NZ Government bans new coal boilers

30 June 2023
The NZ Government is delivering on its climate commitment to ban new coal boilers and to phase out by 2037, existing coal boilers, the Energy and Resources Minister Dr Megan Woods has announced.

The National Policy Statement and National Environmental Standards for greenhouse gas emissions from industrial process heat gives councils the muscle to tackle emissions produced by industrial process heat, which currently produce about eight per cent of Aotearoa New Zealand’s greenhouse gas emissions.

Energy and Resources Minister Dr Megan Woods says the Government’s decisions today will reduce emissions by about the same amount as 100,000 cars would produce in a year. “Currently, more than half of the heat used to process raw materials into products such as paper and dairy production comes from fossil fuels.”

“Switching to cleaner ways of generating process heat presents a huge opportunity to reduce our domestic greenhouse gases and paves the way for greener export products too”.

The new policy follows the Government’s recent announcement of New Zealand’s biggest ever emissions reduction project, in partnership with NZ Steel, to introduce an electric arc furnace and reduce carbon emissions by 800,000 tonnes per year – the equivalent of 300,000 cars.

“Publishing the emissions reduction plan and expanding the Government Investment in Decarbonising Industry (GIDI) Fund last year, shows the Government is committed to reduced emissions, cleaner air, and more productive businesses,” Megan Woods said.

“The new national direction will ensure councils regulate process heat emissions in a nationally consistent way, accelerating New Zealand’s transition to a low emission, thriving, and sustainable economy.”