Climate Change

From the enactment of the Zero Carbon Act to reform of the resource management framework to policy initiatives arising from the Climate Change Commission's work, the Government has made addressing climate change a clear priority. Further legislative and policy changes are expected, and these changes will focus on both reducing emissions and adapting to the long-term effects of climate change.

In light of these continuing changes, a greater degree of compliance will be required from industry, but there will be new opportunities to capitalise on emissions markets, and low or carbon-free ventures to take advantage of. We expect action on climate change to cut across all industries and sectors, making a joined-up approach to problem solving essential.

Russell McVeagh has a specialist, multi-disciplinary team able to assist you across a wide range of the continually evolving issues in this fast-moving area of law. For example, we advise and assist our clients in relation to:

• Regulatory activity, including policy and law reform engagement as well as continued legal compliance (for example, in relation to climate-related financial reporting and disclosures).
• Mitigation and adaption measures, including mitigation strategy development and legal structuring in relation to climate issues under M&A and commercial contracts.
• Climate risk and threats, including climate-related litigation, governance issues, risk identification and assessment.
• Climate change related projects, including clean energy and carbon sink projects, transactions involving the Emissions Trading Scheme, green bonds and other sustainable finance.
• Resource management, including major infrastructure projects facing climate change-related constraints and challenges.

Examples of our work in this area include:

• Advising on the first shipping loan in the world to be certified under the Climate Bonds Initiative (CBI)'s framework.
• Assisting clients with Government engagement and legislative reform, including submissions on the Zero Carbon Bill, relevant regulations, the Climate Change Commission's advice and resource management reform.
• Advising on reporting standards and obligations in relation to climate change, including under the NZX's Corporate Governance Code, the NZX Environmental, Social and Governance Guidance Note, and the proposed mandatory reporting regime that would be introduced by the Financial Sector (Climate-related Disclosures and Other Matters) Amendment Bill.
• Assisting with commercial contracting, structuring and M&A in the context of climate-related projects, including facilitating the integration of ESG metrics within legal / project frameworks.
• Advising on the new and current role of climate change under the Resource Management Act, including the interface with the Climate Change Response Act, particularly in relation to large scale development projects.
• Assisting clients in relation to Commerce Commission and Financial Markets Authority scrutiny in the climate change area, including in relation to carbon reduction or neutrality claims and 'greenwashing' advertising representations.