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New Zealand Sets Lower Farm Methane Target, Rules Out Taxes

The government backs a technology rollout with more than NZ$400 million following the shelving of a pricing scheme in April.

Overview

  • Officials set a 2050 biogenic methane reduction range of 14–24% from 2017 levels, with a statutory review slated for 2040.
  • Ministers confirmed there will be no tax or pricing on agricultural methane, opting for industry partnerships and processor incentives instead.
  • More than NZ$400 million is being invested to speed up methane‑cutting tools, with first options expected on farms in 2026 and up to 11 available by 2030.
  • The new range is below the previous 24–47% target and short of the Climate Change Commission’s 35–47% advice, prompting criticism from climate bodies.
  • ACT and Federated Farmers welcomed the shift while the Greens called it a downgrade of ambition, in a country where nearly half of emissions come from agriculture and herds total about 10 million cattle and 26 million sheep.