We take compliance action to ensure the integrity of our schemes. Our compliance update keeps you informed of activities related to our compliance and enforcement priorities 2024–2025. The update sets out our expectations of compliance by scheme participants and highlights the areas of focus for compliance action.

Australian Carbon Credit Unit (ACCU) Scheme

Projects that have missed project reporting deadlines

There are about 50 projects (2% of all projects) that have missed their reporting deadlines for their first offset report.

Projects that have missed their reporting deadline and have not engaged with us may be revoked. If you have missed your reporting deadline, you must contact us immediately to ensure your project remains compliant. In the coming months, we will be reviewing and verifying the status of these projects that have missed or are near their reporting deadline.

If there are factors that may affect your ability to report on time, for example, delays in obtaining interest holder consents or regulatory approvals, you must contact us before the reporting deadline.

Accurate, complete and comprehensive applications

With the volume of ACCU applications increasing, both the Clean Energy Regulator and project proponents need to be more efficient. It is a 2-way street and for participants, this means submitting accurate, complete and comprehensive applications. For us, this means strengthening our risk-based approach and focusing our detailed assessments at high-risk projects and key milestones. We will refuse incomplete applications.

It is your responsibility to make sure that your project registration and crediting applications are accurate and complete. You may be required to relinquish ACCUs that turn out to have been issued based on previously provided incorrect information.

To facilitate improved understanding of our expectations, in 2024 we introduced a series of online and in-person events aimed at helping participants 'Be ACCUrate' when running projects under the ACCU Scheme. This included an in-person workshop in March 2025. We have also published the first in a series of papers on the management of project risk in various methods. Read the human-induced regeneration method paper. Read more about key risk areas for individual methods.

Soil sampling

Project proponents need to undertake soil sampling, preparation and testing in accordance with the soil carbon method and its supplement. We have developed a pocket guide for soil samplers to help with ensuring accurate soil sampling as part of proponents’ reporting obligations. For example, the guide includes how to change your sampling location because of an obstacle or hazard. Failure to comply with these requirements will result in invalid samples and ACCUs will not be issued.

Clean Energy Regulator issues first Buyer’s Market Damages notice

We claim Buyer's Market Damages with respect to delivery shortfalls when we can't agree with the seller on a revised delivery schedule. In line with our contract management principles, we will only agree on rescheduled delivery milestones where the seller can provide a plausible plan to deliver that milestone in future.

Following a seller’s failure to effectively engage with us or deliver against their carbon abatement contract, we issued the first Buyer's Market Damages notice under a fixed delivery contract in March 2025. The notice was issued following a seller’s failure to effectively engage with us or deliver 50,400 ACCUs in accordance with their contract. The seller is required to pay the amount of Buyer's Market Damages (calculated in accordance with their contract) within 20 business days of receiving the notice.

National Greenhouse and Energy Reporting (NGER) Scheme and Safeguard Mechanism

Managing facilities with excess emissions under the Safeguard Mechanism

The first compliance deadline under the reformed Safeguard Mechanism has passed. Safeguard facilities that exceeded their baseline had to manage their excess emissions through the surrender of ACCUs, Safeguard Mechanism credit units (SMCs) or approval for the use of a flexibility measure under the scheme. This must have occurred by no later than 31 March 2025.

Compliance with safeguard obligations has been high, with 137 of the 142 facilities required to surrender ACCUs and SMCs to reduce their net emissions, doing so by the deadline. Full details of the 2023–24 safeguard outcomes are available on our safeguard data highlights.

Five facilities, under the operational control of 3 safeguard entities, remained in an excess emissions situation after the safeguard compliance deadline and are non-compliant. Two of these entities are currently under administration and are engaging with us. The third entity has entered into an enforceable undertaking.

Enforceable undertaking with Fitzroy (CQ) Pty Ltd

We have accepted an enforceable undertaking with Fitzroy (CQ) Pty Ltd, the safeguard entity responsible for the Carborough Downs Coal Mine (Carborough) and Ironbark No. 1 (Ironbark) safeguard facilities.

On 1 April 2025:

  • the Carborough facility had an excess emissions situation of 546,906 tonnes of carbon dioxide equivalent (CO2-e), at the conclusion of a 3-year multi-year monitoring period that finished on 30 June 2024
  • the Ironbark facility had an excess emissions situation of 36,173 CO2-e in relation to the 2023–24 compliance period.

Fitzroy has provided satisfactory evidence that due to its current financial position, it does not have the financial capacity to immediately purchase and surrender sufficient carbon credit units to meet its safeguard obligations. Fitzroy has committed to acquitting its obligations progressively, with its final surrender required by no later than 15 December 2025.

Renewable Energy Target (RET) Scheme

NetZero Environmental Group Pty Ltd permanently suspended

On 25 March 2025, we permanently suspended the registration of NetZero Environmental Group Pty Ltd under section 30A of the Renewable Energy (Electricity) Act 2000. We have suspended NetZero because we are satisfied that it is no longer a fit and proper person. NetZero can no longer create renewable energy certificates.

We are committed to ensuring compliance of registered agents with the Act. Registered agents are expected to understand their responsibilities and obligations upon becoming a registered agent.

Find out more about registered agents.

Criminal prosecution started against unaccredited solar installer

An investigation has led to 11 criminal charges being laid against an individual in New South Wales.

The alleged conduct covered by these charges includes the individual knowingly and deliberately giving, or procuring others to give, documents containing false information to a registered agent. These documents were subsequently relied upon by that agent to create small-scale technology certificates (STCs). The information included false statements relating to the attendance of an accredited installer at solar system installations.

The matter is before the Wagga Wagga Local Court and has been adjourned to 23 April 2025.

JYCP Trading Pty Ltd permanently suspended

On 25 March 2025, we permanently suspended the registration of JYCP Trading Pty Ltd under section 30A of the Renewable Energy (Electricity) Act 2000.  We suspended JYCP as we are satisfied that it is no longer fit and proper.

A registered person’s skills, capability and competency, business practices and good character are some examples of ‘other matters’ that can be considered when determining whether a registered person continues to meet the fit and proper person requirements under the Act. We have been clear on the expected capabilities and business practices of Small-scale Renewable Energy Scheme agents.

Find out more about registered agents.

Completed enforceable undertaking – RACV Solar Pty Ltd

RACV Solar Pty Ltd has completed all obligations with its enforceable undertaking and is no longer subject to compliance action.

Power stations suspended for failing to submit electricity generation returns

Accredited power stations must submit an electricity generation return by 14 February to report on their electricity production during the prior calendar year, including compliance statements.

This year, of the 2,886 active power stations, 50 failed to meet their electricity generation return reporting obligation. These power stations have subsequently had their accreditation suspended and will not be eligible to create large-scale generation certificates (LGCs) until they submit a return.

Should they submit their return, and the suspension of their accreditation be lifted, they will be unable to claim certificates for the suspension period.

Successful 2024 RET liability compliance period

14 February 2025 marked the last milestone for the 2024 RET liability compliance period. Liable entities have a statutory obligation to submit their annual energy acquisition statement, surrender a certain number of LGCs and STCs or pay a shortfall charge penalty.

Of the 135 liable entities, only one failed to meet its obligations. This entity is currently under administration and the total outstanding debt will be lodged with the administrator.

Six entities went into LGC shortfall with a total of over $248 million in shortfall paid on time.