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What does the report released in December 2022 mean for farmers, and what happens now?

February 2023

The Section 215 Report outlines several changes to the proposed agricultural emissions pricing system from the proposals released by the Government for consultation in October 2022. Read the report here.

The report says farmers and growers will face relatively low prices for methane and nitrous oxide emissions initially and will have access to incentive payments and sequestration payments. Prices will be set based on a range of factors including progress on emission targets, the impacts on farmers and growers, rural communities, households and Māori agribusiness, and emissions leakage

He Waka Eke Noa industry partners who jointly submitted on emissions pricing say the report is moving in the right direction, while noting there was still work to do on the details.  Read partners’ media release here.

The Section 215 report was a progress report required under the Climate Change Response Act 2002 (CCRA).

The next step is for Cabinet to make final policy decisions on the agricultural emissions pricing system in early-mid 2023. Ministers indicated in a media release the Government aims to introduce legislation by the middle of the year. Read Ministers’ media release here.

More information will be available after Cabinet decisions are made, and until then partners are continuing to work with Government to address issues raised by farmers and growers.

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