RECORDING: A closer look at the new Savanna Fire Management methods – and potential backcrediting impacts

DCCEEW yesterday released its exposure draft for the new Savanna Fire Management (SFM) “sequestration and avoidance” method, which seeks to better attribute carbon sequestration triggered by low-intensity burns, building on updated CSIRO research.

Notably, as we flagged earlier in the week, DCCEEW proposes to allow existing SFM projects to be credited for historical sequestered carbon (in their first reporting period) if they commit to permanence obligations. This will be subject to ERAC’s review of the additionality of these credits under the Offsets Integrity Standards.

In our latest Analyst Briefing, published on Tuesday, we modelled crediting uplift attributed to SFM sequestration activities, applying new CSIRO research, with potential for some projects to see a future crediting uplift of between 120–715% depending on local factors (e.g. the different types and proportion of live trees within project boundaries).

In aggregate, outcomes indicate a “significant uplift” in crediting when sequestration is accounted for, representing a downside risk for market participants. These downside risks are more pronounced when back-crediting is considered.

In this client webinar, RepuTex Head of Research, Mr. Bret Harper, summarises the outcomes of our latest modelling, and potential impacts on the ACCU market.

This webinar recording is published under our Australian