Upcoming changes to royalty rates

Publish date: 8 September 2022

To maintain the value of the return to the Crown from the extraction of Crown owned minerals, royalty rates listed in the Minerals Programme for Minerals (excluding Petroleum) 2008 will be increasing.

These royalty rates have not been adjusted since the 2008 royalty regime came into effect. They will be adjusted according to the Producer Price Index, which has increased 27.07% since 2008. They have been rounded to the nearest cent.

The new rates are shown in the table below and will take effect from 1 January 2023.

We will contact permit holders affected by this change to confirm the new royalty rates and when they take effect. If you have any questions please contact nzpam@mbie.govt.nz.

Mineral 2008 royalty rate (per tonne sold) ($) New royalty rate (per tonne sold) ($) Change in royalty rate ($)
Aggregate and construction materials (including rock, sand, and gravel for roading, building, fill reclamation, and protection purposes) 0.10 0.13 0.03

Bentonite

0.80

1.08

0.28

Clay for brick and tiles

0.10

0.13

0.03

Clay for pottery

0.30

0.38

0.08

Coal (hard and semi-hard coking)

1.40

1.78

0.38

Coal (thermal and semi-hard coking)

0.80

1.02

0.22

Coal (lignite)

0.30

0.38

0.08

Decorative/dimension building stone

1.50

1.91

0.41

Decorative pebbles

0.30

0.38

0.08

Diatomite

1.50

1.91

0.41

Dolomite

0.20

0.25

0.05

Limestone for agriculture, cement, and industry

0.20

0.25

0.05

Marl

0.10

0.13

0.03

Perlite

0.30

0.38

0.08

Pumice

0.10

0.13

0.03

Serpentinite

0.30

0.38

0.08

Silica sand for industry

0.30

0.38

0.08

Zeolite

1.50

1.91

0.41

 

2008 royalty rate (per cubic metre sold) ($)

New royalty rate (per cubic metre sold) ($)

Change in royalty rate ($)

Peat

0.30

0.38

0.08

Note: Rates are rounded to the nearest cent

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