The Carbon Farming Initiative (CFI) is the Australian voluntary carbon offsets scheme that provides new economic opportunities for farmers and land managers who take steps to reduce carbon pollution or increase carbon storage on the land. Eligible offsets projects generate Australian carbon credit units that can be sold to other individuals and businesses wanting to offset their own greenhouse gas emissions. Credits for abatement recognised under Australia’s Kyoto accounts can be sold to companies with liabilities under the carbon pricing mechanism.
To establish a project under the CFI a person must be a recognised offsets entity. A person (who may be an individual, a body corporate, a trust, a corporation sole, a body politic or a local governing body ) can only be recognised as an offsets entity if the person meets the criteria set out in the Carbon Credits (Carbon Farming Initiative) Act 2011 and Carbon Credits (Carbon Farming Initiative) Regulations 2011. Following recognition, a recognised offsets entity can make an application to have their project declared eligible, which can generate Australian carbon credit units. Recognised offsets entities will need an account in the ANREU in order to receive Australian carbon credit units generated through their offsets projects and sell them to other account holders.
Applicants applying to become a recognised offsets entity can apply for an ANREU account using:
- the combined application form available for companies, incorporated association and other types of incorporated bodies, or
- the Application for Recognition as an Offsets Entity form, available for individuals and non-incorporated entities.
Based on Clean Energy Regulator data http://www.cleanenergyregulator.gov.au