Australian Government Progressing Inclusion of CCS in Carbon Credits Market
29th June 2021
The Australian Government has today released a public consultation of a draft carbon capture and storage (CCS) method for the Emissions Reduction Fund (ERF). The proposed method will enable CCS projects - which capture and permanently store greenhouse gases underground - to generate Australian carbon credit units (ACCUs). For each tonne of carbon dioxide equivalent (tCO2-e) stored or avoided, one ACCU is issued. These ACCUs can then be sold through the Emissions Reduction Fund.
CCS is essential to meet net-zero emissions by mid-century. The International Energy Agency’s Sustainable Development Scenario (IEA-SDS), one model aligned with the Paris Agreement, requires 15% of the world’s emissions reductions to be achieved using CCS.
Submissions can be made until the 27th of July through the Department of Industry, Science, Energy and Resources consultation hub here.
Learn more about the ERF here.