The rules for the treatment of renewable energy under the National Carbon Offset Standard have been updated

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Accounting for renewable energy in a greenhouse gas inventory

For the purposes of making carbon neutral claims against the National Carbon Offset Standard, the following rules apply to account for renewable energy use. These rules replace those under section 2.2.4. of the Carbon Neutral Program Guidelines (version 4.0).  

Onsite renewable energy

The treatment of onsite renewable energy depends on the size of the energy system and the scheme it operates under:

  • Small-scale Renewable Energy Scheme: behind-the-meter energy usage originating from small-scale onsite generation systems can be treated as zero-emissions energy, regardless of whether any Small Technology Certificates (STCs) have been created, sold or transferred to any other party.
  • Large-scale Renewable Energy Target: behind-the-meter energy usage originating from large-scale onsite generation systems that have been issued Large Generation Certificates (LGCs), can be treated as zero-emissions energy only if the equivalent amount of LGCs are voluntarily retired by the user. Behind-the-meter energy usage that is not matched by an equivalent amount of voluntarily retired LGCs must be accounted for in the same way as grid based energy.

Offsite renewable energy

The purchase of GreenPower from an accredited GreenPower Product, or the voluntary cancellation of Large-scale Generation Certificates (LGCs), is considered to be equivalent to the direct use of renewable energy from the grid (offsite renewable energy). On that basis, GreenPower purchases or voluntary cancellation of LGCs (including from Power Purchase Agreements) allow for the equivalent amount of grid electricity consumed to be accounted as zero-emissions electricity.

GreenPower and the voluntary purchase and retirement of LGCs can be used to zero Scope 2 emissions under the National Carbon Offset Standard.

Further information

Treatment of Renewable Energy Certificates under the NCOS (PDF – 135.76 KB)
Treatment of Renewable Energy Certificates under the NCOS (DOCX – 75.11 KB)

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