The Government’s Emissions Reduction Fund (ERF) has delivered the biggest auction result since December 2017.
The Government purchased more than 7 million tonnes of abatement through ERF Auction 11 at an average price of $15.74 per tonne.
This is more than four times larger than the previous auction.
Minister for Energy and Emissions Reduction Angus Taylor said that the Government has now committed more than $2 billion to projects in rural and regional areas that are reducing emissions and supporting the economy.
“Our $1.9 billion investment in new energy technologies includes funding to halve the amount of time it takes to develop new ERF methods,” Minister Taylor said.
“This is good news for farmers and regional communities.
“We’re also expanding the Australian Renewable Energy Agency (ARENA) and Clean Energy Finance Corporation’s (CEFC) investment toolkit so they can better support technologies that will increase farm output, like soil carbon.
“This is all about supporting jobs and maintaining Australia’s position as a trusted supplier of food, fibre, energy and minerals to the world.”
The projects supported through Auction 11 will help regenerate native vegetation, enhance soil carbon, improve energy efficiency and reduce emissions from landfill gas.
The Clean Energy Regulator forecasts ERF projects will earn around 16 million Australian Carbon Credit Units in 2020 (worth 16 million tonnes of emissions reductions).
The ERF has now contracted almost 200 million tonnes, with more than 58 million tonnes already delivered, and has played and will continue to play an important role in the Morrison Government’s efforts to reduce Australia’s emissions while maintaining a strong economy.