If you have answered yes to both of these questions, the landfill gas method
may be suitable for your business.
The Landfill gas (generation) method provides an incentive to install a new landfill gas collection system or upgrade an existing system with the intention to generate electricity from combusting landfill gas, either exclusively or in conjunction with flaring.
All landfill gas projects declared under the method need to meet the eligibility requirements, including that they provide a written statement of the intention to undertake electricity generation from captured landfill gas.
The method allows for 8 different kinds of landfill projects:
You must read and understand the method and other legislative requirements to conduct a landfill gas project and earn Australian carbon credit units (ACCUs). This includes:
The crediting period is the period of time a project can apply to claim ACCUs.
Under the method, all new projects that seek to capture and combust waste methane from landfills with the intention to generate electricity will have a 12 year crediting period.
Existing landfill gas projects declared as eligible offsets projects under the 2015 Determination or that apply the 2015 Determination but choose to transfer onto the method because they intend to generate electricity would have a crediting period of 12 years from the start date of their crediting period under the 2015 Determination or a legacy CFI determination, giving them an effective extension of 5 years to their crediting period.
Relevant section of the Act:
Relevant section of the Method:
There are general eligibility requirements in the Act, which include:
The types of projects are eligible under this method include:
A project under the method must intend to generate electricity either exclusively or in conjunction with flaring, by collecting methane generated by decomposing biodegradable organic matter in the landfill, and converting it to carbon dioxide.
The methane must be combusted using a combustion device. This may be:
Relevant sections of the Method:
The method does not credit the destruction of emissions from carbon tax waste, which is waste deposited in landfill between 1 July 2012 and 30 June 2014. It only credits the destruction of emissions from legacy and non-legacy waste:
Abatement is calculated by working out the net abatement amount which is project abatement minus baseline abatement.
Project abatement is calculated as the amount of methane combusted from legacy and non-legacy waste, minus the amount of methane that would have been oxidised in the near-surface conditions of the landfill if it was not collected during the project.
Part 4 Division 3 of the method deals with the calculations involved in determining project abatement.
Baseline abatement is the amount of methane combusted from legacy and non-legacy waste during the project, multiplied by the proportion of methane that would have been combusted in the absence of the project.
Part 4 Division 4 of the method deals with calculating baseline abatement. Some of the major steps involved in calculating baseline abatement include determining:
regulatory proportion reflects the amount of methane that would have to be combusted to meet quantitative regulatory requirements.
Schedule 1 in the method describes how to determine this proportion. It can be determined by:
default proportion represents qualitative regulatory requirements, and is either 30 per cent or zero per cent. There are no conditions for applying the 30 per cent default, but the zero per cent default can only be applied if you can demonstrate that no qualitative requirements apply to the landfill. Examples of qualitative requirements include:
baseline proportion depends on the type of project.
Further guidance about how to determine project and baseline abatement can be found in the
guide to the landfill gas method located under Tools and Resources.
As specified in section 6 of the Method, where factors or parameters are defined by another document, projects must use the other document as in force at the end of the reporting period.
The NGER Measurement Determination was updated on 1 July 2020, in which factors and parameters used to calculate abatement have changed. Two versions of the Calculator have been developed to reflect the previous and current NGER Measurement Determinations:
Please note these calculators contain macros.
In addition to the reporting requirements of the Act and the Rule, the method also sets out the following method-specific requirements for offset reports:
Relevant section of the Rule:
In addition to the general monitoring requirements of the Act, projects must meet specific monitoring requirements in the method. Section 33 lists these requirements along with the process for monitoring and the standard to which it must adhere.
This method does not have any record-keeping requirements that are additional to the general record keeping requirements of the Act and the Rule.
Relevant section of the Rule
Audits are an important requirement of the Emissions Reduction Fund and provide assurance over the integrity of Australian carbon credit units (ACCUs). All projects receive an audit schedule when the project is declared and must provide audit reports according to this schedule. A minimum of three audits will be scheduled and additional audits may be triggered. For more information on the audit requirements, see the Act, the Rule and the
audit information on our website.
Audits during an extended crediting period
Once you submit an application to transfer your project, the Clean Energy Regulator will be in touch to discuss appropriate auditing during the extended crediting period.
Specialist skills may be required to carry out the project with the method. Examples of specialist skills include:
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The Clean Energy Regulator is a Government body responsible for accelerating carbon abatement for Australia.