6 February 2013 — CO2 Australia, a division of CO2 Group, has achieved a Carbon Farming Initiative Methodology Determination for its Reforestation and Afforestation Methodology from the Domestic Offsets Integrity Committee.
CO2 Australia can now register almost 30,000 hectares of reforestation carbon projects that it manages under the CFI and start the production of Australian Carbon Credit Units, which are tradable under the Australian Carbon Pricing Mechanism.
CO2 chief executive officer Andrew Grant said with the determination, it was “game-on” for registering projects under the CFI.
CO2 Australia’s Reforestation and Afforestation Methodology Determination is the first privately developed methodology in the forest sector to reach the Determination stage and the first to apply in-field carbon accounting approaches.
CO2 director James Bulinski said the work leveraged CO2 Group’s 10-year investment in developing commercial-scale, carbon accounting systems.
“This is a great outcome for the CFI because it demonstrates that it is possible for credentialed private sector players to successfully enter the CFI at a commercially significant scale.”
The Methodology Determination was signed off by the Parliamentary Secretary for Climate Change and Energy Efficiency Greg Combet, and formally came into effect as a legal instrument last week.
Under the rules of the CFI, the accounting approach detailed in the Determination cannot be challenged for 15 years, which provides considerable investment certainty to funding a forest carbon project.
Mr Combet said through effective partnerships the government was building additional revenue streams for landholders and farmers under the Carbon Farming Initiative, while helping to reduce the emission of greenhouse gases and protecting the unique environment.