Climate Change Minister Simon Watts recently introduced a new Assessment Framework for Carbon Removals in New Zealand. This framework is a big step in the country’s efforts to tackle climate change beyond just forestry. It allows landholders, farmers, and businesses to join emerging carbon markets. The government also announced reforms to the Climate Change Response Act (CCRA) to make the process smoother and cheaper, helping New Zealand reach its 2050 goal of net-zero emissions.
Watts emphasized the importance of this new framework, saying it’s vital for recognizing non-forestry carbon removals. “It creates new opportunities for landholders and businesses,” he noted. The aim is to promote emissions reductions while supporting economic growth.
Expanding Carbon Removal Options
This framework expands on ideas from the second Emissions Reduction Plan (ERP), which included promises to explore biodiversity credits for natural climate solutions. While forestry will remain central to New Zealand’s strategy, the framework opens doors for other carbon sequestration sources, like soil carbon and marine ecosystems.
Watts pointed out, “We want businesses and organizations to find various ways to lower emissions,” encouraging options for farmers to gain rewards from carbon-removal practices on their farms.
Embracing Nature and Technology
The framework provides a clear process to evaluate carbon removal projects. It ensures that only quality projects can access carbon markets. The Ministry for the Environment (MfE) aims to:
- Identify eligible practices like wetland creation and soil carbon enhancement.
- Support innovation in low-emission technologies.
- Create systems recognizing co-benefits, such as improved water quality and habitat restoration.
Recent trends show that many countries are exploring diverse carbon removal options, incorporating both nature-based solutions and advanced technologies such as biochar.
Streamlining Climate Regulations
Alongside the new framework, the government announced changes to the CCRA to simplify rules and reduce overlaps between agencies. Watts acknowledged that the current system can be overly complicated, leading to high compliance costs. He stated, “These changes aim for efficiency without lowering our ambitions.”
Key reforms include:
- Removing unnecessary advice requirements for the Climate Change Commission.
- Simplifying consultations to avoid delays.
- Adjusting the New Zealand Emissions Trading Scheme (ETS) for greater stability. This includes revising industrial allocation settings and changing the ETS cycle from annual to biennial for better planning.
A New Timeline for Carbon Neutrality
Minister Watts also announced a shift in the Carbon Neutral Government Programme (CNGP), pushing the deadline from 2025 to 2050. This new timeline will let government organizations focus on sustainable emissions reductions instead of relying on short-term offsets. “The earlier target was too ambitious,” Watts explained, ensuring a more achievable approach to reducing emissions effectively.
Moving Toward a Sustainable Future
The new framework is designed to help landowners and businesses understand the requirements to participate in carbon markets. It outlines how to measure carbon storage, permanence, and environmental benefits—all crucial for maintaining credibility in carbon removal efforts.
By broadening its focus beyond forests, the framework encourages innovation in regenerative agriculture and other natural solutions. As Watts said, “This framework gives landholders the confidence to invest in projects that benefit both carbon removal and nature restoration.”
Balancing Economy and Environment
These initiatives reflect the government’s commitment to both climate action and economic growth. By aligning environmental goals with economic opportunities, New Zealand aims to take a leading role in high-quality carbon removal markets.
For more information on these changes, you can visit the Ministry for the Environment’s website here.
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New Zealand, Simon Watts, climate change, carbon removals, Emissions Reduction Plan, Climate Change Response Act, biodiversity credits, ETS, nature-based solutions, carbon markets, environment, net zero 2050, sustainability, government policy
















