Skip Ribbon Commands
Skip to main content

Skip Navigation LinksLandfill-gas-(generation)-method

CER branding swish

Landfill gas (generation) method

Suggested Reading Suggested Reading

20 September 2021

Is the landfill gas (generation) method suitable for your business?

  • Are you planning to introduce a new gas collection system or upgrade an existing gas collection system to collect and combust landfill gas for generating electricity?
  • Will the landfill gas collected be combusted using a combustion engine that generates electricity and combusts landfill gas with a destruction efficiency of at least 98 per cent?

If you have answered yes to both of these questions, the landfill gas method may be suitable for your business.

The Landfill gas (generation) method provides an incentive to install a new landfill gas collection system or upgrade an existing system with the intention to generate electricity from combusting landfill gas, either exclusively or in conjunction with flaring.

All landfill gas projects declared under the method need to meet the eligibility requirements, including that they provide a written statement of the intention to undertake electricity generation from captured landfill gas.

The method allows for 8 different kinds of landfill projects:

  • New projects that collect and combust landfill gas by installing a gas collection system capable of generating electricity at a landfill site where there has not previously been a gas collection system.
  • Recommencing projects involve recommencement of gas collection using either a new or existing gas collection system. For this type of project, a landfill gas collection system must not have operated at the site after 24 April 2014 and for the 3 years before an application to register the project is submitted to the Regulator.
  • Upgrade projects involve upgrading an existing landfill gas collection and combustion system to improve gas collection efficiency.
  • Five kinds of transitioning projects:
    • projects transitioning from the legacy landfill gas methodology determinations made under the Carbon Farming Initiative (CFI) scheme.
    • o projects previously declared under the 2015 Determination would be able to move to the Determination provided they meet the eligibility requirements. Such projects are identified as a transitioning (continued) project, transitioning (new) project, transitioning (recommencing) project, or a transitioning (upgrade) project, based on the kind of project that it was under the 2015 Determination.

Legislative requirements

You must read and understand the method and other legislative requirements to conduct a landfill gas project and earn Australian carbon credit units (ACCUs). This includes:

Tools and resources

Quick reference guide to the landfill gas (generation) method

Contents


Crediting period

The crediting period is the period of time a project can apply to claim ACCUs.

Under the method, all new projects that seek to capture and combust waste methane from landfills with the intention to generate electricity will have a 12 year crediting period.

Existing landfill gas projects declared as eligible offsets projects under the 2015 Determination or that apply the 2015 Determination but choose to transfer onto the method because they intend to generate electricity would have a crediting period of 12 years from the start date of their crediting period under the 2015 Determination or a legacy CFI determination, giving them an effective extension of 5 years to their crediting period.

Relevant section of the Act:

Relevant section of the Method:

​​​​ ​​

Eligibility requirements

There are general eligibility requirements in the Act, which include:

The types of projects are eligible under this method include:

  • New projects collect and combust landfill gas by installing a gas collection system capable of generating electricity at a landfill site where there has not previously been a gas collection system.
  • Recommencing projects involve recommencement of gas collection using either a new or existing gas collection system. For this type of project, a landfill gas collection system must not have operated at the site after 24 April 2014 and for the 3 years before an application to register the project is submitted to the Regulator.
  • Upgrade projects involve upgrading an existing landfill gas collection and combustion system to improve gas collection efficiency.
  • There are 5 kinds of transitioning projects:
    • projects transitioning from the legacy landfill gas methodology determinations made under the Carbon Farming Initiative (CFI) scheme.
    • projects previously declared under the 2015 Determination would be able to move to the Determination provided they meet the eligibility requirements. Such projects are identified as a transitioning (continued) project, transitioning (new) project, transitioning (recommencing) project, or a transitioning (upgrade) project, based on the kind of project that it was under the 2015 Determination.

Relevant section of the Act:

Relevant section of the Method:

​​​​ ​​

Project activities

A project under the method must intend to generate electricity either exclusively or in conjunction with flaring, by collecting methane generated by decomposing biodegradable organic matter in the landfill, and converting it to carbon dioxide.

The methane must be combusted using a combustion device. This may be:

  • a flare, boiler or internal combustion engine operated in accordance with the manufacturer’s instructions
  • a device that combusts landfill gas with a destruction efficiency of at least 98 per cent, is operated in accordance with the manufacturer’s instructions and for which the combustion process can be monitored minute-by-minute.

Relevant sections of the Method:

​​​​ ​​

Exclusions

The method does not credit the destruction of emissions from carbon tax waste, which is waste deposited in landfill between 1 July 2012 and 30 June 2014. It only credits the destruction of emissions from legacy and non-legacy waste:

  • Legacy waste is waste deposited before 1 July 2012, when the carbon pricing mechanism commenced.
  • Non-legacy waste is waste deposited after 30 June 2014, when the carbon pricing mechanism ended.

Relevant section of the Method:

​​​​ ​​

Abatement calculations

Abatement is calculated by working out the net abatement amount which is project abatement minus baseline abatement.

Project abatement is calculated as the amount of methane combusted from legacy and non-legacy waste, minus the amount of methane that would have been oxidised in the near-surface conditions of the landfill if it was not collected during the project. Part 4 Division 3 of the method deals with the calculations involved in determining project abatement.

Baseline abatement is the amount of methane combusted from legacy and non-legacy waste during the project, multiplied by the proportion of methane that would have been combusted in the absence of the project. Part 4 Division 4 of the method deals with calculating baseline abatement. Some of the major steps involved in calculating baseline abatement include determining:

  • regulatory proportion
  • default baseline proportion
  • baseline proportion.

The regulatory proportion reflects the amount of methane that would have to be combusted to meet quantitative regulatory requirements. Schedule 1 in the method describes how to determine this proportion. It can be determined by:

  • using regulatory guidelines for landfill in your state or territory
  • for new projects – asking your state or territory environmental regulator
  • for upgrade projects – asking your state or territory environmental regulator and calculating the collection efficiency of the existing landfill gas system
  • engaging an independent expert.

The default proportion represents qualitative regulatory requirements, and is either 30 per cent or zero per cent. There are no conditions for applying the 30 per cent default, but the zero per cent default can only be applied if you can demonstrate that no qualitative requirements apply to the landfill. Examples of qualitative requirements include:

  • install or develop a plan to install a landfill gas collection system
  • control or reduce methane concentrations
  • control, manage or limit odour
  • capture landfill gas where practicable.

The baseline proportion depends on the type of project.

  • For new and recommencing projects, it is the higher of the regulatory proportion or the default proportion.
  • For upgrade projects, it is the higher of the regulatory proportion, the default proportion or the proportion of methane combusted during the reporting period that would have been combusted without the project.

Further guidance about how to determine project and baseline abatement can be found in the guide to the landfill gas method located under Tools and Resources.

As specified in section 6 of the Method, where factors or parameters are defined by another document, projects must use the other document as in force at the end of the reporting period.

The NGER Measurement Determination was updated on 1 July 2020, in which factors and parameters used to calculate abatement have changed. Two versions of the Calculator have been developed to reflect the previous and current NGER Measurement Determinations:

Please note these calculators contain macros.

Relevant sections of the Method:

​​​​ ​​

Reporting requirements

In addition to the reporting requirements of the Act and the Rule, the method also sets out the following method-specific requirements for offset reports:

  • Upgrade projects are only able to submit their first report for a reporting period that ends 12 months after the upgrade has taken place. This provides enough data to be able to compare the improvement in collection efficiency from the period prior to the upgrade.
  • Other types of projects can submit their first and subsequent reports for a reporting period between one month to two years.

Relevant section of the Act:

Relevant section of the Rule:

Relevant sections of the Method:

​​​​ ​​

Monitoring requirements

In addition to the general monitoring requirements of the Act, projects must meet specific monitoring requirements in the method. Section 33 lists these requirements along with the process for monitoring and the standard to which it must adhere.

Relevant section of the Act:

Relevant section of the Method:

​​​​ ​​

Record-keeping requirements

This method does not have any record-keeping requirements that are additional to the general record keeping requirements of the Act and the Rule.

Relevant section of the Act:

Relevant section of the Rule

​​​​ ​​

Audits

Audits are an important requirement of the Emissions Reduction Fund and provide assurance over the integrity of Australian carbon credit units (ACCUs). All projects receive an audit schedule when the project is declared and must provide audit reports according to this schedule. A minimum of three audits will be scheduled and additional audits may be triggered. For more information on the audit requirements, see the Act, the Rule and the audit information on our website.

Audits during an extended crediting period

Once you submit an application to transfer your project, the Clean Energy Regulator will be in touch to discuss appropriate auditing during the extended crediting period.

Relevant section of the Act:

Relevant section of the Rule:

​​​​ ​​

Specialist skills

Specialist skills may be required to carry out the project with the method. Examples of specialist skills include:

  • registered professional engineer
  • certified energy manager
  • certified measurement and verification professional.

Relevant section of the Rule:

​​​​ ​​




Documents on this page Documents on this page

Was this page useful?

LEAVE FEEDBACK
 
 
preload-image-only preload-image-only preload-image-only preload-image-only preload-image-only preload-image-only preload-image-only preload-image-only preload-image-only