Abstract

Keynote paper presented at the International Leucaena Conference, 1‒3 November 2018, Brisbane, Queensland, Australia.The Australian Government has committed to reducing its greenhouse gas (GHG) emissions by 26‒28% below 2005 levels by 2030. The Emissions Reduction Fund (ERF), a center-piece of Australia’s climate change policies, provides incentives to reduce GHG emissions through economy-wide eligible activities, such as energy efficiency, waste management, revegetation, livestock management and savanna fire management. Emissions Reduction Fund methods define eligible activities, how to quantify abatement resulting from the activity and the required compliance measures.The requirements for developing ERF methods that quantify GHG abatement estimates resulting from eligible activities are described. Leucaena planting is used as an example. For an ERF method to be made and maintained, the activity must meet all the legislative requirements. This includes meeting the offsets integrity standards and having regard to any adverse environmental, economic and social impacts.

Highlights

  • In line with international frameworks, the Australian Government has committed to reducing its greenhouse gas (GHG) emissions by 26‒28% below 2005 levels by 2030 (Department of Environment and Energy 2015)

  • One possibility in northern Australia is the planting of leucaena, which could both increase livestock productivity and reduce enteric methane emissions

  • Emissions Reduction Fund (ERF) methods describe: eligible activities that generate abatement by avoiding GHG emissions or sequestering carbon; how to quantify abatement resulting from the activity; and the required compliance measures

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Summary

Introduction

In line with international frameworks, the Australian Government has committed to reducing its greenhouse gas (GHG) emissions by 26‒28% below 2005 levels by 2030 (Department of Environment and Energy 2015). To ensure ACCUs are credible and the abatement generated contributes toward Australia’s emissions reduction targets, ERF methods must comply with the Carbon Credits (Carbon Farming Initiative) Act 2011 (Australian Government 2017). Planting leucaena in agricultural systems is used here as an example to demonstrate the types of considerations when assessing whether activities would be eligible under an ERF method This activity is assessed against the offsets integrity standards (s133 CFI Act) (Australian Government 2017). There are other legislative requirements for consideration such as whether the activity is likely to have adverse impacts [Subsection 106(4) CFI Act] (Australian Government 2017) – assessed here These requirements maintain the integrity of the ERF and ensure that the value of ACCUs remains comparable across sectors. This means that ERF projects should not be eligible if there is no additional planting of leucaena, or where non-carbon drivers would ensure that leucaena would be planted in the absence of the carbon market

Estimates of net abatement must be measurable and verifiable
Estimates of the net abatement amount must be conservative
Findings
Conclusion
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