Pre-Compliance Action

In Australia, the Federal Government has established the Multi Party Climate Change Committee to advise the Government on the best way of establishing a carbon price by 1 July 2012. It is expected that legislation establishing a carbon price will be legislated towards the end of 2011.

Companies producing emissions over a pre-determined level will be required to have a carbon permit for every tonne they emit after an initial fixed price period of between 3 to 5 years. Companies, unable to meet this mandatory target, may be required to make other arrangements to mitigate their carbon emissions including the purchase of carbon permits from government auction, the secondary market or through investments into carbon sinks (reforestation).

If you expect to have a carbon liability under a Government scheme, contact us about gaining an early mover advantage through reforestation.

Carbon Conscious pre-compliance customers such as Origin Energy and BP have secured a future supply of low cost carbon permits in the likely event that a price will be placed on carbon.

                   

With imminent carbon liabilities, large emitting organisations are looking to companies like Carbon Conscious to hedge their carbon price and prepare for a low carbon economy.

Consider Carbon Conscious as part of your overall carbon portfolio:

Reforestation credits
Reforestation credits will be recognised under the Carbon Farming Initiative (CFI).
On passing of the Carbon Farming Initiative (expected by June 2011), stored carbon in forest sinks will produce Carbon Farming Initiative Credits which are expected to be tradable in any future carbon pricing regime.

Accredited Carbon Offset solution
Carbon Conscious has undergone a rigorous process to become accredited under the Federal Government’s Greenhouse Friendly™Program. Although no longer current, this accreditation ensures that customers receive credible offsets from an approved project, specifically the capture of carbon by mallee eucalypt tree plantations in the Australian wheatbelt. Carbon Conscious is currently preparing a submission to have its methodology approved by the Domestic Offset Integrity Committee (DOIC).

A Hedge on Carbon Price
Mandatory compliance / major commercial emitters, emissions-intensive trade-exposed (EITE) companies gain access to a stream of carbon credits at a predetermined price and are therefore protected against future carbon price increases.

Tax deduction on forest sinks
Federal Government’s current legislation allows for 100% tax deductibility for investment in qualifying forest carbon sink projects.

Access to land
Carbon Conscious has access to large quantities of suitable land through associated company Australian Agricultural Contract Ltd (AACL). AACL operate Australia’s largest grain farming enterprise with access to greater than 1 million hectares.