Changes to CCS pass vote
The government will be able to change targets for the clean car standard (CCS) under secondary legislation, rather than having to go out to public consultation, after an amendment bill was passed under urgency in Parliament.
Simeon Brown, Minister of Transport, says alterations to the Land Transport (Clean Vehicle Standard) Act will enable changes to emissions goals for imported light vehicles to be made more easily and come as a review of the CCS is currently under way.
“Large changes in technology, fuel efficiency, and consumer trends and preferences means that the clean car importer standard needs to be able to change to ensure Kiwis have access to the types of vehicles they want to buy,” he adds.
The CCS came into effect in January 2023 and sets progressively tougher targets each year for carbon dioxide (CO2) emissions from new and used imported light vehicles.
Under it, importers incur charges on vehicles with a high emissions-to-weight ratio and credits for units with a low emissions-to-weight ratio as the government seeks to make New Zealand’s fleet greener.
Brown, pictured, introduced the Land Transport, (Clean vehicle Standard) Amendment Bill on May 30 in the wake of the government’s budget but its immediate progress was stalled by opposition politicians.
This week, the bill came back to the house under urgency and went through its three readings in two days before being passed into law on June 27 on the back of support from National, Act and NZ First politicians. MPs from Labour and the Green Party voted against the bill.
“The current targets should ensure that New Zealand has an affordable mix of clean vehicles, but the settings put in place by the last government were set without any ability for review regardless of the cost they might put on consumers,” adds Brown.
“The government’s changes mean that in the future, the clean car importer standard will be able to be set by regulation rather than altered through legislation, which can take a long time.”
He notes the passing of the amendment bill also means the scheme will move from a cost recovery approach to operating on a user-pays model “to minimise costs to taxpayers”.
A new charge for importers will kick in from July 1, 2025, with the aim of raising $11.842 million for the government over each of the four financial years up to 2027/28.
