Government seeks new carbon credit ideas

The Federal Government is seeking proposals for new Australian Carbon Credit Unit (ACCU) Scheme methods as part of a new proponent-led process launched on Tuesday. 

This new process will see ACCU Scheme methods developed outside of government – the next step in the ongoing reforms to Australia’s carbon crediting system. 

The independent Emissions Reduction Assurance Committee will assess all proposals for new methods and advise the government on which proposals should be prioritised for development. 

Minister for Climate Change and Energy Chris Bowen said the proponent-led approach would ensure the ACCU Scheme continues to deliver high-integrity emissions reduction. 

“We’re bolstering the integrity of Australia’s carbon crediting scheme and delivering on recommendations from the independent Chubb Review,” Minister Bowen said. 

“Public confidence in the integrity of ACCUs is critical to the success of Australia’s carbon market and this calls for a more inclusive and transparent process for method development. 

“The proponent-led model aims to encourage more innovative approaches to carbon abatement and will help to boost the supply of ACCUs to support our net zero ambition.” 

Farmers for Climate Action has cautiously welcomed the announcement, with Community Outreach Officer, Peter Holding, saying its 8200 farmer members had made clear that integrity was the key issue for them. 

“Having stakeholders including farmers suggest carbon credit methods can be a good move, so long as the carbon reduction is real,” Mr Holding said. 

“We must remember the best way to reduce carbon pollution is at the source, and our key aim must be for polluters to reduce their pollution, not continue to pollute whilst paying for carbon credits. 

“Taking the politics out of the process is a good move. Having farmers and stakeholders submit suggested carbon methods is much better than the Minister of the day choosing which methods would be assessed. 

“We stress that any methods approved must be real - every carbon credit must represent a tonne of carbon removed from the atmosphere.  

“A dodgy methodology can put farmers one media exposé away from a carbon market crash - and then farmers who have invested in carbon projects could lose their entire investment.  

“Each suggested new carbon method must be considered in the knowledge that approval of one dodgy method could cost farming families part of their livelihood. 

“This is the first step in implementing the recommendations of the Chubb Review, and we urge the government to continue implementing all recommendations to strengthen the integrity of the carbon credit market.”