverable by the chief executive in a court of competent jurisdiction.

Section 136: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Interest for late payment This section applies if a person— (a) has failed to surrender or repay units when required to do so and is liable to pay an excess emissions penalty in relation to those units under section 134(2)(b)(i) or (iii); or 165 Part 4 s 137 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) (c) (d) is required to surrender or repay units under section 123 and is liable to pay an excess emissions penalty in relation to those units under section 134(2)(b)(ii); or is required to surrender units and pay an excess emis­ sions penalty under section 136; or does not comply, or comply in full, with the requirement to surrender or repay units and to pay the penalty by the relevant date.
(2) (3) (b) If this section applies, the person is liable to pay interest on the full amount of the excess emissions penalty— (a) at the rate prescribed by the Governor­General by Order in Council; and for the period from the date by which the penalty was due to be paid until the associated liability to surrender or repay units (or to pay any associated debt under sec­ tion 159) has been met, and until the penalty and any interest due have been paid in full.
To avoid doubt, interest accrues under subsection (2) even if the amount of the excess emissions penalty in a penalty notice has been paid in full if the associated requirement to surrender or repay units (or to pay any associated debt under section 159) has not been met in full.
(4) Despite anything in this section, the chief executive may remit any amount of interest that has accrued under this section, if the chief executive is satisﬁed that— (a) the failure of the person to comply with the requirement to surrender or repay units and pay the penalty in full arises as a result of an event or circumstance beyond the control of that person; and as a consequence of that event or circumstance, the person has a reasonable justiﬁcation or excuse for the non­compliance; and the person corrected the failure to comply as soon as practicable.
(b) (c) (5) Without limiting the chief executive’s discretion under subsec­ tion (4), an event or circumstance may include— (a) (b) an accident or a disaster; or illness or emotional or mental distress.
166 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 138 (6) Despite anything in this section, the chief executive may remit part of an amount of interest that has accrued under this section if the chief executive is satisﬁed that it would be manifestly unfair or unjust to impose the full amount.
For the purposes of this section, an event or circumstance does not include— (a) (7) an act or omission of an agent of a person, unless the chief executive is satisﬁed that the act or omission was caused by an event or circumstance beyond the control of the agent— (i) (ii) that could not have been anticipated; and the effect of which could not have been avoided by compliance with accepted standards of busi­ ness organisation and professional conduct; or a person’s ﬁnancial position.
(b) Section 137: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

138 Obligation to pay penalty not suspended by appeal (1) The obligation to pay and the right to receive and recover any excess emissions penalty or interest imposed under section 134, 136, or 137, and the obligation to surrender any additional units under section 136, are not suspended by any review or appeal.
If the applicant or appellant is successful in the review or ap­ peal, the amount of any excess emissions penalty or interest paid by the applicant must be refunded to the applicant or ap­ pellant by the chief executive, and any units not required to be surrendered must be reimbursed in accordance with the pro­ cedure speciﬁed in section 124.

(2) (3) However, any obligation on the chief executive under subsec­ tion (2) is suspended pending the outcome of any appeal ﬁled under section 146.
The chief executive must pay interest on any refunded excess emissions penalty and interest calculated in accordance with the following formula: (4) where— ((X × Y) ÷ 365) × Z 167 Part 4 s 139 Climate Change Response Act 2002 Reprinted as at 26 September 2008 X is the number of days in the period that— (a) commences on the day on which the relevant penalty is lodged to the credit of the chief execu­ tive; and ends on the day on which the relevant penalty is refunded by the chief executive; and (b) Y is the amount of penalty and interest that, having been paid, is caused to be refunded in accordance with the outcome of a successful appeal; and is the rate of interest speciﬁed by the Governor­General by Order in Council made under section 137(2)(a).
Section 138: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Z 139 Liability of body corporate If, in the course of proceedings against a body corporate for an offence under this Part, it is necessary to establish the state of mind of the body corporate, it is sufﬁcient to show that a director, employee, or agent of the body corporate, acting within the scope of the person’s actual or apparent authority, had that state of mind.
Section 139: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
140 Liability of directors and managers of companies If a body corporate is convicted of an offence under this Part, every director and every person concerned in the management of the body corporate is also guilty of that offence if it is proved that— (a) the act or omission that constituted the offence took place with the authority, permission, or consent of the director or person; or the director or person knew that the offence was to be, or was being, committed and failed to take all reasonable steps to prevent or stop it.
(b) Section 140: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
168 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 143 141 Liability of companies and persons for actions of director, agent, or employee (1) Any act or omission on behalf of a body corporate or other person (the principal) by a director, agent, or employee of the principal is to be treated for the purposes of this Act as being also the act or omission of the principal.
(2) Despite subsection (1), if a principal is charged under this Part in relation to the act or omission of an agent for an offence against any of sections 132(1)(c) to (f) or 133, it is a defence to the charge if the principal proves that the principal took all reasonable steps to prevent the commission of the offence or the commission of offences of that kind.

Section 141: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
142 Limitation period for commencement of proceedings Despite section 14 of the Summary Proceedings Act 1957, an information for an offence against— (a) section 131 or 132(a), (b), (g), (h), or (i) may be laid at any time within 2 years from the time when the matter of the information arose: section 129, 130, or 132(c) to (f) may be commenced at any time within 7 years from the time when the matter of the information arose.
(b) Section 142: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
143 Evidence in proceedings (1) In any proceedings for an offence against this Part or Part 5, a certiﬁcate or document (including an electronic copy) of any of the following kinds is admissible in evidence and, in the absence of proof to the contrary, is sufﬁcient evidence of the matter stated in the certiﬁcate or the document, as the case may require: (a) a certiﬁcate purporting to be signed by the chief execu­ tive, or by a delegate of the chief executive, to the effect that, at any speciﬁed date or period,— 169 Part 4 s 144 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (i) (ii) a named person is or was, or is not or was not, an enforcement ofﬁcer or a person or organisation recognised under section 92; or a person was, or was not, registered as a partici­ pant in relation to an activity listed in Schedule 4: (b) a certiﬁcate purporting to be signed by any person au­ thorised to delegate to any person, or to persons of any kind or description, the exercise of any power or the performance of any function under this Part or Part 5, stating that the person has delegated— (i) the exercise of the power or the performance of the function speciﬁed in the certiﬁcate to the per­ son speciﬁed in the certiﬁcate; or the exercise of the power or the performance of the function speciﬁed in the certiﬁcate to persons of a kind or description speciﬁed in the certiﬁ­ cate, and that a named person speciﬁed in the cer­ tiﬁcate is a person of that kind or description.
(ii) (2) The production of a certiﬁcate or document purporting to be a certiﬁcate to which subsection (1) applies is prima facie evi­ dence that it is such a certiﬁcate or document, without proof of— (a) the signature of the person purporting to have signed the document; or the document’s nature.

(b) Section 143: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Subpart 5—Review and appeal provisions Subpart 5: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
144 Request for review of decisions (1) A person affected by a decision of the chief executive under a provision in this Part or Part 5 who is dissatisﬁed with the decision may, by notice to the chief executive within the period of 30 days after receiving notice of the decision, or within any 170 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 145 (2) (3) (4) (5) (6) further period that the chief executive allows, request the chief executive to review the decision.
The request must set out the grounds on which it is believed that the original decision should be reviewed.

For the purposes of a review, the chief executive may require the person making the request for review to supply information additional to that contained in the request.

Following a review, the chief executive may conﬁrm, revoke, or vary the decision in the manner that the chief executive thinks ﬁt.

The decision requested to be reviewed remains valid unless and until altered by the chief executive.
The chief executive must, as soon as practicable, give notice to the person who requested the review of the decision on the review, and of the reasons for it.

(8) (7) A decision by the chief executive under this section is ﬁnal, unless determined otherwise by a court under an appeal under section 145 or 146.
This section does not apply to any decision that the chief ex­ ecutive makes under section 90 or of the chief executive in relation to emissions rulings (including a decision to decline making a ruling) under sections 107 to 117.

Section 144: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
145 Right of appeal to District Court (1) A person has a right of appeal to a District Court if affected by (2) (3) a decision of the chief executive under section 144.

The court may conﬁrm, reverse, or modify the decision ap­ pealed against.

Every decision appealed against under this section continues in force pending the determination of the appeal, and no person is excused from complying with any of the provisions of this Act on the ground that any appeal is pending.
Section 145: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
171 Part 4 s 146 Climate Change Response Act 2002 Reprinted as at 26 September 2008 146 Appeals to High Court on questions of law only If a party to any proceedings before the District Court under section 145 is dissatisﬁed with any determination of the court as being erroneous in point of law, the party may appeal to the High Court by way of case stated for the opinion of the court on a question of law only.
Section 146: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Subpart 6—Miscellaneous provisions Subpart 6: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

147 Giving of notices by chief executive (1) This section applies if this Act requires the chief executive to give a notice to a person.
If this section applies, the chief executive— (a) must give the notice in writing to— the person; or a representative authorised to act on behalf of the person; and (i) (ii) (b) may give notice by— (i) (ii) (iii) (iv) personal delivery to a person that is not a body corporate: personal delivery to a person that is a body cor­ porate, if the personal delivery is made to the per­ son’s ofﬁce during working hours: an electronic means of communication to the per­ son, if the chief executive complies with the Elec­ tronic Transactions Act 2002: post to— (A) the street address of the person’s usual or last known place of residence; or the street address of any of the person’s usual or last known places of business; or any other address, if the person has noti­ ﬁed the chief executive that the person ac­ cepts notices at the address.
(B) (C) (2) 172 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 149 (3) A notice given by post under subsection (2)(b)(iv) is to be treated as having been given at the time the notice would have been delivered in the ordinary course of the post.

Section 147: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
148 Giving of notices to chief executive (1) This section applies if this Act requires a person to give a no­ tice to the chief executive.
If this section applies, the person must— (a) give the notice in writing; and (b) may— (i) (2) (ii) give the notice to the ofﬁce of the chief execu­ tive’s department designated by the chief execu­ tive by notice in the Gazette: give the notice by— (A) personal delivery, if the personal delivery is made during working hours: an electronic means of communication, if the person complies with the Electronic Transactions Act 2002: post to the post ofﬁce box number for the ofﬁce.
(B) (C) (3) A notice given by post under subsection (2)(b)(ii)(C) is treated as having been given at the time the notice would have been delivered in the ordinary course of the post.

Section 148: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
149 Sharing information (1) The purpose of this section is to facilitate the exchange of in­ formation between any person with functions or powers under this Act, the Registrar, and the inventory agency.

(2) A person referred to in subsection (1) (person A) must provide information to another person referred to in that subsection (person B) if the information— (a) (b) is requested by person B; and is required by person B to assist person B to carry out his or her functions under this Act.
173 Part 4 s 150 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 149: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

150 Formation of consolidated group (1) Any 2 or more participants who are members of a group may, in respect of any activity or activities listed in Schedule 3 or 4, elect to form and be treated as a consolidated group for the purposes of this Part and Part 5.
(2) A consolidated group may, in addition to participants who are members of the group, include a member of the group that is not a participant, if that entity is to act as the nominated entity.

(3) An election under subsection (1) must be made by giving no­ tice to the chief executive in the prescribed form.
(4) A notice given under subsection (3) must— (a) (b) (c) include— (i) the names of each of the entities that are to be members of the consolidated group (and contact details of any member that is not registered as a participant); and the activities in respect of which the members elect to be treated as a consolidated group; and (ii) nominate one of the entities listed in the notice (the nominated entity) as the agent of the consolidated group in respect of the activities speciﬁed in the notice and this Part and Part 5; and contain an agreement by each entity listed in the notice as a member of the consolidated group— (i) to be jointly and severally liable with the other members of the consolidated group for any obli­ gations under this Part or Part 5 in respect of emissions and removals resulting from the activ­ ities speciﬁed in the notice; and to the transfer to the consolidated group’s hold­ ing account on behalf of the group of any units to which any member of the consolidated group may become entitled in respect of any removal activity listed in the notice.
(ii) The chief executive must acknowledge the formation of a con­ solidated group by notice to all members of the group given (5) 174 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 151 (6) within 1 month after the chief executive’s receipt of a notice under subsection (3).
If 2 or more participants have elected under subsection (1) to form a consolidated group, those participants must be treated for the purposes of this Part and Part 5 as being members of a consolidated group,— (a) if notice of the formation of the group is received by the chief executive by 30 September in any year, from the beginning of the following year: if notice of the formation of the group is received by the chief executive after 30 September in any year, from the beginning of the year following the next year.
(b) (7) To avoid doubt, a participant may be a member of more than 1 consolidated group in relation to different activities.

Section 150: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
151 Changes to consolidated groups (1) If at any time 2 or more participants who are members of a group have formed a consolidated group, and at least 1 participant remains a member of the consolidated group, any other participant (or, in the circumstances speciﬁed in section 150(2), any other entity that is a member of the group) may elect to join and be treated as a member of the consolidated group by giving notice to the chief executive in a form that the chief executive approves.
(2) A notice given under subsection (1) must— (a) include— (i) the name of the entity that elects to join the con­ solidated group (and the entity’s contact details if it is not registered as a participant) and sufﬁcient information for the chief executive to identify the consolidated group that is to be joined; and if the entity is a participant, the activity or ac­ tivities in respect of which the entity elects to be treated as a member of that consolidated group; and (ii) (b) contain the agreement of the entity— 175 Part 4 s 151 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (i) (ii) to be jointly and severally liable with the other members of the consolidated group for any obli­ gations under this Part or Part 5 in respect of emissions and removals resulting from the activ­ ities of the members of the group; and if the entity is a participant, to the transfer to the consolidated group’s holding account on behalf of the group of any units to which the entity may become entitled in relation to any removal activ­ ities speciﬁed in the notice; and (c) contain the agreement of every existing member of the consolidated group— (i) to be jointly and severally liable with the other members of the group for any obligations under this Part or Part 5 in respect of emissions and re­ movals resulting from the activities of the joining entity; and to the transfer to the consolidated group’s holding account, on behalf of the group, of any units to which the joining entity may become entitled in respect of the activity or activities of that entity speciﬁed in the notice.
(ii) The chief executive must acknowledge the joining of a mem­ ber to a consolidated group by notice to all members of the group given within 1 month after the chief executive’s receipt of a notice under subsection (1).
If a participant has elected under subsection (1) to join a con­ solidated group, that participant must be treated for the pur­ poses of this Part or Part 5 as being a member of that consoli­ dated group,— (a) if notice of the election to join the group is received by the chief executive by 30 September in any year, from the beginning of the following year: if notice of the election to join the group is received by the chief executive after 30 September in any year, from the beginning of the year following the next year.
If an entity referred to in section 150(2) has elected by notice under subsection (1) to join a consolidated group, that entity must be treated for the purposes of this Part as being a member (b) (3) (4) (5) 176 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 153 of that consolidated group from the date of receipt by the chief executive of the notice, or from any later date that may be speciﬁed in the notice.
Section 151: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

152 Nominated entities (1) The nominated entity for a consolidated group at any time is to be treated for the purposes of this Part and Part 5 as the agent at that time of the consolidated group, and of each entity that is at that time a member of the consolidated group, except where this Act otherwise expressly provides or the context otherwise requires.
(2) No entity is at any time a nominated entity for a consolidated group unless, at the time, the entity is a member of the con­ solidated group.

(3) An entity that is a nominated entity for a consolidated group may give notice to the chief executive, in a form that the chief executive approves, that— (a) the entity is to cease to be the agent for the consolidated group; and another member entity is to become the agent for the consolidated group.
(b) (4) If an entity gives notice under subsection (3), then, from the date of receipt by the chief executive of the notice, or from a later date that may be speciﬁed in the notice,— (a) the notifying entity ceases to be the agent for the con­ solidated group; and the other entity becomes the agent (nominated entity) for the consolidated group.

(b) Section 152: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
153 Effect of being member of consolidated group (1) The nominated entity of a consolidated group must— (a) have a holding account in the name of the consolidated group for the purposes of meeting the members’ obli­ gations under this Part and Part 5; and 177 Part 4 s 153 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) (c) record in that holding account the names of all the mem­ bers of the consolidated group; and submit a single annual emissions return for the consoli­ dated group in respect of a year, which must— (i) meet the requirements of section 65(2) in respect of the activities listed in the notice under section 150(4)(a)(ii) or 151(2)(a)(ii) carried out by each member of the consolidated group: be signed by the nominated entity in accordance with section 65(2)(f) on behalf of the consoli­ dated group.
(ii) Each member of a consolidated group is jointly and severally liable to surrender the amount of units assessed in relation to the consolidated group in any year, and that joint and several liability is in substitution for any liability of those members under this Part or Part 5 individually in respect of units to be surrendered for that year (to the extent that the surrender obli­ gation relates to a period when the entity is a member of the consolidated group).
The liability of every member of the consolidated group to sur­ render units in respect of any year is met by the transfer of the units assessed in relation to the consolidated group from the consolidated group’s holding account to a surrender account designated by the chief executive.
Each member of a consolidated group is jointly entitled to any New Zealand units assessed in relation to the removal activ­ ities of the consolidated group in any year, and that joint en­ titlement is in substitution for any entitlement of those mem­ bers under this Part or Part 5 individually in respect of units to be transferred for that year (to the extent that the entitlement relates to a period when the entity is a member of the consoli­ dated group).
The entitlement of every member of the consolidated group to be transferred units for removal activities in respect of any year must be met by the transfer of the number of units assessed in relation to the consolidated group to the consolidated group’s holding account.
This section— (a) does not prevent the nominated entity submitting— (2) (3) (4) (5) (6) 178 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 155 (i) (ii) removal activities of a quarterly emissions return under section 66 for other the consolidated group; or submitting an emissions return under section 118 in respect of a participant who is a member of the consolidated group; and (b) applies with any necessary modiﬁcations to the period of an emissions return in either of those circumstances.
Section 153: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
154 Emissions returns by consolidated group in respect of (1) (2) activities in Part 1 of Schedule 4 The nominated entity of a consolidated group that has been formed in respect of an activity listed in Part 1 of Schedule 4— (a) may submit a single emissions return under section 189(3) in respect of any activity listed in Part 1 of Schedule 4 carried out by a member in a year; and (b) must submit a single emissions return in respect of any activity listed in Part 1 of Schedule 4 carried out by any members when required to do so by section 189(4); and (c) must submit any emissions return required by section 191 or 193 on behalf of any member when a member is required to do so; and (d) must sign any emissions return referred to above in ac­ cordance with section 65(2)(f) on behalf of the consoli­ dated group.
Section 153(2) to (5) apply to the liability to surrender units or entitlement to be transferred units in relation to an emissions return referred to in this section as if the references to a year were a reference to the period covered by the emissions return.

Section 154: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
155 Ceasing to be member of consolidated group (1) An entity that is a member of a consolidated group ceases to be a member of the consolidated group if— 179 Part 4 s 155 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) (c) (d) (e) the entity so elects, by notice to the chief executive in a form that the chief executive approves; or the entity ceases to be a member of the group in respect of which it is eligible to be a member of the consolidated group; or the entity ceases to be a participant, unless the entity is the nominated entity; or the entity ceases to be the nominated entity and is not a participant; or the entity is a member of a consolidated group that has ceased to have a nominated entity.
(2) An entity is treated as having ceased to be a member of a con­ solidated group,— (a) if subsection (1)(a) applies, with effect from the date of receipt by the chief executive of the notice of election to cease to be a member of the consolidated group; and if subsection (1)(b) applies, with effect from the date on which the entity ceased to be a member of the group in respect of which it is eligible to be a member of the consolidated group; and if subsection (1)(c) applies, with effect from the date the participant’s name is removed from the register of participants under section 58 or 59; and if subsection (1)(d) applies, with effect from the date of receipt by the chief executive of the notice under section 152(3) notifying that the entity has ceased to be the nominated entity for the group; and if subsection (1)(e) applies, with effect from the date on which the consolidated group ceased to have a nomin­ ated entity.
(b) (c) (d) (e) Subsection (1)(e) does not apply if— (a) the nominated entity ceases to be the nominated entity by reason of being liquidated; and (b) within 20 working days after that liquidation, or within such further period as the chief executive may allow, the other entities in the consolidated group have selected another nominated entity and notiﬁed the chief execu­ tive accordingly (in which case the selected entity is (3) 180 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 156 treated as the nominated entity with effect from the time of the liquidation).
(4) An entity that ceases to be a member of a group in respect of which it is eligible to be a member of the consolidated group, or is a member of a consolidated group that ceases to have a nominated entity, must as soon as practicable give notice to the chief executive of this change of circumstances.
The chief executive must acknowledge the cessation of mem­ bership of a member of a consolidated group by notice to that member and the other members of the consolidated group given within 1 month of— (a) (5) subsection (1)(a); or section 152(3); or the chief executive receiving a notice under— (i) (ii) the chief executive becoming aware that subsection (1)(b) or (e) applies; or the member being removed from the register of partici­ pants under section 58 or 59.
(b) (c) Section 155: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
156 Effect of ceasing to be member of consolidated group If an entity ceases to be a member of a consolidated group, the entity— (a) continues to be jointly and severally liable with other members of the consolidated group for any obligations under this Part or Part 5 in respect of emissions and removals from the activities of the members of the consolidated group, and jointly entitled to any units transferred for the removal activities of the consoli­ dated group, during the period in which the entity was a member of the consolidated group; but is not liable for any obligations under this Part or Part 5 in respect of emissions and removals from the activ­ ities of other members of the group, or entitled to the beneﬁt of any units transferred for the removal activ­ ities of other members of the group, for any period dur­ ing which the entity is not a member of the consolidated group.
(b) 181 Part 4 s 157 Climate Change Response Act 2002 Reprinted as at 26 September 2008 157 (1) (2) (3) Section 156: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Joint activities This section applies where and to the extent that any 2 or more persons jointly carry out an activity listed in Schedule 3 or 4, including (but not limited to) in partnership, under an unin­ corporated joint venture, as trustees of a trust, or through joint ownership of land.
If this section applies, the persons who carry out the activity— are together the participant in respect of an activity (a) listed in Schedule 3 or may together register as the participant in relation to an activity listed in Schedule 4; and are jointly and severally liable for the obligations of a participant in respect of the activity and are jointly entitled to any beneﬁts of a participant resulting from the activity; and (b) (c) may, if there are 25 or more persons (other than trustees) who jointly carry out an activity that relates to owning land, be described on the register of participants under section 56 or 57 in a manner prescribed in regulations.
To avoid doubt, this section does not apply to persons who jointly carry out an activity listed in Schedule 3 but would not if they carried out that activity individually be a participant under section 54(1)(a).

Section 157: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
158 Compensation for participants where public works result in liability to surrender units This section applies if a person becomes a participant in re­ spect of an activity listed in Schedule 3 fter being required to carry out the activity as a result of the exercise of a power that relates to a public work.
If this section applies, the person who exercised the power must, to the extent that the participant is not compensated under any other Act, compensate the participant for any liabil­ (1) (2) 182 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 159 ity to surrender units that the participant incurs as a result of the exercise of the power.
(3) All claims for compensation under subsection (2) must, unless settled by agreement, be determined in the manner provided by the Public Works Act 1981, and the provisions of that Act relating to compensation apply accordingly.

For the purposes of this section, public work has the same meaning as in section 2 of the Public Works Act 1981.

Section 158: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(4) 159 Chief executive must surrender or repay units for person (1) (2) (3) (4) who is in default or insolvent This section applies if a person— (a) is required to surrender or repay units and does not do so, or does not surrender or repay the total number of units required to be surrendered or repaid, within 1 year of the date of a penalty notice given under section 134 or 136 in relation to the units; or is a participant and enters into an insolvency process.
(b) If this section applies the chief executive must purchase and surrender on the person’s behalf, or transfer to the designated Crown holding account on behalf of the person required to repay units, any units that— (a) the person has failed to surrender or repay after 1 year; or the insolvent participant would be required to surrender or repay under any other provision of this Act.
The cost of purchasing units, and any administrative costs in­ curred in their surrender or repayment under subsection (2), constitutes an unsecured debt to the Crown and is recoverable by the chief executive in a court of competent jurisdiction.

For the purposes of this section, insolvency process means receivership under the Receiverships Act 1993, liquidation under the Companies Act 1993, or bankruptcy under the In­ solvency Act 2006.
Section 159: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(b) 183 Part 4 s 160 Climate Change Response Act 2002 Reprinted as at 26 September 2008 160 Reviews of operation of emissions trading scheme (1) The Minister responsible for the administration of this Act must initiate a review of the operation and effectiveness of the emissions trading scheme established by this Act to be com­ pleted no later than 12 months before the end of— (a) (b) the ﬁrst commitment period; or if the ﬁrst commitment period has expired, the subse­ quent commitment period in which the review is initi­ ated; or if there is no subsequent commitment period,— (i) (c) the 5­year period commencing on 1 January 2013: each subsequent 5­year period after the period speciﬁed in subparagraph (i).
(2) Without limiting the scope of the review, a review under sub­ (ii) section (1) must consider— (a) (c) (d) whether an amendment to this Act in relation to the emissions trading scheme is necessary or desirable; and (b) whether New Zealand has undertaken, or is expected to undertake, any international obligations with respect to its emissions and removals that are different from or additional to any international obligations that New Zealand had undertaken when this section came into force, or since the last review under this section; and the stringency of any of the international obligations speciﬁed in paragraph (b); and the contribution of the emissions trading scheme estab­ lished under this Act to progress toward any targets that are in effect in accordance with section 224 at the time the review is initiated; and the types of Kyoto units and overseas units that may be surrendered for compliance with the emissions trading scheme established by this Act; and the operation of the commitment period reserve (if any); and potential for linkage of the emissions trading scheme es­ tablished under this Act to other greenhouse gas emis­ sions trading schemes; and (g) (e) (f) 184 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 160 (h) (i) (j) (k) (l) the appropriateness of any methodologies that are pre­ scribed for calculating emissions and removals; and whether it is necessary or desirable to— (i) omit any of the activities from Schedule 3 or 4; and add any additional removal activities to Part 2 of Schedule 4; and amend the level of participant opt­in thresholds in Schedule 4; and (ii) (iii) what consequential changes to subpart 2 of this Part in respect of allocation plans are necessary or desirable having regard to— (i) whether New Zealand has undertaken, or is ex­ pected to undertake, any international obligations with respect to its emissions and removals that are different from, or additional to, any inter­ national obligations that New Zealand had under­ taken when this section
 came into force, or since the last review under this section; and the stringency of any of the international obliga­ tions speciﬁed in subparagraph (i); and (ii) (iii) whether it is necessary or desirable to omit any (iv) (v) (vi) activities from Schedules 3 and 4; and the relative climate change obligations and emis­ sions policies of New Zealand’s trade competi­ tors and trading partners; and any signiﬁcant changes in emissions mitigation technology; and the cost to the tax payer and the economy of pro­ viding free allocation under subpart 2 of this Part; and the appropriateness of the penalties in subpart 4 of this Part; and the implications (if any) of the following matters for the notiﬁcation of intention under section 70: (i) New Zealand’s annual emissions for the 5 years before notiﬁcation; and the average price of units for the 2 years before notiﬁcation; and (ii) 185 Part 4 s 161 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (m) (n) (o) (p) (q) the operation of the Innovation Fund established under section 74; and the impacts of the forestry sector elements of the emis­ sions trading scheme established under this Act on bio­ diversity within New Zealand; and the costs and beneﬁts of establishing an independent or quasi­independent government body to carry out the al­ location process, or part of the allocation process, con­ tained in subpart 2 of Part 4 of this Act; and social, economic, and environmental effects of the emissions trading scheme established by this Act (other than those considered under paragraphs (a) to (l)); and any other matter that the Minister responsible for the administration of this Act considers relevant.
The Minister responsible for the administration of the Act must appoint a panel to conduct any review under subsection (1) and report in accordance with terms of reference set by the Minister and the matters set out in this section.

Following the completion of each review under subsection (1), the Minister responsible for the administration of this Act must— (a) (b) publish the report of the panel on the review; and present a copy of the report to the House of Represen­ tatives.
The Minister responsible for the administration of this Act may initiate reviews of the operation and effectiveness of the emissions trading scheme established by this Act at any time and may use any method of review (including, but not limited to, the method speciﬁed in this section).

Section 160: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(3) (4) (5) 161 Appointment and conduct of review panel (1) When appointing members to a review panel under section 160, the Minister responsible for the administration of the Act must— (a) ensure there are a minimum of 3 and maximum of 7 members; and 186 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 162 (b) (c) this Act; and ensure the majority of members are not employees of a Department as deﬁned in the State Sector Act 1998; and consider whether the members have, in the Minister’s opinion, the appropriate knowledge, skill, and experi­ ence, including with respect to— (i) (ii) New Zealand’s international obligations under the Protocol and the Convention and any other relevant international agreement; and the operation of the emissions trading scheme es­ tablished under this Act, including its environ­ mental, social, and economic effects; and (iii) (2) (d) appoint 1 member as the chairperson of the panel.
The Minister must, by written notice to the panel, specify the terms of reference for the review to be conducted by the panel.

(3) A review panel must complete a draft report on the review and provide the report to the Minister responsible for the adminis­ tration of the Act at least 1 month prior to completion of the ﬁnal report.
In conducting a review, the panel— (a) must establish a procedure that is appropriate, fair in the circumstances, and in accordance with the terms of reference for the review; and (4) (b) may call for submissions.

Section 161: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) 162 Regulations adding further activity to Part 2 of Schedule 4 The Governor­General may, by Order in Council, in accord­ (1) ance with a recommendation of the Minister, amend Part 2 of Schedule 4 by adding a further activity to that Part.
Before making a recommendation under subsection (1), the Minister must consult, or be satisﬁed that the chief executive has consulted, the persons (or representatives of those persons) that appear to the Minister or the chief executive likely to be substantially affected by any Order in Council made in accord­ ance with the recommendation.
The process for consultation should, to the extent practicable in the circumstances, include— (3) 187 Part 4 s 163 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) (c) the proposed terms of the recommendation; and the reasons for it; and giving adequate and appropriate notice of— (i) (ii) the provision of a reasonable opportunity for interested persons to consider the recommendation and make sub­ missions; and adequate and appropriate consideration of submissions.
(4) An Order in Council made under subsection (1)— (a) (b) takes effect for the removal activity or activities con­ cerned on and from— (i) 1 January of the next year, if made on or before 30 June in any year; or 1 July of the next year, if made on or after 1 July in any year; and (ii) expires,— (i) (ii) if made on or before 30 June in any year, on the close of 31 December of that year, except so far as it is expressly conﬁrmed by Act of Parliament passed during that year; or if made on or after 1 July in any year, on the close of 30 June in the following year, except so far as it is expressly conﬁrmed by Act of Parliament passed before the latter date.
Section 162: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
163 Regulations relating to methodologies and veriﬁers (1) The Governor­General may, by Order in Council made on the recommendation of the Minister, make regulations for 1 or more of the following purposes: (a) prescribing the data or other information that must be collected under section 62(a) in respect of an activity, and, if relevant, the mechanism or method by which the data or information must be collected; and prescribing a methodology or methodologies for calcu­ lating emissions or removals from an activity for the purposes of section 62(b); and prescribing the data or other information, or the calcu­ lations of emissions or removals, that must be veriﬁed (b) (c) 188 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 163 by a person or organisation recognised by the chief ex­ ecutive under section 92; and authorising the chief executive to issue guidelines or standards by notice in the Gazette in relation to the data or information prescribed under paragraph (a), and pro­ viding that compliance with the guidelines or standards is to be treated as compliance with the relevant require­ ments in the regulations; and prescribing, for the purposes of section 92,— (i) (d) (e) the process by which a person or organisation may be recognised as being able to verify infor­ mation or calculations for the purposes of section 62(a) or (c) or unique emissions factors for the purposes of regulations made under section 164; and the expertise, technical competence, or qualiﬁca­ tions required for recognition as a person or or­ ganisation able to verify unique emissions factors or information relating to 1 or more types of data or information, the calculations of certain types of emissions or removals, or 1 or more activities; and any additional— (A) requirements for recognition of an organ­ isation; and restrictions on the employees of the organ­ isation who may carry out the duties of the organisation in respect of the recognition; and (B) the period for which a person or organisation may be
 recognised, and the process for the renewal of recognition; and conditions of recognition, which may include (but are not limited to) ongoing competency and professional standard requirements, membership of a professional body, and the provision of reports to the chief executive; and the procedure for, and circumstances in which, recognition may be suspended or revoked; and 189 (ii) (iii) (iv) (v) (vi) Part 4 s 163 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (vii) fees for recognition of a person or organisation, which may vary depending on the class of per­ sons or organisations, or the type of veriﬁcation in respect of which recognition is sought.
(2) A regulation made under subsection (1) may apply— (a) (b) (c) generally or with respect to different classes of activity, persons, parts of New Zealand, or other things; or in respect of the same classes of activity, persons, parts of New Zealand, or other things, in different circum­ stances; or generally or at any speciﬁed time of each year.
(3) A regulation made under subsection (1)(a) to (d) may have retrospective effect if the regulation is expressed to apply from the commencement of the year in which it is made, or in re­ spect of a period after any particular date within the year in which it is made.
(4) A regulation made under subsection (1)(b), and any associated regulations made under other paragraphs of subsection (1),— (a) may, without limiting subsection (1), relate to emissions or removals that— (i) (ii) stem directly from an activity; or are associated with a product or other thing that is the subject of the activity; and (b) may require the use of a computer programme available via the Internet site of the department of the chief execu­ tive; and (c) must not cover any emissions in respect of which an­ other person is required to surrender units or any re­ movals of greenhouse gases in respect of which another person is entitled to a transfer of New Zealand units under this Act.
(5) In making a recommendation in relation to a regulation under subsection (1)(a) or (b), the Minister must have regard to New Zealand’s international obligations (if any) in respect of the collection of data and information relating to, and the meas­ urement of, emissions and removals from the activity.
(6) Any guidelines or standards issued by the chief executive under regulations made under subsection (1)(d) are regula­ tions for the purposes of the Regulations (Disallowance) Act 190 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 166 1989, but not for the purposes of the Acts and Regulations Publication Act 1989.

Section 163: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
164 Regulations relating to unique emissions factors If regulations made under section 163(1)(b) require emissions or removals to be calculated by reference to a default emis­ sions factor, the Governor­General may, by Order in Council made on the recommendation of the Minister, make regula­ tions— (a) providing for a process by which a participant may ap­ ply to the chief executive for approval to use a unique emissions factor: prescribing the information that must be collected to support an application for use of a unique emissions factor: prescribing the criteria for a unique emissions factor, which may include (but are not limited to)— (i) (b) (c) the percentage by which a unique emissions fac­ tor must vary from the default emissions factor, before an application for a unique emissions fac­ tor may be made: the types of greenhouse gases to be reﬂected in the unique emissions factor: how the unique emissions factor is to be calcu­ lated: any criteria by which the default emissions factor has been set, that reﬂect the matters in section 163(4): a requirement that the unique emissions factor be veriﬁed by a recognised veriﬁer.
(ii) (iii) (iv) (v) Section 164: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
166 Procedure for regulations relating to methodologies, veriﬁcation, unique emissions factors, and offsetting Before making a recommendation for the making of regula­ tions under section 163, 164, or 165, the Minister must con­ (1) 191 Part 4 s 167 Climate Change Response Act 2002 Reprinted as at 26 September 2008 sult, or be satisﬁed that the chief executive has consulted, the persons (or representatives of those persons) that appear to the Minister or the chief executive likely to be substantially af­ fected by any regulations made in accordance with the recom­ mendation.
The process for consultation must include— (a) giving adequate and appropriate notice of the proposed terms of the recommendation, and of the reasons for it; and the provision of a reasonable opportunity for interested persons to consider the recommendation and make sub­ missions; and (c) adequate and appropriate consideration of submissions.
Regulations referred to in this section come into force 3 months after the date of their notiﬁcation in the Gazette or any later date that may be set out in the regulations.

(b) (2) (3) (4) A failure to comply with this section does not affect the valid­ ity of regulations made under section 163, 164, or 165.

Section 166: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
167 Regulations relating to fees and charges (1) The Governor­General may, by Order in Council, make regu­ lations prescribing the amount of any fees payable under this Part or Part 5 and the procedures for payment.
The Governor­General may, by Order in Council, make regu­ lations prescribing the fees or charges payable by a person who is a participant, or who has applied to be a participant, in re­ spect of an activity listed in Part 1 or 2 of Schedule 4, to enable the recovery of all or part of the direct and indirect costs of the chief executive in— (a) publicising and informing people about the operation of this Part and Part 5 in relation to an activity listed in Part 1 or 2 of Schedule 4: administering the operation of this Part and Part 5 in relation to an activity listed in Part 1 or 2 of Schedule 4: enforcing and monitoring compliance with this Part or Part 5 in relation to an activity listed in Part 1 or 2 of Schedule 4: (b) (c) (2) 192 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 168 (d) doing anything else authorised or required under this Part or Part 5 in relation to an activity listed in Part 1 or 2 of Schedule 4.
(3) (4) Examples of the costs that may be recovered under subsection (2) include (but are not limited to)— (a) (b) the cost of processing applications and returns: the costs of providing, operating, and maintaining sys­ tems, databases, or other processes in connection with the administration of this Part or Part 5 in relation to an activity listed in Parts 1 and 2 of Schedule 4: the costs of services provided by third parties.
(c) Regulations made under subsection (2) may— (a) (b) (c) (d) (e) (f) (g) (h) specify the persons or classes of persons by whom any fees and charges prescribed or ﬁxed are payable; and provide for partial cost recovery from one class of per­ sons and full cost recovery from another (if this is de­ sirable to further the purposes of this Act); and prescribe the matters for which direct and indirect costs may be recovered; and prescribe a scale of fees and charges, or a rate based on the time involved in carrying out the function or duty or in exercising the power; and prescribe a scale of fees and charges, or a fee or charge for a prescribed function, power, or duty; and prescribe a formula for ﬁxing fees and charges; and prescribe an annual fee or charge, or classes of fees or charges, payable by participants or classes of partici­ pants; and prescribe the time of payment of fees and charges, the means of collection of fees and charges, and the person who is responsible for paying a fee or charge.
(5) Subsection (2) is subject to sections 173(2) and 174(1) (which relate to material incorporated by reference).

Section 167: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
168 Other regulations (1) The Governor­General may, by Order in Council, make regu­ lations for 1 or more of the following purposes: 193 Part 4 s 168 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) specifying the fuel that is obligation fuel and the jet fuel that is obligation jet fuel for the purposes of this Act; and prescribing matters in respect of which applications for emissions rulings may be made; and prescribing the manner in which 25 or more owners of land may be described in the register of participants under section 56 or 57, for the purposes of section 157(2)(c); and prescribing forest species that are tree weeds for the purposes of section 184; and prescribing criteria for carbon accounting areas; and requiring notiﬁcation by the chief executive of the status of forest land or any changes to the status of forest land under section 195; and providing for the circumstances in which a notice of the status of forest land must be cancelled by the Registrar­ General of Land, a Registrar of the Maori Land Court, or the Registrar of Deeds; and prescribing a threshold or amount in respect of the num­ ber of animals, the level of emissions, or the volume of synthetic fertiliser for the activities listed in Part 5 of Schedule 4; and requiring information to be provided, and prescribing the information that must be provided, to a person who is a participant in respect of an activity listed in Part 5 of Schedule 3 by a person who is a participant in respect of an activity listed in Part 5 of Schedule 4 for the purposes of section 216(3); and prescribing a format or formats for the keeping of records under section 62(d); and prescribing the form and manner in which any appli­ cation, return, information, or other document must be submitted or notiﬁed under this Part and Part 5, and the particulars to be provided in the application, return, or other document; and prescribing the information that must be provided in or with applications or other
 documents under this Part and Part 5; and 194 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 169 (o) (n) (m) prescribing a threshold for the purposes of any removal activity listed in Part 2 of Schedule 4; and prescribing criteria for registering as a participant in re­ lation to an activity listed in subpart 2 of Part 2 of Sched­ ule 4, which may include criteria for the type of carbon dioxide capture and storage in respect of which a person may register as a participant; and providing for any other matters contemplated by this Part and Part 5 or Schedules 3 and 4, necessary for their administration, or necessary for giving them full effect.
The power to prescribe the form of any application, return, information, or other document under subsection (1) includes the power to prescribe an electronic format to be used for the electronic transmission of data to or between computers.

Section 168: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Incorporation by reference in regulations made under section 163 The following written material may be incorporated by refer­ ence in regulations made under section 163, 164, 165, 167, or 168: (a) decisions, computer programmes, rules, guidelines, principles, measures, methodologies, modalities, pro­ cedures, mechanisms, or other matters; and any standards, requirements, or recommended practices of a government agency, standard­setting organisation, or professional body.
(b) (2) 169 (1) (2) Material may be incorporated by reference in regulations— in whole or in part; and (a) (b) with modiﬁcations, additions, or variations speciﬁed in the regulations.

(3) Material incorporated by reference in regulations has legal ef­ fect as part of the regulations.

Section 169: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
195 Part 4 s 170 Climate Change Response Act 2002 Reprinted as at 26 September 2008 170 Effect of amendments to, or replacement of, material incorporated by reference in regulations An amendment to, or replacement of, material incorporated by reference in regulations (regulations A) has legal effect as part of regulations A only if regulations made under section 163, 164, 165, 167, or 168, as may be applicable, after the making of regulations A, state that the particular amendment or replacement has that effect.
Section 170: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

171 Proof of material incorporated by reference (1) A copy of any material incorporated by reference in regula­ tions, including any amendment to, or replacement of, the ma­ terial (material) must be— (a) certiﬁed as a correct copy of the material by the chief executive; and retained by the chief executive.
(b) The production in proceedings of a certiﬁed copy of the ma­ terial incorporated by reference is, in the absence of evidence to the contrary, sufﬁcient evidence that the material produced is the material incorporated by reference in regulations.

Section 171: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) 172 Effect of expiry of material incorporated by reference Material incorporated by reference in regulations that expires, or that is revoked or that ceases to have effect, ceases to have legal effect as part of the regulations only if regulations made under section 163, 164, 165, 167, or 168 as may be applicable state that the material ceases to have legal effect.

Section 172: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
173 Requirement to consult (1) This section applies to regulations made under section 163, 164, 165, 167, or 168 that— (a) incorporate material by reference: 196 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 173 (2) (3) (4) (c) (d) (b) state that an amendment to, or replacement of, material incorporated by reference in regulations has legal effect as part of the regulations.
Before regulations to which this section applies are made, the chief executive must— (a) make copies of the material proposed to be incorpor­ ated by reference, or the proposed amendment to or re­ placement of material incorporated by reference (pro­ posed material), available for inspection during work­ ing hours for a reasonable period, free of charge, at the ofﬁce of the chief executive; and (b) make copies of the proposed material available for pur­ chase at a reasonable price; and give notice in the Gazette stating— (i) that the proposed material is available for inspec­ tion during working hours, free of charge; and the place where the proposed material can be in­ spected, and the period during which it can be inspected; and that copies of the proposed material can be pur­ chased; and the place where the proposed material can be pur­ chased; and (ii) (iii) (iv) allow a reasonable opportunity for persons to comment on the proposal to incorporate the proposed material by reference; and consider any comments these persons make.
(e) The reference in subsection (2) to the proposed material in­ cludes, if the material is not in an ofﬁcial New Zealand lan­ guage, an accurate translation of the material in an ofﬁcial New Zealand language.
Before regulations to which this section applies are made, the chief executive— (a) may make copies of the proposed material available in any other way that the chief executive considers appro­ priate in the circumstances (for example, via an Internet site); and (b) must, if paragraph (a) applies, give notice in the Gazette stating that the proposed material is available in other 197 Part 4 s 174 Climate Change Response Act 2002 Reprinted as at 26 September 2008 ways and details of where or how it can be accessed or obtained.
(5) A failure to comply with this section does not invalidate regu­ lations that incorporate material by reference.

Section 173: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
174 Public access to material incorporated by reference (1) The chief executive— (a) must make the material speciﬁed in subsection (2) (ma­ terial) available for inspection during working hours, free of charge, at the ofﬁce of the chief executive; and (b) must make copies of the material available for purchase at a reasonable price at the ofﬁce of the chief executive; and (c) may make copies of the material available in any other way that the chief executive considers appropriate in the circumstances (for example, via an Internet site); and (d) must give notice in the Gazette stating— (i) (ii) (iii) (iv) (v) (vi) that the material is incorporated in the regulations and the date on which the regulations were made; and that the material is available for inspection during working hours, free of charge; and the place where it can be inspected; and that copies of the material can be purchased; and the place where the material can be purchased; and that, if copies of the material are made available under paragraph (c), the material is available in other ways and the details of where or how the material can be accessed or obtained.
(2) The material is— (a) material incorporated by reference in regulations made (b) under section 163, 164, 165, 167, or 168: any amendment to, or replacement of, that material that is incorporated in the regulations or the material speci­ ﬁed in paragraph (a) with the amendments or replace­ ment material incorporated: 198 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 4 s 178 (c) if the material speciﬁed in paragraph (a) or (b) is not in an ofﬁcial New Zealand language, an accurate transla­ tion of the material in an ofﬁcial New Zealand language.
(3) A failure to comply with this section does not invalidate regu­ lations that incorporate material by reference.

Section 174: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
175 Acts and Regulations Publication Act 1989 not applicable to material incorporated by reference The Acts and Regulations Publication Act 1989 does not apply to material incorporated by reference in regulations or to an amendment to, or replacement of, that material.

Section 175: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
176 Application of Regulations (Disallowance) Act 1989 to material incorporated by reference Nothing in section 4 of the Regulations (Disallowance) Act 1989 requires material that is incorporated by reference in regulations to be presented to the House of Representatives.

Section 176: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
177 Application of Standards Act 1988 not affected Sections 169 to 176 do not affect the application of sections 22 to 25 of the Standards Act 1988.

Section 177: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
178 Recovery of fees or charges (1) A fee or charge that is not paid in accordance with regulations made under this Part may be recovered from the person liable to pay the fee or charge by the chief executive in any court of competent jurisdiction.

The chief executive may enter into any agreement or arrange­ ment, on any terms that the chief executive thinks ﬁt, with any person to collect, or assist in the collection of, any fees or charges that are payable.
(2) 199 Part 5 s 179 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Section 178: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Part 5 Sector speciﬁc provisions Part 5: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Subpart 1—Forestry sector Subpart 1: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

General Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
179 Forest land to be treated as deforested in certain cases (1) Without limiting paragraph (a) of the deﬁnition of deforest in section 4(1), a hectare of forest land must be treated as defor­ ested for the purposes of this Act, if the forest species on that land have been cleared and— (a) 4 years after clearing, the hectare has not— (i) been replanted with at least 500 stems of forest species; or naturally established a covering of at least 500 stems of forest species; or (ii) (b) (c) 10 years after clearing, predominantly exotic forest species are growing, but that hectare does not have tree crown cover of at least 30% from trees that have reached 5 metres in height; or 20 years after clearing, predominantly indigenous forest species are growing, but that hectare does not have tree crown cover of at least 30% from trees that have reached 5 metres in height.
If forest land is to be treated as deforested under subsection (1),— (a) the deforestation is to be treated as having been carried out 4 years, 10 years, or 20 years, after the clearing of the forest species, as the case may be; but (2) 200 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 180 (b) the liability in respect of the deforestation must be cal­ culated by reference to the age and forest species of the trees cleared 4 years, 10 years, or 20 years earlier, as the case may be.
(3) Nothing in this section limits the chief executive’s ability to exercise powers under section 121 in respect of the deforesta­ tion of a hectare of forest land whenever the chief executive considers that— (a) the hectare has been converted to land that is not forest land; and any obligations imposed under this Act in respect of the deforestation have not been complied with.
(b) Section 179: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Pre­1990 forest land Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
180 Participant in respect of pre­1990 forest land (1) If the activity listed in Part 1 of Schedule 3 is carried out, the landowner of the pre­1990 forest land is to be treated as the person carrying out the activity unless the chief executive is satisﬁed that— (a) the right to decide to deforest the pre­1990 forest land was vested in a third party, whether before or after 1 January 2008; and (b) the landowner had no control over the decision.
If the chief executive is satisﬁed that the criteria speciﬁed in subsection (1)(a) and (b) are met, the third party is to be treated as the person carrying out the activity.

To avoid doubt, for the purposes of this Act, no person, other than a landowner or, in the circumstances in subsection (2), a third party, is to be treated as carrying out an activity listed in Part 1 of Schedule 3.
Section 180: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(2) (3) 201 Part 5 s 181 Climate Change Response Act 2002 Reprinted as at 26 September 2008 181 When deforestation to be treated as occurring in respect (1) (2) of pre­1990 forest land Subject to subsection (3), a landowner (or in the circumstances in section 180(2), a third party) converting a hectare of pre­ 1990 forest land to land that is not forest land, is to be treated as carrying out an activity listed in Part 1 of Schedule 3 on the date the hectare is cleared as part of the deforestation process.
Subsection (3) applies to a landowner converting a hectare of pre­1990 forest land that was cleared but not deforested prior to— (a) (b) the forest land being transferred to the landowner; or control of the forest land reverting to that landowner following the expiry or termination of a forestry right, Crown forestry licence, lease, or other agreement that relates to the land.
(3) A landowner to whom this subsection applies is to be treated as carrying out an activity listed in Part 1 of Schedule 3 on the date of the ﬁrst action on the hectare of pre­1990 forest land following— (a) the date of transfer of the land that is inconsistent with the hectare remaining forest land; or the date of the expiry or termination of the forestry right, Crown forestry licence, lease, or other agreement relat­ ing to the land that is inconsistent with the hectare re­ maining forest land.
(b) Section 181: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
183 Applications for exemption for land holdings of less than 50 hectares of pre­1990 forest land This section applies to a person who— (a) is a landowner of an area of pre­1990 forest land at the date of issue of the allocation plan referred to in section 71; or (b) was the landowner of an area of pre­1990 forest land that was converted to land that is not forest land between 1 January 2008 and the date of issue of the allocation plan referred to in section 71 at the date of the land’s conversion.
(1) 202 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 183 (2) A person to whom this section applies may apply to the chief executive for the area of pre­1990 forest land to be declared exempt land if— (a) (b) the area is less than 50 hectares; and the area was owned on 1 September 2007 by a person or persons who, along with any associated persons, owned in total less than 50 hectares of pre­1990 forest land; and no allocation of units to a landowner has been made in respect of the area under an allocation plan under section 71.
(c) (3) An application under subsection (1) must— (a) (b) (c) (d) (e) be submitted to the chief executive before 30 June 2009; and be in the prescribed form and accompanied by the pre­ scribed fee (if any); and contain details of the area of pre­1990 forest land to which the application relates; and be accompanied by evidence showing that the land is pre­1990 forest land; and be accompanied by a statutory declaration from each person who owned the land on 1 September 2007 (other than a joint tenant who is a professional trustee) that the person, together with any associated persons of that person, owned on 1 September 2007 in total less than 50 hectares of pre­1990 forest land; and be signed by the applicant; and be accompanied by any other prescribed information.
(f) (g) If the chief executive is satisﬁed that the applicant is a person to whom this section applies, the land is pre­1990 forest land, and each of the criteria speciﬁed in subsection 2(a) to (c) is met, the chief executive must— (a) (b) declare the land to be exempt land; and notify the applicant that the land has been declared ex­ empt land.

(4) (5) Despite subsection (3)(a), the chief executive may, at his or her discretion, accept applications after the date speciﬁed in that subsection.
The following rules apply for the purposes of determining, under subsection (2)(b), whether an area of pre­1990 forest (6) 203 Part 5 s 184 Climate Change Response Act 2002 Reprinted as at 26 September 2008 land was owned on 1 September 2007 by a person or persons who, along with any associated persons, owned in total less than 50 hectares of pre­1990 forest land: (a) the chief executive must consider only pre­1990 forest land in respect of which the person or associated person was a landowner on 1 September 2007; and if land was owned by persons as joint tenants,— (i) (b) in the case where 1 or more of the joint tenants is a professional trustee, each of the joint ten­ ants other than the professional trustee or trustees must individually have been a landowner of less than 50 hectares of pre­1990 forest land; or in the case where none of the joint tenants is a professional trustee, each of the joint tenants must individually have been a landowner of less than 50 hectares of pre­1990 forest land; and (ii) (7) (c) if land was owned by persons as tenants in common, each tenant in common’s interest in the land is to be treated as a divided interest on 1 September 2007. in relation to pre­1990 forest land, means to be a For the purposes of this section,— own, landowner of the land professional trustee means a trustee whose profession, em­ ployment, or business is or includes acting as a trustee or in­ vesting money on behalf of others.
Section 183: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
184 Exemptions for deforestation of land with tree weeds (1) The chief executive may give public notice that exemptions are available in relation to the deforestation of pre­1990 forest land if— (a) a forest species growing on the land is a speciﬁed type of tree weed; and no allocation of units to a landowner has been made in respect of the land under an allocation plan under section 71.
(b) (2) A notice given under subsection (1) must include— 204 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 184 (a) (b) (c) the types of tree weeds in respect of which exemptions may be available; and the priorities by which exemptions will be assessed, which may include the type of tree weed, the location of forest land, or any other matter; and the date by which applications for exemptions under this section must be received by the chief executive.
If a notice has been given under subsection (1), the landowner of pre­1990 forest land on which there is a speciﬁed type of tree weed or, in the circumstances referred to in section 180, a third party may apply to the chief executive for the land to be declared exempt land.
(3) (a) (b) (4) An application for an exemption under subsection (3) must— be submitted to the chief executive before the date no­ tiﬁed under subsection (2)(c); and be in the prescribed form and accompanied by the pre­ scribed fee (if any); and contain details of the land to which the application re­ lates; and be accompanied by evidence that— (i) (ii) the land is pre­1990 forest land; and a forest species growing on the land is a speciﬁed type of tree weed; and (d) (c) (5) be signed by the applicant; and be accompanied by any other prescribed information.
(e) (f) The chief executive must consider every application received under subsection (4) against the priorities in the relevant notice given under subsection (1) and— (a) may declare the land, or any part of the land, to be ex­ empt land, if satisﬁed that— (i) the applicant is eligible to apply for the exemp­ tion under subsection (3); and the land is pre­1990 forest land; and the criteria speciﬁed in subsection (1) are met; and (ii) (iii) (b) must, if the chief executive declares the land to be ex­ empt land, notify the applicant accordingly.
The clearing of a tree weed on exempt land must be— (6) 205 Part 5 s 185 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) commenced within 12 months of the date of notiﬁcation of the exemption; and completed within 24 months of that date.

(7) Any land that is declared to be exempt land under this section ceases to be exempt land if either of the conditions speciﬁed in subsection (6) is breached.
If a person is convicted of an offence under section 132 or 133 in relation to an application under this section,— (a) (8) the person must be treated as a person who has failed to submit an annual emissions return in respect of an activity listed in Part 1 of Schedule 3 when required to do so under this Act; and the chief executive must make an assessment of the mat­ ters that should have been in the person’s annual emis­ sions return and the number of units the person would have been liable to surrender if the land had not been exempt land; and the person is liable to surrender the number of units in the assessment under paragraph (b); and section 123(1) to (3) and the other provisions of this Act apply as if the assessment under paragraph (b) was an assessment under section 121.
(b) (c) (d) (9) For the purposes of this section, tree weed means a tree that— (a) is deﬁned or designated as— (i) a pest in a pest management strategy under the Biosecurity Act 1993; or a tree weed in regulations made under this Act; and (ii) has naturally regenerated.

(b) Section 184: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
185 Effect of exemption The status of pre­1990 forest land as exempt land runs with the land and is not affected by any change in the ownership of the land.

Section 185: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
206 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 187 (2) 186 Methodology for pre­1990 forest land (1) Subsection (2) applies where the trees cleared from pre­1990 forest land by a person carrying out the activity in Part 1 of Schedule 3 are 8 years or younger.
If this subsection applies, the participant must,— (a) for the purposes of sections 62(b) and 65(2)(b), apply any prescribed methodology and calculate and record the emissions from the activity as if the trees cleared from the pre­1990 forest land were trees of the age and species of the oldest trees of the predominant species (as determined by regulations made under section 163) cleared from the pre­1990 forest land during the previ­ ous 9 years; and surrender units under this Act based on emissions cal­ culated and recorded in accordance with paragraph (a).
(3) A methodology for calculating emissions from the activity in Part 1 of Schedule 3 prescribed in regulations under section 163 must relate to the trees that are cleared from the pre­1990 forest land as part of the deforestation activity.

Section 186: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(b) Post­1989 forest land Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
187 Conditions on registration as participant in respect of certain activities relating to post­1989 forest land (1) A person may not be registered as a participant under section 57 in respect of an activity listed in Part 1 of Schedule 4 that relates to— (a) owning any post­1989 forest land, unless the person is the landowner of the post­1989 forest land and— (i) (ii) there is no forestry right or lease registered in respect of that land; or the person has the written agreement of any holder of a registered forestry right or registered lease in respect of that land to the person regis­ tering as a participant; or 207 Part 5 s 187 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) holding a registered forestry right or being the lease­ holder under a registered lease in respect of any post­ 1989 forest land, unless the person,— (i) is the holder of the registered forestry right or the leaseholder of the registered lease; and has the written agreement of the landowner of the land to the forestry right holder or leaseholder, as the case may be, registering as a participant.
(ii) (2) A person may not be registered as a participant under sec­ tion 57 in respect of carrying out an activity listed in Part 1 of Schedule 4 in relation to exempt land that has been deforested unless the person— (a) has submitted an emissions return to the chief executive that— (i) records the emissions from the deforestation of the land— (A) (B) that would have been required to have been recorded in an annual emissions re­ turn under section 65, had the land not been declared to be exempt land; and calculated in accordance with the meth­ odology or methodologies prescribed for the deforestation activity listed in Part 1 of Schedule 3 that were applicable when the land was deforested; and (ii) (iii) (iv) contains an assessment of the liability to surren­ der units that would have arisen in relation to the deforestation had the land not been declared to be exempt land; and is accompanied by the prescribed fee (if any) and any other prescribed information; and is signed by the person submitting the applica­ tion; and (b) (c) has surrendered, within 20 working days of submission of the emissions return under paragraph (a), the number of units listed in the assessment under paragraph (a)(ii); and complies with subsection (1), if applicable.
208 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 188 (3) To avoid doubt, and subject to sections 191 and 193, if there is a person registered as a participant in respect of carrying out an activity listed in Part 1 of Schedule 4 in respect of any post­1989 forest land, no other person may be registered as a participant in respect of carrying out a different activity listed in Part 1 of Schedule 4 in respect of that land.
Section 187: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
188 Registration as participant in respect of post­1989 forest land (1) An application under section 57 to be registered as a partici­ pant in respect of an activity listed in Part 1 of Schedule 4— (a) may be submitted for all post­1989 forest land in respect of which the applicant carries out the activity, or any part of the land in respect of which the applicant carries out the activity; and (b) must deﬁne the carbon accounting area or areas in re­ spect of which the applicant wishes to be a participant; and (c) must be accompanied by a declaration, in the prescribed form, that any action taken by the applicant after 1 Janu­ ary 2008 in relation to the post­1989 forest land in re­ spect of which the application is submitted (including, but not limited to, removal of any existing vegetation prior to planting of the forest species on the land) com­ plied with the provisions of the Resource Management Act 1991, including any plan under that Act, and the Forests Act 1949, as in force at the time that the action was taken; and (d) must be accompanied by any information prescribed by regulations made under this Act.
(2) The chief executive must, in respect of every person who is a participant in respect of an activity listed in Part 1 of Sched­ ule 4, keep a record of the carbon accounting area or areas in respect of which the person is a participant.
(3) A person who is a participant in respect of an activity listed in Part 1 of Schedule 4— (a) may apply to the chief executive to— 209 Part 5 s 188 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (i) (ii) add or remove any carbon accounting area to or from the post­1989 forest land in respect of which the person is recorded as a participant; or remove post­1989 forest land from a carbon ac­ counting area in respect of which the person is recorded as a participant; and (b) must notify the chief executive if the person ceases to carry out the activity in respect of a carbon accounting area or any land in a carbon accounting area in respect of which the person is recorded as a participant.
(4) An application or a notice under subsection (3) must be— (a) (b) in the prescribed form; and accompanied by any prescribed fee and any prescribed information.

The chief executive may not add a carbon accounting area to the post­1989 forest land in respect of which a person is recorded as a participant, unless satisﬁed that the person would (if appropriate) qualify to be registered as a participant in re­ spect of that land under section 187.
If the chief executive— (a) registers a person as a participant under section 57 in relation to an activity listed in Part 1 of Schedule 4, the chief executive must notify under section 57(6)(b),— (i) if section 187(1)(a) applies, any person with a registered forestry right or registered lease in re­ spect of the post­1989 forest land; or if section 187(1)(b) applies, the landowner of the post­1989 forest land; or (ii) (b) receives an application to add a carbon accounting area and is satisﬁed as to the matters speciﬁed in subsection (5), the chief executive must— (i) notify,— (A) if the activity relates to owning post­1989 forest land, any person with a registered forestry right or registered lease in respect of the land in the carbon accounting area; or if the activity relates to being the holder of a registered forestry right or registered (B) (5) (6) 210 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 188 lease, or being a party to a Crown conser­ vation contract in respect of post­1989 for­ est land, the landowner of the land in the carbon accounting area; and (ii) update the participant’s record to reﬂect the add­ ition of the carbon accounting area and notify the participant accordingly.
(7) If the chief executive receives— (a) an application under section 58 for the removal of a per­ son’s name from the register as a participant in relation to an activity listed in Part 1 of Schedule 4, or is sat­ isﬁed under section 59(2) that the person has ceased to carry out the activity, the chief executive must— (i) notify under section 58(3)(c) or 59(2)(b),— if the landowner is the participant, the (A) holder of any registered forestry right or registered lease in respect of the post­1989 forest land; or if a holder of a registered forestry right or registered lease, or a party to a Crown con­ servation contract is the participant, the landowner of the post­1989 forest land; and (B) (b) (ii) remove the person’s name from the register— (A) 10 working days after the date of the noti­ ﬁcation under section 58(3)(c); or as required under section 59(2): (B) an application to remove a carbon accounting area, or remove land from a carbon accounting area in respect of which a person is recorded as a participant, or a no­ tiﬁcation that the person has ceased to carry out the ac­ tivity in respect of a carbon accounting area or part of a carbon accounting area, the chief executive must— (i) notify,— (A) if the landowner is the participant, any holder of a registered forestry right or reg­ istered lease in respect of the post­1989 forest land; or 211 Part 5 s 189 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (B) if a holder of a registered forestry right or registered lease, or a party to a Crown con­ servation contract is the participant, the landowner of the post­1989 forest land; and (ii) update the participant’s record to reﬂect the changes made to the participant’s carbon ac­ counting areas and notify the participant accord­ ingly.
(8) A change made to the participant’s record under subsection (6)(b)(ii) or (7)(b)(ii) has effect on and from the date of the relevant notice given under subsection (6)(b)(ii) or (7)(b)(ii), as the case may be.
(9) Despite section 57(8), a person who has terminated a forest sink covenant registered under section 67ZD of the Forests Act 1949 and then registers as a participant in respect of that land is to be treated as being a participant in respect of the post­1989 forest land from the date the covenant was registered on the land under section 67ZD of the Forests Act 1949.

Section 188: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
189 Emissions returns for post­1989 forest land activities (1) This section applies to a person who is a participant in respect of an activity listed in Part 1 of Schedule 4.
(2) A person to whom this section applies— (a) must not submit an annual emissions return under sec­ tion 65 or an emissions return under section 118 in re­ lation to that activity; and (b) may submit an emissions return in accordance with sub­ section (3) in relation to that activity; and (c) must submit any emissions return required by subsec­ tion (4) or section 191 or 193 in respect of that activity.
(3) A person to whom this section applies may, before 31 March in any year, submit an emissions return that— (a) (b) relates to the preceding year or years; and is in respect of any or all of the carbon accounting areas in respect of which the person is recorded as a partici­ pant; and 212 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 189 (c) for each carbon accounting area covered by the return, is in respect of the period— (i) commencing on the later of— (A) the ﬁrst day of the mandatory emissions re­ turn period in which the return is submit­ ted; or the date on which the land in the carbon accounting area became post­1989 forest land; or the day after the end of the period covered by the last emissions return submitted for the carbon accounting area; and (B) (C) (ii) ending on 31 December in the last year to which it relates.
(4) A person to whom this section applies must, if registered as a participant on the last day of any mandatory emissions return period, within 3 months of the end of that period, submit an emissions return that— (a) (b) is in respect of each of the carbon accounting areas in respect of which the person was recorded as a partici­ pant on the last day of the mandatory emissions return period; and for each carbon accounting area covered by the return, is in respect of the period— (i) commencing on the later of— (A) the ﬁrst day of the mandatory emissions return period that has just ended; or the date on which the land in the carbon accounting area became post­1989 forest land; and (B) (ii) ending on the last day of the mandatory emis­ sions return period that has just ended.
(5) An emissions return submitted under subsection (3) or (4)— (a) must, in respect of each carbon accounting area covered by the return,— (i) contain the information speciﬁed in section 65(2)(a) to (d); and assess liability to surrender units, taking into ac­ count section 190; and (ii) 213 Part 5 s 189 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (iii) contain any information required by subsection (6); and (b) may contain an assessment of the participant’s net li­ ability to surrender or repay units or net entitlement to receive New Zealand units as referred to in subsection (8); and (b) (c) must comply with section 65(2)(e) and (f); and (d) must be submitted in accordance with section 65(3).
If a person submits an emissions return under subsection (4) that covers a carbon accounting area in respect of a period for which a return has already been submitted under subsection (3), the return submitted under subsection (4) must— (a) record the number of units transferred for removals or surrendered for emissions in respect of the carbon ac­ counting area in respect of the return or returns submit­ ted under subsection (3); and contain an assessment of the difference between— (i) the net number of units transferred for removals or surrendered for emissions from the carbon ac­ counting area in respect of the return or returns submitted under subsection (3) (which must be determined by subtracting the number of units surrendered for emissions from the carbon ac­ counting area from the number of units trans­ ferred in respect of removals from the carbon ac­ counting area); and the net number of units assessed as the partici­ pant’s liability to surrender or entitlement to re­ ceive in respect of the carbon accounting area under the return submitted under subsection (4).
If the assessment referred to in subsection (6)(b) shows that the person would be— (a) entitled to fewer units for removals from the carbon ac­ counting area in respect of the return submitted under subsection (4) than the net units that have been trans­ ferred in respect of returns under subsection (3), the per­ son is liable to repay the number of units transferred in excess of the entitlement in the return under subsection (4); or (ii) (6) (7) 214 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 189 (b) (c) (d) entitled to receive more units for removals from the car­ bon accounting area in respect of the return submitted under subsection (4) than the net number of units that have been transferred in respect of returns under sub­ section (3), the person is entitled to receive the number of units that is the difference between the entitlement in respect of the return under subsection (4) and the net number of units already transferred in respect of returns under subsection (3); or liable to surrender more units for emissions from the carbon accounting area in respect of the return submit­ ted under subsection (4) than the net number of units already surrendered in respect of returns under subsec­ tion (3), the person is liable to surrender the number of units that is the difference between the net number sur­ rendered and the number assessed as being required to be surrendered under the return under subsection (4); or liable to surrender fewer units for emissions from the carbon accounting area in respect of the return submit­ ted under subsection (4) than the net number of units already surrendered in respect of returns under subsec­ tion (3), the chief executive must arrange for reimburse­ ment to the person, in accordance with section 124, of the number of units that is the difference between the net number surrendered and the number assessed as be­ ing required to be surrendered under the return under subsection (4).
(8) A person who submits an emissions return under this section— (a) may include in the return an assessment of the person’s net liability to surrender or repay units, or the person’s net entitlement to New Zealand units, calculated by de­ termining the difference between the total number of units required to be surrendered for emissions from each of the carbon accounting areas covered by the return (or, if relevant, required to be repaid in respect of the carbon accounting areas covered by the return) and the total number of New Zealand units to which the person is entitled in respect of removals from each of the car­ bon accounting areas covered by the return (or, if rele­ 215 Part 5 s 189 Climate Change Response Act 2002 Reprinted as at 26 September 2008 vant, is entitled to be reimbursed in respect of carbon accounting areas covered by the return); and (b) may elect to surrender or repay the net number of units for which the person is liable, or to receive the net num­ ber of New Zealand units to which the person is entitled, as determined under paragraph (a); and (c) must, if the person makes an election under paragraph (b), indicate clearly in the return that such an election has been made; and (d) must, if an assessment in the emissions return shows a liability or a net liability to— (i) (ii) surrender units, surrender those units within 20 working days of submitting the emissions return; or repay units, repay those units, by transferring the number of units required to be transferred, within 60 working days of submitting the emissions re­ turn, to a Crown holding account designated by the chief executive, and the provisions of sections 134 and 135 apply, with any necessary modiﬁca­ tions, as if— (A) the units the person is required to repay were units transferred to the person in error; and the requirement to repay the units arose under section 125.
(B) In this section,— mandatory emissions return period means any of the fol­ lowing periods: (a) (b) the ﬁrst commitment period: any subsequent commitment period or, if there is no subsequent commitment period,— (i) the 5­year period commencing on 1 January 2013: each subsequent 5­year period after the period speciﬁed in subparagraph (i) (ii) units surrendered, in relation to an emissions return under subsection (3), include units that a person would have been required to surrender in respect of emissions covered by the (9) 216 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 190 return, but which were not actually surrendered because of an election under subsection (8) units transferred for removals, in relation to an emissions return under subsection (3), include units that a person would have been entitled to receive for removals in respect of the return, but which were not actually transferred because of an election under subsection (8).
Section 189: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
190 Special rules regarding surrender of units in relation to post­1989 forest land (1) Despite anything in this Act, a person who is or was a par­ ticipant in respect of an activity listed in Part 1 of Schedule 4is not liable to surrender more units in relation to any area of post­1989 forest land than the number of units transferred for removals from that land, less units previously surrendered for emissions from the land, calculated in accordance with sub­ section (2).
To determine the maximum number of units required to be surrendered in respect of a carbon accounting area in respect of any emissions return (or, where relevant, in respect of an emissions return under section 191 or 193, in respect of part of a carbon accounting area), a person must— (a) (2) determine the net number of New Zealand units trans­ ferred for removals from the carbon accounting area in respect of any emissions returns submitted since a par­ ticipant was recorded as carrying out an activity listed in Part 1 of Schedule 4 in respect of the land (that is, the number of units transferred for removals less any units repaid under section 123(6) or 189(8)); and determine the net number of units surrendered in respect of emissions from the carbon accounting area in respect of any emissions returns submitted since a participant was recorded as carrying out an activity listed in Part 1 of Schedule 4 in respect of the land (that is, the number of units surrendered, less any units reimbursed under section 124 or 189(7)); and if the area is— (b) (c) 217 Part 5 s 191 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (i) (ii) a whole carbon accounting area, subtract the number of units referred to in paragraph (b) from the number of units referred to in paragraph (a); or part of a carbon accounting area,— (A) take the number of units determined by subtracting the number of units referred to in paragraph (b) from the number of units referred to in paragraph (a); and divide that number by the number of hectares in the carbon accounting area; and (B) (3) (C) multiply that number by the number of hectares in the part of the carbon account­ ing area in respect of which the return is submitted.
(b) For the purposes of this section,— (a) any units issued in respect of the post­1989 forest land while it was the subject of a forest sink covenant under the Forests Act 1949 must be treated as New Zealand units transferred under this Act in respect of removals from the post­1989 forest land; and units transferred for removals, surrendered, repaid, or reimbursed in respect of a carbon accounting area in­ clude units that a person would have been entitled to receive, or would have been required to surrender or repay, in respect of a carbon accounting area but which were not actually transferred, surrendered, repaid, or re­ imbursed because of an election under section 189(8).
Section 190: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
191 Ceasing to be registered as participant in respect of post­1989 forest land Subject to section 192, a person who is or was a participant in respect of an activity listed in Part 1 of Schedule 4 must submit an emissions return to the chief executive within 20 working days of— (1) 218 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 191 (a) (b) (c) being removed from the register in respect of that activ­ ity; or ceasing to be a participant in respect of all or part of any carbon accounting area in respect of which the person is recorded as carrying out the activity under section 188; or removing land from a carbon accounting area or remov­ ing a carbon accounting area from the land in respect of which the person is recorded as a participant under sec­ tion 188.
(2) The emissions return must— (a) set out the carbon accounting area or areas to which the emissions return relates (that, if the person has been re­ moved from the register in respect of an activity listed in Part 1 of Schedule 4, must include all carbon accounting areas in respect of which the person was, immediately prior to being removed from the register, recorded as a participant); and if the return is submitted because the person is ceasing to carry out the activity in respect of part of a carbon accounting area or is removing land from a carbon ac­ counting area under section 188, identify the part of the carbon accounting area in respect of which the person is ceasing to carry out the activity or which the person is removing from the carbon accounting area; and state the maximum number of units that could be required to be surrendered in respect of each carbon accounting area, or part of a carbon accounting area, covered by the return calculated in accordance with section 190(2); and be accompanied by any prescribed fee and other pre­ scribed information; and be signed by the participant or former participant.
(b) (c) (d) (e) (3) A person required to submit an emissions return in accordance with this section must, by the same date by which a return is required to be submitted under subsection (1), surrender the total number of units that could be required to be surrendered for the post­1989 forest land covered by the return (calculated 219 Part 5 s 192 Climate Change Response Act 2002 Reprinted as at 26 September 2008 by adding together the ﬁgures for each carbon accounting area referred to in subsection (2)(c) together).
(4) An emissions return under this section must be submitted in the prescribed manner and format.

Section 191: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
192 Transfer of registration as participant in respect of post­1989 forest land (1) Despite anything in this Act,— (a) (b) if any post­1989 forest land, registered forestry right, registered lease, or Crown conservation contract in re­ spect of which a person is a participant in respect of an activity listed in Part 1 of Schedule 4 is transferred, in­ cluding by way of sale, assignment, or transmission,— the person from whom it is transferred (the trans­ (i) feror) ceases, from the date of transfer, to be the participant under this Act; and the person to whom the forest land, registered forestry right, registered lease, or Crown conser­ vation contract is transferred (the transferee) is, from the date of transfer, the participant in re­ spect of the activity relating to that post­1989 for­ est land; or (ii) if a forestry right or lease is registered, or a Crown con­ servation contract is entered into, in respect of post­ 1989 forest land in respect of which the landowner is registered as a participant in respect of owning that land,— (i) the landowner ceases, from the date of registra­ tion of the forestry right or lease, or the date of en­ try into the Crown conservation contract, as ap­ plicable, to be the participant under this Act; and the holder of the registered forestry right or regis­ tered lease, or the other party to the Crown con­ servation contract, as applicable (the new par­ ticipant), is, from the date of registration of the forestry right or lease or the date of entry into the contract, the participant in respect of the relevant (ii) 220 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 192 activity listed in Part 1 of Schedule 4 in respect of the post­1989 forest land.
(2) If subsection (1)(a) or (b) applies,— (a) in the case of a transferor and transferee, the transferor and transferee must, within 10 working days of the date of transfer of the land, registered forestry right, or reg­ istered lease, or the Crown conservation contract (or, in the case of transmission, as soon as practicable), notify the chief executive of the transfer; and in the case of a landowner and a new participant, the landowner and new participant must, within 10 working days of the date of registration of the forestry right or lease, or the date of entry into the Crown conservation contract, notify the chief executive of the registration of the forestry right or lease, or the entry into the contract; and the transferor or landowner (as the case may be) is not required to comply with section 191.
(b) (c) (3) A notice under subsection (2) must be— (a) (b) (c) in the prescribed form; and accompanied by any prescribed fee and any prescribed information; and signed by both the transferor and the transferee, or the landowner and the new participant (as the case may re­ quire).
(4) Following receipt of a notice complying with subsection (3), the chief executive must,— (a) if the transferee or new participant is— (i) not already registered under section 57, enter the transferee’s or new participant’s name on the register kept under section 57 as a participant in respect of the relevant activity listed in Part 1 of Schedule 4; or already registered under section 57, amend that registration, if necessary, to show that the trans­ feree or new participant is now a participant in respect of the relevant activity listed in Part 1 of Schedule 4; or (ii) 221 Part 5 s 192 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) (c) (d) if the transferor or landowner is registered under sec­ tion 57 only in respect of carrying out the activity in respect of the post­1989 forest land, registered forestry right or registered lease, or Crown conservation con­ tract that has been transferred or in respect of which a forestry right or lease has been registered, or a Crown conservation contract has been entered into, remove the transferor’s or landowner’s name from the register in re­ spect of the relevant activity listed in Part 1 of Schedule 4; or if the transferor, landowner, transferee, or new partici­ pant is registered under section 57 as a participant other than in respect of the post­1989 forest land, registered forestry right or registered lease, or Crown conservation contract that has been transferred or in respect of which a forestry right or lease has been registered, or a Crown conservation contract has been entered into, update the chief executive’s records to reﬂect the changes to the post­1989 forest land in respect of which the person is recorded as a participant; or as applicable, give notice to the transferor and trans­ feree, or landowner and new participant, that the chief executive has taken the action in paragraph (a), (b), or (c).
To avoid doubt, for the purposes of section 54(4), a transferor or landowner— (a) continues to be liable in respect of any obligations that arose while the transferor or landowner was a partici­ pant (for example, in respect of the ﬁling of returns and surrendering of units required under section 189); and is entitled to be transferred New Zealand units in respect of removals covered by any emissions return submitted prior to the relevant transfer or registration of a forestry right or lease, or entry into of a Crown conservation contract; and is not required to notify the chief executive separately under section 59 if the result of the transfer is that the transferor is ceasing to carry out the activity.
(b) (c) (5) 222 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 193 Section 192: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
193 Transfer of registration on expiry or termination of registered forestry right, registered lease, or Crown conservation contract in relation to post­1989 forest land (1) Despite anything in this Act, if a registered forestry right, reg­ istered lease, or Crown conservation contract in respect of which a person is a participant in respect of an activity listed in Part 1 of Schedule 4 expires or is terminated,— (a) (b) (c) (d) the person (the former participant) ceases, from the date of expiry or termination, to be the participant; and the landowner of the post­1989 forest land covered by the registered forestry right, registered lease, or Crown conservation contract is, from the date of expiry or ter­ mination, the participant in respect of that post­1989 forest land; and the former participant and landowner must jointly no­ tify the chief executive within 10 working days of the transfer or expiry or termination; and the former participant is not required to comply with section 191, but must instead, within 20 working days, submit an emissions return that complies with subsec­ tion (4).
(2) A notice under subsection (1) must be— (a) (b) (c) in the prescribed form; and accompanied by any prescribed fee and any prescribed information; and signed by both the former participant and the landowner.
(3) Following receipt of a notice complying with subsection (2), the chief executive must,— if the landowner is— (a) (i) not already registered under section 57, enter the landowner’s name on the register kept under sec­ tion 57 as a participant in respect of the relevant activity listed in Part 1 of Schedule 4; or already registered under section 57, amend that registration, if necessary, to show that the (ii) 223 Part 5 s 193 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (b) (c) (d) landowner is now a participant in respect of the relevant activity listed in Part 1 of Schedule 4: if the former participant is registered under section 57 only in respect of carrying out the activity in respect of the forestry right or lease, or a Crown conservation contract that has expired or has been terminated, re­ move the former participant’s name from the register in respect of the relevant activity listed in Part 1 of Schedule 4: if the former participant or landowner is registered under section 57 in respect of carrying out the activity other than in respect of the registered forestry right or registered lease, or a Crown conservation contract that has expired or has been terminated, update the chief executive’s records to reﬂect the changes to the post­1989 forest land in respect of which the person is recorded as a participant: give notice to the former participant and landowner of the matters speciﬁed in paragraphs (a) to (c) (if applic­ able).
(4) An emissions return under this subsection must— (a) (b) (c) (d) set out the carbon accounting area or areas to which the emissions return relates; and if the return is submitted because a registered forestry right, registered lease, or a Crown conservation contract that covers part only of a carbon accounting area has expired or been terminated, identify the part of the car­ bon accounting area in respect of which the registered forestry right, registered lease, or Crown conservation contract has expired or been terminated; and record the emissions and removals from each of the carbon accounting areas, or part of a carbon account­ ing area, covered by the expired or terminated regis­ tered forestry right, registered lease, or Crown conser­ vation contract, calculated in accordance with regula­ tions made under this Act; and in respect of each carbon accounting area or part of a carbon accounting area covered by the return be for the period— 224 Reprinted as at 26 September 2008 (i) Climate Change Response Act 2002 Part 5 s 194 commencing on the later of— (A) (B) the ﬁrst day of the mandatory emissions re­ turn period (as deﬁned in section 189(9)) in which the registered forestry right, reg­ istered lease, or Crown conservation con­ tract expired or was terminated; or the date on which the land in the carbon ac­ counting area, or part of a carbon account­ ing area became post­1989 forest land; and ending on the date of expiry or termination of the registered forestry right, registered lease over the land, or Crown conservation contract; and comply with section 189(5) and (6), as if the references in those provisions to subsection (4) were references to this section.
(ii) (e) (5) (6) Section 189(7) applies to a former participant who submits a return under this section as if the references in that provision to subsection (4) were references to this section.

Section 189(8) applies to a former participant who submits a return under this section as if the references in that provision to “this section” were references to this section.

Section 193: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Information about status of forest land 194 (1) Despite anything in this Act, the chief executive must, on re­ ceipt of a written request for information about the carbon ac­ counting area or areas to which it relates, provide a statement containing the information in subsection (2) to— (a) the landowner of any post­1989 forest land in respect of which the holder of a registered forestry right or regis­ tered lease or party to a Crown conservation contract is a participant; or a prospective transferee, holder of a registered forestry right or registered lease, or party to a Crown conserva­ tion contract who has the written consent of the partici­ pant in respect of any post­1989 forest land.
(b) (2) A statement under subsection (1) must set out— 225 Part 5 s 195 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) (c) the emissions returns (if any) that have been submitted in respect of the carbon accounting area or areas covered by the information request, and the period covered by those returns; and the net number of New Zealand units (if any) that have been transferred for removals in respect of each car­ bon accounting area covered by the information request (determined by subtracting the number of units repaid under section 123(6) or 189(7), if any, from the number of units transferred for removals); and the net number of units (if any) that have been surren­ dered in respect of each carbon accounting area covered by the information request (determined by subtracting the number of units reimbursed under section 124 or 189(7), if any, from the number of units surrendered).
(3) In this section, units transferred for removals, surrendered, re­ paid, or reimbursed in relation to a carbon accounting area in­ clude units that a person would have been entitled to receive or been required to surrender or repay in respect of the carbon accounting area, but that were not actually transferred, sur­ rendered, repaid, or reimbursed because of an election under section 189(8).
Section 194: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Post­1989 forest land and pre­1990 forest land Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
195 Notiﬁcation of status of forest land (1) The chief executive must, if required by regulations made under section 168, notify the following persons of the details of the land that the chief executive is satisﬁed is pre­1990 for­ est land, post­1989 forest land in respect of which a person has registered as a participant under section 57, or that the chief executive has declared to be exempt land: (a) the Registrar of the Maori Land Court in whose jurisdic­ tion the land is situated in relation to Maori land; and 226 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 196 (b) (c) the Registrar­General of Land in relation to land regis­ tered or provisionally registered under the Land Trans­ fer Act 1952; and the Registrar of Deeds in relation to land that is regis­ tered under the Deeds Registration Act 1908.
(2) On receipt of a notice under subsection (1), the Registrar­Gen­ eral of Land or the Registrar of the Maori Land Court or the Registrar of Deeds must record the notice on the appropriate register under the Land Transfer Act 1952, record of the Maori Land Court, or deeds index under the Deeds Registration Act 1908.
The Registrar­General of Land or the Registrar of the Maori Land Court or the Registrar of Deeds must cancel any notices recorded under subsection (2) if required under regulations made under section 168.

Section 195: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(3) Transitional provisions Heading: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
196 First emissions return for pre­1990 forest land activities (1) Despite anything in this Act, a participant who carries out an activity listed in Part 1 of Schedule 3— (a) is not required to submit an annual emissions return under section 65 in relation to the year ending 31 De­ cember 2008; but (b) must submit an emissions return in respect of the period commencing on 1 January 2008 and ending on 31 De­ cember 2009.
Section 65 applies to the return submitted under subsection (1)(b) with all necessary modiﬁcations, as if each reference to a year were a reference to the period commencing on 1 January 2008 and ending on 31 December 2009.

For all other purposes of this Act, the emissions return sub­ mitted under subsection (1)(b) is to be treated as an annual emissions return.
(2) (3) 227 Part 5 s 197 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (4) Despite anything in this Act, a participant who carries out an activity listed in Part 1 of Schedule 3 may not submit an emis­ sions return before 1 January 2010.

(6) (5) Despite anything in section 56, if an activity listed in Part 1 of Schedule 3 is carried out in 2008, the person who carried out the activity has until 31 January 2009 to give notice to the chief executive under section 56(1).
To avoid doubt, a person who carried out an activity listed in Part 1 of Schedule 3 on or after 1 January 2008, but before this section came into force, must register as a participant under section 56(1) in accordance with subsection (5).

Section 196: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
197 First emissions return for post­1989 forest land activities Despite anything in this Act, the ﬁrst emissions return submit­ ted by a person to whom section 189 applies in respect of an activity listed in Part 1 of Schedule 4 may not be submitted before 1 January 2009.

Section 197: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Subpart 2—Liquid fossil fuels sector Subpart 2: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

198 Registration as participant by purchasers of jet fuel (1) An application under section 57 to be registered as a partici­ pant in respect of an activity listed in Part 3 of Schedule 4 may be submitted to the chief executive at any time.
If the chief executive registers a person as a participant under section 57 in respect of an activity listed in Part 3 of Schedule 4,— (a) (2) the chief executive must notify, under section 57(6)(b), every person who is registered under section 56 in re­ spect of an activity in Part 2 of Schedule 3; and the registration takes effect 12 months from the date of the notice issued under section 57(6).
(b) 228 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 199 (3) If the chief executive has received an application under sec­ tion 58 for removal of a person’s name from the register as a participant in respect of an activity listed in Part 3 of Schedule 4, the chief executive must— (a) notify, under section 58(3)(c), every person who is reg­ istered under section 56 in respect of an activity listed in Part 2 of Schedule 3; and remove, under section 58(4), the applicant’s name from the register on the date that is 48 months after the notice issued under section 58(3)(b) and (c).
(b) Section 198: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
199 Historical information sufﬁcient to satisfy chief executive (1) A person who carries out an activity listed in Part 3 of Schedule 4 may, in an application to register as a participant in respect of that activity submitted under section 57, include with the application information about the total volume of obligation jet fuel purchased by the person in the year prior to the year in which the person submits the application (and any other prior years the person wishes).
If the chief executive receives an application under section 57 that includes the information speciﬁed in subsection (1), the chief executive may, for the purposes of section 57(4), satisfy him or herself that the person is, or will be when the person’s registration takes effect, carrying out the activity listed in Part 3 of Schedule 4 on the basis of that information.
(2) (3) Nothing in this section prevents the chief executive from re­ quiring a person speciﬁed in subsection (1) to provide any fur­ ther information that the chief executive requires to satisfy him or herself that the person is, (or will, when the person’s regis­ tration takes effect, be) carrying out the activity listed in Part 3 of Schedule 4.

Section 199: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
229 Part 5 s 200 Climate Change Response Act 2002 Reprinted as at 26 September 2008 200 Effect of purchasing less than the threshold level of obligation jet fuel If a person is a participant in respect of the activity listed in Part 3 of Schedule 4, and in any year the volume of obligation jet fuel that the person purchases is less than, or the person knows that the volume purchased will be less than, the thresh­ old speciﬁed in Part 3 of Schedule 4— (a) the person is not required to notify the chief executive under section 59(1) that the person has ceased, or will cease, to carry out the activity; and the chief executive must not, under section 59(2), treat the person as having ceased to carry out the activity; and the person remains a participant in respect of the activity until the person’s name is removed, in accordance with this Act, from the register that is kept for the purposes of section 57.
(b) (c) Section 200: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

201 Effect of registration by purchasers of jet fuel A participant in respect of an activity listed in Part 2 of Sched­ ule 3 is not required to comply with section 62, report in an emissions return, or surrender units, in respect of obligation jet fuel that is purchased by a person who is a participant in respect of an activity listed in Part 3 of Schedule 4.
Section 201: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
202 Activities added to Part 2 of Schedule 3 (1) The Governor­General may, by Order in Council, made on the recommendation of the Minister, amend Part 2 of Schedule 3 by adding activities relating to the following matters: (a) owning or operating a ship onto which goods are loaded at any port in New Zealand for carriage to and unloading at any other port in New Zealand, if the ship consumes fuel that is purchased— (i) outside New Zealand; or 230 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 202 (ii) in New Zealand, but in respect of which no par­ ticipant is required to surrender units under this Act; or ﬁshing within New Zealand’s exclusive economic zone, if the vessel used for ﬁshing consumes fuel that is pur­ chased outside New Zealand.
(b) (2) The Minister may only recommend that an Order in Council be made under subsection (1) if— (a) no participant is, prior to making the recommendation, liable to surrender units in respect of the emissions from the fuel consumed while the activity that is to be the subject of the recommendation is carried out; and adding the activity is— (i) (b) necessary to ensure that A is similar to B, where— (A) A is the cost increases that a person carry­ ing out the activity will face, if the activity is added, due to the obligation imposed by this Act on the person to surrender units in respect of the emissions from the fuel con­ sumed while carrying out the activity; and (B) B is the cost increases that a person carry­ ing out a comparable activity faces due to any obligations imposed by this Act on persons carrying out an activity listed in Part 2 of Schedule 3 to surrender units in respect of the emissions from the fuel consumed while the comparable activity is carried out; and (c) (ii) inconsistent with New Zealand’s inter­ not national obligations; and recommending the order will not result in costs to the Crown that exceed the beneﬁts that the Crown expects to receive after the order is made.
(3) An Order in Council made under subsection (1)— (a) takes effect on and from— (i) 1 January of the next year, if made on or before 30 June in any year; or 231 Part 5 s 203 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (ii) 1 July the next year, if made on or after 1 July in any year; and (b) expires,— (i) if made on or before 30 June in any year, on the close of 31 December of that year, except so far as it is expressly conﬁrmed by Act of Parliament passed during that year; or if made on or after 1 July in any year, on the close of 30 June in the following year, except so far as it is expressly conﬁrmed by Act of Parliament passed before the latter date.
(ii) Section 202: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

203 Treatment of obligation fuels (1) (2) This section applies if, in breach of the Customs and Excise Act 1996, a participant fails to remove obligation fuel for home consumption.
If this section applies, the obligation fuel that was not re­ moved for home consumption must, for the purposes of this Act, be treated as obligation fuel removed for home consump­ tion under the Customs and Excise Act 1996.

Section 203: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Subpart 3—Stationary energy sector Subpart 3: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

204 Participant with respect to mining coal or natural gas (1) This section applies if the following activities listed in Part 3 of Schedule 3 are carried out— (a) mining coal where the volume of coal mined exceeds 2 000 tonnes in a year: (b) mining natural gas, other than for export.
If this section applies and— (a) a permit is required under any Act to carry out the min­ ing, then the person who holds the permit is to be treated as the person carrying out the activity; or (2) 232 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 206 (b) no permit is required to carry out the mining, then the owner of the mine is to be treated as the person carrying out the activity.
Section 204: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

205 Mining natural gas in exclusive economic zone and (1) (2) continental shelf This Act applies to the activity of mining natural gas, other than for export, listed in Part 3 of Schedule 3, if that activity is carried out anywhere within the territorial limits of New Zealand, the exclusive economic zone, or in, on, or above the continental shelf.
For the purposes of this section,— continental shelf has the same meaning as in section 2(1) of the Continental Shelf Act 1964 exclusive economic zone has the same meaning as in section 9 of the Territorial Sea, Contiguous Zone, and Exclusive Eco­ nomic Zone Act 1977.

Section 205: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
206 Obligation with respect to combusting used oil, waste oil, and waste A participant who carries out the activity of combusting used oil, waste oil, used tyres, or waste for the purpose of generating electricity or industrial heat listed in Part 3 of Schedule 3 is not required to surrender units in respect of any— (a) emissions that result from the combustion of used oil or waste oil if the used oil or waste oil combusted is an obligation fuel; or carbon dioxide that results from the combustion of waste that is organic waste.
(b) Section 206: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
233 Part 5 s 207 Climate Change Response Act 2002 Reprinted as at 26 September 2008 207 Obligation with respect to mining coal A participant who carries out the activity of mining coal, where the volume of coal mined exceeds 2 000 tonnes in a year, listed in Part 3 of Schedule 3— (a) is not required to surrender units in respect of any car­ bon dioxide emissions from any coal that is exported: is required to surrender units in respect of any coal seam gas emissions that result from the activity.
(b) Section 207: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(1) 208 Purchase of coal or natural gas from wholly owned subsidiary of Part 3 of Schedule 3 participant For the purposes of the activities listed in Part 4 of Schedule 4, the reference to a participant who mines coal or natural gas includes a wholly owned subsidiary of a participant who mines coal or natural gas.
In subsection (1), subsidiary has the same meaning as in sec­ tion 5 of the Companies Act 1993.

Section 208: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(2) 209 Registration as participant by purchasers of coal or natural gas (2) (1) An application under section 57 to be registered as a partici­ pant in respect of an activity listed in Part 4 of Schedule 4 may be submitted to the chief executive at any time.
If the chief executive registers a person as a participant under section 57 in respect of an activity listed in Part 4 of Schedule 4,— (a) the chief executive must notify, under section 57(6)(b), every person who— mines— (i) (A) coal, if the activity speciﬁed in the appli­ cation is purchasing coal; or natural gas, if the activity speciﬁed in the application is purchasing natural gas; and (B) (ii) is registered under section 56; and 234 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 210 (b) the registration takes effect 12 months from the date of the notice issued under section 57(6).
(3) If the chief executive has received an application under sec­ tion 58 for removal of a person’s name from the register as a participant in respect of an activity listed in Part 4 of Schedule 4, the chief executive must— (a) notify, under section 58(3)(c), every person who— (i) mines— (A) (B) coal, if the activity speciﬁed in the appli­ cation is purchasing coal; or natural gas, if the activity speciﬁed in the application is purchasing natural gas; and (b) is registered under section 56; and (ii) remove, under section 58(4), the applicant’s name from the register on the date that is 48 months after the date of the notice issued under section 58(3)(b) and (c).
(4) Despite anything in subsection (2)(b), if the chief executive receives an application submitted under subsection (1) by 31 January 2009, registration of the applicant as a participant may take effect from 1 January 2010 if— (a) the applicant requests in the application that registration take effect from 1 January 2010; and the chief executive has provided notiﬁcation under sec­ tion 57(6) by 31 March 2009 (which notice must specify 1 January 2010 as the date from which registration takes effect).
(b) Section 209: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
210 Historical information sufﬁcient to satisfy chief executive (1) A person who carries out an activity listed in Part 4 of Schedule 4 may, in an application to register as a participant in respect of that activity submitted under section 57, include with the ap­ plication information about the total volume of coal or natural gas, as the case may be, purchased by the person in the year prior to the year in which the person submits the application (and any other prior years the person wishes).
If the chief executive receives an application under section 57 that includes the information speciﬁed in subsection (1), the (2) 235 Part 5 s 211 Climate Change Response Act 2002 Reprinted as at 26 September 2008 chief executive may, for the purposes of section 57(4), satisfy himself or herself that the person is (or will, when the person’s registration takes effect, be) carrying out an activity listed in Part 4 of Schedule 4 that is speciﬁed in the application on the basis of that information.
(3) Nothing in this section prevents the chief executive from re­ quiring a person speciﬁed in subsection (1) to provide any fur­ ther information that the chief executive requires to satisfy him or herself that the person is, or will be when the person’s regis­ tration takes effect, carrying out the activity listed in Part 4 of Schedule 4 that is speciﬁed in the application.
Section 210: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
211 Effect of purchasing less than threshold level of coal or natural gas If a person is a participant in respect of an activity listed in Part 4 of Schedule 4, and in any year the volume of coal or natural gas that the person purchases is less than, or the person knows that the volume purchased will be less than, the thresholds speciﬁed in Part 4 of Schedule 4,— (a) the person is not required to notify the chief executive under section 59(1) that the person has ceased, or will cease, to carry out the activity; and the chief executive must not, under section 59(2), treat the person as having ceased to carry out the activity; and the person remains a participant in respect of the activity until the person’s name is removed, in accordance with this Act, from the register that is kept for the purposes of section 57.
(b) (c) Section 211: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

212 Effect of registration by purchasers of coal or natural gas A participant who mines coal or mines natural gas is not re­ quired to comply with section 62, report in an emissions re­ turn, or surrender units, in respect of coal or natural gas that is purchased by a person who is a participant in respect of an activity listed in Part 4 of Schedule 4.
236 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 213 Section 212: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Subpart 4—Agriculture Subpart 4: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
213 Registration as participants by persons carrying out activities listed in Part 5 of Schedule 4 (1) An application under section 57 to be registered as a partici­ pant in respect of an activity listed in Part 5 of Schedule 4 may be submitted to the chief executive at any time.
If the chief executive registers a person as a participant under section 57 in respect of an activity listed in Part 5 of Schedule 4,— (a) section under (2) the chief executive must notify, 57(6)(b),— (i) if the activity is listed in subpart 1 of Part 5 of Schedule 4, every person who is registered under section 56 in respect of an activity in subpart 1 of Part 5 of Schedule 3; or if the activity is listed in subpart 2 of Part 5 of Schedule 4, every person who is registered under section 56 in respect of an activity in subpart 3 of Part 5 of Schedule 3; and (ii) (3) (b) the registration takes effect 12 months from the date of the notice to the applicant for registration issued under section 57(6).
If the chief executive has received an application under sec­ tion 58 for removal of a person’s name from the register as a participant in respect of an activity listed in Part 5 of Schedule 4, the chief executive must— (a) notify, under section 58(3)(c),— (i) if the activity is listed in subpart 1 of Part 5 of Schedule 4, every person who is registered under section 56 in respect of an activity in subpart 1 of Part 5 of Schedule 3; or if the activity is listed in subpart 2 of Part 5 of Schedule 4, every person who is registered under (ii) 237 Part 5 s 214 Climate Change Response Act 2002 Reprinted as at 26 September 2008 section 56 in respect of an activity in subpart 3 of Part 5 of Schedule 3; and (b) remove, under section 58(4), the applicant’s name from the register on the date that is 12 months after the date of the notice issued under section 58(3)(b) and (c).
Section 213: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
214 Historical information sufﬁcient to satisfy chief executive (1) A person who carries out an activity listed in Part 5 of Sched­ ule 4 may, in an application to register as a participant in re­ spect of that activity submitted under section 57, include with the application information about the total volume of fertiliser purchased or number of animals farmed, as the case may re­ quire, by the person in the year prior to the year in which the person submits the application (and any other prior years the person wishes).
If the chief executive receives an application under section 57 that includes the information speciﬁed in subsection (1), the chief executive may, for the purposes of section 57(4), satisfy him or herself that the person is (or will, when the person’s registration takes effect, be) carrying out the activity listed in Part 5 of Schedule 4 that is speciﬁed in the application on the basis of that information.
(2) (3) Nothing in this section prevents the chief executive from re­ quiring a person speciﬁed in subsection (1) to provide any fur­ ther information that the chief executive requires to satisfy him or herself that the person is, or will be when the person’s regis­ tration takes effect, carrying out the activity listed in Part 5 of Schedule 4 that is speciﬁed in the application.
Section 214: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
215 Effect of purchasing or farming less than threshold level If a person is a participant in respect of an activity listed in Part 5 of Schedule 4, and in any year the volume of fertiliser that the person purchases, or the number of animals the person farms, is less than, or the person knows that the volume purchased or number farmed will be less than, the prescribed thresholds— 238 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 216 (a) (b) (c) the person is not required to notify the chief executive under section 59(1) that the person has ceased, or will cease, to carry out the activity; and the chief executive must not, under section 59(2), treat the person as having ceased to carry out the activity; and the person remains a participant in respect of the activity until the person’s name is removed, in accordance with this Act, from the register that is kept for the purposes of section 57.
Section 215: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
216 Effect of registration by farmers (1) A participant in respect of an activity listed in subpart 1 of Part 5 of Schedule 3 is not required to comply with section 62, report in an emissions return, or surrender units, in respect of synthetic fertiliser containing nitrogen purchased other than for on­selling, by a person who is a participant in respect of an activity listed in subpart 1 of Part 5 of Schedule 4.
(2) A participant in respect of an activity listed in subpart 3 of Part 5 of Schedule 3 is not required to comply with section 62, report in an emissions return, or surrender units, in respect of ruminant animals, pigs, horses or poultry that are farmed, raised, grown or kept by a person who is a participant in respect of an activity listed in subpart 2 of Part 5 of Schedule 4.
(3) A participant in respect of an activity listed in Part 5 of Sched­ ule 4 must, if required by regulations made under section 168, provide to participants in respect of activities listed in Part 5 of Schedule 3, the prescribed information that indicates whether the emissions from the activity carried out by the participant have been accounted for by that participant.
Section 216: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Subpart 5—Transitional provisions Subpart 5: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
239 Part 5 s 217 Climate Change Response Act 2002 Reprinted as at 26 September 2008 217 Transitional provision for penalties (1) This section applies to a participant who submits an annual emissions return in respect of the activity in— (a) (b) (c) (d) Part 1 of Schedule 3 that relates to the period from 1 January 2008 to 31 December 2009; or Part 2 of Schedule 3 or Part 3 of Schedule 4 that relates to the year from 1 January 2011 to 31 December 2011; or Part 3 of Schedule 3, subpart 1 of Part 4 of Schedule 3, and Part 4 of Schedule 4 that relates to the year from 1 January 2010 to 31 December 2010; or subpart 2 of Part 4 of Schedule 3, Part 5 or 6 of Schedule 3, or Part 5 of Schedule 4 that relates to the year from 1 January 2013 to 31 December 2013.
(2) Despite anything in this Act,— (a) (b) a participant to whom subsection (1)(a) applies is not liable under section 129(1)(a) for a failure to comply with section 62 in relation to the period before— (i) (ii) section 62 comes into force; and any regulations setting out the data or other pre­ scribed information to be collected in relation to an activity listed in Part 1 of Schedule 3 come into force: if the emissions return of a participant to whom subsec­ tion (1) applies is amended by the chief executive under section 120, the participant— (i) is liable to surrender any units or additional units required to be surrendered under section 123(3); but is not liable to pay an excess emissions penalty under section 134(2)(b)(ii) in relation to those units: (ii) (c) if a participant to whom subsection (1) applies fails to surrender units or additional units as required under sec­ tion 123(3), section 159(1)(a) applies as if the date of the notice given under section 123(3) were the date of the penalty notice given under section 134 or 136.
Section 217: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
240 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 218 218 Transitional provision for voluntary reporting (1) This section applies to— (a) a person who carries out an activity listed in— (i) (ii) (iii) Part 2 of Schedule 3 in the period 1 January 2009 to 31 December 2009: Part 5 of Schedule 3 in the period 1 January 2011 to 31 December 2011: subpart 2 of Part 4 of Schedule 3 or Part 6 of Schedule 3 in the period 1 January 2011 to 31 De­ cember 2011; or (b) a person who is a participant in relation to an activity listed in— (i) Part 3 of Schedule 4 in the period 1 January 2009 to 31 December 2009: subpart 3 of Part 2 of Schedule 4 in the period 1 January 2011 to 31 December 2011: subpart 1 or 2 of Part 5 of Schedule 4, if an Order in Council is made under section 2A(15) or (16), in the period 1 January 2011 to 31 December 2011.
(ii) (iii) (2) Despite anything in this Act, a person to whom this section applies— (a) may (but is not required to), if the person carries out an activity in subsection (1)(a) during the relevant period, notify the chief executive under section 56 that the per­ son is a participant in respect of the activity: (b) may (but is not required to), if the person has notiﬁed the chief executive that the person carries out an activity in subsection (1)(a), or is a person to whom subsection (1)(b) applies, submit an annual emissions return under section 65 or an emissions return under section 66 or 118 in respect of the activity and the period in subsec­ tion (1): (c) may not surrender units in relation to any emissions, and is not entitled to New Zealand units in relation to any removals, in respect of the relevant activity and period in subsection (1): 241 Part 5 s 219 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (d) (e) is not required to comply with any of the obligations of a participant under this Act in respect of the relevant activity and period in subsection (1): is not liable under the offence provisions in sections 129 to 133 for any acts or omissions in relation to the relevant activity and period in subsection (1).
The chief executive must not include information obtained from an emissions return submitted in accordance with sub­ section (2)(b) in the information published under section 89.

Section 218: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
(3) 219 Transitional provision for mandatory reporting by certain (1) participants This section applies to— (a) a person who carries out an activity listed in— (i) Part 2 of Schedule 3 in the period 1 January 2010 to 31 December 2010: Part 5 of Schedule 3 in the period 1 January 2012 to 31 December 2012: subpart 2 of Part 4 of Schedule 3 and Part 6 of Schedule 3 in the period 1 January 2012 to 31 De­ cember 2012; or (ii) (iii) (b) a person who is a participant in relation to an activity listed in— (i) Part 3 of Schedule 4 in the period 1 January 2010 to 31 December 2010: subpart 1 or 2 of Part 5 of Schedule 4, if an Order in Council is made under section 2A(15) or (16), in the period 1 January 2012 to 31 December 2012.
(ii) (2) Despite anything in this Act, a person to whom this section applies may not surrender units— (a) under section 65(4) in relation to any emissions reported in the person’s annual emissions return for the relevant period referred to in subsection (1); or under section 118(5) in relation to any emissions re­ ported in an emissions return submitted under section (b) 242 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 5 s 221 118 that relates to the relevant period referred to in sub­ section (1).
Section 219: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
220 Additional transitional provision for mandatory reporting for subpart 3 of Part 2 of Schedule 4 participants Despite anything in this Act, a person who is a participant in relation to an activity listed in subpart 3 of Part 2 of Sched­ ule 4 and submits an annual emissions return for the period 1 January 2012 to 31 December 2012, or any other emissions return that relates to dates within that period, is not entitled to be transferred units under section 64 in relation to any re­ movals reported in that return.
Section 220: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
221 Additional transitional provisions for Part 3 of Schedule 4 participants (1) A person who purchases more than 10 million litres per year of obligation jet fuel from 1 or more persons who are likely to become participants in respect of an activity listed in Part 2 of Schedule 3 from 1 January 2010 is, during the period from the date of commencement of this section until 31 December 2009, to be treated for the purposes of this Act as a person carrying out an activity listed in Part 3 of Schedule 4.
(2) Despite section 198(2)(b), the registration of a person who registers as a participant in respect of the activity in Part 3 of Schedule 4 during the period from the date of commencement of this section until 31 December 2008 takes effect from the date of entry of the person’s name as a participant in the regis­ ter under section 57.
(3) A person who is a participant in relation to an activity listed in Part 3 of Schedule 4 during the period from the date of commencement of this section until 31 December 2008 may not submit an annual emissions return or an emissions return under section 118 in respect of that activity for the period up to 31 December 2008.
243 Part 5 s 222 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (4) The provisions of this Act apply with any necessary modiﬁca­ tions to an application to register as a participant by a person referred to in subsection (1) as if the person or persons from whom the applicant purchases jet fuel were a participant carry­ ing out an activity listed in Part 2 of Schedule 3.
Section 221: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

222 Transitional provisions regarding regulations that replace existing unit register regulations Section 30H(1) and (3) do not apply to any regulations that— (a) (b) come into force in 2008; and replace the Climate Change (Unit Register) Regulations 2007.
Section 222: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Part 6 Other matters Part 6: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
223 Establishment of Household Fund (1) This section establishes a fund for the purpose of reducing non­transport household greenhouse gas emissions through the promotion of household energy efﬁciency and conser­ vation and household renewable energy technologies (the Household Fund).
(2) A total of 1,000,000,000 New Zealand dollars must be paid to the Household Fund, from money appropriated by Parliament for the purpose, during the period beginning on the date of commencement of this section and ending on 1 July 2024.
(3) Without limiting subsection (1), the Household Fund may be used for purposes that include (but are not limited to) the de­ livery, marketing and promotion of, and provision of grants relating to— (a) (b) (c) household insulation and clean heat retroﬁts: energy efﬁcient appliances and lighting: space and water heating efﬁciency improvements.
244 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Part 6 s 224 (4) The Minister— (a) must, as soon as practicable after this section comes into force, determine the criteria for the use of the Household Fund; and (5) (b) may re­determine the criteria at any time.

Before determining or re­determining the criteria for the use of the Household Fund, the Minister must seek and consider the advice of the Energy Efﬁciency and Conservation Authority.
(6) When advising the Minister on the criteria for the use of the Household Fund, the Energy Efﬁciency and Conservation Au­ thority must have regard to— (a) (b) the income and energy needs of households, including whether the householders have SuperGold cards; and the cost­effectiveness of expenditure from the House­ hold Fund in relation to the purpose of the Household Fund; and (c) any other matters that the Authority considers relevant.
The Energy Efﬁciency and Conservation Authority must man­ age and administer the Household Fund in accordance with the criteria determined by the Minister.

Section 223: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

(7) 224 Gazetting of targets (1) The Minister responsible for the administration of this Act must set a target.
The Minister responsible for the administration of the Act may set a target, or amend or revoke an existing target, at any time.

(3) As soon as practicable after setting, amending, or revoking a (2) target under this section, the Minister must— (a) publicly notify the target or revocation of the target in the Gazette; and (b) make the target or revocation of the target publicly ac­ cessible via the Internet site of the department of the chief executive responsible for the administration of this Act.
(4) To avoid doubt, the Gazette notice in subsection (1) may not be treated as a regulation for the purposes of the Regulations 245 Schedule 1 Climate Change Response Act 2002 Reprinted as at 26 September 2008 (5) (Disallowance) Act 1989 or the Acts and Regulations Publi­ cations Act 1989.

To avoid doubt, any number of targets may be set using the process under this section.
Section 224: added, on 26 September 2008, by section 50 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Schedule 1 United Nations Framework Convention on Climate Change Contents Contents (This table of contents is not part of the Convention.)
Article No Deﬁnitions Objective Principles Commitments Research and systematic observation Education, training and public awareness Conference of the parties Secretariat Subsidiary body for scientiﬁc and technological advice 10 Subsidiary body for implementation 246 s 4 Page Page No 34 35 35 36 43 43 44 47 47 48 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule 1 Contents (This table of contents is not part of the Convention.)
Article No Page No 26 Financial mechanism Communication of information related to implementation Resolution of questions regarding implementation Settlement of disputes Amendments to the Convention Adoption and amendment of annexes to the Convention Protocols Right to vote Depositary Signature Interim arrangements Ratiﬁcation, acceptance, approval or accession Entry into force Reservations Withdrawal Authentic texts 49 50 52 53 54 55 56 56 57 57 57 58 58 59 59 59 247 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 Contents (This table of contents is not part of the Convention.)
Article No Annex I Annex II Page No 61 63 Preamble The Parties to this Convention, Acknowledging that change in the Earth’s climate and its ad­ verse effects are a common concern of humankind, Concerned that human activities have been substantially in­ creasing the atmospheric concentrations of greenhouse gases, that these increases enhance the natural greenhouse effect, and that this will result on average in an additional warming of the Earth’s surface and atmosphere and may adversely affect nat­ ural ecosystems and humankind, Noting that the largest share of historical and current global emissions of greenhouse gases has originated in developed countries, that per capita emissions in developing countries are still relatively low and that the share of global emissions ori­ ginating in developing countries will grow to meet their social and development needs, Aware of the role and importance in terrestrial and marine ecosystems of sinks and reservoirs of greenhouse gases, Noting that there are many uncertainties in predictions of cli­ mate change, particularly with regard to the timing, magnitude and regional patterns thereof, Acknowledging that the global nature of climate change calls for the widest possible cooperation by all countries and their participation in an effective and appropriate international re­ sponse, in accordance with their common but differentiated 248 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble responsibilities and respective capabilities and their social and economic conditions, Recalling the pertinent provisions of the Declaration of the United Nations Conference on the Human Environment, adopted at Stockholm on 16 June 1972, Recalling also that States have, in accordance with the Charter of the United Nations and the principles of international law, the sovereign right to exploit their own resources pursuant to their own environmental and developmental policies, and the responsibility to ensure that activities within their jurisdiction or control do not
 cause damage to the environment of other States or of areas beyond the limits of national jurisdiction, Reafﬁrming the principle of sovereignty of States in inter­ national cooperation to address climate change, Recognizing that States should enact effective environmental legislation, that environmental standards, management object­ ives and priorities should reﬂect the environmental and devel­ opmental context to which they apply, and that standards ap­ plied by some countries may be inappropriate and of unwar­ ranted economic and social cost to other countries, in particu­ lar developing countries, Recalling the provisions of General Assembly resolution 44/228 of 22 December 1989 on the United Nations Con­ ference on Environment and Development, and resolutions 43/53 of 6 December 1988, 44/207 of 22 December 1989, 45/212 of 21 December 1990 and 46/169 of 19 December 1991 on protection of global climate for present and future generations of mankind, Recalling also the provisions of General Assembly resolution 44/206 of 22 December 1989 on the possible adverse effects of sea­level rise on islands and coastal areas, particularly low­ lying coastal areas and the pertinent provisions of General As­ sembly resolution 44/172 of 19 December 1989 on the imple­ mentation of the Plan of Action to Combat Desertiﬁcation, Recalling further the Vienna Convention for the Protection of the Ozone Layer, 1985, and the Montreal Protocol on Sub­ stances that Deplete the Ozone Layer, 1987, as adjusted and amended on 29 June 1990, 249 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 Noting the Ministerial Declaration of the Second World Cli­ mate Conference adopted on 7 November 1990, Conscious of the valuable analytical work being conducted by many States on climate change and of the important contri­ butions of the World Meteorological Organization, the United Nations Environment Programme and other organs, organiza­ tions and bodies of the United Nations
 system, as well as other international and intergovernmental bodies, to the exchange of results of scientiﬁc research and the coordination of research, Recognizing that steps required to understand and address climate change will be environmentally, socially and econom­ ically most effective if they are based on relevant scientiﬁc, technical and economic considerations and continually re­evaluated in the light of new ﬁndings in these areas, Recognizing that various actions to address climate change can be justiﬁed economically in their own right and can also help in solving other environmental problems, Recognizing also the need for developed countries to take im­ mediate action in a ﬂexible manner on the basis of clear prior­ ities, as a ﬁrst step towards comprehensive response strategies at the global, national and, where agreed, regional levels that take into account all greenhouse gases, with due consideration of their relative contributions to the enhancement of the green­ house effect, Recognizing further that low­lying and other small island countries, countries with low­lying coastal, arid and semi­arid areas or areas liable to ﬂoods, drought and desertiﬁcation, and developing countries with fragile mountainous ecosystems are particularly vulnerable to the adverse effects of climate change, Recognizing the special difﬁculties of those countries, espe­ cially developing countries, whose economies are particularly dependent on fossil fuel production, use and exportation, as a consequence of action taken on limiting greenhouse gas emis­ sions, Afﬁrming that responses to climate change should be coordi­ nated with social and economic development in an integrated manner with a view to avoiding adverse impacts on the lat­ 250 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble ter, taking into full account the legitimate priority needs of de­ veloping countries for the achievement of sustained economic growth and the eradication of
 poverty, Recognizing that all countries, especially developing coun­ tries, need access to resources required to achieve sustainable social and economic development and that, in order for de­ veloping countries to progress towards that goal, their energy consumption will need to grow taking into account the possi­ bilities for achieving greater energy efﬁciency and for control­ ling greenhouse gas emissions in general, including through the application of new technologies on terms which make such an application economically and socially beneﬁcial, Determined to protect the climate system for present and fu­ ture generations, Have agreed as follows: ARTICLE 1 DEFINITIONS1 For the purposes of this Convention: 1.
Adverse effects of climate change means changes in the physical environment or biota resulting from climate change which have signiﬁcant deleterious effects on the composition, resilience or productivity of natural and managed ecosystems or on the operation of socio­economic systems or on human health and welfare.
Climate change means a change of climate which is attributed directly or indirectly to human activity that alters the com­ position of the global atmosphere and which is in addition to natural climate variability observed over comparable time periods.

Climate system means the totality of the atmosphere, hydro­ sphere, biosphere and geosphere and their interactions.

Emissions means the release of greenhouse gases and/or their precursors into the atmosphere over a speciﬁed area and period of time.

2.

3.
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1 Titles of articles are included solely to assist the reader.

251 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 5.

6.

7.

8.

9.

Greenhouse gases means those gaseous constituents of the atmosphere, both natural and anthropogenic, that absorb and re­emit infrared radiation.
Regional economic integration organization means an or­ ganization constituted by sovereign States of a given region which has competence in respect of matters governed by this Convention or its protocols and has been duly authorized, in accordance with its internal procedures, to sign, ratify, accept, approve or accede to the instruments concerned.

Reservoir means a component or components of the climate system where a greenhouse gas or a precursor of a greenhouse gas is stored.
Sink means any process, activity or mechanism which re­ moves a greenhouse gas, an aerosol or a precursor of a green­ house gas from the atmosphere.

Source means any process or activity which releases a green­ house gas, an aerosol or a precursor of a greenhouse gas into the atmosphere.
ARTICLE 2 OBJECTIVE The ultimate objective of this Convention and any related legal instruments that the Conference of the Parties may adopt is to achieve, in accordance with the relevant provisions of the Con­ vention, stabilization of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthro­ pogenic interference with the climate system.
Such a level should be achieved within a time­frame sufﬁcient to allow ecosystems to adapt naturally to climate change, to ensure that food production is not threatened and to enable economic de­ velopment to proceed in a sustainable manner.

ARTICLE 3 PRINCIPLES In their actions to achieve the objective of the Convention and to implement its provisions, the Parties shall be guided, inter alia, by the following: 1.
The Parties should protect the climate system for the beneﬁt of present and future generations of humankind, on the basis of equity and in accordance with their common but differentiated 252 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 2.

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5. responsibilities and respective capabilities.

Accordingly, the developed country Parties should take the lead in combating climate change and the adverse effects thereof.
The speciﬁc needs and special circumstances of developing country Parties, especially those that are particularly vulnera­ ble to the adverse effects of climate change, and of those Par­ ties, especially developing country Parties, that would have to bear a disproportionate or abnormal burden under the Conven­ tion, should be given full consideration.

The Parties should take precautionary measures to anticipate, prevent or minimize the causes of climate change and mitigate its adverse effects.
Where there are threats of serious or irre­ versible damage, lack of full scientiﬁc certainty should not be used as a reason for postponing such measures, taking into ac­ count that policies and measures to deal with climate change should be cost­effective so as to ensure global beneﬁts at the lowest possible cost.
To achieve this, such policies and meas­ ures should take into account different socio­economic con­ texts, be comprehensive, cover all relevant sources, sinks and reservoirs of greenhouse gases and adaptation, and comprise all economic sectors.

Efforts to address climate change may be carried out cooperatively by interested Parties.

The Parties have a right to, and should, promote sustainable development.
Policies and measures to protect the climate sys­ tem against human­induced change should be appropriate for the speciﬁc conditions of each Party and should be integrated with national development programmes, taking into account that economic development is essential for adopting measures to address climate change.
The Parties should cooperate to promote a supportive and open international economic system that would lead to sustainable economic growth and development in all Parties, particularly developing country Parties, thus enabling them better to ad­ dress the problems of climate change.

Measures taken to com­ bat climate change, including unilateral ones, should not con­ stitute a means of arbitrary or unjustiﬁable discrimination or a disguised restriction on international trade.
253 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 ARTICLE 4 COMMITMENTS 1.
All Parties, taking into account their common but differenti­ ated responsibilities and their speciﬁc national and regional development priorities, objectives and circumstances, shall: (a) Develop, periodically update, publish and make avail­ able to the Conference of the Parties, in accordance with Article 12, national inventories of anthropogenic emis­ sions by sources and removals by sinks of all green­ house gases not controlled by the Montreal Protocol, using comparable methodologies to be agreed upon by the Conference of the Parties; Formulate, implement, publish and regularly update national and, where appropriate, regional programmes containing measures to mitigate climate change by addressing anthropogenic emissions by sources and re­ movals by sinks of all greenhouse gases not controlled by the Montreal Protocol, and measures to facilitate adequate adaptation to climate change; Promote and cooperate in the development, applica­ tion and diffusion, including transfer, of technologies, practices and processes that control, reduce or prevent anthropogenic emissions of greenhouse gases not con­ trolled by the Montreal Protocol in all relevant sectors, including the energy, transport, industry, agriculture, forestry and waste management sectors; Promote sustainable management, and promote and cooperate in the conservation and enhancement, as appropriate, of sinks and reservoirs of all greenhouse gases not controlled by the Montreal Protocol, in­ cluding biomass, forests and oceans as well as other terrestrial, coastal and marine ecosystems; Cooperate in preparing for adaptation to the impacts of climate change; develop and elaborate appropriate and integrated plans for coastal zone management, water resources and agriculture, and for the protection and rehabilitation of areas, particularly in Africa, affected by drought and desertiﬁcation, as well as ﬂoods; Take climate change considerations into account, to the extent feasible, in their relevant social, economic and (b) (c) (d) (e) (f) 254 Reprinted as at
 26 September 2008 Climate Change Response Act 2002 Preamble environmental policies and actions, and employ appro­ priate methods, for example impact assessments, for­ mulated and determined nationally, with a view to mini­ mizing adverse effects on the economy, on public health and on the quality of the environment, of projects or measures undertaken by them to mitigate or adapt to climate change; technological, Promote and cooperate in scientiﬁc, technical, socio­economic and other research, sys­ tematic observation and development of data archives related to the climate system and intended to further the understanding and to reduce or eliminate the remaining uncertainties regarding the causes, effects, magnitude and timing of climate change and the economic and social consequences of various response strategies; Promote and cooperate in the full, open and prompt ex­ change of relevant scientiﬁc, technological, technical, socio­economic and legal information related to the cli­ mate system and climate change, and to the economic and social consequences of various response strategies; Promote and cooperate in education, training and public awareness related to climate change and encourage the widest participation in this process, including that of non­governmental organizations; and Communicate to the Conference of the Parties informa­ tion related to implementation, in accordance with Art­ icle 12.
(g) (h) (i) (j) 2.

The developed country Parties and other Parties included in Annex I commit themselves speciﬁcally as provided for in the following: (a) Each of these Parties shall adopt national 2 policies and take corresponding measures on the mitigation of cli­ mate change, by limiting its anthropogenic emissions of greenhouse gases and protecting and enhancing its greenhouse gas sinks and reservoirs.
These poli­ cies and measures will demonstrate that developed 2 This includes policies and measures adopted by regional economic integra­ tion organizations.
255 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 countries are taking the lead in modifying longer­term trends in anthropogenic emissions consistent with the objective of the Convention, recognizing that the re­ turn by the end of the present decade to earlier levels of anthropogenic emissions of carbon dioxide and other greenhouse gases not controlled by the Montreal Protocol would contribute to such modiﬁcation, and taking into account the differences in these Parties’ starting points and approaches, economic structures and resource bases, the need to maintain strong and sustainable economic growth, available technologies and other individual circumstances, as well as the need for equitable and appropriate contributions by each of these Parties to the global effort regarding that objective.
These Parties may implement such policies and measures jointly with other Parties and may assist other Parties in contributing to the achievement of the objective of the Convention and, in particular, that of this subparagraph; In order to promote progress to this end, each of these Parties shall communicate, within six months of the en­ try into force of the Convention for it and periodic­ ally thereafter, and in accordance with Article 12, de­ tailed information on its policies and measures referred to in subparagraph (a) above, as well as on its resulting projected anthropogenic emissions by sources and re­ movals by sinks of greenhouse gases not controlled by the Montreal Protocol for the period referred to in sub­ paragraph (a), with the aim of returning individually or jointly to their 1990 levels these anthropogenic emis­ sions of carbon dioxide and other greenhouse gases not controlled by the Montreal Protocol.
This information will be reviewed by the Conference of the Parties, at its ﬁrst session and periodically thereafter, in accordance with Article 7; Calculations of emissions by sources and removals by sinks of greenhouse gases for the purposes of sub­ paragraph (b) above should take into account the best available scientiﬁc knowledge, including of the effect­ (b) (c) 256 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble ive capacity of sinks and the respective contributions of such gases to climate change.
The Conference of the Parties shall consider and agree on methodologies for these calculations at its ﬁrst session and review them regularly thereafter; The Conference of the Parties shall, at its ﬁrst ses­ sion, review the adequacy of subparagraphs (a) and (b) above.

Such review shall be carried out in the light of the best available scientiﬁc information and assessment on climate change and its impacts, as well as relevant technical, social and economic information.
Based on this review, the Conference of the Parties shall take appropriate action, which may include the adoption of amendments to the commitments in sub­ paragraphs (a) and (b) above.

The Conference of the Parties, at its ﬁrst session, shall also take decisions regarding criteria for joint implementation as indicated in subparagraph (a) above.
A second review of sub­ paragraphs (a) and (b) shall take place not later than 31 December 1998, and thereafter at regular intervals determined by the Conference of the Parties, until the objective of the Convention is met; Each of these Parties shall : (i) Coordinate as appropriate with other such Par­ ties, relevant economic and administrative instru­ ments developed to achieve the objective of the Convention; and Identify and periodically review its own policies and practices which encourage activities that lead to greater levels of anthropogenic emissions of greenhouse gases not controlled by the Montreal Protocol than would otherwise occur; (ii) The Conference of the Parties shall review, not later than 31 December 1998, available information with a view to taking decisions regarding such amendments to the lists in Annexes I and II as may be appropriate, with the approval of the Party concerned; (d) (e) (f) (g) Any Party not included in Annex I may, in its instrument of ratiﬁcation, acceptance, approval or accession, or at 257 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 any time thereafter, notify the Depositary that it intends to be bound by subparagraphs (a) and (b) above.
The Depositary shall inform the other signatories and Parties of any such notiﬁcation.

The developed country Parties and other developed Parties in­ cluded in Annex II shall provide new and additional ﬁnancial resources to meet the agreed full costs incurred by developing country Parties in complying with their obligations under Art­ icle 12, paragraph 1.
They shall also provide such ﬁnancial resources, including for the transfer of technology, needed by the developing country Parties to meet the agreed full incre­ mental costs of implementing measures that are covered by paragraph 1 of this Article and that are agreed between a de­ veloping country Party and the international entity or entities referred to in Article 11, in accordance with that Article.
The implementation of these commitments shall take into account the need for adequacy and predictability in the ﬂow of funds and the importance of appropriate burden sharing among the developed country Parties.

The developed country Parties and other developed Parties in­ cluded in Annex II shall also assist the developing country Parties that are particularly vulnerable to the adverse effects of climate change in meeting costs of adaptation to those ad­ verse effects.
The developed country Parties and other developed Parties in­ cluded in Annex II shall take all practicable steps to promote, facilitate and ﬁnance, as appropriate, the transfer of, or ac­ cess to, environmentally sound technologies and know­how to other Parties, particularly developing country Parties, to en­ able them to implement the provisions of the Convention.
In this process, the developed country Parties shall support the development and enhancement of endogenous capacities and technologies of developing country Parties.

Other Parties and organizations in a position to do so may also assist in facilitat­ ing the transfer of such technologies.
In the implementation of their commitments under paragraph 2 above, a certain degree of ﬂexibility shall be allowed by the Conference of the Parties to the Parties included in Annex I undergoing the process of transition to a market economy, in 3.

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258 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 7.
8. order to enhance the ability of these Parties to address climate change, including with regard to the historical level of anthro­ pogenic emissions of greenhouse gases not controlled by the Montreal Protocol chosen as a reference.
The extent to which developing country Parties will effectively implement their commitments under the Convention will de­ pend on the effective implementation by developed country Parties of their commitments under the Convention related to ﬁnancial resources and transfer of technology and will take fully into account that economic and social development and poverty eradication are the ﬁrst and overriding priorities of the developing country Parties.
In the implementation of the commitments in this Article, the Parties shall give full consideration to what actions are neces­ sary under the Convention, including actions related to fund­ ing, insurance and the transfer of technology, to meet the spe­ ciﬁc needs and concerns of developing country Parties arising from the adverse effects of climate change and/or the impact of the implementation of response measures, especially on: (a) (b) (c) Small island countries; Countries with low­lying coastal areas; Countries with arid and semi­arid areas, forested areas and areas liable to forest decay; Countries with areas prone to natural disasters; Countries with areas liable to drought and desertiﬁca­ tion; Countries with areas of high urban atmospheric pollu­ tion; Countries with areas with fragile ecosystems, including mountainous ecosystems; Countries whose economies are highly dependent on in­ come generated from the production, processing and ex­ port, and/or on consumption of fossil fuels and associ­ ated energy­intensive products; and Land­locked and transit countries.
(i) Further, the Conference of the Parties may take actions, as appropriate, with respect to this paragraph.

(d) (e) (f) (g) (h) 259 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 9.

10.

The Parties shall take full account of the speciﬁc needs and special situations of the least developed countries in their ac­ tions with regard to funding and transfer of technology.
The Parties shall, in accordance with Article 10, take into consideration in the implementation of the commitments of the Convention the situation of Parties, particularly devel­ oping country Parties, with economies that are vulnerable to the adverse effects of the implementation of measures to respond to climate change.
This applies notably to Parties with economies that are highly dependent on income gen­ erated from the production, processing and export, and/or consumption of fossil fuels and associated energy­intensive products and/or the use of fossil fuels for which such Parties have serious difﬁculties in switching to alternatives.
ARTICLE 5 RESEARCH AND SYSTEMATIC OBSERVATION In carrying out their commitments under Article 4, paragraph 1(g), the Parties shall: (a) Support and further develop, as appropriate, inter­ national and intergovernmental programmes and net­ works or organizations aimed at deﬁning, conducting, assessing and ﬁnancing research, data collection and systematic observation, taking into account the need to minimize duplication of effort; Support international and intergovernmental efforts to strengthen systematic observation and national scien­ tiﬁc and technical research capacities and capabilities, particularly in developing countries, and to promote ac­ cess to, and the exchange of, data and analyses thereof obtained from areas beyond national jurisdiction; and Take into account the particular concerns and needs of developing countries and cooperate in improving their endogenous capacities and capabilities to partici­ pate in the efforts referred to in subparagraphs (a) and (b) above.
(b) (c) 260 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble ARTICLE 6 EDUCATION, TRAINING AND PUBLIC AWARENESS In carrying out their commitments under Article 4, paragraph 1(i), the Parties shall: (a) Promote and facilitate at the national and, as appropri­ ate, subregional and regional levels, and in accordance with national laws and regulations, and within their re­ spective capacities: (i) The development and implementation of educa­ tional and public awareness programmes on cli­ mate change and its effects; Public access to information on climate change and its effects; (ii) (b) (iii) Public participation in addressing climate change and its effects and developing adequate re­ sponses; and (iv) Training of scientiﬁc, technical and man­ agerial personnel.
Cooperate in and promote, at the international level, and, where appropriate, using existing bodies: (i) The development and exchange of educational and public awareness material on climate change and its effects; and The development and implementation of edu­ cation and training programmes, including the strengthening of national institutions and the ex­ change or secondment of personnel to train ex­ perts in this ﬁeld, in particular for developing countries.

(ii) ARTICLE 7 CONFERENCE OF THE PARTIES 1.


2.

A Conference of the Parties is hereby established.

The Conference of the Parties, as the supreme body of this Convention, shall keep under regular review the implemen­ tation of the Convention and any related legal instruments that the Conference of the Parties may adopt, and shall make, within its mandate, the decisions necessary to promote the ef­ fective implementation of the Convention.
To this end, it shall: 261 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 (a) (b) (c) (d) (e) (f) Periodically examine the obligations of the Parties and the institutional arrangements under the Convention, in the light of the objective of the Convention, the experi­ ence gained in its implementation and the evolution of scientiﬁc and technological knowledge; Promote and facilitate the exchange of information on measures adopted by the Parties to address climate change and its effects, taking into account the differing circumstances, responsibilities and capabilities of the Parties and their respective commitments under the Convention; Facilitate, at the request of two or more Parties, the co­ ordination of measures adopted by them to address cli­ mate change and its effects, taking into account the dif­ fering circumstances, responsibilities and capabilities of the Parties and their respective commitments under the Convention; Promote and guide, in accordance with the objective and provisions of the Convention, the development and periodic reﬁnement of comparable methodologies, to be agreed on by the Conference of the Parties, inter alia, for preparing inventories of greenhouse gas emissions by sources and removals by sinks, and for evaluating the effectiveness of measures to limit the emissions and enhance the removals of these gases; Assess, on the basis of all information made available to it in accordance with the provisions of the Convention, the implementation of the Convention by the Parties, the overall effects of the measures taken pursuant to the Convention, in particular environmental, economic and social effects as well as their cumulative impacts and the extent to which progress towards the objective of the Convention is being achieved; Consider and adopt regular reports on the implementa­ tion of the Convention and ensure their publication; (g) Make recommendations on any matters necessary for (h) the implementation of the Convention; Seek to mobilize ﬁnancial resources
 in accordance with Article 4, paragraphs 3, 4 and 5, and Article 11; 262 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble (i) (j) Establish such subsidiary bodies as are deemed neces­ sary for the implementation of the Convention; Review reports submitted by its subsidiary bodies and provide guidance to them; (l) (k) Agree upon and adopt, by consensus, rules of proced­ ure and ﬁnancial rules for itself and for any subsidiary bodies; Seek and utilize, where appropriate, the services and cooperation of, and information provided by, competent international organizations and intergovernmental and non­governmental bodies; and (m) Exercise such other functions as are required for the achievement of the objective of the Convention as well as all other functions assigned to it under the Conven­ tion.
The Conference of the Parties shall, at its ﬁrst session, adopt its own rules of procedure as well as those of the subsidiary bod­ ies established by the Convention, which shall include deci­ sion­making procedures for matters not already covered by de­ cision­making procedures stipulated in the Convention.

Such procedures may include speciﬁed majorities required for the adoption of particular decisions.
The ﬁrst session of the Conference of the Parties shall be con­ vened by the interim secretariat referred to in Article 21 and shall take place not later than one year after the date of entry into force of the Convention.

Thereafter, ordinary sessions of the Conference of the Parties shall be held every year unless otherwise decided by the Conference of the Parties.
Extraordinary sessions of the Conference of the Parties shall be held at such other times as may be deemed necessary by the Conference, or at the written request of any Party, provided that, within six months of the request being communicated to the Parties by the secretariat, it is supported by at least one third of the Parties.
The United Nations, its specialized agencies and the Inter­ national Atomic Energy Agency, as well as any State mem­ ber thereof or observers thereto not Party to the Convention, may be represented at sessions of the Conference of the Parties as observers.

Any body or agency, whether national or inter­ 263 3.

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Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 national, governmental or non­governmental, which is quali­ ﬁed in matters covered by the Convention, and which has in­ formed the secretariat of its wish to be represented at a session of the Conference of the Parties as an observer, may be so ad­ mitted unless at least one third of the Parties present object.
The admission and participation of observers shall be subject to the rules of procedure adopted by the Conference of the Par­ ties.

ARTICLE 8 SECRETARIAT 1.

2.

A secretariat is hereby established.
The functions of the secretariat shall be: (a) To make arrangements for sessions of the Conference of the Parties and its subsidiary bodies established under the Convention and to provide them with services as required; To compile and transmit reports submitted to it; To facilitate assistance to the Parties, particularly de­ veloping country Parties, on request, in the compilation and communication of information required in accord­ ance with the provisions of the Convention; To prepare reports on its activities and present them to the Conference of the Parties; To ensure the necessary coordination with the secretari­ ats of other relevant international bodies; To enter, under the overall guidance of the Conference of the Parties, into such administrative and contractual arrangements as may be required for the effective dis­ charge of its functions; and To perform the other secretariat functions speciﬁed in the Convention and in any of its protocols and such other functions as may be determined by the Confer­ ence of the Parties.
(b) (c) (d) (e) (f) (g) 3.

The Conference of the Parties, at its ﬁrst session, shall des­ ignate a permanent secretariat and make arrangements for its functioning.

264 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble ARTICLE 9 SUBSIDIARY BODY FOR SCIENTIFIC AND 1.

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TECHNOLOGICAL ADVICE A subsidiary body for scientiﬁc and technological advice is hereby established to provide the Conference of the Parties and, as appropriate, its other subsidiary bodies with timely in­ formation and advice on scientiﬁc and technological matters relating to the Convention.

This body shall be open to par­ ticipation by all Parties and shall be multidisciplinary.

It shall comprise government representatives competent in the rele­ vant ﬁeld of expertise.
It shall report regularly to the Confer­ ence of the Parties on all aspects of its work.
Under the guidance of the Conference of the Parties, and draw­ ing upon existing competent international bodies, this body shall: (a) Provide assessments of the state of scientiﬁc knowledge relating to climate change and its effects; Prepare scientiﬁc assessments on the effects of meas­ ures taken in the implementation of the Convention; Identify innovative, efﬁcient and state­of­the­art tech­ nologies and know­how and advise on the ways and means of promoting development and/or transferring such technologies; Provide advice on scientiﬁc programmes, international cooperation in research and development related to cli­ mate change, as well as on ways and means of support­ ing endogenous capacity­building in developing coun­ tries; and Respond to scientiﬁc, technological and methodologi­ cal questions that the Conference of the Parties and its subsidiary bodies may put to the body.
(b) (c) (d) (e) 3.

The functions and terms of reference of this body may be fur­ ther elaborated by the Conference of the Parties.

ARTICLE 10 SUBSIDIARY BODY FOR 1.

IMPLEMENTATION A subsidiary body for implementation is hereby established to assist the Conference of the Parties in the assessment and re­ view of the effective implementation of the Convention.
This body shall be open to participation by all Parties and comprise 265 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 2. government representatives who are experts on matters related to climate change.

It shall report regularly to the Conference of the Parties on all aspects of its work.
Under the guidance of the Conference of the Parties, this body shall: (a) Consider the information communicated in accordance with Article 12, paragraph 1, to assess the overall ag­ gregated effect of the steps taken by the Parties in the light of the latest scientiﬁc assessments concerning cli­ mate change; Consider the information communicated in accordance with Article 12, paragraph 2, in order to assist the Con­ ference of the Parties in carrying out the reviews re­ quired by Article 4, paragraph 2(d); and Assist the Conference of the Parties, as appropriate, in the preparation and implementation of its decisions.
(b) (c) ARTICLE 11 FINANCIAL MECHANISM 1.

A mechanism for the provision of ﬁnancial resources on a grant or concessional basis, including for the transfer of tech­ nology, is hereby deﬁned.

It shall function under the guidance of and be accountable to the Conference of the Parties, which shall decide on its policies, programme priorities and eligibil­ ity criteria related to this Convention.

Its operation shall be entrusted to one or more existing international entities.
The ﬁnancial mechanism shall have an equitable and balanced representation of all Parties within a transparent system of governance.
The Conference of the Parties and the entity or entities en­ trusted with the operation of the ﬁnancial mechanism shall agree upon arrangements to give effect to the above para­ graphs, which shall include the following: (a) Modalities to ensure that the funded projects to address climate change are in conformity with the policies, pro­ gramme priorities and eligibility criteria established by the Conference of the Parties; (b) Modalities by which a particular funding decision may be reconsidered in light of these policies, programme priorities and eligibility criteria; 2.
3.
266 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble (c) Provision by the entity or entities of regular reports to the Conference of the Parties on its funding operations, which is consistent with the requirement for account­ ability set out in paragraph 1 above; and (d) Determination in a predictable and identiﬁable manner of the amount of funding necessary and available for the implementation of this Convention and the conditions under which that amount shall be periodically reviewed.
The Conference of the Parties shall make arrangements to im­ plement the above­mentioned provisions at its ﬁrst session, re­ viewing and taking into account the interim arrangements re­ ferred to in Article 21, paragraph 3, and shall decide whether these interim arrangements shall be maintained.

Within four years thereafter, the Conference of the Parties shall review the ﬁnancial mechanism and take appropriate measures.
The developed country Parties may also provide and devel­ oping country Parties avail themselves of, ﬁnancial resources related to the implementation of the Convention through bilat­ eral, regional and other multilateral channels.

4.

5.

ARTICLE 12 COMMUNICATION OF INFORMATION 1.
RELATED TO IMPLEMENTATION In accordance with Article 4, paragraph 1, each Party shall communicate to the Conference of the Parties, through the sec­ retariat, the following elements of information: (a) A national inventory of anthropogenic emissions by sources and removals by sinks of all greenhouse gases not controlled by the Montreal Protocol, to the extent its capacities permit, using comparable methodologies to be promoted and agreed upon by the Conference of the Parties; (b) A general description of steps taken or envisaged by the (c) Party to implement the Convention; and Any other information that the Party considers rele­ vant to the achievement of the objective of the Conven­ tion and suitable for inclusion in its communication, in­ cluding, if feasible, material relevant for calculations of global emission trends.
267 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 Each developed country Party and each other Party included in Annex I shall incorporate in its communication the following elements of information: (a) A detailed description of the policies and measures that it has adopted to implement its commitment under Art­ icle 4, paragraphs 2(a) and 2(b); and (b) A speciﬁc estimate of the effects that the policies and measures referred to in subparagraph (a) immediately above will have on anthropogenic emissions by its sources and removals by its sinks of greenhouse gases during the period referred to in Article 4, paragraph 2(a).
In addition, each developed country Party and each other de­ veloped Party included in Annex II shall incorporate details of measures taken in accordance with Article 4, paragraphs 3, 4 and 5.
Developing country Parties may, on a voluntary basis, propose projects for ﬁnancing, including speciﬁc technologies, mater­ ials, equipment, techniques or practices that would be needed to implement such projects, along with, if possible, an esti­ mate of all incremental costs, of the reductions of emissions and increments of removals of greenhouse gases, as well as an estimate of the consequent beneﬁts.
Each developed country Party and each other Party included in Annex I shall make its initial communication within six months of the entry into force of the Convention for that Party.

Each Party not so listed shall make its initial communication within three years of the entry into force of the Convention for that Party, or of the availability of ﬁnancial resources in accordance with Article 4, paragraph 3.

Parties that are least developed countries may make their initial communication at their discretion.
The frequency of subsequent communica­ tions by all Parties shall be determined by the Conference of the Parties, taking into account the differentiated timetable set by this paragraph.

Information communicated by Parties under this Article shall be transmitted by the secretariat as soon as possible to the Con­ ference of the Parties and to any subsidiary bodies concerned.

If necessary, the procedures for the communication of infor­ 2.

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268 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 7.

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9.

10. mation may be further considered by the Conference of the Parties.
From its ﬁrst session, the Conference of the Parties shall ar­ range for the provision to developing country Parties of tech­ nical and ﬁnancial support, on request, in compiling and com­ municating information under this Article, as well as in iden­ tifying the technical and ﬁnancial needs associated with pro­ posed projects and response measures under Article 4.

Such support may be provided by other Parties, by competent inter­ national organizations and by the secretariat, as appropriate.
Any group of Parties may, subject to guidelines adopted by the Conference of the Parties, and to prior notiﬁcation to the Conference of the Parties, make a joint communication in ful­ ﬁlment of their obligations under this Article, provided that such a communication includes information on the fulﬁlment by each of these Parties of its individual obligations under the Convention.
Information received by the secretariat that is designated by a Party as conﬁdential, in accordance with criteria to be estab­ lished by the Conference of the Parties, shall be aggregated by the secretariat to protect its conﬁdentiality before being made available to any of the bodies involved in the communication and review of information.
Subject to paragraph 9 above, and without prejudice to the ability of any Party to make public its communication at any time, the secretariat shall make communications by Parties under this Article publicly available at the time they are sub­ mitted to the Conference of the Parties.
ARTICLE 13 RESOLUTION OF QUESTIONS REGARDING IMPLEMENTATION The Conference of the Parties shall, at its ﬁrst session, con­ sider the establishment of a multilateral consultative process, available to Parties on their request, for the resolution of ques­ tions regarding the implementation of the Convention.

269 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 ARTICLE 14 SETTLEMENT OF DISPUTES 1.
In the event of a dispute between any two or more Parties con­ cerning the interpretation or application of the Convention, the Parties concerned shall seek a settlement of the dispute through negotiation or any other peaceful means of their own choice.

2.
When ratifying, accepting, approving or acceding to the Convention, or at any time thereafter, a Party which is not a regional economic integration organization may declare in a written instrument submitted to the Depositary that, in respect of any dispute concerning the interpretation or application of the Convention, it recognizes as compulsory ipso facto and without special agreement, in relation to any Party accepting the same obligation: (a) Submission of the dispute to the International Court of Justice, and/or (b) Arbitration in accordance with procedures to be adopted by the Conference of the Parties as soon as practicable, in an annex on arbitration.
A Party which is a regional economic integration organization may make a declaration with like effect in relation to arbitra­ tion in accordance with the procedures referred to in subpara­ graph (b) above.

A declaration made under paragraph 2 above shall remain in force until it expires in accordance with its terms or until three months after written notice of its revocation has been deposited with the Depositary.
A new declaration, a notice of revocation or the expiry of a declaration shall not in any way affect proceedings pending before the International Court of Justice or the arbitral tribunal, unless the parties to the dispute otherwise agree.
Subject to the operation of paragraph 2 above, if after twelve months following notiﬁcation by one Party to another that a dispute exists between them, the Parties concerned have not been able to settle their dispute through the means mentioned in paragraph 1 above, the dispute shall be submitted, at the request of any of the parties to the dispute, to conciliation.

3.

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270 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 6.

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A conciliation commission shall be created upon the request of one of the parties to the dispute.

The commission shall be composed of an equal number of members appointed by each party concerned and a chairman chosen jointly by the mem­ bers appointed by each party.

The commission shall render a recommendatory award, which the parties shall consider in good faith.
Additional procedures relating to conciliation shall be adopted by the Conference of the Parties, as soon as practicable, in an annex on conciliation.

The provisions of this Article shall apply to any related legal instrument which the Conference of the Parties may adopt, unless the instrument provides otherwise.

3.

ARTICLE 15 AMENDMENTS TO THE CONVENTION Any Party may propose amendments to the Convention.

1.
1.

Amendments to the Convention shall be adopted at an ordinary 2. session of the Conference of the Parties.

The text of any pro­ posed amendment to the Convention shall be communicated to the Parties by the secretariat at least six months before the meeting at which it is proposed for adoption.

The secretariat shall also communicate proposed amendments to the signa­ tories to the Convention and, for information, to the Deposit­ ary.
The Parties shall make every effort to reach agreement on any proposed amendment to the Convention by consensus.

If all efforts at consensus have been exhausted, and no agreement reached, the amendment shall as a last resort be adopted by a three­fourths majority vote of the Parties present and voting at the meeting.

The adopted amendment shall be communicated by the secretariat to the Depositary, who shall circulate it to all Parties for their acceptance.
Instruments of acceptance in respect of an amendment shall be deposited with the Depositary.

An amendment adopted in accordance with paragraph 3 above shall enter into force for those Parties having accepted it on the ninetieth day after the date of receipt by the Depositary of an instrument of accept­ ance by at least three fourths of the Parties to the Convention.

4.

271 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 5.

6.
6.

The amendment shall enter into force for any other Party on the ninetieth day after the date on which that Party deposits with the Depositary its instrument of acceptance of the said amendment.

For the purposes of this Article, Parties present and voting means Parties present and casting an afﬁrmative or negative vote.
ARTICLE 16 ADOPTION AND AMENDMENT OF ANNEXES TO THE CONVENTION Annexes to the Convention shall form an integral part thereof and, unless otherwise expressly provided, a reference to the Convention constitutes at the same time a reference to any annexes thereto.

Without prejudice to the provisions of Article 14, paragraphs 2(b) and 7, such annexes shall be restricted to lists, forms and any other material of a descriptive nature that is of a scientiﬁc, technical, procedural or administrative character.
Annexes to the Convention shall be proposed and adopted in accordance with the procedure set forth in Article 15, para­ graphs 2, 3 and 4.

An annex that has been adopted in accordance with paragraph 2 above shall enter into force for all Parties to the Convention six months after the date of the communication by the De­ positary to such Parties of the adoption of the annex, except for those Parties that have notiﬁed the Depositary, in writing, within that period of their non­acceptance of the annex.
The annex shall enter into force for Parties which withdraw their notiﬁcation of non­acceptance on the ninetieth day after the date on which withdrawal of such notiﬁcation has been re­ ceived by the Depositary.

The proposal, adoption and entry into force of amendments to annexes to the Convention shall be subject to the same pro­ cedure as that for the proposal, adoption and entry into force of annexes to the Convention in accordance with paragraphs 2 and 3 above.
If the adoption of an annex or an amendment to an annex in­ volves an amendment to the Convention, that annex or amend­ 1.

2.

3.

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272 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble ment to an annex shall not enter into force until such time as the amendment to the Convention enters into force.

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3.

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ARTICLE 17 PROTOCOLS 1.

The Conference of the Parties may, at any ordinary session, adopt protocols to the Convention.
The text of any proposed protocol shall be communicated to the Parties by the secretariat at least six months before such a session.

The requirements for the entry into force of any protocol shall be established by that instrument.

Only Parties to the Convention may be Parties to a protocol.

Decisions under any protocol shall be taken only by the Parties to the protocol concerned.

ARTICLE 18 RIGHT TO VOTE 1.

Each Party to the Convention shall have one vote, except as provided for in paragraph 2 below.
Regional economic integration organizations, in matters within their competence, shall exercise their right to vote with a number of votes equal to the number of their member States that are Parties to the Convention.

Such an organization shall not exercise its right to vote if any of its member States exercises its right, and vice versa.

ARTICLE 19 DEPOSITARY The Secretary­General of the United Nations shall be the De­ positary of the Convention and of protocols adopted in accord­ ance with Article 17.
ARTICLE 20 SIGNATURE This Convention shall be open for signature by States Mem­ bers of the United Nations or of any of its specialized agencies or that are Parties to the Statute of the International Court of Justice and by regional economic integration organizations at Rio de Janeiro, during the United Nations Conference on En­ vironment and Development, and thereafter at United Nations Headquarters in New York from 20 June 1992 to 19 June 1993.
273 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 2.

3.

ARTICLE 21 INTERIM ARRANGEMENTS 1.

The secretariat functions referred to in Article 8 will be car­ ried out on an interim basis by the secretariat established by the General Assembly of the United Nations in its resolution 45/212 of 21 December 1990, until the completion of the ﬁrst session of the Conference of the Parties.
The head of the interim secretariat referred to in paragraph 1 above will cooperate closely with the Intergovernmental Panel on Climate Change to ensure that the Panel can respond to the need for objective scientiﬁc and technical advice.

Other relevant scientiﬁc bodies could also be consulted.
The Global Environment Facility of the United Nations De­ velopment Programme, the United Nations Environment Pro­ gramme and the International Bank for Reconstruction and Development shall be the international entity entrusted with the operation of the ﬁnancial mechanism referred to in Article 11 on an interim basis.

In this connection, the Global Envir­ onment Facility should be appropriately restructured and its membership made universal to enable it to fulﬁl the require­ ments of Article 11.
ARTICLE 22 RATIFICATION, ACCEPTANCE, APPROVAL OR ACCESSION The Convention shall be subject to ratiﬁcation, acceptance, ap­ proval or accession by States and by regional economic inte­ gration organizations.

It shall be open for accession from the day after the date on which the Convention is closed for sig­ nature.

Instruments of ratiﬁcation, acceptance, approval or ac­ cession shall be deposited with the Depositary.
Any regional economic integration organization which be­ comes a Party to the Convention without any of its member States being a Party shall be bound by all the obligations under the Convention.

In the case of such organizations, one or more of whose member States is a Party to the Convention, the organization and its member States shall decide on their respective responsibilities for the performance of their obli­ gations under the Convention.
In such cases, the organization and the member States shall not be entitled to exercise rights under the Convention concurrently.

1.

2.

274 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 3.

In their instruments of ratiﬁcation, acceptance, approval or ac­ cession, regional economic integration organizations shall de­ clare the extent of their competence with respect to the matters governed by the Convention.
These organizations shall also inform the Depositary, who shall in turn inform the Parties, of any substantial modiﬁcation in the extent of their competence.

ARTICLE 23 ENTRY INTO FORCE 1.

The Convention shall enter into force on the ninetieth day af­ ter the date of deposit of the ﬁftieth instrument of ratiﬁcation, acceptance, approval or accession.
For each State or regional economic integration organization that ratiﬁes, accepts or approves the Convention or accedes thereto after the deposit of the ﬁftieth instrument of ratiﬁca­ tion, acceptance, approval or accession, the Convention shall enter into force on the ninetieth day after the date of deposit by such State or regional economic integration organization of its instrument of ratiﬁcation, acceptance, approval or accession.
For the purposes of paragraphs 1 and 2 above, any instru­ ment deposited by a regional economic integration organiza­ tion shall not be counted as additional to those deposited by States members of the organization.

ARTICLE 24 RESERVATIONS No reservations may be made to the Convention.

ARTICLE 25 WITHDRAWAL 1.


At any time after three years from the date on which the Con­ vention has entered into force for a Party, that Party may with­ draw from the Convention by giving written notiﬁcation to the Depositary.

Any such withdrawal shall take effect upon expiry of one year from the date of receipt by the Depositary of the notiﬁcation of withdrawal, or on such later date as may be speciﬁed in the notiﬁcation of withdrawal.
Any Party that withdraws from the Convention shall be con­ sidered as also having withdrawn from any protocol to which it is a Party.

2.

3.

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275 Schedule I Climate Change Response Act 2002 Reprinted as at 26 September 2008 ARTICLE 26 AUTHENTIC TEXTS The original of this Convention, of which the Arabic, Chinese, English, French, Russian and Spanish texts are equally authen­ tic, shall be deposited with the Secretary­General of the United Nations.
IN WITNESS WHEREOF the undersigned, being duly authorized to that effect, have signed this Convention.

DONE at New York this ninth day of May one thousand nine hundred and ninety­two.
Annex I Australia Austria Belarus3 Belgium Bulgaria3 Canada Croatia34 Czech Republic34 Denmark European Economic Community Estonia3 Finland France Germany Greece Hungary3 Iceland Ireland Italy Japan Latvia3 • • • • • • • • • • • • • • • • • • • • • 3 Countries that are undergoing the process of transition to a market economy.

4 Countries added to Annex I by an amendment that entered into force on 13 August 1998 pursuant to decision 4/CP.3 adopted at COP 3.
276 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule II • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • Liechenstein4 Lithuania3 Luxembourg Monaco4 Netherlands New Zealand Norway Poland3 Portugal Romania3 Russian Federation3 Slovakia34 Slovenia34 Spain Sweden Switzerland Turkey Ukraine3 United Kingdom of Great Britain and Northern Ireland United States of America Annex II Australia Austria Belgium Canada Denmark European Economic Community Finland France Germany Greece Iceland 277 Schedule 2 Climate Change Response Act 2002 Reprinted as at 26 September 2008 • • • • • • • • • • • • • • Ireland Italy Japan Luxembourg Netherlands New Zealand Norway Portugal Spain Sweden Switzerland Turkey United Kingdom of Great Britain and Northern Ireland United States of America Schedule 2 Kyoto Protocol to the United Nations Framework Convention on Climate Change s 4 Preamble The Parties to this Protocol, Being Parties to the United Nations Framework Convention on Climate Change, hereinafter referred to as the Convention, In pursuit of the ultimate objective of the Convention as stated in its Article 2, Recalling the provisions of the Convention, Being guided by Article 3 of the Convention, Pursuant to the Berlin Mandate adopted by decision 1/CP.1 of the Conference of the Parties to the Convention at its ﬁrst session, Have agreed as follows: 278 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 2.
1.

Article 1 For the purposes of this Protocol, the deﬁnitions contained in Article 1 of the Convention shall apply.

In addition: Conference of the Parties means the Conference of the Par­ ties to the Convention.

Convention means the United Nations Framework Conven­ tion on Climate Change, adopted in New York on 9 May 1992.
Intergovernmental Panel on Climate Change means the Intergovernmental Panel on Climate Change established in 1988 jointly by the World Meteorological Organization and the United Nations Environment Programme.

3.

5.

4.

Montreal Protocol means the Montreal Protocol on Sub­ stances that Deplete the Ozone Layer, adopted in Montreal on 16 September 1987 and as subsequently adjusted and amended.

Parties present and voting means Parties present and casting an afﬁrmative or negative vote.
Party means, unless the context otherwise indicates, a Party to this Protocol.

Party included in Annex I means a Party included in Annex I to the Convention, as may be amended, or a Party which has made a notiﬁcation under Article 4, paragraph 2(g), of the Convention.

7.

6.

Article 2 1.
Each Party included in Annex I, in achieving its quantiﬁed emission limitation and reduction commitments under Article 3, in order to promote sustainable development, shall: (a) Implement and/or further elaborate policies and meas­ ures in accordance with its national circumstances, such as: (i) (ii) Enhancement of energy efﬁciency in relevant sectors of the national economy; Protection and enhancement of sinks and reser­ voirs of greenhouse gases not controlled by the Montreal Protocol, taking into account its com­ mitments under relevant international environ­ mental agreements; promotion of sustainable for­ est management practices, afforestation and re­ forestation; 279 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 (iii) Promotion of sustainable forms of agriculture in light of climate change considerations; (v) (iv) Research on, and promotion, development and increased use of, new and renewable forms of en­ ergy, of carbon dioxide sequestration technolo­ gies and of advanced and innovative environ­ mentally sound technologies; Progressive reduction or phasing out of market imperfections, ﬁscal incentives, tax and duty exemptions and subsidies in all greenhouse gas emitting sectors that run counter to the objective of the Convention and application of market instruments; (vi) Encouragement of appropriate reforms in rele­ vant sectors aimed at promoting policies and measures which limit or reduce emissions of greenhouse gases not controlled by the Montreal Protocol; (vii) Measures to limit and/or reduce emissions of greenhouse gases not controlled by the Montreal Protocol in the transport sector; (viii) Limitation and/or reduction of methane emis­ sions through recovery and use in waste man­ agement, as well as in the production, transport and distribution of energy; Cooperate with other such Parties to enhance the in­ dividual and combined effectiveness of their policies and measures adopted under this Article, pursuant to Article 4, paragraph 2(e)(i), of the Convention.
To this end, these Parties shall take steps to share their experience and exchange information on such policies and measures, including developing ways of improv­ ing their comparability, transparency and effectiveness.

The Conference of the Parties serving as the meeting of the Parties to this Protocol shall, at its ﬁrst session or as soon as practicable thereafter, consider ways to facili­ tate such cooperation, taking into account all relevant information.
(b) 280 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 2.

3.

4.

Article 3 1.

2.

3.

The Parties included in Annex I shall pursue limitation or re­ duction of emissions of greenhouse gases not controlled by the Montreal Protocol from aviation and marine bunker fuels, working through the International Civil Aviation Organization and the International Maritime Organization, respectively.
The Parties included in Annex I shall strive to implement poli­ cies and measures under this Article in such a way as to min­ imize adverse effects, including the adverse effects of climate change, effects on international trade, and social, environmen­ tal and economic impacts on other Parties, especially develop­ ing country Parties and in particular those identiﬁed in Article 4, paragraphs 8 and 9, of the Convention, taking into account Article 3 of the Convention.
The Conference of the Parties serving as the meeting of the Parties to this Protocol may take further action, as appropriate, to promote the implementation of the provisions of this paragraph.
The Conference of the Parties serving as the meeting of the Parties to this Protocol, if it decides that it would be beneﬁcial to coordinate any of the policies and measures in paragraph 1(a) above, taking into account different national circum­ stances and potential effects, shall consider ways and means to elaborate the coordination of such policies and measures.
The Parties included in Annex I shall, individually or jointly, ensure that their aggregate anthropogenic carbon dioxide equivalent emissions of the greenhouse gases listed in Annex A do not exceed their assigned amounts, calculated pursuant to their quantiﬁed emission limitation and reduction com­ mitments inscribed in Annex B and in accordance with the provisions of this Article, with a view to reducing their overall emissions of such gases by at least 5 per cent below 1990 levels in the commitment period 2008 to 2012.
Each Party included in Annex I shall, by 2005, have made demonstrable progress in achieving its commitments under this Protocol.
The net changes in greenhouse gas emissions by sources and removals by sinks resulting from direct human­induced land­ use change and forestry activities, limited to afforestation, re­ 281 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 forestation and deforestation since 1990, measured as veri­ ﬁable changes in carbon stocks in each commitment period, shall be used to meet the commitments under this Article of each Party included in Annex I.
The greenhouse gas emissions by sources and removals by sinks associated with those activ­ ities shall be reported in a transparent and veriﬁable manner and reviewed in accordance with Articles 7 and 8.
Prior to the ﬁrst session of the Conference of the Parties serv­ ing as the meeting of the Parties to this Protocol, each Party in­ cluded in Annex I shall provide, for consideration by the Sub­ sidiary Body for Scientiﬁc and Technological Advice, data to establish its level of carbon stocks in 1990 and to enable an estimate to be made of its changes in carbon stocks in sub­ sequent years.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall, at its ﬁrst ses­ sion or as soon as practicable thereafter, decide upon modal­ ities, rules and guidelines as to how, and which, additional human­induced activities related to changes in greenhouse gas emissions by sources and removals by sinks in the agricultural soils and the land­use change and forestry categories shall be added to, or subtracted from, the assigned amounts for Parties included in Annex I, taking into account uncertainties, trans­ parency in reporting, veriﬁability, the methodological work of the Intergovernmental Panel on Climate Change, the advice provided by the Subsidiary Body for Scientiﬁc and Techno­ logical Advice in accordance with Article 5 and the decisions of the Conference of the Parties.
Such a decision shall apply in the second and subsequent commitment periods.

A Party may choose to apply such a decision on these additional human­in­ duced activities for its ﬁrst commitment period, provided that these activities have taken place since 1990.
The Parties included in Annex I undergoing the process of transition to a market economy whose base year or period was established pursuant to decision 9/CP.2 of the Conference of the Parties at its second session shall use that base year or period for the implementation of their commitments under this Article.

Any other Party included in Annex I undergoing the process of transition to a market economy which has not yet submitted its ﬁrst national communication under Article 12 of 4.

5.
5.

282 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 6.

7.

8.

9. the Convention may also notify the Conference of the Parties serving as the meeting of the Parties to this Protocol that it intends to use an historical base year or period other than 1990 for the implementation of its commitments under this Article.

The Conference of the Parties serving as the meeting of the Parties to this Protocol shall decide on the acceptance of such notiﬁcation.
Taking into account Article 4, paragraph 6, of the Conven­ tion, in the implementation of their commitments under this Protocol other than those under this Article, a certain degree of ﬂexibility shall be allowed by the Conference of the Parties serving as the meeting of the Parties to this Protocol to the Par­ ties included in Annex I undergoing the process of transition to a market economy.
In the ﬁrst quantiﬁed emission limitation and reduction com­ mitment period, from 2008 to 2012, the assigned amount for each Party included in Annex I shall be equal to the percent­ age inscribed for it in Annex B of its aggregate anthropogenic carbon dioxide equivalent emissions of the greenhouse gases listed in Annex A in 1990, or the base year or period deter­ mined in accordance with paragraph 5 above, multiplied by ﬁve.
Those Parties included in Annex I for whom land­use change and forestry constituted a net source of greenhouse gas emissions in 1990 shall include in their 1990 emissions base year or period the aggregate anthropogenic carbon diox­ ide equivalent emissions by sources minus removals by sinks in 1990 from land­use change for the purposes of calculating their assigned amount.
Any Party included in Annex I may use 1995 as its base year for hydroﬂuorocarbons, perﬂuorocarbons and sulphur hexaﬂu­ oride, for the purposes of the calculation referred to in para­ graph 7 above.

Commitments for subsequent periods for Parties included in Annex I shall be established in amendments to Annex B to this Protocol, which shall be adopted in accordance with the provisions of Article 21, paragraph 7.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall initiate the consideration of such commitments at least 283 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 seven years before the end of the ﬁrst commitment period re­ ferred to in paragraph 1 above.

10.
10.

Any emission reduction units, or any part of an assigned amount, which a Party acquires from another Party in accord­ ance with the provisions of Article 6 or of Article 17 shall be added to the assigned amount for the acquiring Party.

11.

Any emission reduction units, or any part of an assigned amount, which a Party transfers to another Party in accord­ ance with the provisions of Article 6 or of Article 17 shall be subtracted from the assigned amount for the transferring Party.

13.

14.

12.
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12.

Any certiﬁed emission reductions which a Party acquires from another Party in accordance with the provisions of Article 12 shall be added to the assigned amount for the acquiring Party.

If the emissions of a Party included in Annex I in a commit­ ment period are less than its assigned amount under this Art­ icle, this difference shall, on request of that Party, be added to the assigned amount for that Party for subsequent commitment periods.
Each Party included in Annex I shall strive to implement the commitments mentioned in paragraph 1 above in such a way as to minimize adverse social, environmental and economic impacts on developing country Parties, particularly those iden­ tiﬁed in Article 4, paragraphs 8 and 9, of the Convention.
In line with relevant decisions of the Conference of the Parties on the implementation of those paragraphs, the Conference of the Parties serving as the meeting of the Parties to this Protocol shall, at its ﬁrst session, consider what actions are necessary to minimize the adverse effects of climate change and/or the impacts of response measures on Parties referred to in those paragraphs.

Among the issues to be considered shall be the establishment of funding, insurance and transfer of technol­ ogy.
Article 4 1.

284 Any Parties included in Annex I that have reached an agree­ ment to fulﬁl their commitments under Article 3 jointly, shall be deemed to have met those commitments provided Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 2.

3.

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5.
3.

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6. that their total combined aggregate anthropogenic carbon dioxide equivalent emissions of the greenhouse gases listed in Annex A do not exceed their assigned amounts calculated pursuant to their quantiﬁed emission limitation and reduction commitments inscribed in Annex B and in accordance with the provisions of Article 3.

The respective emission level allocated to each of the Parties to the agreement shall be set out in that agreement.
The Parties to any such agreement shall notify the secretariat of the terms of the agreement on the date of deposit of their in­ struments of ratiﬁcation, acceptance or approval of this Proto­ col, or accession thereto.

The secretariat shall in turn inform the Parties and signatories to the Convention of the terms of the agreement.

Any such agreement shall remain in operation for the duration of the commitment period speciﬁed in Article 3, paragraph 7.
If Parties acting jointly do so in the framework of, and together with, a regional economic integration organization, any alter­ ation in the composition of the organization after adoption of this Protocol shall not affect existing commitments under this Protocol.

Any alteration in the composition of the organiza­ tion shall only apply for the purposes of those commitments under Article 3 that are adopted subsequent to that alteration.
In the event of failure by the Parties to such an agreement to achieve their total combined level of emission reductions, each Party to that agreement shall be responsible for its own level of emissions set out in the agreement.
If Parties acting jointly do so in the framework of, and together with, a regional economic integration organization which is it­ self a Party to this Protocol, each member State of that regional economic integration organization individually, and together with the regional economic integration organization acting in accordance with Article 24, shall, in the event of failure to achieve the total combined level of emission reductions, be responsible for its level of emissions as notiﬁed in accordance with this Article.
285 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 Article 5 1.

2.

3.

286 Each Party included in Annex I shall have in place, no later than one year prior to the start of the ﬁrst commitment period, a national system for the estimation of anthropogenic emis­ sions by sources and removals by sinks of all greenhouse gases not controlled by the Montreal Protocol.
Guidelines for such national systems, which shall incorporate the methodologies speciﬁed in paragraph 2 below, shall be decided upon by the Conference of the Parties serving as the meeting of the Parties to this Protocol at its ﬁrst session.
Methodologies for estimating anthropogenic emissions by sources and removals by sinks of all greenhouse gases not controlled by the Montreal Protocol shall be those accepted by the Intergovernmental Panel on Climate Change and agreed upon by the Conference of the Parties at its third session.
Where such methodologies are not used, appropriate adjust­ ments shall be applied according to methodologies agreed upon by the Conference of the Parties serving as the meeting of the Parties to this Protocol at its ﬁrst session.
Based on the work of, inter alia, the Intergovernmental Panel on Climate Change and advice provided by the Subsidiary Body for Scientiﬁc and Technological Advice, the Conference of the Parties serving as the meeting of the Parties to this Proto­ col shall regularly review and, as appropriate, revise such methodologies and adjustments, taking fully into account any relevant decisions by the Conference of the Parties.
Any re­ vision to methodologies or adjustments shall be used only for the purposes of ascertaining compliance with commitments under Article 3 in respect of any commitment period adopted subsequent to that revision.
The global warming potentials used to calculate the carbon dioxide equivalence of anthropogenic emissions by sources and removals by sinks of greenhouse gases listed in Annex A shall be those accepted by the Intergovernmental Panel on Cli­ mate Change and agreed upon by the Conference of the Parties at its third session.
Based on the work of, inter alia, the Inter­ governmental Panel on Climate Change and advice provided by the Subsidiary Body for Scientiﬁc and Technological Ad­ vice, the Conference of the Parties serving as the meeting of Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble Article 6 1. the Parties to this Protocol shall regularly review and, as appro­ priate, revise the global warming potential of each such green­ house gas, taking fully into account any relevant decisions by the Conference of the Parties.
Any revision to a global warm­ ing potential shall apply only to commitments under Article 3 in respect of any commitment period adopted subsequent to that revision.
For the purpose of meeting its commitments under Article 3, any Party included in Annex I may transfer to, or acquire from, any other such Party emission reduction units result­ ing from projects aimed at reducing anthropogenic emissions by sources or enhancing anthropogenic removals by sinks of greenhouse gases in any sector of the economy, provided that: Any such project has the approval of the Parties in­ (a) volved; (c) (b) Any such project provides a reduction in emissions by sources, or an enhancement of removals by sinks, that is additional to any that would otherwise occur; It does not acquire any emission reduction units if it is not in compliance with its obligations under Articles 5 and 7; and The acquisition of emission reduction units shall be sup­ plemental to domestic actions for the purposes of meet­ ing commitments under Article 3.
(d) 2.

3.

4.

The Conference of the Parties serving as the meeting of the Parties to this Protocol may, at its ﬁrst session or as soon as practicable thereafter, further elaborate guidelines for the im­ plementation of this Article, including for veriﬁcation and re­ porting.

A Party included in Annex I may authorize legal entities to participate, under its responsibility, in actions leading to the generation, transfer or acquisition under this Article of emis­ sion reduction units.
If a question of implementation by a Party included in Annex I of the requirements referred to in this Article is identiﬁed in accordance with the relevant provisions of Article 8, transfers and acquisitions of emission reduction units may continue to be made after the question has been identiﬁed, provided that 287 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 any such units may not be used by a Party to meet its com­ mitments under Article 3 until any issue of compliance is re­ solved.
Each Party included in Annex I shall incorporate in its an­ nual inventory of anthropogenic emissions by sources and re­ movals by sinks of greenhouse gases not controlled by the Montreal Protocol, submitted in accordance with the relevant decisions of the Conference of the Parties, the necessary sup­ plementary information for the purposes of ensuring compli­ ance with Article 3, to be determined in accordance with para­ graph 4 below.
Each Party included in Annex I shall incorporate in its national communication, submitted under Article 12 of the Conven­ tion, the supplementary information necessary to demonstrate compliance with its commitments under this Protocol, to be determined in accordance with paragraph 4 below.
Each Party included in Annex I shall submit the information required under paragraph 1 above annually, beginning with the ﬁrst inventory due under the Convention for the ﬁrst year of the commitment period after this Protocol has entered into force for that Party.
Each such Party shall submit the information required under paragraph 2 above as part of the ﬁrst national communication due under the Convention after this Protocol has entered into force for it and after the adoption of guidelines as provided for in paragraph 4 below.
The frequency of sub­ sequent submission of information required under this Article shall be determined by the Conference of the Parties serving as the meeting of the Parties to this Protocol, taking into account any timetable for the submission of national communications decided upon by the Conference of the Parties.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall adopt at its ﬁrst session, and re­ view periodically thereafter, guidelines for the preparation of the information required under this Article, taking into account guidelines for the preparation of national communications by Parties included in Annex I adopted by the Conference of the Parties.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall also, prior to the ﬁrst com­ Article 7 1.

2.

3.

4.

288 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble Article 8 1.

2.

3.

4. mitment period, decide upon modalities for the accounting of assigned amounts.
The information submitted under Article 7 by each Party in­ cluded in Annex I shall be reviewed by expert review teams pursuant to the relevant decisions of the Conference of the Par­ ties and in accordance with guidelines adopted for this purpose by the Conference of the Parties serving as the meeting of the Parties to this Protocol under paragraph 4 below.
The informa­ tion submitted under Article 7, paragraph 1, by each Party in­ cluded in Annex I shall be reviewed as part of the annual com­ pilation and accounting of emissions inventories and assigned amounts.

Additionally, the information submitted under Art­ icle 7, paragraph 2, by each Party included in Annex I shall be reviewed as part of the review of communications.
Expert review teams shall be coordinated by the secretariat and shall be composed of experts selected from those nomin­ ated by Parties to the Convention and, as appropriate, by in­ tergovernmental organizations, in accordance with guidance provided for this purpose by the Conference of the Parties.

The review process shall provide a thorough and comprehen­ sive technical assessment of all aspects of the implementation by a Party of this Protocol.
The expert review teams shall pre­ pare a report to the Conference of the Parties serving as the meeting of the Parties to this Protocol, assessing the imple­ mentation of the commitments of the Party and identifying any potential problems in, and factors inﬂuencing, the fulﬁlment of commitments.

Such reports shall be circulated by the secre­ tariat to all Parties to the Convention.
The secretariat shall list those questions of implementation indicated in such reports for further consideration by the Conference of the Parties serving as the meeting of the Parties to this Protocol.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall adopt at its ﬁrst session, and re­ view periodically thereafter, guidelines for the review of im­ plementation of this Protocol by expert review teams taking into account the relevant decisions of the Conference of the Parties.
289 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 The Conference of the Parties serving as the meeting of the Parties to this Protocol shall, with the assistance of the Sub­ sidiary Body for Implementation and, as appropriate, the Sub­ sidiary Body for Scientiﬁc and Technological Advice, con­ sider: (a) The information submitted by Parties under Article 7 and the reports of the expert reviews thereon con­ ducted under this Article; and Those questions of implementation listed by the secre­ tariat under paragraph 3 above, as well as any questions raised by Parties.
(b) Pursuant to its consideration of the information referred to in paragraph 5 above, the Conference of the Parties serving as the meeting of the Parties to this Protocol shall take decisions on any matter required for the implementation of this Protocol.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall periodically review this Protocol in the light of the best available scientiﬁc information and as­ sessments on climate change and its impacts, as well as rele­ vant technical, social and economic information.

Such re­ views shall be coordinated with pertinent reviews under the Convention, in particular those required by Article 4, para­ graph 2(d), and Article 7, paragraph 2(a), of the Convention.
Based on these reviews, the Conference of the Parties serving as the meeting of the Parties to this Protocol shall take appro­ priate action.

The ﬁrst review shall take place at the second session of the Conference of the Parties serving as the meeting of the Parties to this Protocol.

Further reviews shall take place at regular intervals and in a timely manner.
All Parties, taking into account their common but differenti­ ated responsibilities and their speciﬁc national and regional development priorities, objectives and circumstances, without introducing any new commitments for Parties not included in Annex I, but reafﬁrming existing commitments under Article 4, paragraph 1, of the Convention, and continuing to advance 5.

6.

Article 9 1.

2.
Article 10 290 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble the implementation of these commitments in order to achieve sustainable development, taking into account Article 4, para­ graphs 3, 5 and 7, of the Convention, shall: (a) (b) Formulate, where relevant and to the extent possible, cost­effective national and, where appropriate, regional programmes to improve the quality of local emission factors, activity data and/or models which reﬂect the socio­economic conditions of each Party for the prep­ aration and periodic updating of national inventories of anthropogenic emissions by sources and removals by sinks of all greenhouse gases not controlled by the Montreal Protocol, using comparable methodologies to be agreed upon by the Conference of the Parties, and consistent with the guidelines for the preparation of na­ tional communications adopted by the Conference of the Parties; Formulate, implement, publish and regularly update national and, where appropriate, regional programmes containing measures to mitigate climate change and measures to facilitate adequate adaptation to climate change: (i) inter alia, concern Such programmes would, transport and industry sectors as the energy, well as agriculture, forestry and waste manage­ ment.
Furthermore, adaptation technologies and methods for improving spatial planning would improve adaptation to climate change; and Parties included in Annex I shall submit infor­ mation on action under this Protocol, including national programmes, in accordance with Art­ icle 7; and other Parties shall seek to include in their national communications, as appropriate, information on programmes which contain meas­ ures that the Party believes contribute to address­ ing climate change and its adverse impacts, in­ cluding the abatement of increases in greenhouse gas emissions, and enhancement of and removals by sinks, capacity building and adaptation meas­ ures; (ii) 291 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 (c) (d) (e) Cooperate in the promotion of effective modalities for the development, application and diffusion of, and take all practicable steps to promote, facilitate and ﬁnance, as appropriate, the transfer of, or access to, environmen­ tally sound technologies, know­how, practices and pro­ cesses pertinent to climate change, in particular to de­ veloping countries, including the formulation of poli­ cies and programmes for the effective transfer of envi­ ronmentally sound technologies that are publicly owned or in the public domain and the creation of an enabling environment for the private sector, to promote and en­ hance the transfer of, and access to, environmentally sound technologies; Cooperate in scientiﬁc and technical research and promote the maintenance and the development of systematic observation systems and development of data archives to reduce uncertainties related to the climate system, the adverse impacts of climate change and the economic and social consequences of various response strategies, and promote the development and strengthening of endogenous capacities and capabilities to participate in international and intergovernmental efforts, programmes and networks on research and systematic observation, taking into account Article 5 of the Convention;
 Cooperate in and promote at the international level, and, where appropriate, using existing bodies, the develop­ ment and implementation of education and training pro­ grammes, including the strengthening of national cap­ acity building, in particular human and institutional cap­ acities and the exchange or secondment of personnel to train experts in this ﬁeld, in particular for develop­ ing countries, and facilitate at the national level public awareness of, and public access to information on, cli­ mate change.
Suitable modalities should be developed to implement these activities through the relevant bod­ ies of the Convention, taking into account Article 6 of the Convention; 292 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble Article 11 1.

2.
2.

(f) Include in their national communications information on programmes and activities undertaken pursuant to this Article in accordance with relevant decisions of the Conference of the Parties; and (g) Give full consideration, in implementing the commit­ ments under this Article, to Article 4, paragraph 8, of the Convention.

In the implementation of Article 10, Parties shall take into ac­ count the provisions of Article 4, paragraphs 4, 5, 7, 8 and 9, of the Convention.
In the context of the implementation of Article 4, paragraph 1, of the Convention, in accordance with the provisions of Article 4, paragraph 3, and Article 11 of the Convention, and through the entity or entities entrusted with the operation of the ﬁnan­ cial mechanism of the Convention, the developed country Par­ ties and other developed Parties included in Annex II to the Convention shall: (a) Provide new and additional ﬁnancial resources to meet the agreed full costs incurred by developing country Parties in advancing the implementation of existing commitments under Article 4, paragraph 1(a), of the Convention that are covered in Article 10, subpara­ graph (a); and (b) Also provide such ﬁnancial resources, including for the transfer of technology, needed by the developing coun­ try Parties to meet the agreed full incremental costs of advancing the implementation of existing commitments under Article 4, paragraph 1, of the Convention that are covered by Article 10 and that are agreed between a de­ veloping country Party and the international entity or entities referred to in Article 11 of the Convention, in accordance with that Article.
The implementation of these existing commitments shall take into account the need for adequacy and predictability in the ﬂow of funds and the importance of appropriate burden shar­ ing among developed country Parties.
The guidance to the entity or entities entrusted with the operation of the ﬁnancial mechanism of the Convention in relevant decisions of the Con­ 293 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 3. ference of the Parties, including those agreed before the adop­ tion of this Protocol, shall apply mutatis mutandis to the pro­ visions of this paragraph.
The developed country Parties and other developed Parties in Annex II to the Convention may also provide, and developing country Parties avail themselves of, ﬁnancial resources for the implementation of Article 10, through bilateral, regional and other multilateral channels.

Article 12 1.

2.

3.

4.

5.

(b) A clean development mechanism is hereby deﬁned.
The purpose of the clean development mechanism shall be to assist Parties not included in Annex I in achieving sustainable development and in contributing to the ultimate objective of the Convention, and to assist Parties included in Annex I in achieving compliance with their quantiﬁed emission limitation and reduction commitments under Article 3.
Under the clean development mechanism: (a) Parties not included in Annex I will beneﬁt from project activities resulting in certiﬁed emission reductions; and Parties included in Annex I may use the certiﬁed emis­ sion reductions accruing from such project activities to contribute to compliance with part of their quantiﬁed emission limitation and reduction commitments under Article 3, as determined by the Conference of the Par­ ties serving as the meeting of the Parties to this Protocol.
The clean development mechanism shall be subject to the au­ thority and guidance of the Conference of the Parties serving as the meeting of the Parties to this Protocol and be supervised by an executive board of the clean development mechanism.
Emission reductions resulting from each project activity shall be certiﬁed by operational entities to be designated by the Con­ ference of the Parties serving as the meeting of the Parties to this Protocol, on the basis of: (a) Voluntary participation approved by each Party in­ volved; Real, measurable, and long­term beneﬁts related to the mitigation of climate change; and (b) 294 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 6.

7.

8.

9.

10.

Article 13 1.

2.


(c) Reductions in emissions that are additional to any that would occur in the absence of the certiﬁed project ac­ tivity.

The clean development mechanism shall assist in arranging funding of certiﬁed project activities as necessary.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall, at its ﬁrst session, elaborate modalities and procedures with the objective of ensuring transparency, efﬁciency and accountability through independ­ ent auditing and veriﬁcation of project activities.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall ensure that a share of the proceeds from certiﬁed project activities is used to cover administrative expenses as well as to assist developing country Parties that are particularly vulnerable to the adverse effects of climate change to meet the costs of adaptation.
Participation under the clean development mechanism, includ­ ing in activities mentioned in paragraph 3(a) above and in the acquisition of certiﬁed emission reductions, may involve pri­ vate and/or public entities, and is to be subject to whatever guidance may be provided by the executive board of the clean development mechanism.
Certiﬁed emission reductions obtained during the period from the year 2000 up to the beginning of the ﬁrst commitment period can be used to assist in achieving compliance in the ﬁrst commitment period.
The Conference of the Parties, the supreme body of the Con­ vention, shall serve as the meeting of the Parties to this Proto­ col. Parties to the Convention that are not Parties to this Protocol may participate as observers in the proceedings of any session of the Conference of the Parties serving as the meeting of the Parties to this Protocol.
When the Conference of the Parties serves as the meeting of the Parties to this Protocol, decisions under this Protocol shall be taken only by those that are Parties to this Protocol.

295 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 3.
When the Conference of the Parties serves as the meeting of the Parties to this Protocol, any member of the Bureau of the Conference of the Parties representing a Party to the Conven­ tion but, at that time, not a Party to this Protocol, shall be replaced by an additional member to be elected by and from amongst the Parties to this Protocol.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall keep under regular review the im­ plementation of this Protocol and shall make, within its man­ date, the decisions necessary to promote its effective imple­ mentation.

It shall perform the functions assigned to it by this Protocol and shall: (a) 4.
Assess, on the basis of all information made available to it in accordance with the provisions of this Protocol, the implementation of this Protocol by the Parties, the overall effects of the measures taken pursuant to this Protocol, in particular environmental, economic and so­ cial effects as well as their cumulative impacts and the extent to which progress towards the objective of the Convention is being achieved; Periodically examine the obligations of the Parties under this Protocol, giving due consideration to any re­ views required by Article 4, paragraph 2(d), and Article 7, paragraph 2, of the Convention, in the light of the objective of the Convention, the experience gained in its implementation and the evolution of scientiﬁc and technological knowledge, and in this respect consider and adopt regular reports on the implementation of this Protocol; Promote and facilitate the exchange of information on measures adopted by the Parties to address climate change and its effects, taking into account the differing circumstances, responsibilities and capabilities of the Parties and their respective commitments under this Protocol; Facilitate, at the request of two or more Parties, the co­ ordination of measures adopted by them to address cli­ mate change and its effects, taking into account the dif­ fering circumstances, responsibilities and capabilities (b) (c) (d) 296 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble (e) of the Parties and their respective commitments under this Protocol; Promote and guide, in accordance with the objective of the Convention and the provisions of this Protocol, and taking fully into account the relevant decisions by the Conference of the Parties, the development and periodic reﬁnement of comparable methodologies for the effect­ ive implementation of this Protocol, to be agreed on by the Conference of the Parties serving as the meeting of the Parties to this Protocol; (f) Make recommendations on any matters necessary for (g) (h) (i) (j) the
 implementation of this Protocol; Seek to mobilize additional ﬁnancial resources in ac­ cordance with Article 11, paragraph 2; Establish such subsidiary bodies as are deemed neces­ sary for the implementation of this Protocol; Seek and utilize, where appropriate, the services and cooperation of, and information provided by, competent international organizations and intergovernmental and non­governmental bodies; and Exercise such other functions as may be required for the implementation of this Protocol, and consider any assignment resulting from a decision by the Conference of the Parties.
The rules of procedure of the Conference of the Parties and ﬁ­ nancial procedures applied under the Convention shall be ap­ plied mutatis mutandis under this Protocol, except as may be otherwise decided by consensus by the Conference of the Par­ ties serving as the meeting of the Parties to this Protocol.
The ﬁrst session of the Conference of the Parties serving as the meeting of the Parties to this Protocol shall be convened by the secretariat in conjunction with the ﬁrst session of the Confer­ ence of the Parties that is scheduled after the date of the entry into force of this Protocol.
Subsequent ordinary sessions of the Conference of the Parties serving as the meeting of the Parties to this Protocol shall be held every year and in conjunction with ordinary sessions of the Conference of the Parties, unless otherwise decided by the Conference of the Parties serving as the meeting of the Parties to this Protocol.

297 5.

6.
Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 Extraordinary sessions of the Conference of the Parties serv­ ing as the meeting of the Parties to this Protocol shall be held at such other times as may be deemed necessary by the Con­ ference of the Parties serving as the meeting of the Parties to this Protocol, or at the written request of any Party, provided that, within six months of the request being communicated to the Parties by the secretariat, it is supported by at least one third of the Parties.
The United Nations, its specialized agencies and the Inter­ national Atomic Energy Agency, as well as any State mem­ ber thereof or observers thereto not party to the Convention, may be represented at sessions of the Conference of the Par­ ties serving as the meeting of the Parties to this Protocol as observers.
Any body or agency, whether national or inter­ national, governmental or non­governmental, which is qual­ iﬁed in matters covered by this Protocol and which has in­ formed the secretariat of its wish to be represented at a ses­ sion of the Conference of the Parties serving as the meeting of the Parties to this Protocol as an observer, may be so admitted unless at least one third of the Parties present object.
The ad­ mission and participation of observers shall be subject to the rules of procedure, as referred to in paragraph 5 above.

The secretariat established by Article 8 of the Convention shall serve as the secretariat of this Protocol.

Article 8, paragraph 2, of the Convention on the functions of the secretariat, and Article 8, paragraph 3, of the Convention on arrangements made for the functioning of the secretariat, shall apply mutatis mutandis to this Protocol.
The secretariat shall, in addition, exercise the functions assigned to it under this Protocol.

The Subsidiary Body for Scientiﬁc and Technological Advice and the Subsidiary Body for Implementation established by Articles 9 and 10 of the Convention shall serve as, respect­ ively, the Subsidiary Body for Scientiﬁc and Technological Advice and the Subsidiary Body for Implementation of this Protocol.

The provisions relating to the functioning of these 7.

8.

Article 14 1.

2.

Article 15 1.


298 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble two bodies under the Convention shall apply mutatis mutandis to this Protocol.
Sessions of the meetings of the Subsidiary Body for Scientiﬁc and Technological Advice and the Sub­ sidiary Body for Implementation of this Protocol shall be held in conjunction with the meetings of, respectively, the Sub­ sidiary Body for Scientiﬁc and Technological Advice and the Subsidiary Body for Implementation of the Convention.

Parties to the Convention that are not Parties to this Protocol may participate as observers in the proceedings of any session of the subsidiary bodies.
When the subsidiary bodies serve as the subsidiary bodies of this Protocol, decisions under this Protocol shall be taken only by those that are Parties to this Protocol.

2.

3.
2.

3.

When the subsidiary bodies established by Articles 9 and 10 of the Convention exercise their functions with regard to matters concerning this Protocol, any member of the Bureaux of those subsidiary bodies representing a Party to the Convention but, at that time, not a party to this Protocol, shall be replaced by an additional member to be elected by and from amongst the Parties to this Protocol.
Article 16 Article 17 The Conference of the Parties serving as the meeting of the Parties to this Protocol shall, as soon as practicable, consider the application to this Protocol of, and modify as appropriate, the multilateral consultative process referred to in Article 13 of the Convention, in the light of any relevant decisions that may be taken by the Conference of the Parties.
Any multilateral consultative process that may be applied to this Protocol shall operate without prejudice to the procedures and mechanisms established in accordance with Article 18.

The Conference of the Parties shall deﬁne the relevant princi­ ples, modalities, rules and guidelines, in particular for veriﬁca­ tion, reporting and accountability for emissions trading.

The Parties included in Annex B may participate in emissions trad­ ing for the purposes of fulﬁlling their commitments under Art­ icle 3.
Any such trading shall be supplemental to domestic ac­ 299 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 tions for the purpose of meeting quantiﬁed emission limitation and reduction commitments under that Article.
The Conference of the Parties serving as the meeting of the Parties to this Protocol shall, at its ﬁrst session, approve appro­ priate and effective procedures and mechanisms to determine and to address cases of non­compliance with the provisions of this Protocol, including through the development of an indica­ tive list of consequences, taking into account the cause, type, degree and frequency of non­compliance.
Any procedures and mechanisms under this Article entailing binding consequences shall be adopted by means of an amendment to this Protocol.

The provisions of Article 14 of the Convention on settlement of disputes shall apply mutatis mutandis to this Protocol.

Any Party may propose amendments to this Protocol.

Amendments to this Protocol shall be adopted at an ordinary session of the Conference of the Parties serving as the meet­ ing of the Parties to this Protocol.
The text of any proposed amendment to this Protocol shall be communicated to the Par­ ties by the secretariat at least six months before the meeting at which it is proposed for adoption.

The secretariat shall also communicate the text of any proposed amendments to the Par­ ties and signatories to the Convention and, for information, to the Depositary.

The Parties shall make every effort to reach agreement on any proposed amendment to this Protocol by consensus.
If all efforts at consensus have been exhausted, and no agreement reached, the amendment shall as a last resort be adopted by a three­fourths majority vote of the Parties present and voting at the meeting.

The adopted amendment shall be communicated by the secretariat to the Depositary, who shall circulate it to all Parties for their acceptance.

Instruments of acceptance in respect of an amendment shall be deposited with the Depositary.
An amendment adopted in accordance with paragraph 3 above shall enter into force for those Parties having accepted it on the ninetieth day after the Article 18 Article 19 Article 20 1.

2.

3.

4.

300 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 5. date of receipt by the Depositary of an instrument of accept­ ance by at least three fourths of the Parties to this Protocol.
The amendment shall enter into force for any other Party on the ninetieth day after the date on which that Party deposits with the Depositary its instrument of acceptance of the said amendment.

Article 21 1.

2.

3.

4.

5.

Annexes to this Protocol shall form an integral part thereof and, unless otherwise expressly provided, a reference to this Protocol constitutes at the same time a reference to any an­ nexes thereto.
Any annexes adopted after the entry into force of this Protocol shall be restricted to lists, forms and any other material of a descriptive nature that is of a scientiﬁc, technical, procedural or administrative character.

Any Party may make proposals for an annex to this Protocol and may propose amendments to annexes to this Protocol.
Annexes to this Protocol and amendments to annexes to this Protocol shall be adopted at an ordinary session of the Confer­ ence of the Parties serving as the meeting of the Parties to this Protocol.

The text of any proposed annex or amendment to an annex shall be communicated to the Parties by the secretariat at least six months before the meeting at which it is proposed for adoption.
The secretariat shall also communicate the text of any proposed annex or amendment to an annex to the Par­ ties and signatories to the Convention and, for information, to the Depositary.

The Parties shall make every effort to reach agreement on any proposed annex or amendment to an annex by consensus.
If all efforts at consensus have been exhausted, and no agree­ ment reached, the annex or amendment to an annex shall as a last resort be adopted by a three­fourths majority vote of the Parties present and voting at the meeting.

The adopted annex or amendment to an annex shall be communicated by the sec­ retariat to the Depositary, who shall circulate it to all Parties for their acceptance.
An annex, or amendment to an annex other than Annex A or B, that has been adopted in accordance with paragraphs 3 and 4 above shall enter into force for all Parties to this Protocol 301 Preamble Climate Change Response Act 2002 Reprinted as at 26 September 2008 six months after the date of the communication by the Depos­ itary to such Parties of the adoption of the annex or adoption of the amendment to the annex, except for those Parties that have notiﬁed the Depositary, in writing, within that period of their non­acceptance of the annex or amendment to the annex.
The annex or amendment to an annex shall enter into force for Parties which withdraw their notiﬁcation of non­acceptance on the ninetieth day after the date on which withdrawal of such notiﬁcation has been received by the Depositary.

If the adoption of an annex or an amendment to an annex in­ volves an amendment to this Protocol, that annex or amend­ ment to an annex shall not enter into force until such time as the amendment to this Protocol enters into force.
Amendments to Annexes A and B to this Protocol shall be adopted and enter into force in accordance with the procedure set out in Article 20, provided that any amendment to Annex B shall be adopted only with the written consent of the Party concerned.

Each Party shall have one vote, except as provided for in para­ graph 2 below.
in matters Regional economic integration organizations, within their competence, shall exercise their right to vote with a number of votes equal to the number of their member States that are Parties to this Protocol.

Such an organization shall not exercise its right to vote if any of its member States exercises its right, and vice versa.

The Secretary­General of the United Nations shall be the De­ positary of this Protocol.
This Protocol shall be open for signature and subject to rati­ ﬁcation, acceptance or approval by States and regional eco­ nomic integration organizations which are Parties to the Con­ vention.

It shall be open for signature at United Nations Head­ quarters in New York from 16 March 1998 to 15 March 1999.

This Protocol shall be open for accession from the day after the date on which it is closed for signature.

Instruments of ratiﬁ­ 6.

7.

Article 22 1.

2.

Article 23 Article 24 1.


302 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Preamble 2.

3.

Article 25 1.

2.

3. cation, acceptance, approval or accession shall be deposited with the Depositary.

Any regional economic integration organization which be­ comes a Party to this Protocol without any of its member States being a Party shall be bound by all the obligations under this Protocol.
In the case of such organizations, one or more of whose member States is a Party to this Protocol, the organization and its member States shall decide on their respective responsibilities for the performance of their obli­ gations under this Protocol.

In such cases, the organization and the member States shall not be entitled to exercise rights under this Protocol concurrently.
In their instruments of ratiﬁcation, acceptance, approval or ac­ cession, regional economic integration organizations shall de­ clare the extent of their competence with respect to the matters governed by this Protocol.

These organizations shall also in­ form the Depositary, who shall in turn inform the Parties, of any substantial modiﬁcation in the extent of their competence.
This Protocol shall enter into force on the ninetieth day after the date on which not less than 55 Parties to the Convention, incorporating Parties included in Annex I which accounted in total for at least 55 per cent of the total carbon dioxide emis­ sions for 1990 of the Parties included in Annex I, have de­ posited their instruments of ratiﬁcation, acceptance, approval or accession.
For the purposes of this Article, the total carbon dioxide emissions for 1990 of the Parties included in Annex I means the amount communicated on or before the date of adoption of this Protocol by the Parties included in Annex I in their ﬁrst national communications submitted in accordance with Art­ icle 12 of the Convention.
For each State or regional economic integration organization that ratiﬁes, accepts or approves this Protocol or accedes thereto after the conditions set out in paragraph 1 above for entry into force have been fulﬁlled, this Protocol shall enter into force on the ninetieth day following the date of 303 Schedule A Climate Change Response Act 2002 Reprinted as at 26 September 2008 4. deposit of its instrument of ratiﬁcation, acceptance, approval or accession.
For the purposes of this Article, any instrument deposited by a regional economic integration organization shall not be counted as additional to those deposited by States members of the organization.

Article 26 Article 27 No reservations may be made to this Protocol.

1.

2.

3.

At any time after three years from the date on which this Proto­ col has entered into force for a Party, that Party may withdraw from this Protocol by giving written notiﬁcation to the Depos­ itary.
Any such withdrawal shall take effect upon expiry of one year from the date of receipt by the Depositary of the notiﬁcation of withdrawal, or on such later date as may be speciﬁed in the notiﬁcation of withdrawal.

Any Party that withdraws from the Convention shall be con­ sidered as also having withdrawn from this Protocol.
Article 28 The original of this Protocol, of which the Arabic, Chinese, English, French, Russian and Spanish texts are equally authen­ tic, shall be deposited with the Secretary­General of the United Nations.

DONE at Kyoto this eleventh day of December one thousand nine hundred and ninety­seven.

IN WITNESS WHEREOF the undersigned, being duly authorized to that effect, have afﬁxed their signatures to this Protocol on the dates indicated.
Annex A Greenhouse gases Carbon dioxide (CO2) Methane (CH4) Nitrous oxide (N2O) 304 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule A Hydroﬂuorocarbons (HFCs) Perﬂuorocarbons (PFCs) Sulphur hexaﬂuoride (SF6) Sectors/source categories Energy • • Energy industries Manufacturing industries and construction Transport Other sectors Other Fuel combustion • • • • • Fugitive emissions from fuels • • • Mineral products Chemical industry Metal production Other production Production of halocarbons and sulphur hexaﬂuoride Consumption of halocarbons and sulphur hexaﬂuoride Other Solid fuels Oil and natural gas Other Industrial processes • • • • • • • Solvent and other product use Agriculture • • • • • • • Enteric fermentation Manure management Rice cultivation Agricultural soils Prescribed burning of savannas Field burning of agricultural residues Other 305 Schedule B Climate Change Response Act 2002 Reprinted as at 26 September 2008 Waste • • • • Solid waste disposal on land Wastewater handling Waste incineration Other Annex B Quantiﬁed emission limitation or reduction commitment (percentage of base year or period) 108 92 92 92 94 95 92 92 92 92 92 92 92 92 94 Party Australia Austria Belgium Bulgaria* Canada Croatia* Czech Republic* Denmark Estonia* European Community Finland France Germany Greece Hungary* 306 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule B Party Iceland Ireland Italy Japan Latvia* Liechtenstein Lithuania* Luxembourg Monaco Netherlands New Zealand Norway Poland* Portugal Romania* Russian Federation* Slovakia* Slovenia* Spain Sweden Switzerland Quantiﬁed emission limitation or reduction commitment (percentage of base year or period) 110 92 92 94 92 92 92 92 92 92 100 101 94 92 92 100 92 92 92 92 92 307 Schedule B Climate Change Response Act 2002 Reprinted as at 26 September 2008 Party Ukraine* United Kingdom of Great Britain Northern Ireland United States of America Quantiﬁed emission limitation or reduction commitment (percentage of base year or
 period) 100 92 93 * Countries that are undergoing the process of transition to a market economy.
308 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule 3 Schedule 3 ss 2A, 4(1), 18CC, 18CD, 30F, 54 to 56, 59, 60, 62, 63, 65, 67, 73, 74, 76, 89, 92, 107, 118, 129, 150, 157, 158, 160, 168, 180 to 182, 186, 187, 196, 198, 201, 202, 204 to 207, 213, 216 to 219, 221 Activities with respect to which persons must be participants Schedule 3: added, on 26 September 2008, by section 52 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Part 1 Forestry (applies on and after 1 January 2008) Deforesting pre­1990 forest land other than exempt land, if the area deforested is more than 2 hectares in the 5­year period commencing on 1 January 2008, or in any subsequent 5­year period after that.
Part 2 Liquid fossil fuels (applies, subject to sections 218 and 219, on and after 1 January 2009) Owning obligation fuel— (a) at the time the obligation fuel is— (i) removed for home consumption in accordance with the Customs and Excise Act 1996; or otherwise removed from a reﬁnery, other than for ex­ port; and (ii) (b) if the total amount of the obligation fuel removed under para­ graph (a) exceeds 50 000 litres in a year.

Part 3 Stationary energy (applies on and after 1 January 2010) Importing coal.
309 Schedule 3 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Part 3—continued Mining coal where the volume of coal mined exceeds 2 000 tonnes in a year.

Importing natural gas where the volume of natural gas imported ex­ ceeds 10 000 litres in a year.

Mining natural gas, other than for export.

Using geothermal ﬂuid for the purpose of generating electricity or industrial heat.
Combusting used oil, waste oil, used tyres, or waste for the purpose of generating electricity or industrial heat.

Reﬁning petroleum where the reﬁning involves the use of intermedi­ ate crude oil products (for example, reﬁnery fuels and gases) for en­ ergy or feedstock purposes.

Part 4 Industrial processes Subpart 1 (applies on and after 1 January 2010) Producing iron or steel.

Producing aluminium, resulting in the consumption of anodes or the production of anode effects.
Producing clinker, or burnt lime, resulting in calcination of lime­ stone, or calcium carbonates.

Producing glass using soda ash.

Producing gold.

Producing cable using a nitrogen cure process.

Subpart 2 (applies, subject to sections 218 and 219, on and after 1 January 2011) Importing sulphur hexaﬂuoride, including sulphur hexaﬂuoride con­ tained in goods.
310 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule 3 Part 4—continued Importing hydro ﬂuorocarbons or per ﬂuorocarbons, including hydro ﬂuorocarbons or per ﬂuorocarbons contained in goods, other than goods that— (a) are household goods, or other effects of a passenger of a ship or aircraft (accompanied or unaccompanied), that are not in­ tended for gift, sale, or exchange; or have medical uses necessary for human health, metered dose inhalers.
including (b) Manufacturing sulphur hexaﬂuoride, hydro ﬂuorocarbons or per ﬂu­ orocarbons, other than through producing aluminium resulting in the consumption of anodes or the production of anode effects.

Part 5 Agriculture Subpart 1—Fertiliser (processor) (applies, subject to sections 218 and 219, on and after 1 January 2011 unless subpart 2 brought into force) Importing or manufacturing synthetic fertilisers containing nitrogen.
Subpart 2—Fertiliser (farmer) (applies, subject to sections 218 and 219, from 1 January 2011, if determined by Order in Council) Purchasing, other than for on­selling, synthetic fertiliser containing nitrogen.
Subpart 3—Animals (processor) (applies, subject to sections 218 and 219, on and after 1 January 2011 unless subpart 4 brought into force) Slaughtering ruminant animals, pigs, horses, or poultry by a person who— (a) is the operator of a risk management programme registered under the Animal Products Act 1999; and 311 Schedule 3 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Part 5—continued (b) is not a retail butcher, as deﬁned in section 4(1) of the Animal Products Act 1999.
Dairy processing of milk or colostrum.

Subpart 4—Animals (farmer) (applies, subject to sections 218 and 219, from 1 January 2011, if determined by Order in Council) Farming, raising, growing, or keeping ruminant animals, pigs, horses, or poultry for— reward; or (a) the purpose of trade in those animals, or in animal material or (b) animal products taken or derived from those animals.

Part 6 Waste (applies, subject to sections 218 and 219, on and after 1 January 2011) Operating a disposal facility.
312 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule 4 Schedule 4 ss 2A, 4(1), 18CC, 18CD, 54, 57, 59, 62, 63, 65 to 67, 73, 74, 76, 89, 92, 107, 118, 143, 150, 154, 157, 160 to 162, 167, 168, 182, 187 to 193, 197 to 202, 208, 221 Activities with respect to which persons may be participants Schedule 4: added, on 26 September 2008, by section 52 of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Part 1 Forestry removal activities (applies on and after 1 January 2008) Owning post­1989 forest land, other than post­1989 forest land that is subject to a forest sink covenant registered under section 67ZD of the Forests Act 1949.

Holding a registered forestry right or being the leaseholder under a registered lease of post­1989 forest land, other than post­1989 forest land that is subject to a forest sink covenant registered under section 67ZD of the Forests Act 1949.
Being a party to a Crown conservation contract.
Part 2 Other removal activities Subpart 1 (applies on and after 1 January 2010) Producing a product that contains a substance— (a) that— (i) (ii) is permanently embedded in the product; or is temporarily embedded in the product, and the product is exported with the substance embedded; and that would result in emissions if not embedded; and where— (i) a person is required to surrender units under this Act in respect of the emissions that would result if the sub­ stance was not embedded; and (b) (c) 313 Schedule 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Part 2—continued (ii) (iii) the result of the substance being embedded in the cir­ cumstances in paragraph (a)(i) or (ii) is a reduction from emissions reported in New Zealand’s annual inventory report under the Convention or Protocol or any emis­ sions report from New Zealand under a successor inter­ national agreement; and any prescribed threshold is met.
Subpart 2 (applies on and after a date determined by Order in Council) Storing of carbon dioxide after capture, where— (a) a person is required to surrender units under this Act in respect of the emissions that would result if the carbon dioxide was not captured and stored; and the result of the carbon dioxide being captured and stored is a reduction from emissions reported in New Zealand’s an­ nual inventory report under the Convention or Protocol or any emissions report from New Zealand under a successor inter­ national agreement; and any prescribed threshold is met.
(b) (c) Subpart 3 (applies, subject to sections 218, 219, and 220, on and after 1 January 2011) Exporting hydro ﬂuorocarbons, per ﬂuorocarbons, or sulphur hex­ aﬂuoride, including hydro ﬂuorocarbons, per ﬂuorocarbons, or sul­ phur hexaﬂuoride contained in goods, where any prescribed thresh­ old is met.

Destroying hydro ﬂuorocarbons, per ﬂuorocarbons, or sulphur hex­ aﬂuoride where any prescribed threshold is met.
314 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Schedule 4 Part 3 Liquid fossil fuels (applies, subject to sections 218, 219, and 221, on and after 1 January 2008) Purchasing obligation jet fuel from 1 or more participants who carry out an activity listed in Part 2 of Schedule 3, if the obligation jet fuel purchased exceeds 10 million litres per year.
Part 4 Stationary energy (applies on and after 1 January 2009) Purchasing coal from 1 or more participants who mine coal where the total coal purchased exceeds 250 000 tonnes per year.

Purchasing natural gas from 1 or more participants who mine natural gas where the total natural gas purchased exceeds 2 petajoules per year.
Part 5 Agriculture Subpart 1—Fertiliser (applies, subject to sections 218 and 219, if determined by Order in Council) Purchasing, other than for on­selling, synthetic fertiliser containing nitrogen, where the total synthetic fertiliser purchased exceeds the prescribed amount.
Subpart 2—Animals (applies, subject to sections 218 and 219, if determined by Order in Council) Farming, raising, growing, or keeping ruminant animals— (a) (b) for reward; or for the purpose of trade in those animals, or in animal material or animal products taken or derived from those animals; and 315 Schedule 4 Climate Change Response Act 2002 Reprinted as at 26 September 2008 Part 5—continued (c) where the total number of animals, or emissions from those animals, exceeds the prescribed amount.
316 Reprinted as at 26 September 2008 Climate Change Response Act 2002 Climate Change Response (Emissions Trading) Amendment Act 2008 Public Act Date of assent Commencement 2008 No 85 see section 2 1 2 (1) (2) (3) 51 Title This Act is the Climate Change Response (Emissions Trading) Amendment Act 2008.
Commencement Sections 165 and 182 of the Climate Change Response Act 2002 (as inserted by section 50 of this Act) come into force on a date to be appointed by the Governor­General by Order in Council on the recommendation of the Minister responsible for the administration of the Climate Change Response Act 2002 made in accordance with section 53 of this Act.

Sections 77 to 80 of this Act come into force on 1 January 2009.
The rest of this Act comes into force on the day after the date on which it receives the Royal assent.

Regulations upon which consultation has been undertaken before commencement of this section (1) Any consultation undertaken before the commencement of section 50 in respect of the making of any order or regulations or any other matter requiring consultation under the Climate Change Response Act 2002 is to be treated as consultation for the purposes of that Act.
(2) However, section 166(1) and (3) of the Climate Change Response Act 2002 do not apply to any regulations that come into force after the commencement of section 50 but are based on consultation undertaken prior to the commencement of section 50.

317 Notes Climate Change Response Act 2002 Reprinted as at 26 September 2008 Contents 1 2 3 General About this eprint List of amendments incorporated in this eprint (most recent ﬁrst) General This is an eprint of the Climate Change Response Act 2002.
It incorporates all the amendments to the Climate Change Response Act 2002 as at 26 September 2008.

The list of amendments at the end of these notes speciﬁes all the amendments incorporated into this eprint since 3 September 2007.

Relevant provisions of any amending enactments that contain transitional, savings, or application provisions are also included, after the Principal enactment, in chronological order.

About this eprint This eprint has not been ofﬁcialised.
For more information about ofﬁcialisation, please see “Making online legislation ofﬁcial” under “Status of legislation on this site” in the About section of this website.

List of amendments incorporated in this eprint (most recent ﬁrst) Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85) Climate Change Response Act Commencement Order 2007 (SR 2007/336) Property Law Act 2007 (2007 No 91): section 364(1) Climate Change Response Amendment Act 2006 (2006 No 59) Notes 1 2 3 318