Anglo American's Grosvenor coal mine has received a new Safeguard limit entitling it to emit six times more greenhouse gas than was forecast when it sought consent, highlighting deep flaws in the federal scheme, says the Australian Conservation Foundation.
Safeguard credits offer an important opportunity to quicken the pace of industrial decarbonisation and beat a 43% target, according to Thomas Hodgson of sustainability consultancy Ndevr.
Data on the FY21 performance of facilities covered by the Safeguard Mechanism shows 12 companies had to surrender Australian credits to stay below their emission limits.
New Safeguard Mechanism limits issued to many large emitters are an advance towards a standardised limit-setting regime that could more readily support a cap and trade scheme, according to Thomas Hodgson, principal with sustainability consultancy Ndevr.
Large emitters have given a range of reasons for not opting-in to a decarbonisation transparency scheme strongly backed by Energy and Emissions Reduction Minister Angus Taylor.