Carbon Farming Initiative workshop: from Plan to Practice slides - PDF document

Carbon Farming Initiative workshop: from Plan to Practice – slides Early dry season savanna burning Darwin, 2 October 2013 These slides are also available in PDF format on the Clean Energy Regulator website 1 . 1 http://www.cleanenergyregulator.gov.au/Carbon-Farming-Initiative/Reports-and- publications/Pages/default.aspx Early dry season savanna burning – slides 2 October 2013 Page 1

Welcome • Introductions • Housekeeping Workshop purpose • Support your participation • Help you to understand what's involved • Hear from other organisations and experts Session 1 – Savanna burning and the Carbon Farming Initiative • Clean Energy Regulator – Information about the Carbon Farming Initiative and how to implement a compliant savanna burning project • Indigenous Land Corporation – the Fish River project Introduction Purpose: • Understand key concepts behind the Carbon Farming Initiative’s design • Understand Clean Energy Regulator’s role Carbon Farming Initiative overview • Voluntary offsets scheme • Project proponents earn Australian carbon credit units (ACCUs) by: » storing carbon, or » reducing greenhouse gas emissions on the land • Underpinned by legislation • Each ACCU = one tonne of carbon dioxide equivalent (CO 2 -e) • ACCUs can be used by liable entities to meet their obligations under Australia’s carbon pricing mechanism or sold to the voluntary market Early dry season savanna burning – slides 2 October 2013 Page 2

Legislative framework for the CFI Methodology determinations Methodology determinations set out the rules for undertaking a specific activity to earn Australian carbon credit units. Clean Energy Regulator Our vision is to support Australia in transitioning to a low carbon economy through an informed and efficient market for carbon and investment in renewable energy. Early dry season savanna burning – slides 2 October 2013 Page 3

Seven steps to participating Getting started – pre planning • Check your eligibility • Assess the feasibility • Check your expectation for return on investment Early dry season savanna burning – slides 2 October 2013 Page 4

• Decide on your business model Consider your options carefully, get independent, professional advice and ask questions relevant to your own situation. Do you have the legal right? • You must show the Regulator evidence that you have the legal right to conduct a savanna burning project • Legal rights include all permissions required to conduct the activity • Seek legal advice • Evidence can be copies of letters or contracts showing that legal right has been given to you Step 1 – Recognised offsets entity Essential to be part of the Carbon Farming Initiative and issued with Australian carbon credit units • Open an ANREU Account » fit and proper person test » proof of identity test • Centrally processed, case officer allocated Tip: ask us to make sure you provide the right documentation applicable to your entity type Step 2 – Eligible Offsets Project • Describes how your project is eligible to participate in the Carbon Farming Initiative • Checked by the Clean Energy Regulator to make sure your plans meet the Carbon Farming Initiative rules • Processed by Carbon Farming team, new case officer Early dry season savanna burning – slides 2 October 2013 Page 5

Guide to undertaking a savanna burning project Purpose: • Support your decision to participate in the Carbon Farming Initiative using the Savanna Burning methodology determination(s). What does a savanna burning project look like? • Strategic early dry season fire management to reduce emissions • In an area receiving more than 1000mm long-term average rainfall • Vegetation one of four specific vegetation classes • Does not use other methods to reduce the fire area Why participate? Early dry season burning can: • Social, cultural and environmental benefits for indigenous land holders • Maintain the productive potential of the land • Conserve biodiversity • Help to reduce greenhouse gas emissions Step 3 – undertaking a savanna burning project 1. Define Project Periods 2. Develop vegetation maps 3. Source or develop fire maps 4. Determine the start of the late dry season and conduct early dry season burning 5. Calculate Baseline 6. Calculate abatement 7. Record Fuel used to establish and manage the project 8. Calculate net annual greenhouse gas abatement 9. Prepare and submit audit and offsets report Undertaking a savanna burning project 1. Define Project Periods » Project and reporting period Early dry season savanna burning – slides 2 October 2013 Page 6

» Baseline period » Fuel Estimation period 2. Develop vegetation maps » Identify and map project area » Validate maps » Calculate the area of each vegetation class 3. 3.Source or develop fire maps » From NAFI or validate » Monthly fire maps » Seasonal fire maps 4. Determine the start of the late dry season and conduct early dry season burning » Methodology determinations allow for regions with specific start dates to be established » Currently 31 August for all regions 5. Calculate Baseline » Fire scar area in EDS and LDS for each veg class » Determine fire scar area in raster format » Convert values into hectares The baseline represents what would happen in the absence of the project. Early dry season savanna burning – slides 2 October 2013 Page 7

6. Calculate abatement » Identify your greenhouse gas assessment boundary » Calculate annual fire emissions 7. Record Fuel used to establish and manage the project 8. Calculate net annual greenhouse gas abatement » Determine total annual project emissions » Determine net annual project abatement » 9 equations using the data gathered Example: Equation 1 – calculating annual fire emissions 9. Prepare and submit audit and offsets report » Record keeping and monitoring » Project record keeping » Reporting periods » Project offsets report Monitoring and record keeping • Have a monitoring plan in place before you start • Collect information and record from the start of your project • Set up controls and processes Early dry season savanna burning – slides 2 October 2013 Page 8

Monitoring and record keeping are critical for your project reporting and to earn Australian carbon credit units. Will you be able to protect your data in an unforeseen event? • Make and keep records of: » All maps, data sets and mapping products » Evidence of validation of vegetation map » EDS burning activities during the project reporting period including location, timing and method of prescribed burns » Fuel use (receipts and logs) Step 4 – audit report Provides a ‘reasonable assurance’ opinion on whether or not your project complies with the methodology determination and Carbon Farming legislation Step 5 – Certificate of Entitlement and offsets report • Applications for Australian carbon credit units are made at the same time as you submit your offsets and audit reports. • You can choose when to report and apply for credits, within the one to five year period. • Good record keeping is essential to your report and audit. Current state of the Carbon Farming Initiative 180 Recognised offsets entities (ROEs) - businesses and individuals at 16 September 2013 Early dry season savanna burning – slides 2 October 2013 Page 9

Current participation in the Carbon Farming Initiative 86 eligible offsets projects at 16 September 2013 Early dry season savanna burning – slides 2 October 2013 Page 10

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Australian carbon credit units 1,962,675 ACCUs issued to 13 proponents for 25 projects (as at 16 September 2013) Question and Answer panel • Introduction to the Carbon Farming Initiative and Clean Energy Regulator • Guide to undertaking a savanna burning project Early dry season savanna burning – slides 2 October 2013 Page 12