EXPOSURE DRAFT EXPOSURE DRAFT (29/08/2014) Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 I, Greg Hunt, Minister for the Environment, make the following determination. Dated 2014 Greg Hunt Minister for the Environment EXPOSURE DRAFT EXPOSURE DRAFT Contents Part 1—Preliminary 1 2 3 4 5 1 Name of determination ............................................................................................... 1 Commencement .......................................................................................................... 1 Authority ..................................................................................................................... 1 Duration ...................................................................................................................... 1 Definitions .................................................................................................................. 1 Part 2—Landfill gas projects 6 3 Landfill gas projects .................................................................................................... 3 Part 3—Project requirements 7 8 9 10 11 4 Operation of this Part .................................................................................................. 4 Requirements for a new project .................................................................................. 4 Requirements for an upgrade project .......................................................................... 4 Requirements for a transitioning project ..................................................................... 4 Additionality requirement ........................................................................................... 5 Part 4—Net abatement amounts 6 Division 1—Operation of this Part 12 13 14 6 Operation of this Part .................................................................................................. 6 Overview of gases accounted for in abatement calculations ....................................... 6 References to factors and parameters from external sources ....................................... 6 Division 2—Method for calculating net abatement amount 15 7 Preliminary net abatement amount (Anet) .................................................................... 7 Division 3—Project abatement 16 17 18 19 20 21 22 8 Project abatement (AP) ................................................................................................ 8 Methane combusted that was not generated from carbon tax waste (Mcom,NCT) ........... 8 Proportion of total methane combusted that was not generated from carbon tax waste (WNCT) ......................................................................................................... 8 Methane combusted (Mcom and Mcom,y) .......................................................................10 Methane sent to combustion device (Msent,h, Msent,h,a and Msent,h,y)..............................11 Methane from non carbon tax waste combusted that would have been oxidised in near surface conditions (Mcom,ox) ..............................................................13 Nitrous oxide emissions released from combustion devices (Ecom) ............................13 Division 4—Baseline abatement 23 24 25 15 Baseline abatement (AB).............................................................................................15 Proportion of methane that would have been combusted without the project (WB)............................................................................................................................15 Proportion of methane that would have been combusted without upgrade (WB,exist) ......................................................................................................................17 Part 5—Monitoring, reporting and record keeping 20 Division 1—Offsets report requirements 26 27 20 Operation of this Division ..........................................................................................20 Information that must be included in an offsets report ...............................................20 Division 2—Monitoring requirements 28 29 21 Operation of this Division ..........................................................................................21 Requirement to monitor certain parameters ...............................................................21 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT i EXPOSURE DRAFT Schedule 1—Determining regulatory proportion (WB,reg) 23 Part 1—Operation of this Schedule 1 23 Operation of this Schedule .........................................................................................23 Part 2—Using methane concentration limits (ppm) contained in landfill guidelines 2 3 4 5 6 7 8 9 24 Using methane concentration limits (ppm) contained in landfill guidelines ..............24 Determine permitted methane emissions for the final cover area ..............................24 Determine permitted methane emissions for the intermediate cover area ..................24 Determine permitted methane emissions for the daily/operational cover area ...........25 Determine total annual methane generated by the landfill .........................................26 Determine total annual permitted methane emissions ................................................26 Determine total methane that must be captured .........................................................26 Calculate WB,reg ..........................................................................................................26 Part 3—Asking environmental regulator to determine the required methane capture rate 10 27 Using a proportion of gas generation that must be captured ......................................27 Part 4—Default determination 11 ii 30 Default determination ................................................................................................30 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Preliminary Part 1 Section 1 Part 1—Preliminary 1 Name of determination This determination is the Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014. 2 Commencement This determination commences on the day after it is registered. 3 Authority This determination is made under subsection 106(1) of the Carbon Credits (Carbon Farming Initiative) Act 2011. 4 Duration This determination remains in force for the period that: (a) begins when the determination commences; and (b) ends on the day before this determination would otherwise be repealed under subsection 50(1) of the Legislative Instruments Act 2003. 5 Definitions In this determination: appropriate measuring requirements has the meaning given by subsection 29(4). carbon tax waste, in relation to a landfill, means waste that was deposited in the landfill between 1 July 2012 and 30 June 2014. combustion device means: (a) a flare, boiler or internal combustion engine; or (b) a device: (i) that combusts landfill gas with a destruction efficiency of at least 98%; and (ii) that is operated in accordance with the manufacturer’s instructions; and (iii) the combustion process of which can be monitored on a minute-by-minute basis. daily cover/operational area, in relation to a landfill, means the area of the landfill normally covered by material used to cover a day’s deposition of waste in active landfill waste disposal areas of the landfill. final cover area, in relation to a landfill, means the area of the landfill normally covered by material used to cover previously active landfill waste disposal areas 1 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 1 Preliminary Section 5 of the landfill that have reached final height and are unlikely to be used for waste disposal again. intermediate cover area¸ in relation to a landfill, means the area of the landfill normally covered by material used to cover previously active landfill working areas that won’t be used for waste disposal for an extended period of time (typically a few weeks to a few months). landfill means a site where waste is or was buried under a permission (however described) given under the law of a State or Territory. landfill gas means gas generated from anaerobic decomposition of biological material at a landfill. landfill gas project has the meaning given by subsection 6(2). new project has the meaning given by section 8. NGER (Measurement) Determination means the National Greenhouse and Energy Reporting (Measurement) Determination 2008. previous eligible offsets project has the meaning given by subsection 10(2). transitioning project has the meaning given by subsection 10(1). upgrade project has the meaning given by subsection 9(1). 2 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Landfill gas projects Part 2 Section 6 Part 2—Landfill gas projects 6 Landfill gas projects (1) For paragraph 106(1)(a) of the Act, this determination applies to an offsets project that involves collecting and combusting landfill gas from a landfill. (2) A project covered by subsection (1) is a landfill gas project. (3) A landfill gas project may be: (a) a new project; or (b) an upgrade project; or (c) a transitioning project. 3 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 3 Project requirements Section 7 Part 3—Project requirements 7 Operation of this Part (1) For paragraph 106(1)(b) of the Act, sections 8, 9 and 10 set out requirements that must be met for a landfill gas project to be an eligible offsets project. (2) For subparagraph 27(4A)(b)(ii) of the Act, section 11 sets out a requirement in lieu of the regulatory additionality requirement. 8 Requirements for a new project A new project must collect landfill gas by doing either of the following and combust the gas using a combustion device: (a) installing a landfill gas collection system at a landfill where there has never been such a system; (b) recommencing landfill gas collection for the purpose of combustion, using either a new or existing landfill gas collection system, at a landfill where no landfill gas collection system has operated: (i) after 24 April 2014; and (ii) during the 3 years before the application for the declaration of the project as an eligible offsets project is made. 9 Requirements for an upgrade project (1) An upgrade project must: (a) collect landfill gas by upgrading an existing landfill gas collection system at a landfill to increase its capture efficiency; and (b) combust the gas using a combustion device. (2) An application for declaration of an upgrade project as an eligible offsets project must include operational records: (a) supporting the calculation of the capture efficiency of the existing landfill gas collection system; and (b) covering the 2-year period before the application is made. First reporting period (3) The first reporting period for an upgrade project must end not less than 12 months after the landfill gas collection system, as upgraded, begins collecting landfill gas. 10 Requirements for a transitioning project (1) A transitioning project must: (a) collect landfill gas by continuing to operate a landfill gas collection system that was operated as part of a previous eligible offsets project; and (b) combust the gas using a combustion device. 4 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Project requirements Part 3 Section 11 (2) A previous eligible offsets project is a project that was operating under: (a) the Carbon Farming (Capture and Combustion of Methane in Landfill Gas from Legacy Waste) Methodology Determination 2012; or (b) the Carbon Credits (Carbon Farming Initiative) (Capture and Combustion of Methane in Landfill Gas from Legacy Waste: Upgrade Projects) Methodology Determination 2012. 11 Additionality requirement For subparagraph 27(4A)(b)(ii) of the Act, a requirement in lieu of the regulatory additionality requirement is that the project is a landfill gas project. 5 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 4 Net abatement amounts Division 1 Operation of this Part Section 12 Part 4—Net abatement amounts Division 1—Operation of this Part 12 Operation of this Part (1) For paragraph 106(1)(c) of the Act, this Part specifies the method for working out the carbon dioxide equivalent net abatement amount for a reporting period for a landfill gas project that is an eligible offsets project. (2) Inputs for the method must cover the whole landfill. Note: This subsection prevents a proponent from operating a project only in relation to a selected portion of a landfill where, for example, gas might be easier to extract. 13 Overview of gases accounted for in abatement calculations The following table provides an overview of the greenhouse gas abatement and emissions that are relevant to working out the carbon dioxide equivalent net abatement amount for a landfill gas project. Greenhouse gas abatement and emissions Item Relevant calculation Emissions source Greenhouse gas 1 Baseline abatement Destruction of methane in landfill gas by combustion Methane (CH4) 2 Baseline abatement Destruction of methane in landfill gas by oxidation in the near surface conditions of the landfill Methane (CH4) 3 Project abatement Destruction of methane in landfill gas by combustion Methane (CH4) 4 Project emissions Combustion of landfill gas Methane (CH4) Nitrous oxide (N2O) 14 References to factors and parameters from external sources (1) If a calculation in this Part includes a factor or parameter that is defined or calculated by reference to another instrument or writing, the factor or parameter to be used for a reporting period is the factor or parameter referred to in, or calculated by reference to, the instrument or writing as in force on the earlier of the following days: (a) the day the offsets report for the reporting period is given to the Regulator; (b) the day that report is required to be given to the Regulator. (2) Subsection (1) does not apply to a parameter that is required to be worked out in accordance with the monitoring requirements. 6 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Net abatement amounts Part 4 Method for calculating net abatement amount Division 2 Section 15 Division 2—Method for calculating net abatement amount 15 Preliminary net abatement amount (Anet) The carbon dioxide equivalent net abatement amount for the reporting period in tonnes CO2-e is worked out using the formula (equation 1): A net A P A B where: Anet means the carbon dioxide equivalent net abatement amount for the reporting period in tonnes CO2-e. AP means the project abatement for the reporting period in tonnes CO2-e worked out using equation 2. AB means the baseline abatement for the reporting period in tonnes CO2-e worked out using equation 13. 7 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 4 Net abatement amounts Division 3 Project abatement Section 16 Division 3—Project abatement 16 Project abatement (AP) The project abatement for the reporting period in tonnes CO2-e is worked out using the formula (equation 2): A P M com,NCT M com,ox E com where: AP means the project abatement for the reporting period in tonnes CO2-e. Mcom,NCT means the methane generated from non-carbon tax waste combusted during the reporting period in tonnes CO2-e worked out using equation 3. Mcom,ox means the methane generated from non-carbon tax waste combusted during the reporting period that, without the project, would have been oxidised in near surface conditions of landfill in tonnes CO2-e worked out using equation 11. Ecom means the nitrous oxide emissions released from combustion devices during the reporting period in tonnes CO2-e worked out using equation 12. 17 Methane combusted that was not generated from carbon tax waste (Mcom,NCT) The methane generated from non-carbon tax waste combusted during the reporting period in tonnes CO2-e is worked out using the formula (equation 3): M com,NCT WNCT M com where: Mcom,NCT means the methane generated from non-carbon tax waste combusted during the reporting period in tonnes CO2-e. γ means the factor to convert cubic metres of methane at standard conditions to tonnes of CO2-e worked out using Part 5.2 of the NGER (Measurement) Determination. WNCT means the proportion of the methane combusted during the reporting period that was not generated from carbon tax waste worked out using equation 4. Mcom means the methane combusted during the reporting period in cubic metres worked out using equation 5. 18 Proportion of total methane combusted that was not generated from carbon tax waste (WNCT) (1) The proportion of the methane combusted during the reporting period in cubic metres that was not generated from carbon tax waste is worked out using the formula (equation 4): 8 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Net abatement amounts Part 4 Project abatement Division 3 Section 18 WNCT y M com,y M CTW,y 1 M com M total,y where: WNCT means the proportion of the methane combusted during the reporting period that was not generated from carbon tax waste. Mcom,y means the methane combusted in financial year (y) in cubic metres worked out using equation 5 as if a reporting period were a financial year. Mcom means the methane combusted during the reporting period in cubic metres worked out using equation 5. MCTW,y means the methane generated by the landfill from carbon tax waste in financial year (y) in tonnes of CO2-e calculated in accordance with subsection (3). Mtotal,y means the methane generated by the landfill in financial year (y) in tonnes CO2-e calculated in accordance with subsection (2). y means a financial year covered (either partially or fully) by the reporting period. Methane generated in financial year (y) (Mtotal,y) (2) Mtotal,y is equivalent to parameter CH4gen calculated: (a) under Part 5.2 of the NGER (Measurement) Determination; and (b) in accordance with the following: (i) for equation 4—the year (y) for working out Mtotal,y is a financial year covered (either partially or fully) by the reporting period; (ii) for equation 19—the year (y) for working out Mtotal,y is the 12 months immediately after the upgrade undertaken in the project concerned is completed; (iii) methane generation must be determined for the whole landfill as if it were a single sub-facility zone. Methane generated from carbon tax waste in financial year (y) (MCTW,y) (3) MCTW,y is equivalent to parameter CH4gen calculated: (a) under Part 5.2 of the NGER (Measurement) Determination; and (b) in accordance with the following: (i) the year (y) for working out MCTW,y is a financial year that the reporting period partially or fully covers; (ii) the calculation is based only on carbon tax waste. Note: 9 See section 14 for the version of NGER (Measurement) Determination that must be used. Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 4 Net abatement amounts Division 3 Project abatement Section 19 19 Methane combusted (Mcom and Mcom,y) (1) The methane combusted during a reporting period in cubic metres is worked out using the formula (equation 5): Mcom h Mcom,h where: Mcom means the methane combusted during the reporting period in cubic metres. Mcom,h means the methane combusted during the reporting period by combustion device (h) in cubic metres worked out using equation 6 or 7 as required. h means a combustion device used during the reporting period. Methane combusted by combustion device (h) (Mcom,h)—boiler, flare with monitoring and control system or internal combustion engine (2) If combustion device (h) is a boiler, a flare with monitoring and control system or an internal combustion engine, the methane combusted during the reporting period by the device in cubic metres is worked out using the formula (equation 6): M com,h DE M sent,h where: Mcom,h means the methane combusted during the reporting period by combustion device (h) in cubic metres. DE means the default methane destruction efficiency for a combustion device, which is 0.98. Msent,h means the methane sent to combustion device h during the reporting period in cubic metres worked out using equation 8, 9 or 10. h means a combustion device used during the reporting period. Methane combusted by combustion device (h) (Mcom,h)—other combustion devices (3) If combustion device (h) is not a boiler, a flare with monitoring and control system or an internal combustion engine, the methane combusted during the reporting period by the device in cubic metres is worked out using the formula (equation 7): Mcom,h DE O a h,a Msent,h,a where: Mcom,h means the methane combusted during the reporting period by combustion device (h) in cubic metres. DE means the default methane destruction efficiency for a combustion device, which is 0.98. 10 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Net abatement amounts Part 4 Project abatement Division 3 Section 20 Oh,a means the operation of combustion device (h) in hour (a), which is either 0 or 1, worked out using the table in section 29. Msent,h,a means the methane sent to combustion device (h) in hour (a) in cubic metres worked out using equation 8, 9 or 10. h means a combustion device used during the reporting period. a means an hour in the reporting period. 20 Methane sent to combustion device (Msent,h, Msent,h,a and Msent,h,y) (1) Methane sent to a combustion device (h) during a particular period may be worked out using: (a) equation 8; or (b) equation 9; or (c) equation 10 (if applicable). Option 1 (2) Using the volume of the landfill gas sent to the combustion device (QLFG,h), the methane sent to the combustion device during the period is worked out using the formula (equation 8): Msent,h QLFG,h WLFG,CH4 where: Msent,h means the methane sent to the combustion device (h) during the period in cubic metres. QLFG,h means the landfill gas sent to the combustion device (h) during the period in cubic metres worked out using the table in section 29. WLFG,CH4 means the proportion of the volume of the landfill gas that is methane, which is: (a) set out in section 5.14C of the NGER (Measurement) Determination; or (b) worked out using the table in section 29. h means the combustion device. (3) If, at any time during the project, the table in section 29 is used to work out WLFG,CH4, then, the table in section 29 must be used for that purpose for the remainder of the project. (4) Subsection (3) has effect subject to section 29. Option 2 (5) Using the energy content of the landfill gas sent to the combustion device (ECLFG,h), the methane sent to the combustion device during the period is worked out using the formula (equation 9): 11 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 4 Net abatement amounts Division 3 Project abatement Section 20 M sent,h EC LFG,h EC LFG where: Msent,h means the methane sent to the combustion device (h) during the period in cubic metres. ECLFG,h means the energy content of the landfill gas sent to the combustion device (h) during the period in gigajoules worked out using the table in section 29. ECLFG means the energy content factor for landfill biogas that is captured for combustion (methane only) in gigajoules per cubic metre (GJ/m3) set out in Part 2 of Schedule 1 to the NGER (Measurement) Determination. h means the combustion device. Option 3—Using electricity produced by internal combustion engine (6) If the combustion device is an internal combustion engine, using the electricity produced by the device (Qeg,h), the methane sent to the combustion device during the period is worked out using the formula (equation 10): M sent,h Q eg,h FMWh GJ Eff h EC LFG where: Msent,h means the methane sent to the combustion device (h) during the period in cubic metres. Qeg,h means the electricity (supplied to the grid or used on-site) produced by internal combustion engine (h) during the period in megawatt hours worked out using the table in section 29. FMWh→GJ means the factor to convert megawatt hours to gigajoules, which is 3.6. Effh means: (a) the factor for the electrical efficiency of the internal combustion engine (h) determined in accordance with the manufacturer’s specifications; or (b) if no such factor can be determined in accordance with the manufacturer’s specifications—36%. ECLFG means the energy content factor for landfill biogas that is captured for combustion (methane only) in gigajoules per cubic metre (GJ/m3) set out in Part 2 of Schedule 1 to the NGER (Measurement) Determination. h means the combustion device (which must be an internal combustion engine). 12 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Net abatement amounts Part 4 Project abatement Division 3 Section 21 21 Methane from non carbon tax waste combusted that would have been oxidised in near surface conditions (Mcom,ox) The methane generated from non-carbon tax waste combusted during the reporting period that, without the project, would have been oxidised in near surface conditions of landfill in tonnes CO2-e worked out using the formula (equation 11): Mcom,ox Mcom,NCT OFLF 1 WB where: Mcom,ox means the methane generated from non-carbon tax waste combusted during the reporting period that, without the project, would have been oxidised in near surface conditions of landfill in tonnes CO2-e. Mcom,NCT means the methane generated from non-carbon tax waste combusted during the reporting period in tonnes CO2-e worked out using equation 3. OFLF means the oxidation factor for near surface methane in landfill set out in the definition of OF in subsection 5.4(1) of the NGER (Measurement) Determination. WB means the proportion of the methane combusted in the project that would otherwise have been combusted in the baseline scenario worked out using equation 15. 22 Nitrous oxide emissions released from combustion devices (Ecom) The nitrous oxide emissions released from combustion devices during the reporting period in tonnes CO2-e is worked out using the formula (equation 12): E com WNCT EC LFG EFLFG,N2O 1 000 h M sent,h where: Ecom means the nitrous oxide emissions released from combustion devices during the reporting period in tonnes CO2-e. WNCT means the proportion of the methane combusted during the reporting period in cubic metres that was not generated from carbon tax waste worked out using equation 4. ECLFG means the energy content factor for landfill biogas that is captured for combustion (methane only) in gigajoules per cubic metre (GJ/m3) set out in Part 2 of Schedule 1 to the NGER (Measurement) Determination. EFLFG,N2O means the emission factor for nitrous oxide from the combustion of landfill biogas that is captured for combustion (methane only) in kilograms of CO2-e per gigajoule (kg CO2-e/GJ) set out in Part 2 of Schedule 1 to the NGER (Measurement) Determination. 13 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 4 Net abatement amounts Division 3 Project abatement Section 22 Msent,h means the methane sent to the combustion device (h) during the reporting period in cubic metres worked out using equation 8, 9 or 10. h means a combustion device. 14 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Net abatement amounts Part 4 Baseline abatement Division 4 Section 23 Division 4—Baseline abatement 23 Baseline abatement (AB) The baseline abatement (AB) for the reporting period in tonnes CO2-e is worked out using the formula (equation 13): A B M com,NCT WB where: AB means the baseline abatement (AB) for the reporting period in tonnes CO2-e. Mcom,NCT means the methane generated from non-carbon tax waste combusted during the reporting period in tonnes CO2-e worked out using equation 3. WB means the proportion of the methane combusted during the reporting period that would have been combusted without the project worked out using whichever of equations 14 to 17 applies. 24 Proportion of methane that would have been combusted without the project (WB) New project (1) If the project is a new project, the proportion of the methane combusted during the reporting period that would have been combusted without the project is worked out using the formula (equation 14): WB Maximum WB,reg ,WB,def where: WB means the proportion of the methane combusted during the reporting period that would have been combusted without the project. WB,reg means the regulatory proportion of the methane combusted during the reporting period that would have been combusted without the project as determined using Schedule 1 to this determination. WB,def means the default proportion of the methane combusted during the reporting period that would have been combusted without the project, which is as follows: (a) 0% if the project proponent can demonstrate that, since 24 March 2001, the landfill concerned has not been subject to: (i) legislation or guidelines for waste management and landfills; or (ii) a licence condition or development approval that includes any form of general or specific qualitative requirement to capture, control, manage or limit landfill gas, methane odour or greenhouse gases; (b) otherwise—30%. Note: 15 The value of WB is fixed for the crediting period: see subsection (5). Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 4 Net abatement amounts Division 4 Baseline abatement Section 24 Upgrade project (2) If the project is an upgrade project, the proportion of the methane combusted during the reporting period that would have been combusted without the project is worked out using the formula (equation 15): WB Maximum WB,reg ,WB,def ,WB,exist where: WB means the proportion of the methane combusted during the reporting period that would have been combusted without the project. WB,reg means the regulatory proportion of the methane combusted during the reporting period that would have been combusted without the project determined using Schedule 1 to this determination. WB,def has the same meaning as in subsection (1). WB,exist means the proportion of the methane combusted during the reporting period that would have been combusted without the project worked out using equation 18. Transitioning projects (3) If the project is a transitioning project that was operating under the Carbon Credits (Carbon Farming Initiative) (Capture and Combustion of Methane in Landfill Gas from Legacy Waste) Methodology Determination 2012 (the legacy determination), the proportion of the methane combusted during the reporting period that would have been combusted without the project is worked out using the formula (equation 16): WB R p where: WB means the proportion of the methane combusted during the reporting period that would have been combusted without the project. Rp means Rp as worked out under the legacy determination. Note: The value of WB is fixed for the crediting period: see subsection (5). (4) If the project is a transitioning project that was operating under the Carbon Credits (Carbon Farming Initiative) (Capture and Combustion of Methane in Landfill Gas from Legacy Waste: Upgrade Projects) Methodology Determination 2012 (the legacy upgrade determination), the proportion of the methane combusted during the reporting period that would have been combusted without the project is worked out using the formula (equation 17): WB Bp where: WB means the proportion of the methane combusted during the reporting period that would have been combusted without the project. 16 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Net abatement amounts Part 4 Baseline abatement Division 4 Section 25 Bp means Bp as worked out under the legacy upgrade determination. Note: The value of WB is fixed for the crediting period: see subsection (5). (5) The value given to WB in subsection (3) or (4) for the first reporting period in a crediting period must be given to WB in that subsection for every other reporting period in the crediting period. 25 Proportion of methane that would have been combusted without upgrade (WB,exist) (1) For an upgrade project, the proportion of the methane combusted during the reporting period that would have been combusted without the project is worked out using the formula (equation 18): WB,exist Wcom,bef Wcom,aft where: WB,exist means the proportion of the methane combusted during the reporting period that would have been combusted without the project. Wcom,bef means the average proportion of the methane from the landfill that is collected and destroyed during the 2 years immediately before the upgrade is completed, worked out using equation 20. Wcom,aft means the average proportion of the methane from the landfill that is collected and destroyed during the 12 months immediately after the upgrade is completed, worked out using equation 19. Methane collected and destroyed during 12 months after upgrade (Wcom,aft) (2) The average proportion of the methane from the landfill that is collected and destroyed during the 12 months immediately after the upgrade is completed is worked out using the formula (equation 19): Wcom,aft h M sent,h,y Q tr,y M total,y where: Wcom,aft means the average proportion of the methane from the landfill that is collected and destroyed during the 12 months immediately after the upgrade is completed. means the factor to convert cubic metres of methane at standard conditions to tonnes of CO2-e set out in section 5.4D of the NGER (Measurement) Determination. Msent,h means the methane sent to the combustion device (h) during the reporting period in cubic metres worked out using equation 8, 9 or 10. 17 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 4 Net abatement amounts Division 4 Baseline abatement Section 25 Qtr,y means the quantity of methane in landfill gas, in cubic metres, transferred out of the landfill during the year (y) but not combusted in the project worked out in accordance with Part 5.2 of the NGER (Measurement) Determination. Mtotal,y means the methane generated by the landfill in year (y) in tonnes CO2-e worked out using subsection 18(2). y means the 12 months immediately after the upgrade is completed. h means a combustion device. Methane collected and destroyed during 2 years before upgrade (Wcom,bef) (3) The average proportion of the methane from the landfill that is collected and destroyed during the 2 years immediately before the upgrade is completed is worked out using the formula (equation 20): Wcom,bef y γ Qcap,y Qflared,y Q tr,y 2 * CH 4 ,y where: Wcom,bef means the average proportion of the methane from the landfill that is collected and destroyed during the 2 years immediately before the upgrade is completed. means the factor to convert cubic metres of methane at standard conditions to tonnes of CO2-e set out in section 5.4D of the NGER (Measurement) Determination. Qcap,y means the quantity of methane in landfill gas, in cubic metres, captured for combustion from the landfill during the year (y) measured as prescribed in Part 5.2 of the NGER (Measurement) Determination. Note: The term captured for combustion in the NGER (Measurement) Determination is intended to mean landfill methane captured for combustion for electricity generation. Qflared,y means the quantity of methane in landfill gas, in cubic metres, from the landfill that is flared or otherwise combusted for purposes other than electricity generation during the year (y) measured as prescribed in Part 5.2 of the NGER (Measurement) Determination. Qtr,y means the quantity of methane, in cubic metres, in landfill gas transferred out of the landfill during the year (y) measured as prescribed in Part 5.2 of the NGER (Measurement) Determination. CH4*,y means the estimated quantity of methane, in tonnes CO2-e, in landfill gas generated by the landfill during the year (y) measured and determined in accordance with subsection (4). y means a year in the 2 years immediately before the upgrade. (4) CH4*,y is equivalent to CH4* calculated: 18 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Net abatement amounts Part 4 Baseline abatement Division 4 Section 25 (a) under Part 5.2 of the NGER (Measurement) Determination; and (b) in accordance with the following: (i) the reporting year is the year (y), where y means a year in the 2 years immediately before the upgrade; (ii) methane generation must be determined for the whole landfill as if it were a single sub-facility zone. Note: 19 See section 14 for the version of NGER (Measurement) Determination that must be used. Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 5 Monitoring, reporting and record keeping Division 1 Offsets report requirements Section 26 Part 5—Monitoring, reporting and record keeping Division 1—Offsets report requirements 26 Operation of this Division For paragraph 106(3)(a) of the Act, this Division sets out information that must be included in an offsets report about a landfill gas project that is an eligible offsets project. 27 Information that must be included in an offsets report An offsets report about a landfill gas project for a reporting period must include the following information: (a) the project abatement for the reporting period in tonnes CO2-e (AP) (worked out using equation 2); (b) the baseline abatement for the reporting period in tonnes CO2-e (AB) (worked out using equation 13); (c) the total amount of methane combusted during the reporting period in cubic metres (Mcom) (worked out using equation 5); (d) the proportion of methane that was not generated from carbon tax waste (WNCT) (worked out using equation 4) that was combusted during the reporting period; (e) the proportion of the methane combusted during the reporting period that would have been combusted without the project (WB) (worked out using whichever of equations 14 to 17 applies); (f) any changes to the combustion devices used during the reporting period, including any changes to the type and number of such devices. 20 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Monitoring, reporting and record keeping Part 5 Monitoring requirements Division 2 Section 28 Division 2—Monitoring requirements 28 Operation of this Division For paragraph 106(3)(d) of the Act, this Division sets out requirements to monitor a landfill gas project that is an eligible offsets project. 29 Requirement to monitor certain parameters (1) The project proponent for a landfill gas project must monitor and determine a parameter set out in an item of the following table in accordance with the instructions in the item. Monitored parameters Parameter Description Unit Measurement procedure and frequency Determination of parameter from measurements 1 ECLFG,h Energy content of the landfill gas sent to combustion device (h) Gigajoules (GJ) Calculated continuously using a flow computer used in accordance with appropriate measuring requirements Cumulative value for reporting period 2 Oh,a Operation of combustion device (h) during hour (a) 1 or 0 If the combustion device is a flare, operation is determined for each minute using temperature measurement. For the purpose of calculating Mcom,h in equation 7 (above), the value of Oh,a determined for an hour based on the operation of the combustion device must be paired to the cumulative value of Msent,h for the same hour If temperature is measured at 500 degrees Celsius or higher for 40 minutes or more in an hour, then Oh,a = 1. Otherwise Oh,a = 0. For all other combustion devices, operation for each minute is to be determined in accordance with manufacturer’s specifications. If the device operates according to manufacturer’s specifications for the entire hour then Oh,a = 1. Otherwise Oh,a = 0. All measuring equipment must be used in 21 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Part 5 Monitoring, reporting and record keeping Division 2 Monitoring requirements Section 29 Monitored parameters Parameter Description Unit Measurement procedure and frequency accordance with appropriate measuring requirements Determination of parameter from measurements 3 QLFG,h Landfill gas sent to combustion device (h) Cubic metres (m3) Estimated under Division 2.3.6 of the NGER (Measurement) Determination Cumulative value for the reporting period 4 Qeg,h Electricity (supplied to the grid or used on-site) generated by internal combustion engine (h) Megawatt hour (MWh) Estimated under Part 6.1 of the NGER (Measurement) Determination Cumulative value for the reporting period 5 WLFG,CH4 Fraction of the volume of landfill gas that is methane Fraction Estimated under Division 2.3.6 of the NGER (Measurement) Determination If WLFG,CH4 is Measured continuously measured on a continuous basis, then, for the purpose of equation 7 (above), average values for a time interval not greater than 1 hour must be paired to measurements of QLFG,h for the same interval (2) If during a particular period of time, the measurements for a parameter set out in an item of the table in subsection (1) are not done, or are not done in accordance with the instructions in the item or subsection (3), the measurements for the parameter for that period are 0. (3) Any equipment or device used to monitor a parameter must be calibrated by an accredited third party technician at intervals, and using methods, that are in accordance with the manufacturer’s specifications. (4) In this section: appropriate measuring requirements, in relation to a measurement or estimate, means requirements that are consistent with: (a) requirements that apply in relation to similar measurements or estimates under the NGER (Measurement) Determination; or (b) relevant standards and other requirements under the National Measurement Act 1960. 22 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Determining regulatory proportion (WB,reg) Schedule 1 Operation of this Schedule Part 1 Clause 1 Schedule 1—Determining regulatory proportion (WB,reg) Note: See subsections 24(1) and (2). Part 1—Operation of this Schedule 1 Operation of this Schedule (1) For subsections 24(1) and (2), the regulatory proportion of the methane combusted during the reporting period that would have been combusted without the project (WB,reg) is determined using an option set out in Part 2, 3 or 4. No obligation on State and Territory environmental regulators (2) To avoid doubt, this Schedule does not require the environmental regulator in a State or Territory to do anything. Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT 23 EXPOSURE DRAFT Schedule 1 Determining regulatory proportion (WB,reg) Part 2 Using methane concentration limits (ppm) contained in landfill guidelines Clause 2 Part 2—Using methane concentration limits (ppm) contained in landfill guidelines 2 Using methane concentration limits (ppm) contained in landfill guidelines WB,reg may be calculated using the method set out in clauses 3 to 9. 3 Determine permitted methane emissions for the final cover area (1) Convert the flux rate in the following table for the State or Territory in which the landfill is located to tCO2-e/m2/hr by multiplying the flux rate by the Global Warming Potential value for methane set out in regulation 2.02 of the National Greenhouse and Energy Reporting Regulations 2008. Final cover regulatory methane concentration and corresponding flux rates Item State or Territory Allowable methane concentration (CH4 ppm) Allowable flux rate (tCH4/m2/hr) estimated from CH4 ppm 1 NSW 500 2.5 x 10-6 2 Vic. 100 0.3 x 10-6 3 Qld 500 2.5 x 10-6 4 WA 500 2.5 x 10-6 5 SA N/A N/A 6 Tas. 500 2.5 x 10-6 7 ACT 100 0.3 x 10-6 8 NT N/A N/A (2) Determine the total annual allowable methane emissions from the final cover area of the landfill (tCO2-e) by calculating the product of the following: (a) the number of tCO2-e/m2/hr worked out under subclause (1); (b) the number of square metres in the final cover area of the landfill; (c) the number of hours in a year, which is 8 760. (3) Determine the permitted annual methane emissions for the final cover area by dividing the total annual allowable methane emissions from the final cover area of the landfill by 0.9. Note: This accounts for 10% of methane generated which is oxidised in the landfill cover layer as opposed to being emitted. 4 Determine permitted methane emissions for the intermediate cover area (1) Convert the flux rate in the following table for the State or Territory in which the landfill is located to tCO2-e/m2/hr by multiplying the flux rate by the Global 24 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Determining regulatory proportion (WB,reg) Schedule 1 Using methane concentration limits (ppm) contained in landfill guidelines Part 2 Clause 5 Warming Potential value for methane set out in regulation 2.02 of the National Greenhouse and Energy Reporting Regulations 2008. Intermediate cover regulatory methane concentration and corresponding flux rates Item State or Territory Allowable methane concentration (CH4 ppm) Allowable flux rate (tCH4/m2/hr) estimated from CH4 ppm 1 NSW 500 2.5 x 10-6 2 Vic. 100 0.3 x 10-6 3 Qld 500 2.5 x 10-6 4 WA 500 2.5 x 10-6 5 SA N/A N/A 6 Tas. 500 2.5 x 10-6 7 ACT 100 0.3 x 10-6 8 NT N/A N/A (2) Determine the total annual allowable methane emissions from the intermediate cover area of the landfill (tCO2-e) by calculating the product of the following: (a) the number of tCO2-e/m2/hr worked out under subclause (1); (b) the number of square metres in the intermediate cover area; (c) the number of hours in a year, which is 8 760. (3) Determine the permitted annual methane emissions for the intermediate cover area by dividing the total annual allowable methane emissions from the intermediate cover area by 0.9. Note: This accounts for 10% of methane generated which is oxidised in the landfill cover layer as opposed to being emitted. 5 Determine permitted methane emissions for the daily/operational cover area Determine the permitted annual methane emissions for the daily cover/operational area of the landfill by estimating the permitted quantity of methane generated from waste vertically below the daily cover/operational area for the year immediately before the beginning of the project, which is equivalent to parameter CH4gen calculated: (a) under Part 5.2 of the NGER (Measurement) Determination; and (b) in accordance with the following: (i) the reporting year for working out CH4gen is the year immediately before the beginning of the project; (ii) the calculation is based only on the waste sited vertically below the daily cover/operational area; (iii) methane generation must be determined for the daily cover/operational area as if it were a single sub-facility zone. Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT 25 EXPOSURE DRAFT Schedule 1 Determining regulatory proportion (WB,reg) Part 2 Using methane concentration limits (ppm) contained in landfill guidelines Clause 6 Note: See section 14 for the version of NGER (Measurement) Determination that must be used. 6 Determine total annual methane generated by the landfill Determine the total annual methane generated by the landfill project, which is equivalent to parameter CH4gen calculated: (a) under Part 5.2 of the NGER (Measurement) Determination; and (b) in accordance with the following: (i) the reporting year for working out CH4gen is the year immediately before the beginning of the project; (ii) the calculation is based on all waste sited in the landfill; (iii) methane generation must be determined for the whole landfill as if it were a single sub-facility zone. Note: See section 14 for the version of NGER (Measurement) Determination that must be used. 7 Determine total annual permitted methane emissions Determine the total annual permitted methane emissions for the landfill by calculating the sum of the permitted annual methane emissions for the final, intermediate and daily cover/operational areas of the landfill. 8 Determine total methane that must be captured Determine the total methane that must be captured from the landfill by deducting the total annual permitted methane emissions for the landfill from the total annual quantity of methane generated from waste in the landfill. 9 Calculate WB,reg Determine the regulatory proportion of the methane combusted during the reporting period that would have been combusted without the project (WB,reg) by dividing the total annual methane generated by the landfill (worked out under clause 6) by the total methane that must be captured from the landfill (worked out under clause 8). 26 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Determining regulatory proportion (WB,reg) Schedule 1 Asking environmental regulator to determine the required methane capture rate Part 3 Clause 10 Part 3—Asking environmental regulator to determine the required methane capture rate 10 Using a proportion of gas generation that must be captured (1) WB,reg may be calculated by asking the environmental regulator in the State or Territory in which the landfill is located to determine the gas capture rate required for compliance with the most stringent specified limits for methane concentrations for the landfill that have been in force since 24 March 2011. (2) The term used by the environmental regulator to express the regulatory requirement must be converted to WB,reg in accordance with the following table: Converting quantitative regulatory requirements to a proportion of gas generation that must be captured Item Expression of regulatory requirement Conversion to proportion of generation 1 Allowable methane concentration Use the approach set out in Part 2 but instead of using the flux rates set out in the tables in subclauses 3(1) and 4(1) use the allowable flux rate set out in the item of the table in subclause (3) of this clause that sets out the allowable methane concentration that is nearest to the allowable methane concentration determined by the regulator. 2 Allowable flux rate Use the approach set out in Part 2 but instead of using the flux rates set out in the tables in subclauses 3(1) and 4(1) use the flux rate provided by the regulator 3 Proportion of generation required to be captured No conversion necessary 4 Proportion of generation allowed to be released Subtract the proportion from 1 5 Amount of gas captured Convert the amount into a proportion of gas generated (calculated in accordance with the NGER (Measurement) Determination) 6 Other Determine the quantity of gas (in tCO2-e) that must be captured to meet the stated requirement. Divide the amount by the amount of gas generated (calculated in accordance with the NGER (Measurement) Determination) (3) The following table sets out allowable flux rates for the purposes of item 1 in the table in subclause (2). Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT 27 EXPOSURE DRAFT Schedule 1 Determining regulatory proportion (WB,reg) Part 3 Asking environmental regulator to determine the required methane capture rate Clause 10 Determining allowable flux rates from allowable methane concentrations Item 1 28 Allowable methane concentration (CH4 ppm) Allowable flux rate estimated from CH4 ppm (tCH4/m2/hr) 0 0 2 50 0.1 x 10 -6 3 60 0.1 x 10-6 4 70 0.2 x 10-6 5 80 0.2 x 10-6 6 90 0.2 x 10-6 7 100 0.3 x 10-6 8 110 0.3 x 10-6 9 120 0.4 x 10-6 10 130 0.4 x 10-6 11 140 0.5 x 10-6 12 150 0.6 x 10-6 13 160 0.6 x 10-6 14 170 0.7 x 10-6 15 180 0.7 x 10-6 16 190 0.8 x 10-6 17 200 0.8 x 10-6 18 210 0.9 x 10-6 19 220 0.9 x 10-6 20 230 1.0 x 10-6 21 240 1.0 x 10-6 22 250 1.0 x 10-6 23 260 1.1 x 10-6 24 270 1.2 x 10-6 25 280 1.3 x 10-6 26 290 1.3 x 10-6 27 300 1.3 x 10-6 28 310 1.3 x 10-6 29 320 1.4 x 10-6 30 330 1.4 x 10-6 31 340 1.5 x 10-6 32 350 1.6 x 10-6 33 360 1.6 x 10-6 34 370 1.8 x 10-6 35 380 1.8 x 10-6 36 390 1.8 x 10-6 37 400 1.9 x 10-6 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Determining regulatory proportion (WB,reg) Schedule 1 Asking environmental regulator to determine the required methane capture rate Part 3 Clause 10 Determining allowable flux rates from allowable methane concentrations Item Allowable methane concentration (CH4 ppm) Allowable flux rate estimated from CH4 ppm (tCH4/m2/hr) 38 410 1.9 x 10-6 39 420 2.0 x 10-6 40 430 2.0 x 10-6 41 440 2.0 x 10-6 42 450 2.2 x 10-6 43 460 2.2 x 10-6 44 470 2.2 x 10-6 45 480 2.3 x 10-6 46 490 2.3 x 10-6 47 500 2.5 x 10-6 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT 29 EXPOSURE DRAFT Schedule 1 Determining regulatory proportion (WB,reg) Part 4 Default determination Clause 11 Part 4—Default determination 11 Default determination (1) WB,reg may be calculated by asking the environmental regulator in the State or Territory in which the landfill is located whether the current gas capture for the landfill complies with the specified limits for methane concentrations for the landfill that have been in force since 24 March 2011. (2) If the regulator advises that the current gas capture for the landfill does so comply, then the regulatory proportion of the methane combusted during the reporting period that would have been combusted without the project (WB,reg) is the amount of gas collected from the landfill over the 12 months immediately before the advice is given divided by the amount of gas generated by the landfill during that period. (3) To avoid doubt, subclause (1) does not apply unless the specified limits for methane concentrations for the landfill have not changed since 24 March 2011. 30 Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT EXPOSURE DRAFT Carbon Credits (Carbon Farming Initiative) Methodology (Landfill Gas) Determination 2014 EXPOSURE DRAFT 1