The Australian Meat Processor Corporation has funded research into opportunities for Australian red meat processors under the Government’s Emissions Reduction Fund (ERF).
The research (click here to access full report) has identified methodologies which processors could use to bid into the ERF and potentially receive funding for greenhouse gas abatement activities.
AMPC chief executive officer David Lind said the project showed that methane capture and re-use/destruction presents the highest greenhouse gas abatement potential for the red meat processing sector.
Abatement could also be achieved by fuel switching (particularly in the case of biogas for process heat or co-generation) and energy efficiency in relation to both heating systems and electrical systems at abattoirs, he said.
“The research will assist red meat processing facility owners and operators to better understand the activities they can undertake to reduce greenhouse gas emissions, generate carbon credits and earn revenue under the ERF,” Mr Lind said.
There are two key methodologies which present the greatest opportunity to the red meat processing sector to participate in the ERF; Carbon Credits (Carbon Farming Initiative—Domestic, Commercial and Industrial Wastewater) Methodology Determination 2015; and Carbon Credits (Carbon Farming Initiative—Industrial Electricity and Fuel Efficiency) Methodology Determination 2015.
Matthew Warnken, of Corporate Carbon Advisory, said the first auction was held in April and awarded contracts worth $660 million for carbon credit delivery.
“After the first ERF auction there is still more than $1.8 billion budgeted for future auctions,” Mr Warnken said. “Waste water and energy efficiency methodologies are now available for meat processor use.”
All Energy’s Gareth Forde said any projects that were yet to receive a final investment decision could be eligible under the new methodologies.
“Therefore, processors should register new projects with the Clean Energy Regulator now to ensure participation in the ERF,” he said.
About the ERF:
The Australian Government has provided $2.55 billion to establish the ERF, which aims to help achieve Australia’s 2020 emissions reduction target of 5 percent below 2000 levels by 2020. www.environment.gov.au/climate-change/emissions-reduction-fund
The Australian Meat Processor Corporation is the Rural Research and Development Corporation for the red meat processing industry in Australia. AMPC’s mandate is to provide research, development, extension and marketing services that improve the productivity, profitability and sustainability of the sector. Red meat processor levies are strategically invested in programs that deliver a range of benefits for industry and the broader Australian community.