Hon Simon Bridges

Minister of Energy and Resources

Associate Minister for Climate Change Issues

1 September 2016

EECA funding focus to move beyond electricity

A change to the Energy Efficiency and Conservation Authority’s (EECA) levy funding will enable an increased focus on improving New Zealand’s energy productivity and reducing emissions, Energy and Resources Minister Simon Bridges says.

Currently, the levy is collected from the electricity industry which EECA can only use to fund electricity efficiency initiatives.

Under the proposed changes, EECA will be able to access funding through the Petroleum and Engine Fuels Monitoring Levy and the Gas Levy to use on initiatives it conducts in the transport and industrial sectors.

“Given our climate change commitments, it is timely to make changes to EECA’s existing levy funding allowing it to move beyond a focus on electricity efficiency and into a wider range of renewable energy and emission reduction initiatives,” Minister Bridges says.

“The transport and industrial sectors are areas where the most impact can be made on improving New Zealand’s energy productivity and reducing emissions.

“For example, EECA is doing more work around reducing emissions in the transport sector, including through the electric vehicles promotion campaign and administering the electric vehicles contestable fund, and its funding should reflect this.”

EECA will need to demonstrate the link between its specific programmes and the levy or levies being used for funding.

The levy change will be part of a Bill which is expected to be introduced to Parliament later this year. It is intended that the levy change will take effect from mid-2017.

The Government is also in the process of refreshing the New Zealand Energy Efficiency and Conservation Strategy 2011-16 which drives EECA’s work programme to better reflect our changing energy context.

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