["Environmental Policy and Governance, EarlyView. ", "\nABSTRACT\nAn emerging consensus calls for transformative climate governance. However, what instigates and sustains transformative pathways remains unclear. This study characterises the existence, quality and structural underpinnings of transformative governance capacities in local government climate change response in Aotearoa New Zealand, applying a well‐established conceptual framework for transformative governance to existing literature. Results show that some local authorities have started to develop ‘stewarding’, ‘unlocking’, ‘orchestrating’, and ‘transformative’ capacities, focusing on adaptation more than mitigation. This evidence stems from a small number of urban centres and regional areas with a strong presence of indigenous (Māori) communities. Most evidence points to the development of ‘stewarding capacity’, showing that local governments are building an evidence base around understanding climate risks in collaboration with communities and knowledge partners. Beyond biophysical monitoring, however, there was limited evidence of monitoring and learning. Literature documenting ‘unlocking capacity’ shows that local governments have tried a variety of activities to overcome resistance to change. However, the literature also points to limited efforts to identify the drivers of unsustainable practices, few mechanisms for challenging vested interests and existing incentive structures, and a need for stronger accountability mechanisms in decision‐making. Results underscore a lack of co‐ordination and empowerment of actors to engage in adaptation or mitigation. Overall, capacity development was enabled by applied research projects, with ad‐hoc local government‐led initiatives and state government incentive schemes also playing a role, and was constrained by a wide range of institutional, regulatory, economic, and social factors ‐ consistent with a country at the formative stages of decentralised climate policy implementation. We contextualise the findings in relation to international literature and practices, pointing to opportunities to further develop local government capacity for transformative governance.\n"]