Reports

This report contains the 2018 Peer Review Report on the Exchange of Information on Request of New Zealand.

Job displacement (involuntary job loss due to firm closure or downsizing) affects many workers over their lifetime. Displaced workers may face long periods of unemployment and, even when they find new jobs, tend to be paid less and have fewer benefits than in their prior jobs. Helping them get back into good jobs quickly should be a key goal of labour market policy. This report is part of a series of reports looking at how this challenge is being tackled in a number of OECD countries. It shows that in New Zealand most displaced workers find a new job again, largely due to a strong economy and a highly flexible labour market. But many of them face large losses in terms of job quality and especially wages. And displaced workers facing difficulties in New Zealand are largely left on their own to find a new job, as the means-tested public benefit system only provides for people in need and employment services concentrate on helping people off benefit with limited focus on those not receiving a benefit. Nine countries are participating in the review: Australia, Canada, Denmark, Finland, Japan,Korea, New Zealand, Sweden and the United States. Contents Chapter 1. Job displacement in New Zealand and its consequencesChapter 2 Easing the impact of economic restructuring on displaced workers in New ZealandChapter 3 Re-employment support for displaced workers in New Zealand who struggle to find a new job

OECD Environmental Performance Reviews provide independent assessments of countries’ progress towards their environmental policy objectives. Reviews promote peer learning, enhance government accountability, and provide targeted recommendations aimed at improving environmental performance, individually and collectively. They are supported by a broad range of economic and environmental data, and evidence-based analysis. Each cycle of Environmental Performance Reviews covers all OECD countries and selected partner economies. The most recent reviews include Chile and France (2016). This report is the third Environmental Performance Review of New Zealand. It evaluates progress towards sustainable development and green growth, with a focus on water resources management and sustainable urban development.

Since the last IEA in-depth review in 2010, New Zealand has further developed its energy policy, as reflected in its energy strategy to 2021 and new rules for more competitive electricity markets. With its unique resource base, New Zealand is a success story for the development of renewable energy, notably hydro and geothermal, without government subsidies. Geographically isolated, New Zealand has developed robust policies for security of supply. Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge. The IEA review highlights the areas that are critical to the success of the energy policy agenda in New Zealand. To support sustainable growth in line with the Paris Agreement, the government should facilitate technology opportunities for renewable energy and energy efficiency, in buildings, industrial heat, transport and agriculture. The government has ambitious plans to boost the share of electric vehicles and renewable energy. The country has a flexible power system, but future growth requires fine-tuning of market rules in favour of even more flexibility, demand response, smart and effective electricity retail and distribution. While security of supply is well ensured by effective markets, an energy-constraint system can benefit from market-based risk managements tools, including a safety net for dry years as well as access to global LNG markets. This review analyses the energy policy challenges facing New Zealand and provides recommendations to help guide the country towards a more secure, sustainable and affordable energy future.