Regulation

Landfill operators say it?s a carbon backflip

Last week the federal government released the rules on its Carbon Farming Initiative (CFI) for landfill.

Clean energy firm Energy Developments (ENE), the largest player in capturing methane and burning it to generate electricity, said last week in a statement to the stock exchange that 12 of its plants would be excluded under the government’s new rules.

The change puts at risk up to one million tonnes of potential greenhouse cuts, the company said.

”[Energy Developments] remains disappointed at what is a last-minute policy change that imposes a new regulatory hurdle to recognition of these sites for the critical task of carbon abatement,” the statement said.

The company?s managing director, Greg Pritchard, said that 25 landfill operators could be hit by the change.

The government initially said that operators who took early action would not be penalised.

Max Spedding, secretary of the Australian Landfill Owners Association, said the backflip penalised dump operators who had done the right thing and got in early to create green power.

ENE?s statement said that a recent determination by the Federal Government indicates that ENE will need to enter further dialogue with regulators to ensure the inclusion of some of its 12 landfill sites.

These ?Category A? sites have been excluded from recognition under the CFI.

Category A Greenhouse Gas Abatement Scheme projects comprise approximately 40 per cent of the landfill gas abatement projects in Australia and are some of the oldest and largest in Australia. They represent some of the earliest initiatives in carbon abatement in Australia.

The Clayton landfill gas power project in Victoria is one such project now excluded under the recent determination, even though it was the venue selected by the Government to announce passage of the CFI legislation last December.

ENE remains disappointed at what is a last minute policy change that imposes a new regulatory hurdle to recognition of these sites for the critical task of carbon abatement.

ENE will continue to engage with the Federal Government on this matter.

Parliamentary secretary for climate change Mark Dreyfus said 50 landfill gas projects around Australia would earn carbon credits.

Source: The Age, Brisbane Times, Energy Developments Limited

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