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The Dunedin City Council says the Government should consider launching a contestable fund to help councils prepare for climate change.

But it should also introduce new "tangible consequences" for councils and other bodies that failed to hit targets for emissions reductions.

The views were contained in a council submission on the Government's Climate Change Response (Zero Carbon) Amendment Bill, which is making its way through the select committee process.

The Bill, which seeks to amend the existing Climate Change Response Act 2002, aims to reduce all greenhouse gas emissions, except biogenic methane, to net zero by 2050.

It would also require the Government to set reduction goals to hit along the way, develop new climate change adaptation policies and launch a new, independent Climate Change Commission to offer advice and monitor progress towards the 2050 goal.

The DCC, in a draft submission to be considered at next week's finance and CCO committee meeting, backed the Bill but called for it to go further.

The council had been working to plan for climate change since 2010, and just last week voted to declare a climate emergency in the city.

In South Dunedin, which was among areas of New Zealand most at risk, the council had also been striving to work in partnership with other stakeholders, from the local community to the Otago Regional Council and Ngai Tahu, to plan for the issues faced.

The same approach needed to be taken by central government, by working with councils on the issue, the submission said.

That should include developing a clear plan that outlined responsibilities for adaptation, "including fiscal responsibility", it said.

The council urged the committee to consider the funding of adaptation and mitigation costs in more detail, and suggested a contestable fund might provide a model.

Such a fund should be established by the new Climate Change Commission, in partnership with Treasury, the Ministry of Business, Innovation and Employment and the new Infrastructure Commission, it said.

Successful applicants should be required to meet certain criteria, including demonstrating a partnership approach within their community and with other agencies, to encourage "good practice", it said.

The Government also needed to consider introducing additional "tangible consequences" for councils and other entities that did not meet targets for emissions reductions. At present, targets were not enforceable by law, and they needed to be "legally binding" for central and local government.

"Not meeting the zero carbon by 2050 target will have significant effects on temperature rise, which in consequence will directly impact all communities, especially those most vulnerable to things such as sea-level rise."

The submission will be considered by Dunedin city councillors tomorrow.