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Emissions Reduction Fund method priorities for 2022 announced

01 October 2021

Today, the Minister for Energy and Emissions Reduction, the Hon Angus Taylor MP announced new priorities for method development in 2022 for the Emissions Reduction Fund (ERF).

These methods are:

  • transport – including emissions reductions created by electric vehicle and hydrogen refuelling infrastructure
  • hydrogen – including injection of clean hydrogen into the gas network, and the use of hydrogen in electricity generation or other uses, such as low carbon steel
  • integrated farm method – including allowing separate land-based activities to be combined or ‘stacked’ on the same land
  • carbon capture use and storage (CCUS or carbon recycling) – including in the production of industrial and building materials like concrete, and
  • savanna fire management – building on the existing method with updated carbon accounting and by expanding the carbon pools and vegetation types covered.

ERF project rules are known as “methods”. Project activities to reduce emissions or store carbon need to be covered by a method to receive Australian carbon credit units.

These new priority methods will support greater engagement with the ERF and open new opportunities for increased carbon abatement.

The Clean Energy Regulator is responsible for developing methods and will work with stakeholders to determine specific activities to be included in each of the priority methods. Methods are developed through a co-design process with industry, potential end-users, scientists, technical experts and the Emissions Reduction Assurance Committee.

The method development process for the new priority methods will commence in early 2022.

Visit Method development for more information on how methods are developed.

The method priorities are determined by the Minister for Energy and Emissions Reduction, informed by submissions for potential new methods made to a public consultation process run by the Department of Industry, Science, Energy and Resources. Public consultation was undertaken in July 2021 with over 70 submissions for new method ideas received.

Visit Methods for the Emissions Reduction Fund for more information on the method prioritisation process.



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