This method will expire 31 March 2025
The expiry of the coal mine waste gas method may impact Australian Carbon Credit Unit (ACCU) Scheme participants who are:
- considering registering a new project
- in the process of registering a new project
- undertaking a project that has already been registered
- considering transferring their project to a new or updated method.
Learn more in our guidance for ACCU Scheme participants impacted by the expiry of a method.
Projects under this method can earn Australian carbon credit units (ACCUs) by destroying or converting methane from coal mine waste gas.
When to use this method
The coal mine waste gas method may be suitable for your business if you:
- specialise in flaring or electricity generation systems
- specialise in managing ventilation air methane
- own or operate underground coal mines.
Legislation
Before you plan or register your project, make sure you read and understand the legislative requirements and the method.
Eligibility
The coal mine waste gas method is only eligible to underground coal mines.
You must also meet general eligibility requirements for the Australian Carbon Credit Unit (ACCU) Scheme.
Relevant legislation
- Part 3 of the Act
- Section 16E of the method
- Section 17 of the method
- Part 3 of the method
Exclusions
Some projects are excluded under this method. These are projects that capture and use:
- coal seam methane that isn’t coal mine waste gas
- gas from a decommissioned underground coal mine
- gas from a mine operating under a petroleum lease alone
- coal mine waste gas from an underground coal mine that isn’t operating
- waste gas flaring when the methane destruction is required by Australian, state or local legislation.
Relevant legislation
- Section 10 of the method
Method requirements
The coal mine waste gas method was varied in 2021 to:
- extend the crediting period by 5 years, as recommended by the Emissions Reduction Assurance Committee
- allow electricity generation projects previously eligible to earn large-scale generation certificates under the Renewable Energy Target to transition to the ACCU Scheme for a 5-year crediting period
- amend the emissions intensity factor used in the abatement calculations to the value that is current at the time of reporting
- clarify the length of time a parameter can be estimated during a non-reporting period.
If you have a current coal mine waste gas project, you may be able to transfer your project to the varied method. You can apply to transfer your project through the Client Portal (via Online Services).
Activities under this method destroy or convert methane from coal mine waste gas by installing or expanding the use of:
- a flaring device
- a flameless oxidation device
- an electricity production device.
This includes destroying the methane component of mine ventilation air.
Specialist skills are required to carry out a project under this method. This is due to the complexity and calculations required.
Specialist skills include:
- registered professional engineer (PE)
- certified energy manager (CEM)
- certified measurement and verification professional (CMVP)
- verified experience in energy or facility management, or measurement and verification.
Relevant legislation
- Section 13(f) of the rule
Project types eligible for a 12-year crediting period:
- new flaring or flameless oxidation projects
- expansion flaring or flameless oxidation projects
- new electricity production projects
- expansion electricity production projects
- displacement electricity production projects
- ventilation air methane projects.
For electricity generation projects previously eligible under the Renewable Energy Target, the crediting period is 5 years. This includes transitioning:
- electricity production projects
- displacement electricity production projects.
Relevant legislation
- Part 5 of the Act
Abatement is calculated by taking the potential emissions of the destroyed or converted methane and subtracting:
- resulting carbon emissions
- the ancillary emissions that result from the project
- any historic abatement if a project expands on existing abatement.
Emissions from the delivery of electricity to the grid are included in abatement calculations by applying a marginal loss factor to the electricity calculation.
Carbon dioxide and nitrous oxide are excluded from abatement calculations due to being unaffected by destruction or conversion.
For projects that involve an electricity production device, additional abatement can be created as a result of displacing electricity from other generators on the electricity network. 2 or more mines located close together may share electricity producing devices, but must be identified in the application for the project.
Relevant legislation
- Part 4 of the method
You must monitor:
- the volume of the methane component of the coal mine waste gas
- the quantity of electricity produced in any generator
- ancillary electricity or additional fuel consumed by the project
- operations of the flare, flameless oxidation system or generator.
You must remember to also meet the general monitoring requirements of the Act.
Relevant legislation
- Part 17 of the Act
- Part 5 of the method
- Section 48 of the method
You must meet the general record-keeping requirements of the Act and the rule.
Relevant legislation
- Part 17 of the Act
- Part 17 of the rule
You must report at least once every 2 years.
You must remember to also meet the general reporting requirements of the Act, the rule and the method.
Relevant legislation
- Part 6 of the Act
- Part 6 of the rule
- Part 5 of the method
We provide you with an audit schedule when your project's declared.
You must provide audit reports according to this schedule.
We schedule at least 3 audits and additional audits can be triggered.
If you apply to transfer your project to the varied method, we’ll contact you about auditing for the extended crediting period.
For more information on audit requirements, you can refer to our audit information.
Relevant legislation
- Part 19 of the Act
- Part 6 of the rule
Documents and resources
- Department of Climate Change, Energy, the Environment and Water's coal mine waste gas method guidance