If you have answered yes to all of these questions, the
Carbon Credits (Carbon Farming Initiative) (Destruction of Methane Generated from Dairy Manure in Covered Anaerobic Ponds) Methodology Determination 2012 (the method)
may be suitable for your business. Read on for further information including eligibility and compliance details.
The method sets out the rules for projects that reduce the release of methane generated from dairy manure.
A project using this method requires the installation and operation of pond covers, gas capture equipment and combustion equipment to existing uncovered effluent treatments, or the replacement of conventional ponds with covered ponds systems. Biogas is collected from the covered ponds and the methane component of the biogas is combusted using flares, an electricity generation system, and/or a gas boiler. A project can have a significant abatement effect as the combusted methane is converted into carbon dioxide which has a much lower global warming potential than methane.
Section 114 of the
Carbon Credits (Carbon Farming Initiative) Act 2011 (the Act) allows for methods to be revised and varied. This is to ensure methods continue to operate as originally intended. Variations to methods are developed and drafted by the Department of the Environment and Energy. Information on
draft methods and method variations is available on the Department of the Environment and Energy’s website.
The Clean Energy Regulator recommends making yourself familiar with proposed method variations relevant to your project should they arise, and how any changes between the original method and the varied method may affect your project plan.
You must read and understand the method and other legislative requirements to conduct a destruction of methane generated from dairy manure in covered anaerobic ponds project and earn Australian carbon credit units (ACCUs). This includes:
This quick reference guide provides basic information about eligibility criteria and obligations that must be met to earn ACCUs from a project using the method. It includes specific links to the relevant legislation but should not be viewed as an alternative to reading the full legislative requirements.
Seven years – The crediting period is the period of time a project can apply to claim Australian carbon credit units (ACCUs).
Act – Part 5, Sections 69 and 70
There are general eligibility requirements in the Act which include:
There are other eligibility requirements in the method.
Act – Section 5
Act – Part 3, Section 27
Method – Section 2.1
A project using this method involves the capture and combustion of biogas generated by the decomposition of dairy manure in effluent ponds and must consist of the following activities:
Ponds used in the project must comply with the standards for construction, operation and maintenance of ponds set out in the
Effluent and Manure Management Database standards.
Ponds must have a minimum loading rate of 50g of volatile solids per cubic metre of active pond volume per day.
The method allows for the use of flaring, an electricity generation system, and a gas boiler.
Any flaring system used in the project must:
You may use an internal combustion engine for electricity generation fed by the methane generated by the project activity.
You must determine the electricity efficiency factor for the internal combustion engine in accordance with the manufacturer’s specifications, with calibration at least every five years. The manufacturer or an accredited third party must conduct the calibration.
If you use a gas boiler, you must operate the system in accordance with the manufacturer’s specifications, with calibration at least every five years. The manufacturer or an accredited third party must conduct the calibration.
Method – Subdivisions 3.2.5 and 3.2.6
Only effluent from the management of dairy cows within the project may be deposited in the project ponds.
The net abatement amount is calculated as the amount of methane emissions avoided minus emissions from fuel used to operate the gas capture and combustion equipment.
The amount of emissions avoided is the difference between baseline emissions and project emissions. This must be calculated using the equation in section 3.8 of the method.
Method – Subdivision 3.2.3
In addition to the
general monitoring requirements of the Act, projects must meet method-specific monitoring requirements.
Section 4.2 of the method outlines quality assurance and quality control requirements for all monitoring instruments and combustion devices.
Act – Part 17
Method – Section 4.2
In addition to the record keeping requirements of the Act and the Rule, projects must also meet the method-specific record keeping requirements. These include making and keeping records of information for calculating the baseline, including:
Specific information must also be recorded and kept about the following matters:
Act – Part 17
Rule – Part 17
Method – Division 4.2
Specialist skills you might consider is to have samples of biogas tested by a National Association of Testing Australia (NATA) accredited laboratory.
Rule – Section 13(f)
Method – Section 3.16
In addition to the reporting requirements of the Act and the Rule, the method also sets out the following method-specific requirements that must be included in each report. These include:
Applications for ACCUs can be made at the same time as you submit your project reports through the Client Portal using the electronic ERF Project Reporting and Crediting Application form.
Act – Part 6
Rule – Part 6
Method – Division 4.3
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.
All non-compliance whether accidental or not or through circumstances outside your control must be reported to your auditor and rectified as soon as reasonably possible. For more information see
Act – Part 19
About The Clean Energy Regulator
Carbon Farming Initiative
Carbon Pricing Mechanism
National Greenhouse And Energy Reporting
Renewable Energy Target
Emissions Reduction Fund
Our Systems And Their Resources
Clean Energy Markets
Data and information
Subscribe to email updates
The Clean Energy Regulator is a Government body responsible for accelerating carbon abatement for Australia.
Follow us on Twitter
Follow us on LinkedIn