Emissions reductions by schemes administered by the CER in 2025 were similar to emissions from the nation’s fleet of cars and trucks in the same year.

The Clean Energy Regulator’s (CER) Quarterly Carbon Market Report for Quarter 4 2025 shows the Australian Carbon Credit Unit (ACCU) Scheme and the Renewable Energy Target (RET) are estimated to have reduced emissions by around 83.7 million tonnes of carbon dioxide equivalent (CO2-e) for the year. This is similar to taking all our cars and trucks off the road for one year.

Australia’s renewable energy landscape saw a transformational increase in energy storage in 2025, led by the strong uptake of the Australian Government’s Cheaper Home Batteries Program. More than 193,000 valid batteries were installed in 2025, delivering 4.6 gigawatt hours (GWh) of capacity, more storage capacity than the 12 largest in-service large-scale batteries in the National Electricity Market (NEM) combined. Total renewable generation added through small and large-scale infrastructure was also strong in 2025. 

CER Chair David Parker said the success of the Cheaper Home Batteries Program represents an opportunity to help transform how Australia’s electricity systems operate.

‘Distributed energy resources or consumer energy resources, including rooftop solar panels and batteries, are helping households to lower their energy bills and participate in the electricity market in ways that support the broader grid,’ Mr Parker said.

‘In 2025, 6.8 gigawatts (GW) of renewable energy was added to the grid, with just under 4 GW from large-scale power stations and around 2.8 GW from small-scale rooftop solar.’

ACCU issuances in 2025 reached a record 21.7 million, with 6.7 million ACCUs issued in Q4, driven by higher issuances to vegetation projects.

The CER expects ACCU issuances of between 22 to 26 million in 2026. The ACCU supply pipeline is healthy, supported by the development of new ACCU methods and project registrations.

ACCU issuances are currently outpacing surrenders to manage excess emissions under the Safeguard Mechanism and voluntary cancellations. However, as baselines decline under the reformed mechanism, annual safeguard demand will grow and may surpass annual supply for ACCUs later this decade.

The CER has also published the latest National Greenhouse Energy Reporting (NGER) Data Publication, which shows how emissions from heavy industry are continuing to decline.

Read the QCMR Q4 2025 report.

ENDS

Contact: media@cleanenergyregulator.gov.au or 02 6159 3448