Full Breakdown
ACT Party proposes to repeal the Zero Carbon Act and scrap New Zealand’s net-zero target
9/6/2026, 11:14:33 AM
Core proposal
The ACT Party announced that, should it form government, it will repeal the Zero Carbon Act and eliminate the legally binding target of net-zero greenhouse-gas emissions by 2050. Instead of a fixed emissions goal, ACT says New Zealand’s emissions cap would be benchmarked against the performance of its major trading partners.
Policy details
ACT’s plan calls for three linked changes to the emissions-trading system (ETS):
- Removing the government-set minimum price of NZ$70 per emissions unit, allowing units to be sold at market rates.
- Using the proceeds from any unit sales to fund a carbon-dividend paid to every household.
- Introducing a “carbon tax refund” that would return 100 % of net auction revenue to New Zealanders, including a refund for the roughly NZ$500 per household that currently accrues through the carbon tax embedded in petrol and electricity prices.
The party also proposes to cut the carbon tax, end the tax on agricultural emissions, and require forest owners to bear long-term costs and risks associated with carbon-forest projects. ACT says these measures will “reward efficient local businesses” and avoid “unnecessary costs” that could drive production offshore.
Official statements & responses
He framed the plan as “grounded in economic reality” and capable of reducing emissions without harming prosperity.
ACT climate-policy spokesperson Simon Court emphasized that New Zealand contributes only a “tiny share of global emissions” and that the country should seek a “better deal” under the Paris Agreement rather than sacrifice jobs, incomes, and productive land for higher ambition.
Data & statistics
- Net-zero target: 2050 (to be repealed).
- Current national pledge: halve emissions by 2030.
- Household carbon-tax burden: nearly NZ$500 per year.
Verbatim quotes
- “The taxpayer will get the revenue from that as a carbon dividend for each household.” — David Seymour
- “New Zealand produces a tiny share of global emissions,” — Court
