Australia's world-leading carbon crediting scheme is being further strengthened ensuring it continues to drive down pollution and deliver economic opportunities across regional and rural communities.
The Bill, introduced into the Parliament today, amends the Carbon Credits (Carbon Farming Initiative) Act 2011 by strengthening transparency and integrity in the Australian Carbon Credit Unit (ACCU) Scheme, while simplifying and streamlining how the Scheme operates, and improving the recognition of First Nations rights and interests, learning from over 10 years of implementation.
Multiple independent reviews have found the Scheme to be sound in delivering substantial emissions abatement. The changes further strengthen the Scheme, ensuring it remains fit for purpose and keeps pace with a dynamic and growing carbon market.
The Bill also supports improved transparency of the National Greenhouse and Energy Reporting (NGER) Scheme, Australia's national system for reporting greenhouse gas emissions, and makes minor timetable changes to support the effective operation of the New Vehicle Efficiency Standard (NVES).
Assistant Minister for Climate Change and Energy Josh Wilson said the legislation would ensure confidence in the capacity of the ACCU, NGER and NVES Schemes to deliver effective reductions in Australia's emissions and provide certainty to investors, industry, and Australian communities involved in the schemes.
"These reforms build on a strong foundation to put continued downward pressure on Australia's emissions so we can meet our climate goals while supporting new economic opportunities for Australian industries and communities," Assistant Minister Wilson said.
"We've heard from a full range of carbon market participants about the importance of delivering these carefully designed ACCU reforms because of the Scheme's significance to our concerted climate action and its contribution to economic diversification and environmental restoration in rural and regional Australia.
"New Savanna Fire Management methods introduced earlier this year are set to deliver $7.7 billion for Northern Australia, with 75% of Savanna Fire businesses being First Nations led. In addition, projects under land, agriculture, vegetation and plantation methods are providing significant economic opportunities and delivering environmental repair and resilience right across the country.
"Integrity is the foundation stone of the ACCU Scheme. Over the past 6 years, we have made continuous improvements to strengthen the integrity, transparency, governance and administration of the Scheme to ensure strong participation, real community benefits and ongoing cuts to Australia's emissions. This is another key instalment in that process of continuous learning and improvements."
The Scheme is delivering over 190 million tonnes of abatement from 2631 projects, valued at more than $4 billion, and it has supported emissions reductions and sequestration activity across Australia since 2011.
