Platts launches ACCU assessments for Environmental Plantings and Savanna Fire Management

Platts, part of S&P Global Commodity Insights, has launched new assessments for Australian Carbon Credit Units (ACCUs) generated from Environmental Plantings (EP) and Savanna Fire Management (SFM) methods, effective Nov. 1.

ACCUs are issued by Australia's Clean Energy Regulator to carbon project developers based on legislated methodologies. They are used to offset emissions by liable entities under Australia's Safeguard Mechanism program and can also be used to offset additional emissions on a voluntary basis under the government-backed Climate Active program.

Platts has launched two assessments for SFM ACCUs: one reflecting the value of credits with co-benefits to indigenous communities and a second reflecting the value of credits from non-indigenous communities.

Platts has launched the following assessments with the following symbols:

EP projects involve storing carbon by establishing and maintaining vegetation, such as trees or shrubs on land that has been cleared off forest for at least five years. More information on the method can be found here: https://www.cleanenergyregulator.gov.au/ERF/Choosing-a-project-type/Opportunities-for-the-land-sector/Vegetation-methods/Reforestation-by-Environmental-or-Mallee-Plantings-FullCAM

SFM involves annual planned burning that reduces the frequency and extent of late dry season fires in savannas of northern Australia. More information on the method can be found here: https://www.cleanenergyregulator.gov.au/ERF/Pages/Choosing%20a%20project%20type/Opportunities%20for%20the%20land%20sector/Savanna%20burning%20methods/Savanna-fire-management-emissions-avoidance.aspx

This launch follows a decision note published Oct. 4 and available here (https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/100423-platts-will-launch-accu-assessments-for-environmental-plantings-and-savanna-fire-management) with the assessments bringing greater transparency to the ACCUs market.

The proposal was published Sept. 20 and available here: https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/092023-platts-proposes-to-launch-accu-assessments-for-environmental-plantings-and-savanna-fire-management

The specifications for these three assessments are in line with those for Platts existing ACCUs coverage, as follows:

• Timestamp: 1930 Melbourne/Sydney/Canberra time
• Unit: Australian dollars per metric ton of carbon dioxide equivalent (A$/mtCO2e)
• Volume: 1,000 mtCO2e to 100,000 mtCO2e

Platts will publish these assessments in line with the APAC Carbon publishing calendar. More details about the publication schedule can be found here: https://www.spglobal.com/commodityinsights/en/our-methodology/holiday

The new assessments will be published in the Platts Carbon Markets Daily, on Platts Carbon Markets Alert and Energy Transition Alert, and in the Platts Pricing Database under the market data category ACM.

Details on Platts existing ACCU assessments can be found here: https://www.spglobal.com/commodityinsights/PlattsContent/_assets/_files/en/our-methodology/methodology-specifications/method_carbon_credits.pdf

Please send any further feedback or questions on this launch to Platts_Carbon@spglobal.com and PriceGroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available to the public upon request.