Seventh Emissions Reduction Fund auction announced

PRESS RELEASE

The Clean Energy Regulator will hold a seventh Emissions Reduction Fund auction on Wednesday 6 and Thursday 7 June 2018.

The Clean Energy Regulator has made minor changes to the guidelines for this auction.

In previous auctions, the guidelines allowed the agency to purchase between 50 and 100 per cent of available abatement below the benchmark price.

From this auction, the agency will be able to purchase between 25 and 100 per cent below the benchmark price.

Performance of existing projects and contracts will continue to be taken into account when determining whether project owners are eligible to participate at auction.

With over $265 million in funding remaining, Clean Energy Regulator Chair, David Parker, said it is important to hold regular purchasing events in providing participants with the opportunity to underpin a carbon abatement project.

“We are in no rush to commit all of the remaining funds at this auction. As always, our focus is on purchasing the best value abatement available in the market. We expect to hold another purchasing process later in the year,” Mr Parker said.

“We again advise all participants to bid at the lowest price that you can undertake your project to avoid disappointment. Results from previous auctions show there is a high probability of getting a contract if you bid competitively,” Mr Parker said.

This auction announcement comes after the release of the agricultural systems soil carbon method, providing opportunity for new sectoral engagement in the Emissions Reduction Fund.