Source: New Zealand Government
The Hon Nicola Willis, Minister of Finance and Minister for Economic Growth and the Hon Simon Watts, Minister of Climate Change and Minister for Energy, welcomed the Hon Dr Jim Chalmers MP, Treasurer and the Hon Chris Bowen MP, Minister for Climate Change and Energy to Auckland on 5 December 2025 for the third Australia-New Zealand Climate and Finance Ministers’ 2+2 Dialogue.
Ministers agreed that climate action and more investment in renewable energy are essential to putting downward pressure on power prices and cost of living for New Zealand and Australian households and businesses and enhancing the productivity, security and stability of our respective energy systems.
They agreed that the global transition to low emissions economies powered by cheaper, cleaner energy presents significant economic opportunities with increasing demand for products, technologies and investments that help address climate change. Both countries have taken significant steps to grow renewable energy, including to support enhanced energy security during the transition. They welcomed new Nationally Determined Contributions submitted by both nations as critical investment signals designed to seize the economic opportunities of the energy transition and deliver on the goals of the Paris Agreement. Our uniquely close relationship enables us to work together, to capture economic opportunities, boost trade and growth, address shared policy challenges, and deliver real benefits to businesses, households, Māori and First Nations Australians.
Building on commitments made at the Australia-New Zealand Leaders’ Meeting on 9 August 2025, Ministers discussed supporting trans-Tasman energy affordability, security and regulatory alignment, economic growth and productivity, cooperation in and with the Pacific, and the evolution of the 2+2 dialogue.
Climate pressures are reshaping the environment in which Australia and New Zealand operate, with increasing impacts on supply chains, infrastructure, and regional economies. Ministers recognised the importance of strengthening the resilience of our people, industries and communities, and reaffirmed that regionally driven economic development and deeper integration are central to safeguarding long-term prosperity.
Ministers noted the progress each has made on climate action since the last 2+2 Dialogue on 30 July 2024. For New Zealand, this includes publishing the second emissions reduction plan (ERP2) for the period 2026 to 2030 and a National Adaptation Framework. For Australia, this includes the national Net Zero Plan, comprising 6 sectoral emission reduction plans, a National Adaptation Plan and the National Climate Risk Assessment.
Discussions and commitments
Supporting trans-Tasman energy affordability, security and regulatory alignment
The transition to low emissions economies, underpinned by reliable, abundant and affordable renewable energy represents a once in a generation opportunity for Australia and New Zealand. Both countries have taken significant steps to grow renewable energy, including to strengthen energy security during the transition.
Australia and New Zealand reinforced their commitment to working together on energy issues. Ministers agreed to continue to align regulatory frameworks, reduce barriers to investments, and ensure sustainable finance systems are interoperable.
Australia and New Zealand Ministers agreed to empower consumers and boost energy productivity by:
co-invest ~NZ$1 million (AU$0.9 million) and Australia ~AU4.1 million (NZ$4.6 million) to upgrade the joint Equipment Energy Efficiency (E3) Program registration system to facilitate better access to cheaper, cleaner household products and bring down costs for industry, including by improving operations and operability, reducing compliance burden and accelerating the adoption of energy efficient products.
further align regulatory settings for consumer energy technologies, by working towards developing a joint approach on enabling electric vehicle (EV) chargers to have smart functionality. This follows on from the Menezes report recommendations on aligning green technology standards.
develop and align Vehicle to grid (V2G) standards for EVs to ensure market alignment.
facilitate direct engagement between the Australian solar and battery industry and regulators with their New Zealand counterparts to support knowledge exchange and trade arising from Australia’s successful Cheaper Home Batteries program and related policies, as well as to identify further opportunities for trans-Tasman regulatory alignment on solar and battery systems.
These new commitments will support businesses and households to achieve energy savings, enhance efforts to accelerate EV charging locations, reduce compliance complexity, and unlocking scalable market opportunities for trans-Tasman providers and local businesses.
Realising the economic opportunities of the net zero transition
Building on commitments made at the 2024 2+2 Dialogue, Ministers also acknowledged the work led by Bioenergy Australia and its New Zealand members to develop a trans-Tasman Sustainable Aviation Fuel (SAF) Strategy. Ministers recognised that scaling a competitive regional SAF industry is important to attract investment and strengthen regional fuel security, and enable Pacific partners to access SAF. New Zealand welcomed the announcement of Australia’s $1.1 billion Cleaner Fuels Program to support domestic low carbon liquid fuel production, and the opportunity to share learnings on SAF policy development.
Ministers emphasised the importance of clear net zero plans and internationally relevant standards for attracting investment, and agreed to continue bilateral and international engagement to develop interoperable and comparable sustainable finance frameworks. These frameworks will provide clarity for businesses and investors and support individual countries to finance their net zero transformation. Australia welcomed the expansion of New Zealand’s sustainable finance taxonomy to the energy and construction sectors, and the opportunities it brings across our Single Economic Market through the continued alignment of sector coverage, technical criteria and implementation through market use pilots led by the Australian Sustainable Finance Institute and New Zealand’s Centre for Sustainable Finance.
Ministers welcomed progress in developing internationally aligned Guarantee of Origin schemes since their commitment at the 2024 2+2 Dialogue. Australia’s successful launch of its Guarantee of Origin scheme in November 2025 represents a significant step in certifying the emissions intensity of green hydrogen, sustainable fuels, and green metals. New Zealand’s November 2024 Hydrogen Action Plan reaffirmed the Government’s commitment to supporting access to internationally aligned certification schemes. Ministers acknowledged the importance of working together to maintain close alignment between emerging certification frameworks and to support a consolidated, transparent and trusted trans-Tasman market for clean energy products.
Ministers reaffirmed the importance of supporting agricultural emissions reductions to enable this important economic sector to thrive. They welcomed the investment and action demonstrated in both countries from government in partnership with industry, including the AU$300 million invested in Australia’s Zero Net Emissions Agriculture CRC and New Zealand’s over NZ$400 million invested to accelerate the development and availability of new tools and technology to reduce on-farm agricultural emissions, recognising also the potential benefit and value of this work in farming systems internationally. Ministers committed to expanding technical collaboration and information sharing on livestock emissions reductions.
Expanding collaboration on economic growth and productivity
Ministers discussed the importance of coordinating respective economic reform programmes, including New Zealand’s Going for Growth agenda and Australia’s productivity agenda, targeting lowering business costs, reducing regulatory burden, and boosting productivity.
Australia and New Zealand will establish a working group of government and industry to share information and collaborate on solutions to help ensure insurance remains accessible.
Ministers agreed that Treasuries should continue to explore opportunities for closer alignment as we progress development of our countries’ payment systems, licensing and digital assets reforms. They noted the Australian Prudential Regulation Authority and Reserve Bank of New Zealand are exploring options to more closely align non-financial risk management and tiering of banking regulation.
Ministers agreed on the benefits of aligning our building codes and standards, and tasked officials to take this work forward.
Australia and New Zealand agreed to work together on the future of aligned product safety settings.
Pacific Partnership
Ministers recalled that Pacific Island Forum Leaders, at their meeting in Honiara in September 2025, reaffirmed that climate change remains the single greatest threat to the livelihoods, security, and wellbeing of peoples of the Pacific. Ministers reaffirmed Australia and New Zealand’s commitment to working together with Pacific partners to ensure the resilience and prosperity of the region.
New Zealand welcomed Australia’s agreement struck with Türkiye on COP31 hosting arrangements which provides a unique opportunity to amplify Pacific voices, grow the global clean energy economy and drive strong outcomes for our region.
