is recorded in a carbon dioxide account holder’s carbon dioxide account; and

may be offset under regulation 14 or 27(3)(d), or transferred to another carbon dioxide account holder’s carbon dioxide account in accordance with regulation 17, until it expires.

in the case of a category 1 light vehicle importer, if the actual average vehicle carbon dioxide emissions across the fleet of vehicles imported by a category 1 light vehicle importer in an obligation year are less than the category 1 light vehicle importer fleet target applicable to that importer (as provided for in section 178 of the Act), the importer will accrue carbon dioxide credits on the close of 31 December in accordance with the formula in regulation 10(6):

in the case of a category 2 light vehicle importer, if the importer imports a vehicle and the actual carbon dioxide emissions of the vehicle are less than the individual vehicle target applicable to that vehicle, the importer will accrue carbon dioxide credits at the point at which the importer imports the vehicle in accordance with the formula in regulation 10(7).

it is accrued by the account holder in accordance with subclause (2); or

it is transferred into the account in accordance with regulation 17.

the account holder of the carbon dioxide account in which the carbon dioxide credit is recorded offsets the carbon dioxide credit under regulation 14; or

the carbon dioxide credit is mandatorily offset as part of revoking the account holder’s approval as a Category 1 light vehicle importer under regulation 27(3); or

the carbon dioxide credit reaches its expiry date; or

the carbon dioxide account in which the carbon dioxide credit is held is closed under regulation 16(4).

a special interest vehicle as defined in Part 2 of Land Transport Rule: Frontal Impact 2001:

a vehicle manufactured 40 years or more before the date on which it was certified for entry under the Act:

a vehicle specified in paragraph (a) of the definition of low volume vehicle in Part 2 of Land Transport Rule: Vehicle Standards Compliance 2002 that is certified in accordance with the Low Volume Vehicle Code:

a motor sport vehicle as defined in Part 2 of Land Transport Rule: Frontal Impact 2001:

a vehicle operated by the Defence Force (within the meaning of section 2 of the Defence Act 1990) or a visiting force (within the meaning of section 4(1) of the Visiting Forces Act 2004) intended for deployment on military operations, which include, but are not limited to, humanitarian and disaster relief, non-combatant evacuations, peacekeeping, and combat:

a disability vehicle.

a value assigned by the Director, determined in a manner consistent with Land Transport Rule: Vehicle Efficiency and Emissions Data 2022, if the Director is satisfied that sufficient reliable information is available in relation to the vehicle; or

a null value.

a formula for calculating individual vehicle targets (which provides a specific target for each vehicle), see regulation 10(1) to (3):

a formula for calculating the category 1 light vehicle importer’s fleet target (which provides the overall target based on the average of all individual vehicle targets), see regulation 10(4):

a formula for calculating the category 1 light vehicle importer’s actual average vehicle carbon dioxide emissions (which provides the actual average carbon dioxide emissions across the vehicles they import in the obligation year), see regulation 10(5):

a formula for calculating the category 1 light vehicle importer’s carbon dioxide credits (which determines, for the purposes of sections 176(2) and 177(1) of the Act, whether the actual average vehicle carbon dioxide emissions across the fleet of vehicles imported by the category 1 light vehicle importer in an obligation year exceed the category 1 light vehicle importer fleet target for that importer), see regulation 10(6).

a formula for calculating individual vehicle targets (which is the same formula as for category 1 light vehicle importers), see regulation 10(1) to (3):

a formula for calculating the category 2 light vehicle importer’s carbon dioxide credits (which determines, for the purposes of section 181(1) and (2) of the Act, whether the carbon dioxide emissions of a vehicle they import exceed the category 2 light vehicle importer target), see regulation 10(7).

for the 2023 and 2024 obligation years, the period from 1 January 2019 to 31 December 2020; and

for the 2025 and 2026 obligation years, the period from 1 January to 31 December 2023; and

for the 2027 obligation year and every second obligation year that follows, the period from 1 January to 31 December of the year that is 2 years before the relevant obligation year; and

for the 2028 obligation year and every second obligation year that follows, the period from 1 January to 31 December of the year that is 3 years before the relevant obligation year.

for the reference period in subclause (2)(a), is—

for the reference period in subclause (2)(b) to (d), must be—

for the reference period in subclause (2)(a), is—

for the reference period in subclause (2)(b),—

for the reference periods in subclause (2)(c) and (d), must be—

calculating the arithmetic mean emissions (in grams of carbon dioxide per kilometre) and arithmetic mean weight of all Type A and Type B vehicles imported in the reference period, for—

performing a simple linear regression of emissions data to weight data using the data generated under paragraph (a) for Type A vehicles and Type B vehicles, respectively, to result in a formula in the following form:

any Type A vehicle that has a weight of less than 1,200 kilograms must be treated as having a weight of 1,200 kilograms; and

any Type A vehicle that has a weight of more than 2,000 kilograms must be treated as having a weight of 2,000 kilograms; and

any Type B vehicle that has a weight of less than 1,600 kilograms must be treated as having a weight of 1,600 kilograms; and

any Type B vehicle that has a weight of more than 2,300 kilograms must be treated as having a weight of 2,300 kilograms.

in the case of a number ending in .5 or greater, rounding it to the next highest integer; and

in the case of a number ending in less than .5, rounding it down to be an integer.

apply to the Director to open a carbon dioxide account via the CVS system; and

provide the information required by subclause (2).

the full legal name of the proposed account holder:

the proposed account holder’s—

the New Zealand Business Number (NZBN) of the proposed account holder, if any:

whether the account is for the importation of new or used light vehicles:

whether the proposed account holder holds an existing carbon dioxide account and, if applicable, the number of that account:

whether the proposed account holder has previously held a carbon dioxide account and, if applicable, the number of that account:

any other information that the Director reasonably requires.

an application for a carbon dioxide account:

an application for approval as a category 1 light vehicle importer:

an application by a category 1 light vehicle importer to defer an obligation under section 179 of the Act:

making carbon dioxide credits available for offsetting against charges imposed under section 177 or 182 of the Act:

a transfer of carbon dioxide credits to or from carbon dioxide accounts under section 180 or 184 of the Act:

a requirement from an account holder to close a carbon dioxide account under section 190 of the Act:

any other dealing with a carbon dioxide account where identity or authorisation must be established, for example, correcting information in an account.

take any appropriate and reasonable steps that may be required to do the following:

require the applicant or account holder to provide any additional information that the Director reasonably requires.

in relation to the account and account holder,—

in relation to each light vehicle imported by the account holder,—

in relation to each Type A or Type B vehicle,—

in relation to carbon dioxide credits,—

in relation to each account, including where the account is in deficit,—

in relation to charges,—

transfer credits to another account holder as provided for in sections 180 and 184 of the Act and regulation 17:

make credits available for offsetting against charges imposed under section 177 or 182 of the Act.

the name of the account holder:

the number of the carbon dioxide account.

the number of the account from which credits are transferred; and

the number of the account to which the credits are transferred; and

the number of credits transferred; and

the expiry date of each credit; and

the date of the transfer.

will be transferred in the form of grams of carbon dioxide per kilometre; and

will expire 3 years from the end of the year in which they were originally accrued, in accordance with section 178(3) of the Act, despite the date of any subsequent transfer.

for the calendar year beginning on 1 January 2025,—

for the calendar year beginning on 1 January 2026,—

for the calendar year beginning on 1 January 2027,—

for the calendar year beginning on 1 January 2028,—

for the calendar year beginning on 1 January 2029,—

apply to the Director for approval via the CVS system before 1 October of the relevant obligation year; and

provide the information required by subclause (2).

the carbon dioxide account holder’s name:

the carbon dioxide account holder’s account number:

to the extent that it is relevant to assessing an applicant’s ability to meet year 1 and year 2 obligations, and with any necessary modifications,—

vehicles imported in year 1 must be measured against the year 1 target:

if the actual average vehicle carbon dioxide emissions across the fleet of vehicles imported in year 1 exceed the year 1 target at the end of year 1, the carbon dioxide account will be in debit by the amount in excess:

the debit amount is to remain in the carbon dioxide account and the vehicle importer will not be liable for charges at the end of year 1:

the debit amount is to be carried into year 2:

vehicles imported in year 2 are to be measured against the year 2 target:

if the actual average vehicle carbon dioxide emissions across the fleet of vehicles imported in year 2 and the debit amount carried over from year 1 exceed the year 2 target at the end of year 2, the charges specified in section 177 of the Act relating to year 2 are to apply to the excess amount.

a person has a disqualifying status if the person—

insolvency process, in respect of a person, means—

for the purposes of regulation 21,—

apply to the Director via the CVS system; and

provide the information required by subclause (2).

the name of the carbon dioxide account holder:

the account number:

the applicant’s registration details under the Motor Vehicle Sales Act 2003:

a compliance plan, in a form determined by the Director, showing the applicant’s intentions for the obligation year in which the application is made, in relation to—

whether the applicant has a disqualifying status or is subject to an insolvency process:

whether the applicant is under investigation or subject to any process that could result in a disqualifying status or insolvency process:

whether any related party of the applicant has a disqualifying status or is subject to an insolvency process (but only to the extent that the applicant could be reasonably expected to know this information):

whether any related party of the applicant is under investigation or subject to any process that could result in a disqualifying status or insolvency process (but only to the extent that the applicant could be reasonably expected to know this information):

any matter known to the applicant that the applicant considers is relevant to the Director’s decision under regulation 22.

a description of the applicant’s business:

information relevant to the applicant’s identity (as an individual or a company):

information relevant to the structure of the applicant (including relationships between the applicant and related parties):

information about the applicant’s funding (including facilities available, securities granted to, and guarantees and indemnities given by, the applicant):

financial information (including relevant financial statements and auditor’s reports, information about matters that affect, or are likely to affect, the applicant’s financial position, and details of any credit ratings):

information about the applicant’s trading history (including over the previous 5 years).

verify any of the information that the applicant must provide under subclauses (2) and (3); and

consider any of the following:

satisfy the Director, on reasonable grounds, that the applicant will continue trading as the same legal entity for at least the following 2 years.

the applicant is carrying on the business of importing new or used light vehicles; and

in the case of an applicant carrying on the business of importing used light vehicles, the applicant—

the applicant has provided credible information as to the extent to which the applicant anticipates meeting applicable category 1 light vehicle importer fleet targets; and

the risk that the applicant cannot or will not pay charges under section 177 of the Act is adequately managed; and

the applicant does not have a disqualifying status and is not subject to an insolvency process.

information provided by the applicant under regulation 21:

information obtained by any person in the performance or exercise of a function, duty, or power under the Act or any other land transport Act:

any publicly available information:

any other information lawfully available to the Director to use for that purpose.

the conditions imposed by the Director under regulation 22(2) (if any); and

the condition that the vehicle importer must notify the Director of any significant changes in their position in relation to any of the approval criteria referred to in regulation 22(1); and

the condition that the vehicle importer must notify the Director if the importer becomes a person of disqualified status or an insolvency process is commenced in respect of the vehicle importer; and

the condition that, not later than 1 November each year, the vehicle importer must provide a compliance plan, in the form specified under regulation 21(2)(d), stating how they intend to achieve or not achieve the category 1 light vehicle importer fleet target in the following obligation year; and

the condition that the vehicle importer must notify the Director of any significant departure from the compliance plan.

1 or more of the grounds for revocation in subclause (2) apply; and

the Director has given the account holder reasonable notice in accordance with subclause (3); and

the account holder has failed to comply with the requirements specified in the notice.

the Director is satisfied that the account holder has failed to comply with 1 or more conditions of approval as a category 1 light vehicle importer:

the account holder has failed to pay applicable charges as required by regulation 15 or as otherwise notified by the Director:

the Director is satisfied that the continued approval of the account holder as a category 1 light vehicle importer poses an unreasonable risk that the account holder will not pay charges likely to be owed:

there has been repeated or serious failure by the account holder to comply with any requirement in Part 13 of the Act, these regulations, or Land Transport Rule: Vehicle Efficiency and Emissions Data 2022:

the account holder or a related party has become a person of disqualified status or an insolvency process has been commenced in respect of them:

the Director is no longer satisfied that the account holder would meet the requirements to be approved as a category 1 light vehicle importer.

the grounds for the proposed revocation; and

the requirements that the account holder must comply with to retain their approval as a category 1 light vehicle importer; and

the date by which the account holder must have complied with the specified requirements, which must allow sufficient opportunity in the circumstances for the account holder to comply with those requirements.

the Director revokes an account holder’s approval as a category 1 light vehicle importer under regulation 26; or

the account holder requests the Director, in writing, to revoke their approval as a category 1 light vehicle importer.

prevent any credits being transferred out of the account until all steps under paragraphs (b) to (d) have been completed; and

calculate the actual average vehicle carbon dioxide emissions under regulation 10(5) as at the date of revocation; and

calculate the category 1 light vehicle importer fleet target under regulation 10(4) as at the date of revocation; and

offset any credits in the account (despite regulation 14(4)); and

calculate the charges owed applying section 177 of the Act as at the date of revocation and treating the figures calculated under paragraphs (b) and (c) as reflecting all vehicles imported by the category 1 light vehicle importer in the current year.

the carbon dioxide account holder’s name and associated account number:

the contact details of the account holder:

whether the account relates to new or used light vehicles:

whether the account holder is a category 1 or category 2 light vehicle importer:

for category 1 light vehicle importers,—

for category 2 light vehicle importers,—

the carbon dioxide emissions targets applicable to the account holder for each obligation year:

the number of vehicles imported by the account holder in each obligation year.

the information referred to in regulation 13(2)(c)(i) and 13(2)(d)(i) and (ii):

information supplied with an application by an account holder to be approved as a category 1 light vehicle dealer:

any compliance plan provided by an account holder:

any information the disclosure of which would be inconsistent with any of the privacy principles set out in section 22 of the Privacy Act 2020.

disclosure of the information would be inconsistent with any of the information privacy principles set out in section 22 of the Privacy Act 2020:

the information may reasonably be regarded as confidential or commercially sensitive, or it is otherwise necessary to withhold it under the Official Information Act 1982.

the quantity of vehicles imported; and

the make, model, and identification number of each vehicle imported; and

the date on which each vehicle was imported.

a Type A vehicle:

a Type B vehicle.

a person has paid the fee in error; or

there are special circumstances applicable to the case.