The NGACs of concern are those generated from Landfill Gas projects by organisations accredited by the Administrator2 of the GGAS as ACPs under the Scheme's Greenhouse Gas Benchmark (Generation) Rule No. 2 of 2003 ("the Generation Rule"), Category D, denoted by their ACX listing code GDLF herein after.
Shoalhaven Landfill Gas Project, NSW
NSW Greenhouse Gas Reduction Scheme's (GGAS)
NSW Greenhouse Abatement Certificate (NGACs)
In order to reduce the emissions intensity associated with the production and use of electricity consumed in NSW, the NSW government legislated, the New South Wales Greenhouse Gas Reduction Scheme (GGAS)1. The Scheme commenced January 1 2003. The ACT started the GGAS on the 1st January 2005. Both are viewed as a single scheme.
The Scheme mandates that certain entities, including NSW and ACT electricity retailers (collectively known as benchmark participants) meet an annual greenhouse gas benchmark as set out by the Schemes Greenhouse Gas Benchmark Rule (compliance) No.1 of 2003.
The Independent Pricing and Regulatory Tribunal (IPART) operates as the Scheme Administrator for both NSW and the ACT. A single Registry operated by the Scheme Administrator tracks creation, ownership and surrender of certificates. ACPs currently use the Register to create and transfer abatement certificates.
The NGACs of concern are those generated from Landfill Gas projects by organisations accredited by the Administrator2 of the GGAS as ACPs under the Scheme's Greenhouse Gas Benchmark (Generation) Rule No. 2 of 2003 ("the Generation Rule"), Category D, denoted by their ACX listing code GDLF herein after.
Under the Generation Rule, provisions are made for organisations to create certificates from producing electricity that has a lower emissions intensity than the NSW Pool Coefficient (the Relative Intensity Approach).
According to IPART Category D generating systems are generally representative of newer and 'cleaner' technologies and using the Relative Intensity Approach may create abatement certificate for every MWh (of lower emissions intensity generation) above its 0 MWh baseline.
Generation from Landfill Gas also attracts an added benefit in terms of abatement certificate creation because the Scheme recognises the avoidance of emissions via combustion of Landfill Gas (methane has a global warming potential 21 times that of CO2).
1 Originally called the Greenhouse Gas Abatement Scheme, the scheme was renamed in early 2007 by the then Minister for Energy as the Greenhouse Gas Reduction Scheme. The Scheme continues to be known as "GGAS".
2 The Scheme Administrator is a role performed The Independent Pricing and Regulatory Tribunal (IPART) and includes functions such as accrediting Abatement Certificate Providers (ACPs).