On 21 May 2025, we published new information on the Australian Carbon Credit Unit (ACCU) Scheme project register. This is the first of 3 sets of new information that will be published on the register by July 2025.
Updating the project register was made possible by the recent amendment to the Carbon Credits (Carbon Farming Initiative) Rule 2015 and is a consequence of the 2022 Independent Review of ACCUs.
These changes give greater transparency to how scheme projects are run, regulated and deliver ACCUs, and strengthen the integrity of how the ACCU Scheme accelerates carbon abatement for Australia.
The new data includes:
- crediting period start and end dates for all projects
- permanence period start dates for all sequestration projects.
We've evaluated the data published on 21 May to provide a point-in-time analysis of what the new information can show us about the ACCU Scheme.
What the crediting period data tells us
A crediting period is how long an ACCU Scheme project can generate and claim ACCUs. It is generally 7 years for emissions avoidance projects and 25 years for sequestration projects.
In general, the crediting period start date, or project start date, is decided by the project proponent when they register their project. It is generally either:
- within 18 months from the registration date
- set to start on the registration date.
After registration, the project proponent can request to defer their start date by 18 months from the registration date. Proponents must request to defer before submitting the first offsets report or submit these at the same time.
As projects need to be new, proponents are unable to conduct certain activities before registration. They may choose to defer their start date to allow time to implement the project before abatement is generated.
Some methods, such as the industrial and commercial emissions reduction method and the carbon capture and storage method, allow longer periods for the deferral of the crediting period start date.
Before the Carbon Farming Initiative transition to the Emissions Reduction Fund in 2015, additional rules applied to the timing of crediting period start dates:
- Existing Carbon Farming Initiative projects (other than projects under avoided deforestation methods) started a second crediting period. Registered projects under avoided deforestation methods were able to maintain their original crediting period start date.
- Transitional projects (projects registered between 12 December 2014 and 30 June 2015) were able to backdate a crediting period start date to coincide with the commencement of project activities, where supported by evidence.
Carbon Farming Initiative projects may have received ACCUs for carbon abatement delivered during their first crediting period. These ACCUs are included on the project register but were issued prior to the crediting period start date listed.
Other rules may apply to the timing of start dates. For example, when a project is transferred from one project area to another (under s57 of the CFI Act), the combined project will be reallocated a start date based on the earliest crediting period start date of the 2 projects.
Figure 1 shows the number of projects with crediting period start dates each year between 2010 and 2026. There is a clear increase between 2021 and 2024, coinciding with the increased registration of projects under the estimating soil organic carbon sequestration using measurement and models method.
Figure 1 also shows the proportion of projects that have opted to defer their crediting period start date. It shows the number of transitional projects and Carbon Farming Initiative projects that received a new crediting period start date with the introduction of the Emissions Reduction Fund.
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Number of registered ACCU Scheme projects, by project start date and whether backdating or delayed start dates have been applied. Projects that have been revoked are excluded.
Data as at 30 April 2025.
Figure 2 shows the number of registered projects (other than Carbon Farming Initiative and transitional projects) under each method type and the number of projects that have deferred crediting period start dates.
This shows that a larger proportion of projects under the industrial, energy efficiency and waste projects have opted to delay their start dates. This is expected given the longer lead times needed for these types of projects to implement new infrastructure and systems to support the carbon abatement activities.
By contrast, many vegetation and agricultural projects can commence work in shorter timeframes. An exception to this can be planting projects, where an increased amount of time is needed to obtain seed stock and time planting activities in line with the best seasonal conditions to maximise survival rate of project trees.
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Number of registered projects with deferred crediting period start dates (other than CFI era and transitional projects), by method type. Projects that have been revoked are excluded.
Data as at 30 April 2025.
Figure 3 shows the number of projects currently within their crediting period, as at 30 April 2025. Most projects are still within their crediting period, with less than 3% having completed their crediting period. Projects with completed crediting period are exclusively emissions avoidance projects that have shorter 7-year crediting periods. However, a further 48 avoided deforestation projects will end their 15-year crediting periods during 2025. The native forests protected by these projects must be maintained for their entire permanence period, which for all but one of these projects is 100 years.
What the permanence period data tells us
A permanence period applies to sequestration projects storing carbon in vegetation and soils. They must maintain carbon stocks delivered by the project throughout this period.
Project proponents elect their permanence period when applying to register a project. The duration of the permanence period can be 25 or 100 years.
The permanence period start date begins on the date the project is first issued ACCUs.
We issue ACCUs once:
- an offsets report meeting legislative requirements is received
- an application for a certificate of entitlement is approved.
If a proponent then applies to add area to the project, the permanence period start date will be deferred to when the area variation takes effect. In effect, this extends the permanence period and ensures that all sequestration credited across the project is maintained for at least the duration of the permanence period.
Figure 4 shows that 75% of sequestration projects are not yet in their permanence period. 52% of projects in their permanence period have selected a 25-year permanence period.
A breakdown of nominated permanence periods by method type reveals further insights about the type of projects committing to maintain carbon sequestration for the longer term.
Projects with 25-year permanence periods are quite evenly split between vegetation and agriculture projects (53% of which are soil projects). Almost all projects with 100-year permanence periods are vegetation projects (15% of these are avoided deforestation projects).
The overwhelming proportion of soil carbon projects (under agriculture) have elected 25-year permanence periods. This may be driven by the cost of ongoing soil sampling and reporting to demonstrate maintenance of carbon stores throughout the remainder of a 100-year permanence period, once the crediting period ceases and no further ACCUs are being issued.
Conversely, there are many vegetation projects (particularly plantings and avoided deforestation projects) opting for 100-year permanence periods as monitoring and reporting on carbon stock levels for these projects is simpler and lower cost because it can be performed with remote sensing.
Based on the current portfolio, ACCU projects’ permanence periods will come to an end over 2 periods. 25-year permanence periods will end within the 2040s and 2050s. 100-year permanence periods will come to an end in a similar peak in the 2110s and 2120s.
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Projected permanence period end date of registered sequestration projects. Projects that have been revoked are excluded.
Data as at 30 April 2025.