The new Landfill gas (generation) method came into effect on 10 September 2021. Landfill gas projects capture and combust gas from waste to prevent the release of methane into the atmosphere. Combusting landfill gas converts methane to carbon dioxide, which is a much less potent greenhouse gas and enables Australian carbon credit units to be earned.
Under the new Landfill gas (generation) method, all new projects that seek to capture and combust waste methane from landfills with the intention to generate electricity will have a 12-year crediting period.
Existing projects under the 2015 Landfill gas method that intend to generate electricity can choose to transfer onto the new Landfill gas (generation) method. This will allow such projects to access a crediting period extension of 5 years resulting in a crediting period of 12 years from the start date of their original crediting period.
he Landfill gas (generation) method provides an incentive to install a new landfill gas collection system or upgrade an existing system with the intention to generate electricity from combusting landfill gas, either exclusively or in conjunction with flaring.
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All landfill gas projects declared under the method need to meet the eligibility requirements, including that they provide a written statement of the intention to undertake electricity generation from captured landfill gas.
The method allows for eight different kinds of landfill projects:
- New projects that collect and combust landfill gas by installing a gas collection system capable of generating electricity at a landfill site where there has not previously been a gas collection system.
- Recommencing projects involve recommencement of gas collection using either a new or existing gas collection system. For this type of project, a landfill gas collection system must not have operated at the site after 24 April 2014 and for the three years before an application to register the project is submitted to the Regulator.
- Upgrade projects involve upgrading an existing landfill gas collection and combustion system to improve gas collection efficiency.
- Five kinds of transitioning projects:
- projects transitioning from the legacy landfill gas methodology determinations made under the Carbon Farming Initiative (CFI) scheme.
- o projects previously declared under the 2015 Determination would be able to move to the Determination provided they meet the eligibility requirements. Such projects are identified as a transitioning (continued) project, transitioning (new) project, transitioning (recommencing) project, or a transitioning (upgrade) project, based on the kind of project that it was under the 2015 Determination.