Impairment of Debt Relating to the New Zealand Emissions Trading Scheme (M12)
Scope of Appropriation
This appropriation is limited to the impairment and write-down of debt arising from the collection of revenue under the New Zealand Emissions Trading Scheme.
Reasons for Change in Appropriation
This appropriation will increase by $14 million to $15 million. This is due to the likelihood that the Crown will not receive a percentage of amounts owed by participants for the surrender of units, penalties issued and interest on those penalties.
In the past year, the Crown has encountered instances where participants in the Emissions Trading Scheme have been obliged to surrender units and have not done so and have subsequently entered receivership. To reflect historical collection experience, this appropriation has been increased.
