General guidance re local govt. and ‘newness’

If a local government or council has made a final investment decision to undertake a specific emissions reduction project, it will not meet the newness requirements of the Emissions Reduction Fund and, therefore, will not be eligible for the scheme. However, if a local government strategic plan indicates that it will undertake emissions reduction projects, without any final budgetary or investment decisions having been reached to undertake a particular project, the projects decided on may be eligible.


Specific Methods

METHOD: Reforestation by Environmental or Mallee Plantings—FullCAM) Methodology Determination 2014


ACTIVITIES: The project must establish by planting, and maintain, the following types of permanent plantings: (a) a mixed-species environmental planting (forest) or (b) a mallee planting. Must have been cleared for the 5 previous years. Can’t be a ‘landscape’ planting.


METHOD: Commercial and Public Lighting Methodology Determination 2015


ACTIVITIES WHICH CAN BE CREDITED: This method credits emission reductions from projects that improve the energy performance of lighting systems in commercial and industrial buildings as well as public areas such as pedestrian, street and traffic lighting.


It supports a broad range of activities which may modify, replace or supplement a lighting system for the purpose of decreasing electricity usage of that system as a whole.


NOT for greenfields sites! But can be for sporting facilities, other existing thing and/or an arrangement with those in charge/ownership of the current street lighting!


METHOD: Land and Sea Transport


ACTIVITIES WHICH CAN BE CREDITED. The land and sea transport method provides for crediting emissions reductions from road, rail and sea transport, and mobile equipment such as mining and agricultural vehicles. It excludes air transport.


The method is ‘activity neutral’ to support a broad range of activities to reduce emissions intensity within the transport sector, including:

  • replacing existing vehicles
  • modifying existing vehicles
  • changing energy sources (that is, fuel switching) or the mix of energy sources, or
  • changing operational practices.

Could be used for some of councils’ mobile equipment.


METHOD: Landfill gas


ACTIVITIES CREDITED: The landfill gas method provides an incentive to install a new landfill gas collection system, upgrade an existing system or recommence operation of a system at a site where one has existed before but not operated for some time. Credits can be earned for waste accepted at the landfill facility after 30 June 2014.


The method allows for new, recommencing, upgrade and transitioning projects. New projects are those that install a new landfill gas collection system where there has never been a system located on any part of the landfill previously.


Recommencing projects are those that recommence operation of a landfill gas collection system at a site where a system previously operated, providing that both:

  • a landfill gas capture system has not operated at the landfill after 24 April 2014, and
  • a landfill gas capture system has not operated at the landfill for at least three years before an application for the project as an eligible offsets project is made.

Upgrade projects are those that upgrade an existing and operating landfill gas collection system to increase the collection efficiency of the system. There are no restrictions on the type of activities that can be undertaken to improve the existing system’s collection efficiency. Examples include upgrading the way landfill gas is collected by adding more wells, upgrading the capacity of the combustion devices or installing new software for optimising the operation of the system.


METHOD: Commercial Buildings


The commercial buildings method allows for projects that reduce emissions associated with the consumption of electricity or fossil fuels at a commercial building.


The method applies to activities to improve the energy performance of at least one star in the NABERS energy rating for each building, in one or more existing commercial buildings that have, or are eligible to have, National Australian Built Environment Rating System (NABERS) energy ratings.


The method does not specify the particular activities that must be undertaken, but requires that the activities fall under the following broad categories:

  • modifying, installing, removing or replacing:
    • energy-consuming equipment
    • equipment that generates electricity for consumption at the building
    • a building component or other equipment
  • changing how energy-consuming equipment is controlled or operated
  • changing the energy sources used by energy-consuming equipment, and
  • promoting behaviours by occupants of the building that reduce energy consumption by energy-consuming equipment at the building.
METHOD: Industrial electricity and fuel efficiency


ACTIVITIES CREDITED: The industrial electricity and fuel efficiency method sets out the detailed rules for implementing and monitoring offsets projects that reduce emissions of greenhouse gases associated with the consumption of electricity and/or fossil fuels in the industrial sector. It provides a high-level, activity-neutral framework where participants calculate abatement from industrial energy (i.e. electricity and fuel) efficiency activities. This approach provides flexibility for participants to determine what activities are most appropriate for each site.


Projects established under this method may include replacement or modification of boilers or heating, ventilation and air conditioning (HVAC) systems, improving control systems and processes, waste heat capture and re-use, improving the efficiency of crushing or grinding equipment on mining sites, replacing low efficiency motors, fans and pumps with high efficiency versions, installing variable speed drives (VSDs), improving compressed air processes, and fuel switching.


METHOD: Source Separated Organic Waste


A new method which can reduce costs if council is going down the Source Separated Path.


This method relates to separating organic materials from other waste to avoid sending organic materials to landfill. Separating organic waste at its source and treating it helps to reduce the amount of waste that goes to landfill, which reduces emissions from landfill. The separated organic waste material is treated separately to produce a low emission alternative such as composting.


Australian carbon credit units (ACCUs) are generated for emissions reductions as a result of eligible source separated organic waste method activities.


METHOD: Waste Water Treatment


This method sets out the requirements for implementing and monitoring offsets projects that avoid emissions by capturing and combusting the methane generated by wastewater treatment. This method credits destruction of methane generated from domestic, commercial or industrial wastewater. Industrial wastewater does not include wastewater generated during primary production (for example, piggery or dairy manure), but instead covers wastewater generated during the processing of primary products (for example, processing of pork or milk).




  • Upgrades to Refrigeration and ventilation fans
  • Commercial appliances
  • Efficiencies in schools, other buildings etc.

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