Projects under the landfill gas generation method can earn Australian carbon credit units (ACCUs) by combusting landfill gas from waste to generate electricity or produce biomethane. 

Projects must use a new gas collection system or upgrade an existing gas collection system.

When to use this method

The landfill gas generation method may be suitable for your business if you:

  • use a combustion engine that generates electricity and combusts landfill gas with a destruction efficiency of at least 98%
  • use a biogas upgrading system to upgrade landfill gas into biomethane, a natural gas substitute.

Legislation

Before you plan or register your project, make sure you read and understand the legislative requirements and the method.

Eligibility

All projects under this method need to provide a written statement outlining the intent to undertake electricity generation from captured landfill gas or produce biomethane from landfill gas.

There are different projects eligible under this method:

  • non-biomethane project
  • biomethane conversion and displacement project
  • biomethane displacement-only project
  • restarting biomethane conversion and displacement project
  • restarting biomethane displacement-only project.

Further information on biomethane projects can be found in the biomethane method package - simple method guide. 

A non-biomethane project or a biomethane conversion and displacement project must be of one of the following types:

  • new project - collects and combusts landfill gas by installing a gas collection system at a site where there's never been a gas collection system
  • upgrade project - involves an existing system for which you can provide efficiency records covering at least 4 years before applying to run the project
  • recommencing project - uses a new or existing gas collection system, and didn't operate at the site after 24 April 2014 and for 3 years before applying to run the project
  • project transitioning from the Carbon Farming Initiative - using either of the 2 methodology determinations listed in Part 3 section 12 of the method
  • restarting flaring project - previously been a landfill gas project that generated electricity during its crediting period or periods and are looking at switching back to flaring only. Project must not generate electricity after its declaration as a restarting flaring project.

You must also meet general eligibility requirements for the Australian Carbon Credit Unit (ACCU) Scheme.

Relevant legislation

  • Part 3 of the Act
  • Part 2, Part 3 of the method

Exclusions

The method excludes any destruction of emissions from carbon tax waste. Carbon tax waste is waste deposited in landfill between 1 July 2012 and 30 June 2014.

Relevant legislation

  • Section 5 of the method

Method requirements

A project under this method can generate electricity, produce biomethane from landfill gas, or both.

The methane must be converted to carbon dioxide by combustion. You can use a combustion device or send the methane to a biogas upgrading system. This will convert it to biomethane.

Biomethane produced by the project must reasonably be expected to combust as a natural gas substitute within Australia.

This may occur on-site, off-site at a separate facility or when biomethane is injected into the gas grid.

A combustion device can be:

  • a flare, boiler or internal combustion engine operated in accordance with the manufacturer’s instructions
  • a device that combusts landfill gas, with a destruction efficiency of at least 98%, operating in accordance with the manufacturer’s instructions and where the combustion process can be closely monitored.

Relevant legislation

  • Section 5, Part 2 and Part 3 of the method

Specialist skills may be required to carry out a project under this method. This is due to the complexity of calculations. Specialist skills include:

  • registered professional engineer
  • certified energy manager
  • certified measurement and verification professional.

Relevant legislation

  • Section 13(f) of the Rule

12 years

Relevant legislation

  • Part 5 of the Act
  • Sections 16 to 16C of the method

2 versions of the landfill gas calculator are available for calculating abatement. They reflect the previous and current NGER Measurement Determinations. You must use the one that’s relevant for your reporting period:

You can refer to our instructions on the Landfill Gas Calculator for further information.

Conversion abatement occurs by collecting methane generated by decomposing biodegradable organic matter in the landfill and converting it to carbon dioxide.

Conversion abatement is calculated by working out the net abatement amount. This is project conversion abatement minus baseline conversion abatement.

Project conversion abatement is calculated as the amount of methane combusted from legacy and non-legacy waste. This is minus the methane that would oxidise in the near-surface conditions of the landfill if it wasn’t collected during the project.

Baseline conversion abatement is the amount of methane combusted from legacy and non-legacy waste during the project. It’s multiplied by the proportion of methane that would be combusted in the absence of the project.

To calculate baseline conversion abatement, you must determine your project proportion:

  • regulatory proportion
  • default baseline proportion
  • baseline proportion.

Regulatory proportion

The regulatory proportion reflects the amount of methane that would combust to meet regulatory requirements. This can be determined by:

  • using regulatory guidelines for landfill in your state or territory
  • asking your state or territory environmental regulator
  • calculating the collection efficiency of the existing landfill gas system
  • engaging an independent expert.

Default baseline proportion

The default proportion represents regulatory requirements and is either 30% or 0.

There are no conditions for applying the 30% default. The 0 default can only apply if you demonstrate there are no qualitative requirements for the landfill.

Examples of qualitative requirements include:

  • installing or developing a plan to install a landfill gas collection system
  • controlling or reducing methane concentrations
  • controlling, managing or limiting odour
  • capturing landfill gas where practicable.

Baseline proportion

The baseline proportion depends on the type of project:

  • for new and recommencing projects, it’s the higher of the regulatory proportion or the default proportion.
  • for projects that are upgrading equipment, it’s the higher of the regulatory proportions, the default proportion or the proportion of methane combusted during the reporting period which would otherwise combust without the project.

Relevant legislation

  • Section 6, Part 4 and Schedule 1 of the method.

You must meet the general monitoring requirements of the Act.

Relevant legislation

  • Part 17 of the Act
  • Part 5 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 provide offset reports to us:

  • all upgraded projects must submit their first report that covers the 12 months after the project was upgraded
  • all other projects can submit their reports that cover anywhere from one month to 2 years.

Remember to also meet the reporting requirements of the Act and the Rule.

Relevant legislation

  • Part 6 of the Act
  • Part 6 of the Rule
  • Section 11 and Part 5 of the method

We provide you with an audit schedule when your project is declared.

You must provide audit reports according to this schedule.

We schedule at least 3 audits. Extra audits can be triggered.

For more information on audit requirements, refer to our audit information.

Relevant legislation

  • Part 19 of the Act
  • Part 19 of the Rule

Documents and resources

Explore all ACCU Scheme guidance using the guidance library.

Find out more

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Plan your project

Make sure you plan properly before you apply to participate or register an Australian Carbon Credit Unit (ACCU) Scheme project.
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Apply to participate

Find out what you need to do and what information you must provide when you apply to register an Australian Carbon Credit Unit (ACCU) Scheme project.
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Australian carbon credit units

ACCUs are a key part of the Australian carbon market. Learn about ACCUs and find out how to earn, buy and sell them.
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Project reporting and audits

Find out about the reporting and auditing obligations for Australian Carbon Credit Unit (ACCU) Scheme projects.
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Case study: Mugga Lane landfill tipped to be getting greener

Find out how Canberra’s Mugga Lane landfill is receiving carbon credits for reducing emissions through its improved landfill gas collection and combustion activities.

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