diff --git a/pallets/governance/src/benchmarks.rs b/pallets/governance/src/benchmarks.rs
index fcb7275..e6d220a 100644
--- a/pallets/governance/src/benchmarks.rs
+++ b/pallets/governance/src/benchmarks.rs
@@ -193,4 +193,13 @@ benchmarks! {
     disable_vote_delegation {
         let module_key: T::AccountId = account("ModuleKey", 0, 2);
     }:  _(RawOrigin::Signed(module_key))
+
+    add_emission_proposal {
+        let module_key: T::AccountId = account("ModuleKey", 0, 2);
+
+        let config = crate::GlobalGovernanceConfig::<T>::get();
+        let cost = config.proposal_cost;
+        let _ = <T as crate::Config>::Currency::deposit_creating(&module_key, cost);
+
+    }:  _(RawOrigin::Signed(module_key.clone()), Percent::from_parts(40), Percent::from_parts(40), data)
 }
diff --git a/pallets/governance/src/lib.rs b/pallets/governance/src/lib.rs
index 0e2588e..86338b1 100644
--- a/pallets/governance/src/lib.rs
+++ b/pallets/governance/src/lib.rs
@@ -305,6 +305,23 @@ pub mod pallet {
             let delegator = ensure_signed(origin)?;
             voting::disable_delegation::<T>(delegator)
         }
+
+        #[pallet::call_index(17)]
+        #[pallet::weight(0)]
+        pub fn add_emission_proposal(
+            origin: OriginFor<T>,
+            recycling_percentage: Percent,
+            treasury_percentage: Percent,
+            data: Vec<u8>,
+        ) -> DispatchResult {
+            let proposer = ensure_signed(origin)?;
+            proposal::add_emission_proposal::<T>(
+                proposer,
+                recycling_percentage,
+                treasury_percentage,
+                data,
+            )
+        }
     }
 
     #[pallet::event]
@@ -425,6 +442,8 @@ pub mod pallet {
         InvalidMinWeightControlFee,
         /// Invalid minimum staking fee in proposal
         InvalidMinStakingFee,
+        /// Invalid params given to Emission proposal
+        InvalidEmissionProposalData,
     }
 }
 
diff --git a/pallets/governance/src/proposal.rs b/pallets/governance/src/proposal.rs
index 5357d50..b6716da 100644
--- a/pallets/governance/src/proposal.rs
+++ b/pallets/governance/src/proposal.rs
@@ -12,6 +12,7 @@ use codec::{Decode, Encode, MaxEncodedLen};
 use polkadot_sdk::frame_election_provider_support::Get;
 use polkadot_sdk::frame_support::traits::Currency;
 use polkadot_sdk::frame_support::traits::WithdrawReasons;
+use polkadot_sdk::polkadot_sdk_frame::traits::CheckedAdd;
 use polkadot_sdk::sp_runtime::SaturatedConversion;
 use polkadot_sdk::sp_std::{collections::btree_set::BTreeSet, vec::Vec};
 use polkadot_sdk::{
@@ -24,7 +25,7 @@ use substrate_fixed::types::I92F36;
 
 pub type ProposalId = u64;
 
-#[derive(DebugNoBound, TypeInfo, Decode, Encode, MaxEncodedLen)]
+#[derive(Clone, DebugNoBound, TypeInfo, Decode, Encode, MaxEncodedLen)]
 #[scale_info(skip_type_params(T))]
 pub struct Proposal<T: crate::Config> {
     pub id: ProposalId,
@@ -44,6 +45,13 @@ impl<T: crate::Config> Proposal<T> {
         matches!(self.status, ProposalStatus::Open { .. })
     }
 
+    pub fn execution_block(&self) -> Block {
+        match self.data {
+            ProposalData::Emission { .. } => self.creation_block + 21_600,
+            _ => self.expiration_block,
+        }
+    }
+
     /// Marks a proposal as accepted and overrides the storage value.
     pub fn accept(
         mut self,
@@ -250,11 +258,15 @@ impl<T: crate::Config> GlobalParamsData<T> {
     }
 }
 
-#[derive(DebugNoBound, TypeInfo, Decode, Encode, MaxEncodedLen, PartialEq, Eq)]
+#[derive(Clone, DebugNoBound, TypeInfo, Decode, Encode, MaxEncodedLen, PartialEq, Eq)]
 #[scale_info(skip_type_params(T))]
 pub enum ProposalData<T: crate::Config> {
     GlobalParams(GlobalParamsData<T>),
     GlobalCustom,
+    Emission {
+        recycling_percentage: Percent,
+        treasury_percentage: Percent,
+    },
     TransferDaoTreasury {
         account: AccountIdOf<T>,
         amount: BalanceOf<T>,
@@ -265,6 +277,7 @@ impl<T: crate::Config> ProposalData<T> {
     #[must_use]
     pub fn required_stake(&self) -> Percent {
         match self {
+            Self::Emission { .. } => Percent::from_parts(10),
             Self::GlobalCustom | Self::TransferDaoTreasury { .. } => Percent::from_parts(50),
             Self::GlobalParams { .. } => Percent::from_parts(40),
         }
@@ -312,6 +325,27 @@ pub fn add_dao_treasury_transfer_proposal<T: crate::Config>(
     add_proposal::<T>(proposer, data, metadata)
 }
 
+pub fn add_emission_proposal<T: crate::Config>(
+    proposer: AccountIdOf<T>,
+    recycling_percentage: Percent,
+    treasury_percentage: Percent,
+    metadata: Vec<u8>,
+) -> DispatchResult {
+    ensure!(
+        recycling_percentage
+            .checked_add(&treasury_percentage)
+            .is_some(),
+        crate::Error::<T>::InvalidEmissionProposalData
+    );
+
+    let data = ProposalData::<T>::Emission {
+        recycling_percentage,
+        treasury_percentage,
+    };
+
+    add_proposal::<T>(proposer, data, metadata)
+}
+
 fn add_proposal<T: crate::Config>(
     proposer: AccountIdOf<T>,
     data: ProposalData<T>,
@@ -442,7 +476,10 @@ fn tick_proposal<T: crate::Config>(
             *stake_for = stake_for_sum;
             *stake_against = stake_against_sum;
         }
-        Proposals::<T>::set(proposal.id, Some(proposal));
+        Proposals::<T>::set(proposal.id, Some(proposal.clone()));
+    }
+
+    if block_number < proposal.execution_block() {
         return Ok(());
     }
 
@@ -450,6 +487,27 @@ fn tick_proposal<T: crate::Config>(
     let minimal_stake_to_execute =
         get_minimal_stake_to_execute_with_percentage::<T>(proposal.data.required_stake());
 
+    if total_stake >= minimal_stake_to_execute {
+        create_unrewarded_proposal::<T>(proposal.id, block_number, votes_for, votes_against);
+        if stake_against_sum > stake_for_sum {
+            proposal.refuse(block_number, stake_for_sum, stake_against_sum)
+        } else {
+            proposal.accept(block_number, stake_for_sum, stake_against_sum)
+        }
+    } else if block_number >= proposal.expiration_block {
+        create_unrewarded_proposal::<T>(proposal.id, block_number, votes_for, votes_against);
+        proposal.expire(block_number)
+    } else {
+        Ok(())
+    }
+}
+
+fn create_unrewarded_proposal<T: crate::Config>(
+    proposal_id: u64,
+    block_number: Block,
+    votes_for: Vec<(AccountIdOf<T>, BalanceOf<T>)>,
+    votes_against: Vec<(AccountIdOf<T>, BalanceOf<T>)>,
+) {
     let mut reward_votes_for = BoundedBTreeMap::new();
     for (key, value) in votes_for {
         reward_votes_for
@@ -469,23 +527,13 @@ fn tick_proposal<T: crate::Config>(
     }
 
     UnrewardedProposals::<T>::insert(
-        proposal.id,
+        proposal_id,
         UnrewardedProposal::<T> {
             block: block_number,
             votes_for: reward_votes_for,
             votes_against: reward_votes_against,
         },
     );
-
-    if total_stake >= minimal_stake_to_execute {
-        if stake_against_sum > stake_for_sum {
-            proposal.refuse(block_number, stake_for_sum, stake_against_sum)
-        } else {
-            proposal.accept(block_number, stake_for_sum, stake_against_sum)
-        }
-    } else {
-        proposal.expire(block_number)
-    }
 }
 
 #[inline]
diff --git a/pallets/governance/tests/voting.rs b/pallets/governance/tests/voting.rs
index 8a08525..171846d 100644
--- a/pallets/governance/tests/voting.rs
+++ b/pallets/governance/tests/voting.rs
@@ -3,7 +3,8 @@ use pallet_governance::{
     proposal::{GlobalParamsData, ProposalStatus},
     DaoTreasuryAddress, Error, GlobalGovernanceConfig, Proposals,
 };
-use polkadot_sdk::frame_support::assert_err;
+use polkadot_sdk::frame_support::traits::Get;
+use polkadot_sdk::{frame_support::assert_err, sp_runtime::BoundedBTreeSet};
 use polkadot_sdk::{frame_support::assert_ok, sp_runtime::Percent};
 use test_utils::{
     add_balance, get_balance, get_origin, new_test_ext, step_block, to_nano, zero_min_burn,
@@ -349,6 +350,163 @@ fn creates_treasury_transfer_proposal_and_transfers() {
     });
 }
 
+#[test]
+fn creates_emission_proposal_and_it_runs_after_2_days() {
+    new_test_ext().execute_with(|| {
+        zero_min_burn();
+
+        let default_proposal_expiration: u64 =
+            <Test as pallet_governance::Config>::DefaultProposalExpiration::get();
+
+        config(1, default_proposal_expiration);
+
+        let origin = get_origin(0);
+        add_balance(0, to_nano(2));
+        register(0, 0, 0, to_nano(1));
+        pallet_torus0::TotalStake::<Test>::set(to_nano(10));
+
+        assert_ok!(pallet_governance::Pallet::<Test>::add_emission_proposal(
+            origin.clone(),
+            Percent::from_parts(20),
+            Percent::from_parts(20),
+            vec![b'0'; 64],
+        ));
+
+        vote(0, 0, true);
+
+        step_block(21_600);
+
+        assert_eq!(
+            Proposals::<Test>::get(0).unwrap().status,
+            ProposalStatus::Accepted {
+                block: 21_600,
+                stake_for: to_nano(1),
+                stake_against: 0
+            }
+        );
+    });
+}
+
+#[test]
+fn creates_emission_proposal_and_it_runs_before_expiration() {
+    new_test_ext().execute_with(|| {
+        zero_min_burn();
+
+        let default_proposal_expiration: u64 =
+            <Test as pallet_governance::Config>::DefaultProposalExpiration::get();
+
+        let min_stake: u128 = <Test as pallet_torus0::Config>::DefaultMinAllowedStake::get();
+
+        config(1, default_proposal_expiration);
+
+        let origin = get_origin(0);
+        add_balance(0, to_nano(2));
+        register(0, 0, 0, to_nano(1) - min_stake);
+        pallet_torus0::TotalStake::<Test>::set(to_nano(10));
+
+        assert_ok!(pallet_governance::Pallet::<Test>::add_emission_proposal(
+            origin.clone(),
+            Percent::from_parts(20),
+            Percent::from_parts(20),
+            vec![b'0'; 64],
+        ));
+
+        vote(0, 0, true);
+
+        step_block(21_600);
+
+        let mut votes_for = BoundedBTreeSet::new();
+        votes_for.try_insert(0).unwrap();
+
+        assert_eq!(
+            Proposals::<Test>::get(0).unwrap().status,
+            ProposalStatus::Open {
+                votes_for,
+                votes_against: BoundedBTreeSet::new(),
+                stake_for: to_nano(1) - min_stake,
+                stake_against: 0
+            }
+        );
+
+        stake(0, 0, min_stake);
+        pallet_torus0::TotalStake::<Test>::set(to_nano(10));
+
+        step_block(100);
+
+        assert_eq!(
+            Proposals::<Test>::get(0).unwrap().status,
+            ProposalStatus::Accepted {
+                block: 21_700,
+                stake_for: to_nano(1),
+                stake_against: 0
+            }
+        );
+    });
+}
+
+#[test]
+fn creates_emission_proposal_and_it_expires() {
+    new_test_ext().execute_with(|| {
+        zero_min_burn();
+
+        let default_proposal_expiration: u64 =
+            <Test as pallet_governance::Config>::DefaultProposalExpiration::get();
+
+        let min_stake: u128 = <Test as pallet_torus0::Config>::DefaultMinAllowedStake::get();
+
+        config(1, default_proposal_expiration);
+
+        let origin = get_origin(0);
+        add_balance(0, to_nano(2));
+        register(0, 0, 0, to_nano(1) - min_stake);
+        pallet_torus0::TotalStake::<Test>::set(to_nano(10));
+
+        assert_ok!(pallet_governance::Pallet::<Test>::add_emission_proposal(
+            origin.clone(),
+            Percent::from_parts(20),
+            Percent::from_parts(20),
+            vec![b'0'; 64],
+        ));
+
+        vote(0, 0, true);
+
+        step_block(default_proposal_expiration);
+
+        assert_eq!(
+            Proposals::<Test>::get(0).unwrap().status,
+            ProposalStatus::Expired
+        );
+    });
+}
+
+#[test]
+fn creates_emission_proposal_with_invalid_params_and_it_fails() {
+    new_test_ext().execute_with(|| {
+        zero_min_burn();
+
+        let default_proposal_expiration: u64 =
+            <Test as pallet_governance::Config>::DefaultProposalExpiration::get();
+
+        let min_stake: u128 = <Test as pallet_torus0::Config>::DefaultMinAllowedStake::get();
+
+        config(1, default_proposal_expiration);
+
+        let origin = get_origin(0);
+        add_balance(0, to_nano(2));
+        register(0, 0, 0, to_nano(1) - min_stake);
+
+        assert_err!(
+            pallet_governance::Pallet::<Test>::add_emission_proposal(
+                origin.clone(),
+                Percent::from_parts(51),
+                Percent::from_parts(50),
+                vec![b'0'; 64],
+            ),
+            Error::<Test>::InvalidEmissionProposalData
+        );
+    });
+}
+
 #[test]
 fn rewards_wont_exceed_treasury() {
     new_test_ext().execute_with(|| {