Sustainable Biofuel Bill 49-1 (2009), Members Bill

5 New Part 3A inserted
  • The principal Act is amended by inserting new Part 3A:

    Part 3A
    Sustainable biofuels

    34A Purpose of this Part
    • The purpose of this Part is to ensure that biofuels that are supplied or sold in New Zealand after 1 May 2010 are sustainable biofuels.

    34B Minister must recommend Order in Council providing definition of sustainable biofuels for purpose of section 34C
    • (1) The Minister must recommend the making of an Order in Council providing a definition of sustainable biofuels for the purposes of this Part as soon as practicable after this section comes into force, but no later than 1 February 2010.

      (2) The Minister must be satisfied, before making the recommendation, that the Order in Council will—

      • (a) be consistent with the principles of sustainable biofuels in subsection (3); and

      • (b) appropriately consider the indirect effects of biofuel production.

      (3) The principles of sustainable biofuels are—

      • Principle 1: Less greenhouse
      • (a) sustainable biofuels emit significantly less greenhouse gas over their life cycle than other engine fuel. In relation to this principle, the Order in Council must—

        • (i) specify a methodology for life cycle assessment of greenhouse gas emissions from engine fuels which are not biofuels; and

        • (ii) specify a methodology for life cycle assessment of greenhouse gas emissions from biofuels; and

        • (iii) specify minimum levels of no less than 35% greenhouse gas emission reductions for sustainable biofuels in comparison to other engine fuels.

      • Principle 2: Food production
      • (b) sustainable biofuels do not compete with food production and are not grown on land of high value for food production. Without limitation, the following biofuels do not contravene this principle:

        • (i) by-products of food production described in the Order in Council:

        • (ii) ethanol from sugarcane grown in circumstances and in areas described in the Order in Council:

        • (iii) rotational oilseed crops grown not more than 12 months in any 24-month period on the same land or as otherwise specified in the Order in Council.

      • (c) in relation to this principle, the Order in Council must—

        • (i) specify a methodology for assessing the effects of the production of a biofuel on food production and for assessing whether those effects amount to competition; and

        • (ii) specify a mechanism for recognising particular land (including land outside New Zealand) as being land of high value for food production.

      • Principle 3: Biodiversity and land with high conservation value
      • (d) the production of sustainable biofuels does not reduce indigenous biodiversity or adversely affect land with high conservation value. In relation to this principle, the Order in Council must—

        • (i) specify a mechanism for recognising particular land (including land outside New Zealand) as having high conservation value; and

        • (ii) specify a methodology for assessing the effects of the production of a biofuel on indigenous biodiversity and land of high conservation value.

    34C Supply or sale of approved sustainable biofuels
    • (1) No one shall supply or sell any biofuel after 1 May 2010 unless it has been approved as a sustainable biofuel by the Governor-General by Order in Council.

      (2) The Governor-General may, by Order in Council made on the recommendation of the Minister, approve a biofuel as a sustainable biofuel.

      (3) The Minister must be satisfied before making a recommendation under this section that the biofuel complies with the principles in, and regulations made under, section 34B.

      (4) Any person supplying a biofuel in New Zealand prior to 1 May 2010 must notify the Minister in writing as to the composition and origin of the fuel and how it complies with the principles in section 34(B).

    34D Offence to supply or sell biofuel in contravention of section 34C
    • (1) Every person commits an offence who, after 1 May 2010, supplies or sells biofuel that has not been approved as a sustainable biofuel under section 34C(2).

      (2) Any offence against this section committed by any employee or agent in the course of employment or agency shall be deemed to have been also committed by the employee's or agent's employer or principal if it is proved that the act or omission constituting the offence occurred with the employer's or principal's authority, permission, or consent.

    34E Offence to submit application for biofuel to be approved as sustainable biofuel that contains false information
    • (1) Every person commits an offence who submits an application for a biofuel to be approved as a sustainable biofuel that contains false information.

      (2) Any offence against this section committed by any employee or agent in the course of employment or agency shall be deemed to have been also committed by the employee's or agent's employer or principal if it is proved that the act or omission constituting the offence occurred with the employer's or principal's authority, permission, or consent.