At thinkstep-anz, we welcome the proposed Consumer Guarantees (Right to Repair) Amendment Bill. It’s a smart and necessary step toward a resilient, low-carbon, and resource-efficient Aotearoa New Zealand.
From where we stand - working with businesses across the country = we see a strong and growing demand for solutions that reduce waste, lower emissions, and create real economic value. This Bill helps deliver all three.
Here is our submission to the Economic Development, Science and Innovation Committee on the Consumer Guarantees (Right to Repair) Amendment Bill
Thank you for the opportunity to comment on the Consumer Guarantees (Right to Repair) Amendment Bill.
We support the Bill. It is an essential step towards building a more resilient, low-carbon and resource-efficient economy in Aotearoa, New Zealand.
As a sustainability firm that works with businesses across the country, we see first-hand the demand for practical solutions that reduce waste, cut carbon emissions and support long-term economic resilience.
The bill's provisions, which replace Section 12 to require manufacturers to provide repair information, repeal the exception in Section 42, and introduce Section 19, giving consumers the right to request repairs, are vital steps in creating a circular economy that extends product lifespans, creates economic resilience, reduces costs for households, and helps to deliver a low-carbon future.
Encouraging repair:
- Enhances our economic resilience by reducing our reliance on imports.
- Reduces our exposure to supply and pricing shocks.
- Reduces our trade deficit.
- Creates skilled, local job opportunities across the regions.
- Encourages manufacturing innovation.
- Makes better use of the resources we already have.
- Reduces our waste management liabilities.
Why the right to repair matters for resilience
Aotearoa New Zealand is geographically isolated and has no domestic alternatives to many of the imported products that support our economy. This leaves us vulnerable to supply chain disruptions, and we are unlikely to be able to mitigate this risk by onshoring manufacturing due to the complexity of the supply chains involved in producing modern products. The more we can keep materials and products in use, the better we can manage these disruptions and reduce our reliance on imports.
The Ministry of Business, Innovation and Employment recently identified a list of critical minerals that are essential to New Zealand’s economy and technological needs but are subject to risks from monopolistic supply chains, geopolitical risks, price volatility, and other forms of supply disruption.
Many critical minerals cannot be recovered effectively through recycling, and most are imported to our shores, not as raw materials but in manufactured products that we cannot produce domestically even if we had a domestic supply of the raw materials required.
This means that while recycling is undoubtedly a vital strategy globally to mitigate critical minerals risks, it is a largely ineffective solution for mitigating the supply risks for New Zealand.
The right to repair, however, reduces our reliance on these critical minerals by extending the lifespan of the products we rely on, decreasing the need for new imports. It, therefore, represents an effective risk mitigation strategy that enhances our economic resilience.
The right to repair can help reduce New Zealand’s trade deficit by decreasing imports and boosting local economic activity. This shift strengthens our domestic repair industries, supporting local jobs and encouraging the production of spare parts and tools, which in turn reduces our reliance on foreign manufacturing.
Additionally, repairing products instead of discarding them cuts e-waste exports and minimises the need to import refurbished goods. As repair expertise grows, businesses may even export refurbished products and services, improving the trade balance while fostering a more resilient and self-sufficient economy.
Why the right to repair matters for the climate
The United Nations Environment Programme (UNEP) and the World Trade Organisation (WTO) have indicated that between 45% and 50% of the emission reductions needed will have to come from managing resources more effectively. This is because, at a global level, the shift to low-carbon energy and transportation will be outpaced by increasing demand for materials over the required timeframes.
In Aotearoa, New Zealand, we are fortunate to have an already low-carbon energy supply, and while improvements are still needed, this makes addressing our consumption-based (Scope 3) emissions all the more crucial. Durability, reuse, repair and remanufacturing are all vital strategies we need to adopt at scale to address this challenge and create economic opportunities for our industries.
The bill sends a clear message to investors and manufacturers that New Zealand plans to address this challenge and will position us as global leaders in a field that will increasingly attract global attention.
Why the right to repair makes business sense
Repair is a growing business opportunity. Companies that design products for durability and repairability will be better placed to compete in a resource-constrained future.
We’re already seeing our clients take steps to:
- Design for disassembly
- Provide spare parts and repair services
- Develop product-as-a-service models
- Develop digital product passports to ensure traceability
Clear regulation will help level the playing field and support businesses that are already leading in this space.
The Bill also supports innovation. Designing for repair requires rethinking products and business models, creating opportunities to reduce emissions, minimise waste, and add value for customers.
The Bill will create a domestic market for products that will continue to perform well in our major export markets. Emerging regulations in markets that have already embraced the right to repair are set to create direct barriers to the import of products that do not align with this approach.
The EU’s Ecodesign for Sustainable Products Regulation is a good example, as it prevents products without appropriate repair data from being placed on the market and requires consideration of circular economy aspects, such as repair, in all public procurement activities.
In summary
We support the Bill because it:
- Builds resilience by keeping materials in use.
- Lowers costs for consumers and decreases our trade deficit.
- Creates skilled jobs in the regions that will be needed to support repair.
- Creates new business opportunities and maintains access to vital markets with similar regulations.
- Helps Aotearoa, New Zealand deliver a low-carbon, resource-smart future.
Dr Jim Goddin for thinkstep-anz