Carbon Credits (Carbon Farming Initiative—Tidal Restoration of Blue Carbon Ecosystems) Methodology Determination 2022 (Cth)

Carbon Credits (Carbon Farming Initiative—Tidal Restoration of Blue Carbon Ecosystems) Methodology Determination 2022

I, Angus Taylor, Minister for Industry, Energy and Emissions Reduction, make the following legislative instrument.

Dated 2 January 2022

Angus Taylor Minister for Industry, Energy and Emissions Reduction

Contents Part 1—Preliminary 1 Name 2 Commencement 3 Authority 4 Duration 5 Definitions 6 References to factors and parameters from external sources Part 2—Tidal restoration projects 7 Tidal restoration project Part 3—Project requirements Division 1—General 8 Operation of this Part 9 Eligible land 10 Project area 11 Duty to disclose information relating to project to owners and relevant landholders 12 Activities not to be conducted 13 Restricted activities 14 Project operations and maintenance plan 15 Hydrological assessment 16 Project extent mapping 17 Acid sulfate soils management plan 18 Mosquito management plan 19 Information to be included in applications relating to the project 20 Information to be included in a section 29 application 21 Consent for land not in the project area becoming impacted land Division 2—Operation of tidal restoration projects 22 Defining carbon estimation areas in the project area Part 4—Net abatement amount Division 1—Preliminary 23 Operation of this Part 24 Simplified outline of this Part 25 Use of BlueCAM 26 Overview of gases accounted for in abatement calculations Division 2—Calculation of net abatement amount—general 27 Steps to calculate net abatement amount Division 3—The net abatement amount 28 The net abatement amount, A 29 Calculating the net abatement amount for a reporting period for a project area Division 4—Calculation of carbon stock change 30 Calculating sequestration abatement for a project area for a reporting period Division 5—Calculation of emissions 31 Calculating emissions avoidance abatement for a project area for a reporting period Part 5—Reporting, record-keeping, notification and monitoring requirements Division 1—Offsets report requirements 32 Operation of this Division 33 Information that must be included in offsets reports Division 2—Notification requirements 34 Operation of this Division 35 Notification requirements Division 3—Record‑keeping requirements 36 Operation of this Division 37 Record‑keeping requirements Division 4—Monitoring requirements 38 Operation of this Division 39 Monitoring for establishment of a coastal wetland ecosystem 40 Monitoring for natural disturbance 41 Consequences of not meeting requirement to monitor certain parameters Part 6—Partial reporting 42 Partial reporting Part 1—Preliminary 1 Name This is the Carbon Credits (Carbon Farming Initiative—Tidal Restoration of Blue Carbon Ecosystems) Methodology Determination 2022. 2 Commencement This determination commences on the day after it is registered. 3 Authority This determination is made under subsection 106(1) of the Carbon Credits (Carbon Farming Initiative) Act 2011. 4 Duration This determination remains in force for the period that: (a) begins when this instrument commences; and (b) unless this determination is sooner revoked, ends on the day before this instrument would otherwise be repealed under subsection 50(1) of the Legislation Act 2003. 5 Definitions In this determination: acid sulfate soils management plan, in relation to a tidal restoration project, means a plan that: (a) is: (i) required by any applicable State, Territory or Commonwealth laws; or (ii) recommended by any State, Territory or Commonwealth government body or agency or any local government authority; and (b) outlines the actions to be taken to manage the risks arising from disturbance of land containing acid sulphate soils by any eligible project activities for the project. Act means the Carbon Credits (Carbon Farming Initiative) Act 2011. aquaculture activities means the cultivation of freshwater, brackish and saltwater populations of animals or algae under controlled conditions, but excludes the wild catching of marine and freshwater animals. Note: This definition excludes recreational line fishing and crabbing for personal use, but includes the cultivation of animals or algae in fish, shrimp, farm or stock ponds or tanks. baseline period means the 7 years immediately before the section 22 application or section 29 application relating to a project area. BlueCAM means the 'Blue Carbon Accounting Model' that is available from the Regulator's website, as in force from time to time. Note: In January 2022, BlueCAM could be viewed on the Clean Energy Regulator's website (http://www.cleanenergyregulator.gov.au). BlueCAM guidelines means the guidelines for the use of BlueCAM for the purposes of this determination that are available on the Regulator's website, as in force from time to time. Note: In January 2022, the BlueCAM guidelines could be viewed on the Regulator's website (http://www.cleanenergyregulator.gov.au) BlueCAM region means a region defined in the BlueCAM guidelines, for which BlueCAM provides modelled estimates of greenhouse gases and carbon stock for above and below ground live biomass and soil for coastal wetland ecosystems located within that region. CFI Rule means the Carbon Credits (Carbon Farming Initiative) Rule 2015. carbon estimation area or CEA means an area of land in a project area, that meets the requirements in section 22. clearing means: (a) the conversion, caused by people, of land with forest cover to land without forest cover; or (b) the conversion, caused by people other than by planting or seeding, of land with a coastal wetland ecosystem to a land type other than the coastal wetland ecosystem that existed immediately prior to the conversion. coastal wetland vegetation means the vegetation of a coastal wetland ecosystem. coastal wetland ecosystem means any of the following: (a) supratidal forest; (b) saltmarsh; (c) sparsely vegetated saltmarsh (saltflats); (d) mangroves; (e) seagrass; (f) other coastal wetland ecosystem. Note: A coastal wetland ecosystem can be vegetated or unvegetated. crediting period tidal inundation map, in relation to a tidal restoration project, means a map that: (a) identifies the projected spatial extent of land that will become impacted land for the project, as at the end of 32 years from a date which is not more than 24 months before the date of the section 22 application for the project; and (b) is prepared in accordance with the Supplement; and (c) is part of a hydrological assessment for the project. cropping land means land that is used to grow crops. drainage channels means brackish or freshwater drains or ditches created for the drainage of land for agricultural purposes, such as growing sugarcane. drainage infrastructure means a drain, channel or ditch on any land that serves as a passageway for water moving from one area of land to another area of land. Note: A drainage infrastructure that is used, removed, modified, installed or constructed for a tidal restoration project must be taken into account in the preparation or revision of a map forming part of a hydrological assessment for the project. ecosystem transition means a change in a land type that occurs due to changes in the hydrology of the landscape, including because of sea level rise. Note: Examples of ecosystem transition include grassland transitioning to saltmarsh, mangrove or saltflats; supratidal forest transitioning to mangroves or saltmarsh. eligible land—see section 9. eligible project activities—see subsection 7(2). environmental coastal wetland planting means seeding or planting of plants or propagules that consist of: (a) species that are: (i) native to the local area of the seeding or planting; and (ii) sourced from the natural resource management region or regions of the project area for a tidal restoration project in which the seeding or planting occurs; and (b) a mix of species that reflects the structure and composition of the local native community for the type of coastal wetland ecosystem being established by the project. excavation activities means the excavation or disturbance of soil. existing drainage infrastructure means drainage infrastructure that has been installed or constructed on any land before the baseline period for the land has ended. existing infrastructure means an object, device or structure on any land that: (a) is not a drainage infrastructure; and (b) has been installed or constructed during the baseline period for the land; and (c) impedes, reduces, restricts or prevents inundation of other land by tidal flows, when used for that purpose. fertiliser means any synthetic or non-synthetic substance that supplies key chemical elements to plants and soils to enhance plant growth and the fertility of soils. flooded agricultural land, managed wet meadow or pasture means land that is: (a) flooded for all or part of a year; and (b) used for agricultural or pastoral purposes; and (c) meets the requirements of the BlueCAM guidelines. forest cover: land has forest cover if: (a) the land has an area of at least 0.2 of a hectare; and (b) the land has trees that: (i) are 2 metres or more in height; and (ii) provide crown cover over at least 20% of the land. forest land means land with forest cover that is not a supratidal forest or mangrove. fuel emissions, in relation to a tidal restoration project, means emissions of carbon dioxide (CO2), nitrous oxide (N2O) and methane (CH4) arising from the use of fossil fuels in relation to: (a) carrying out eligible project activities for the project; or (b) monitoring the project. grazing land means land that is used for grazing of production livestock. highest astronomical tide mark means the highest tide level which can be predicted to occur under average meteorological conditions and any combination of astronomical conditions. hydrological assessment, in relation to a tidal restoration project, means an assessment of the hydrological consequences of the eligible project activities implemented or to be implemented for the project that includes: (a) a project start tidal inundation map; and (b) a permanence period tidal inundation map; and (c) if the project is a 100-year permanence period project—a crediting period tidal inundation map. impacted land, in relation to a tidal restoration project, means land that experiences tidal introduction relating to the eligible project activities implemented for the project. intertidal zone means an area between an ocean or sea and dry land that is between: (a) the highest astronomical tide mark; and (b) the lowest astronomical tide mark. land type: each of the following is a land type: (a) cropping land; (b) drainage channels; (c) flooded agricultural land, managed wet meadow or pasture; (d) forest land; (e) grazing land; (f) mangroves; (g) other coastal wetland ecosystem; (h) other use land; (i) ponds and other constructed water bodies; (j) saline water bodies; (k) saltmarsh; (l) seagrass; (m) sparsely vegetated saltmarsh (saltflats); (n) sugarcane land; (o) supratidal forest; (p) tidally restricted fresh and brackish wetlands. lowest astronomical tide mark means the lowest tide level which can be predicted to occur under average meteorological conditions and any combination of astronomical conditions. mangroves means an ecosystem comprised of trees and shrubs which: (a) occupy the intertidal zone of floodplains, including marine and estuarine areas; and (b) grow in saline or brackish water. mosquito management plan, in relation to a tidal restoration project, means a plan that: (a) is: (i) required by any applicable State, Territory or Commonwealth laws; or (ii) recommended by any State, Territory or Commonwealth government body or agency or any local government authority; and (b) outlines the actions to be taken to manage the risks arising from increased mosquito hazard arising from the project. necessary infrastructure means an object, device or structure on any land that: (a) is not a tidal restriction mechanism or drainage infrastructure; and (b) impedes, reduces, restricts or prevents inundation of other land by tidal flows, when used for that purpose; and (c) is taken into account in the preparation or revision of a map forming part of a hydrological assessment for a tidal restoration project. net abatement amount, for an eligible offsets project in relation to a reporting period, means the carbon dioxide equivalent net abatement amount for the project in relation to the reporting period, calculated in accordance with section 28. NGER Regulations means the National Greenhouse and Energy Reporting Regulations 2008. other coastal wetland ecosystem means an ecosystem on impacted land that is not any of the other land types. Note: Impacted land with other coastal wetland ecosystem on it can be unvegetated land. other use land means land that is used at the end of the baseline period for the land in some way for human activities that is not covered by any of the other land types. permanence obligation period, in relation to a tidal restoration project, means the period from the declaration of the project as an eligible offsets project until the last day the Regulator could issue a notice requiring relinquishment of Australian carbon credit units under Division 3 of Part 7 of the Act. permanence period tidal inundation map, in relation to a tidal restoration project, means a map that: (a) identifies the projected spatial extent of land that will become impacted land for the project, as at the end of: (i) if the project is a 25-year permanence period project—32 years from a date which is not more than 24 months before the date of the section 22 application for the project; or (ii) if the project is a 100-year permanence period project—107 years from a date which is not more than 24 months before the date of the section 22 application for the project; and (b) is prepared in accordance with the Supplement; and (c) is part of a hydrological assessment for the project. personal use, of a thing, means use of the thing that does not involve a sale, or other commercial use, of the thing. ponds and other constructed water bodies means freshwater or brackish ponds, dams or reservoirs that have been created by people. production livestock means livestock managed for production purposes and from which commercial products or services are derived. project extent map means a map for land identified as impacted land for a tidal restoration project in a current map in a hydrological assessment for the project made under section 15, which meets the following requirements: (a) the map includes the following information for the land, as required by the Supplement: (i) project area and cadastral boundaries, Ramsar and nationally important wetland boundaries and marine reserve boundaries; (ii) geographic features; (iii) land and water features; (iv) the location of any tidal restriction mechanism, necessary infrastructure, existing infrastructure and drainage infrastructure (including any existing drainage infrastructure), relating to the project; and (b) the map includes any other information required by the Supplement; and (c) the map meets any requirements contained in the Supplement.