The Design of a Possible Low-Level Carbon Charge for New Zealand: A Working Paper (WP 97/02)

Abstract

This Working Paper describes a possible design for a low-level charge on the use of carbon leading to carbon dioxide CO₂ emissions in New Zealand.

It does not discuss whether or not New Zealand should introduce such a charge; what the rate of a carbon charge might be; or what the revenues from a carbon charge could be used for. These issues will be considered by the Government in early 1998. Instead, it addresses:

• the context and objective of a possible carbon charge;
• design principles;
• coverage;
• administrative issues; and
• legislative issues.
• This Working Paper has been developed by officials from the Treasury, Ministry of Commerce, Ministry for the Environment, Inland Revenue Department and New Zealand Customs Service.