Agreement on Climate Change, Trade and Sustainability

Print Page

Treaty Type:

Multilateral

Common Name:

ACCTS

Responsible Department:

Foreign Affairs and Trade

Administering Department:

Treaty Summary:

The Agreement on Climate Change Trade and Sustainability (ACCTS) initiative is under negotiation by a small group of like-minded countries - Costa Rica, Fiji, Iceland, New Zealand Norway and Switzerland.  It is intended to demonstrate in practical terms how trade rules and architecture can be used to support environmental and broader sustainable development objectives while generating momentum towards an eventual multilateral agreement.

The initiative covers the following key areas:

·         Elimination of tariffs on environmental goods
·         New and binding commitments on environmental services
·         Disciplines to eliminate harmful fossil fuel subsidies
·         The development of guidelines for voluntary eco-labelling programmes and associated mechanisms to encourage their promotion and application

The initial cohort of countries aims to swiftly conclude an ambitious agreement. The result will act as a pathfinder agreement open to accession by other WTO members if they are able to meet the obligations. 

NZ Adherence Status:

In Progress

Negotiation Status:

The ACCTS was launched in September 2019. 

  • Round Four was held virtually from 2 - 26 March 2021. 
  • Round Five of virtual negotiations concluded on June 10 2021. 
  • Round Six occurred over four weeks from August to September 2021.
  • Round Seven was the fourth round of negotiations in 2021 and took place between 9 November to 7 December 2021.
  • Round Eight took place between 22 February to 31 March 2022, and
  • Round Nine took place between 28 April to 2 June 2022.

For more information on negotiating rounds, visit: ACCTS negotiating rounds | New Zealand Ministry of Foreign Affairs and Trade (mfat.govt.nz)

Organisation:

Ministry of Foreign Affairs and Trade

Is Signed By NZ:

No

Signature Date:

Ratified or Signed:

No

Requires Ratification:

No

NZ Territorial Applications:

None

Information about required Legislation:

Impacts on Maori:

As with Free Trade Agreements, New Zealand is seeking a specific provision, the Treaty of Waitangi exception clause, which allows the Government to adopt measures that it deems necessary to accord favourable treatment to Māori (including in fulfilment of its obligations under the Treaty of Waitangi) provided that those measures do not amount to unreasonable or arbitrary discrimination or a disguised restriction on trade.

Impacts on Stakeholders:

Public submissions were actively sought in 2019, and are welcome on an ongoing basis through the MFAT website (tradeforall@mfat.govt.nz). Consultations with interested groups are ongoing on a periodic basis. Brief updates on the progress in negotiations are also available on the MFAT website.
The objectives of the Agreement are focused on using trade rules to support sustainable development, and as such the primary driver is environmental rather than commercial outcomes. Nonetheless, liberalisation of environmental goods and services will benefit the relevant New Zealand manufacturers and services providers. It will also benefit consumers as environmental goods and services become cheaper to buy in each of the ACCTS countries – accelerating access and uptake, and incentivising use of new technologies.
Disciplines to eliminate harmful fossil fuel subsidies will help remove the perverse effects of these environmentally harmful and socially regressive subsidies, and make it easier for renewable energy sources to compete. This has the potential to deliver trade, economic, social and environmental benefits.
The development of guidelines for voluntary eco-labelling programmes and associated mechanisms to encourage their promotion and application will help support the development of high-integrity eco-labels that are transparent in their criteria and meaningful to consumers.

Link To Legislation:

Treaty Text Link:

Contact Information:

If you would like more information about this Treaty please contact us using our contact form.