Refinery NZ to enter the ETS as an EITE

14 April 2020

NZX Announcement

Refinery NZ to enter the ETS as an EITE
The Government has approved the making of regulations to bring Refining NZ in to the New Zealand
Emissions Trading Scheme (NZETS) as an Emissions Intensive Trade Exposed (EITE) business with an
industrial allocation of carbon units after the Negotiated Greenhouse Agreement expires at the end
of 2022.
Under the regulations the industrial allocation will be based on 90% of the Company’s 2006-2009
emissions data, in accordance with the Climate Change Response Act 2002. The Climate Change
Response (Emissions Trading Reform) Amendment Bill provides for a 1% per year phase out of rates
of assistance over 2021 to 2030, meaning that the applicable rate of assistance at the time Refining
NZ enters the NZ ETS in 2023 would be 87%.
The Government has signaled that further regulatory reforms, as a result of a review of industrial
allocation policy and electricity allocation factors, may result in very different allocative baselines in
the future, including the amount that the Company is ultimately allocated when it enters the NZETS
in 2023. Refining NZ will continue to engage with Government during this review process.

For further information:
Greg McNeill
Communications and External Affairs Manager
greg.mcneill@refiningnz.com
021 873623