National Greenhouse and Energy Reporting Act 2007 (NGER Act) & Safeguard Mechanism Rules
Deadline to submit for 2022-23
Reporting deadline | Application deadline
CER anticipates that ACCUs will be launched in the new Unit Register
AUSTRALIAN LANDSCAPE
2023
GOVERNMENT
CARBON TRADING
CLIMATE DISCLOSURE
CARBON COMPLIANCE
REGULATOR
COMPANY
MILESTONE
WHO ACTS?
TOPIC AREAS
Carbon pricing mechanisms and regulatory frameworks play a pivotal role in incentivising businesses to reduce emissions and explore other techniques like storage. The ACCU Scheme and Safeguard Mechanism are among the more significant examples in Australia. Both schemes are under continuing consideration for refinement.
As Australia transitions to a low-carbon economy, carbon markets play an increasing role to help achieve net zero ambitions. Staying on top of deadlines and developments is essential.
As carbon regulation and reporting obligations increase, it’s critical to keep up with key dates: whether it’s a reporting deadline, a chance to submit to a policy review or a milestone change. Below is our tracker of key dates. This will evolve to keep you across the changes.
Please reach out to your KWM contact if we can assist on any of these topics. We are here to help.
National Greenhouse and Energy Reporting Act 2007 (NGER Act)
Deadline for submissions of site-specific emissions intensity values for
Safeguard facilities. Desirable for some entities as they recognise
individual facility circumstances, keeping initial costs (exceedance) and
benefit (credits) low when compared to an industry wide approach
Release of the 2024 Environmental Plantings Method
The Department of Climate Change, Energy, the Environment and
Water releases the 2024 Environmental Plantings method to allow
proponents to obtain carbon credits by establishing plantings of
forests native to the local area, or through mallee plantings.
Carbon Credits (Carbon Farming Initiative – Beef Cattle Herd
Management – Application Suspension) Order 2024
The Emissions Reduction Assurance Committee (ERAC) makes an order
to suspend the processing of applications under section 22 of the Carbon
Credits (Carbon Farming Initiative) Act 2011 for the declaration of eligible
offsets projects that would be covered by the Carbon Credits (Carbon
Farming Initiative – Beef Cattle Herd Management) Methodology
Determination 2015. The Clean Energy Regulator will not process any new
applications for the method for the duration of the suspension period,
from 17 December 2024 until the method expires on 30 September 2025.
29 Feb 2024
National Greenhouse and Energy Reporting Act 2007 (NGER Act)
Deadline for the surrender of ACCUs to avoid excess emissions situations for
the compliance period ending 2022-23. Entities will be liable for a failure to
comply with their duty to avoid excess emissions situations during this period
COMPLIANCE DEADLINE
6 May 2024
CP 378 Safeguard mechanism reforms: Updates to RG 236
Australian Securities & Investment Commission (ASIC) releases consultation paper to address safeguard mechanism reforms
REGULATORY UPDATE
12 July 2024
Proponent-led method development process EOIs on new method proposals in the first round are due to the Emissions Reductions Assurance Committee by 12 July 2024
August 2024
Release of Australian Government response to the Climate
Change Authority’s 2023 and 2020 Reviews of the Carbon Credits
(Carbon Farming Initiative) Act 2011
Guarantee of Origin legislation passed
The Australian Government passes the Future Made in Australia
(Guarantee of Origin) Act 2024, along with its supporting legislation,
establishing the framework for the Guarantee of Origin (GO) Scheme,
which is anticipated to be in operation by the second half of 2025.
2024
National Greenhouse and Energy Reporting Act 2007 (NGER Act)
Deadline for the surrender of any ACCUs and SMCs to avoid excess
emissions situations for the compliance period ending 2023-24.
Entities liable for failure to comply with their duty to avoid excess
emissions situations during this period
COMPLIANCE DEADLINE
National Greenhouse and Energy Reporting (NGER)
Scheme 2025 Consultation Paper
The Department of Climate Change, Energy, the
Environment and Water releases a consultation paper
to address proposed NGER scheme amendments and
the scope, nature and timing of other elements of the
NGER scheme forward work program.
Future Made in Australia (Guarantee of Origin) Rules 2025
Exposure Draft and Consultation Paper
The Department of Climate Change, Energy, the Environment and
Water releases Tranche 1 of the Exposure Draft of the Future Made in
Australia (Guarantee of Origin) Rules 2025 that will be made under the
Future Made in Australia (Guarantee of Origin) Act 2024, alongside a
Consultation Paper which provides additional explanatory material.
Australian Carbon Credit Unit (ACCU) Scheme’s Soil
Organic Carbon 2021 Method
The public consultation period on the Soil Organic Carbon
method 2021’s compliance with the Offset Integrity
Standards as set out in the Carbon Credits (Carbon Farming
Initiative) Act 2011 closes on Friday 11 April 2025 at 11:59pm.
National Greenhouse and Energy Reporting Act 2007 (NGER Act)
Deadline to apply to borrow capacity for 2023-24 for safeguard
facilities likely to exceed 2023-24 baseline capacity (must apply to
borrow a portion of their 2024-25 baseline capacity).
APPLICATION DEADLINE
Transparency changes for the ACCU Scheme
The Minister for Climate Change and Energy amends the Carbon
Credits (Carbon Farming Initiative) Rule 2015, requiring Clean
Energy Regulator (CER) to publish more information on the
Australia Carbon Credit Unit (ACCU) Scheme project register,
with updates to be completed by 20 June 2025.
Australian Carbon Credit Unit (ACCU) Scheme’s Soil
Organic Carbon 2021 Method Consultation Paper
The Department of Climate Change, Energy, the Environment
and Water releases a consultation paper to address Soil
Organic Carbon method 2021’s compliance with the Offset
Integrity Standards as set out in the Carbon Credits (Carbon
Farming Initiative) Act 2011.
Carbon Credits (Carbon Farming Initiative – Domestic,
Commercial and Industrial Wastewater) Methodology
Determination Variation 2024
The period over which non-biomethane projects under the
Carbon Credits (Carbon Farming Initiative – Domestic,
Commercial and Industrial Wastewater) Methodology
Determination 2015 (Wastewater Method) can earn Australian
carbon credit units has been extended from 7 to 12 years.
2025
In this evolving landscape, businesses need to stay informed, adapt to regulatory changes, and leverage carbon markets as an opportunity for both environmental stewardship and strategic advantage. As regulatory frameworks develop and progress in line with the increasing focus on sustainability and environmental responsibility, more deadlines and opportunities will arise.
Organisations are required to adopt stronger policies and practices and actively reduce emissions, or invest in carbon offset projects. As the voluntary carbon market gains traction, organisations must also demonstrate their commitment to carbon neutrality. Technology that enables more accurate measurement and reporting has amplified this.
Collaboration between the government and private sector is crucial for the success of carbon market initiatives, fostering innovation and driving economic growth in a sustainable direction.
What’s next?
With organisations urged to reduce emissions, engage in carbon offset markets and embrace sustainability, they need to proactively adopt technologies, collaborate with government initiatives and stay informed about regulatory changes. This will ensure compliance but also foster innovation and enhance your organisation’s reputation in the evolving low-carbon economy.
KWM is assisting organisations with their ESG strategies, including suitable regulatory policies and processes to ensure compliance but also to take advantage of the changes that lie ahead.
KWM KEY CARBON MARKETS CONTACTS
michael
lawson
Partner in charge
singapore
molly
su
Partner
shanghai
Ryan Iskander
SPECIAL COUNSEL
sYDNEY
Minny
siu
Partner
hong kong
DALE
RAYNER
PARTNER
sydney
Richard mazzochi
PARTNER
HONG KONG
SUODI
XI
Senior Associate
SHANGHAI
MAX
ALLAN
PARTNER
SYDNEY