We have released the Reforming the Australian Carbon Credit Unit (ACCU) Scheme Progress Report 2023-2025.
The ACCU Scheme (the scheme) plays an important role in addressing climate change. It encourages voluntary emissions reductions by supporting projects which:
- avoid emissions being produced
- store carbon dioxide from the atmosphere.
The scheme is important to help us to reach our national emissions reduction targets. Government reforms in recent years have increased the integrity and transparency of the scheme. These reforms are explained in the progress report.
Background
In 2022, the government commissioned the Independent Review of Australian Carbon Credit Units (the Chubb Review). The Chubb Review found that the scheme is sound.
The Climate Change Authority (CCA) must review the scheme and its legislation every three years. The CCA completed its most recent review in 2023.
The progress report provides an update on implementing recommendations from these reviews. It also sets out priorities to continue to improve the scheme.
Progress made 2023-2025
The government has taken significant steps to improve the ACCU Scheme in recent years, including:
- strengthening governance arrangements
- appointing the first full-time chair of the Emissions Reduction Assurance Committee (ERAC)
- introducing a proponent-led method development process
- amending the CFI Act to increase the amount of information published about scheme projects
- taking steps to ensure the integrity of existing methods
- supporting participation.
Looking ahead
Maintaining the integrity of the ACCU Scheme and increasing emissions reduction opportunities are important.
Future work on the scheme includes:
- amending the scheme legislation
- developing new methods
- continuing to support participation
- improving Clean Energy Regulator data services.
The government is also committed to continuously improving the scheme, including ongoing work to:
- support innovation in method development
- embed cultural and economic benefits for First Nations people in the scheme
- promote non-carbon benefits of scheme projects, alongside the Nature Repair Market.
