Newness

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Newness requirement & eligibility for the ACCU Scheme

Assessing newness is a key requirement for all ACCU Scheme projects. An additionality test assesses whether a project and its activity create emissions reductions that would not have occurred outside normal farm operations. Additionality is important to ensure that the ACCU scheme does not pay for emissions reductions that would have occurred anyway.

For example, if you have planted a native forest as part of your regular farming practices or due to existing regulations or incentives, this activity would not be considered additional. The carbon sequestration from this forest would have occurred regardless of any new carbon project or funding. Therefore, it does not qualify for ACCUs under the newness criteria.

For an activity to be classified as additional, two requirements will be assessed during registration and crediting:

1. The activity is not currently being practised; and
2. If the scheme had not been introduced, the activity would not have otherwise occurred.

New practices may not be started before registering the project with the Clean Energy Regulator, unless otherwise stated in the project’s method (view specific requirements of the Environmental Plantings method).

DISCLAIMER: This general information has been prepared by Landcare Australia (AR 1315198 of Australian Carbon Traders Pty Ltd AFSL 425512) for farmers and landholders who are eligible to be treated as wholesale clients. It does not take into account your objectives, needs or situation. ACCUs and derivatives are financial products. While we have outlined common benefits, risks and constraints here, we strongly recommend you seek independent financial and legal advice before acting on any decision to invest. Click here for further regulatory information.