Our compliance update keeps you informed of activities related to compliance in our schemes and our Compliance and Enforcement Priorities. The updates also set out our expectations of compliance by scheme participants and highlights the areas of focus for compliance action. We take compliance action to ensure the integrity and success of our schemes and to protect consumers and industry participants in our schemes.
Australian Carbon Credit Unit (ACCU) Scheme
The accuracy of information and reports provided to us in support of claims for ACCUs has improved and participants have been responding to requests for further information more quickly. This allows timelier processing of applications.
Compliance audits
Compliance audits are a key tool to ensure the accuracy of ACCU claims. They are initiated by us and paid for by the participant. We initiate compliance audits when we have reasonable grounds to suspect that a project proponent has contravened or may in the future contravene the Act or other provisions.
We have initiated two compliance audits that will provide independent assurance as to whether the projects meet the method requirements. One of the target projects is aggregated and the compliance audit will ensure that claims for ACCUs are accurate across all the relevant sites.
National Greenhouse and Energy Reporting (NGER) Scheme and Safeguard Mechanism
Safeguard Mechanism Emissions-Intensity Determination
The first phase of the reformed Safeguard Mechanism has commenced through the Emissions-Intensity Determination process. This is a central element of setting facility baselines under the reformed scheme. So far, all applications for Emissions-Intensity Determinations have been submitted by the required date or within the extensions granted. We expect that Safeguard facilities will continue to provide accurate and timely information to meet their Safeguard Mechanism obligations.
Renewable Energy Target (RET) Scheme
SRES REC Registry account types
You must have a registered agent account to create small-scale technology certificates (STCs) for a system where you are not the owner. This type of account differs from a registered person account which allows an individual to create their own certificates.
To become a registered agent, you must understand your obligations, undertake our short SRES Smart training course, apply for an account and pay any associated fees. For further information, see registered agents.
All certificates created by a registered person are subject to compliance checks. Certificates that are found to be improperly created will be cancelled. Depending on the severity of the associated non‑compliance, further compliance action may be taken.
Outstanding shortfall charge debts
RET liable entities have a statutory obligation to surrender a certain number of LGCs and STCs each year or pay a shortfall charge penalty. For the 2023 RET liability assessment year, 3 entities failed to pay their shortfall charges on time. Since the last quarterly compliance update and issuing a statutory demand to one entity, the CER has successfully recovered all outstanding shortfall charges from these entities ($124,410).
The 2024 assessment year is off to a good start resulting in 100% of small-scale technology certificates being surrendered on time for quarter 1. We acknowledge the effort made by liable entities to comply with their obligations.
Compliance and Enforcement
RET registered person suspended
On 11 June 2024, we permanently suspended Greenbot Pty Ltd as a registered person because it was no longer fit and proper under the Renewable Energy (Electricity) Act 2000. Further to the suspension of Greenbot, action was also taken to terminate the Solar Panel Validation (SPV) app deed between the CER and Greenbot.
On 3 July 2024, following an application made by Greenbot, the Federal Court of Australia issued a temporary stay of the decisions. The Court's order means that Greenbot will be allowed to create certificates in the Small-scale Renewable Energy Scheme, and to participate in the SPV Initiative, while the Court is reviewing the matter. We will keep you updated on our website as further information becomes available.
Criminal charges against West Australian person
Following an agency investigation, the Commonwealth Director of Public Prosecutions has charged a West Australian man with 9 counts of providing false and misleading information. The conduct covered by these charges includes the person’s use of an expired WA electrical contractor’s licence during the installation of 94 solar PV systems, and the installation of unapproved solar PV panels in 8 installations. The matter was mentioned in the Perth Magistrates Court on 28 June 2024 and adjourned to 9 August 2024.
Refusal of registered person application
We have refused a registered agent application on the grounds that we are not satisfied that the applicant is a fit and proper person. The applicant was not able to demonstrate the necessary skills, capability, and competency to participate as a registered agent.
In assessing registered agent applications, we must be satisfied that applicants possess the expected capabilities and standards of practice to participate in the scheme. We expect that registered agents properly create STCs, contract on fair terms and pay in accordance with those terms.
RET Enforceable Undertaking - RACV Solar Ltd
This undertaking demonstrates that we require the highest standards of compliance and integrity within the SRES to access the Commonwealth financial incentive. We take decisive action where they are not met, ensuring businesses and consumers can have confidence in Australia’s solar industry.
RACV Solar Pty Ltd (RACV Solar) submitted false information to another party regarding five solar systems. This information related to the identity of the accredited installer who claimed to have installed them. The false information was relied upon by the other party to create STCs. As part of an enforceable undertaking, RACV Solar has undertaken to implement a compliance program for a period of six months and to rectify any identified defects associated with the relevant systems.
See all enforceable undertakings.
Auditor deregistered
A Greenhouse and Energy auditor was deregistered, effective from 3 April 2024. This was due to their failure to participate in a registration review. Auditors must meet their ongoing registration requirements, including any reviews. If they fail to meet their obligations, we will take compliance action.