The National Farmers’ Federation (NFF) has welcomed the findings from the review into Australia’s carbon credit framework but has highlighted concerns about missing farmer representation and support.
The Hon Chris Bowen released the final report of the Independent Review of Australian Carbon Credit Units (ACCUs) in January, with the government accepting, in principle, all 16 recommendations by the panel, led by former chief scientist Professor Ian Chubb AC.
NFF president Fiona Simson said a high level of confidence and integrity within Australia’s carbon credit system was critical.
“We welcome the panel’s findings that the scheme is sound, the level of abatement is correct, and the policy is effectively reducing Australia’s emissions.
“Overall, the NFF broadly supports regular reviews into the scheme, along with changes to clarify governance and improve transparency. However, some concerns remain.
“We were clear that we need to establish a skills-based board to be involved in the governance of ACCUs. While this is in some ways supported by the new Carbon Abatement Integrity Committee (CAIC), there is a lack of farm management experience,” Ms Simson said.
The NFF recommended a farmer representative be present on this committee to help farmers and landholders engage with the consultation process. It also recommended independent and trusted advice be made available, for example through extension officers.
“None of these recommendations were in the review.
“However, we do support the appointment of four members to the CAIC, one being a First Nations Australian.
“We will seek clarification on what skills and experiences these four members will require and advocate that farm management experience be one of them.”
The NFF also has concerns about the review’s recommendations on avoided deforestation and that no new project registrations will be allowed under the current method.
“This recommendation fails the NFF’s test about the importance of the review being a technical, not philosophical, assessment. The recommendation also leads the NFF to be concerned the current method will conclude without the replacement being discussed or understood.”
Concerns over unlimited carbon credits
Farmers for Climate Action welcomes many aspects of Safeguard Mechanism changes proposed by Climate Change Minister, Chris Bowen, but has concerns about unlimited credits and land use.
“Reducing the baseline emissions of companies covered by the safeguard mechanism by 4.9 per cent a year to 2030 is a positive step and delivers on the spirit of what the government promised in the election campaign,” FCA strategy director, Cambell Klose said.
“However, allowing companies to use unlimited carbon credits to ‘offset’ their emissions fails to reduce carbon emissions, and could see a perverse outcome of carbon crops taking over too much food producing land if the price of carbon credits rises steeply.
“This is compounded by the fact the Chubb Review into Australia’s carbon credits skated over serious concerns about the integrity of some of Australia’s carbon credits.
“The climate won’t be helped by creating flimsy carbon reductions which aren’t worth the paper they’re written on.
“A limit on the amount of carbon credits each company can use to ‘offset’ emissions, which is focussed only on hard to abate sectors, would be a sensible step towards genuine emissions reduction. The best place to stop emissions is at the source.
“We need to stop digging up and burning fossil fuels and focus on a rapid and orderly change to a renewable energy energy power grid, as well as investing in the electrification of industry as quickly as possible.”
