Four draft methods that could potentially become a part of the federal government’s Emissions Reduction Fund (ERF) have been released to the public for consultation and include a draft focussed on projects improving energy efficiency for households and small businesses.
The $2.5 billion ERF was passed through the Senate earlier this month and is a crediting and purchasing mechanism that offers industry an opportunity to pitch their carbon reduction project against other bids in a reverse style auction. The winners will earn a government contract and with it, government funding.
If approved, the draft methods could potentially guide the actions of project owners who are looking to achieve carbon emission reductions and in return, government crediting and purchasing plus safeguards.
Released for public consultation on November 14, the new draft methods include the government’s measures for assessing household energy efficiency, industrial energy efficiency, soil carbon and improving the efficiency of fertilizer use in irrigated cotton.
The household energy efficiency guide covers projects that improve energy efficiency for households and small businesses. Project proponents - for example energy retailers - would offer energy saving goods and services to a large group of customers.
The draft method industrial energy efficiency covers a broad range of electricity and fuel efficiency activities including lighting upgrades, heating, ventilation and cooling system upgrades, boiler upgrades, and variable speed drive installation.
Chairman of the CRC for Low Carbon Living (CRCLCL) Robert Hill says the overall approach to the ERF offered both opportunities and challenges.
“The incentives around the ERF are positive in that emissions reductions will no doubt be a result.
“For the CRCLCL it also offers a unique opportunity to bring the research, technology and industry it works with to work collectively to bid in this arena,” he said.
“The challenges are to engage all of industry to play a role in the new system.”
Drafts for landfill gas, alternative waste treatment, coal mining, avoided clearing of native regrowth, commercial building energy efficiency, transport and wastewater treatment have already been released and are now closed to public consultation.
Businesses, community organisations and individuals are invited to make submissions on the new draft methods by 5pm AEDT 12th December 2014.
For more information and a submission click here: