There has been a mixed response to a review of Australia’s controversial carbon credit unit scheme, with claims it fails to address serious concerns around integrity.
But industry insiders hope it will restore confidence in the market.
The Albanese government on Monday said it accepted 16 recommendations from an independent panel to improve the carbon credit unit scheme.
The report found the Australian Carbon Credit Unit (ACCU) system, used by companies to offset greenhouse gas emissions, was well designed but needed substantial change.
A panel led by former chief scientist Ian Chubb disputed claims from critics the level of abatement from the scheme was overstated.
But opponents have challenged the findings.
Glenn Walker from Greenpeace said the review failed to consider scientific evidence around the human-induced regeneration method which showed it didn’t deliver carbon abatement.
“The Chubb Review into carbon offsetting has failed to address the scam of a key ACCU method. Until this sham is removed from the system or fundamentally overhauled, emissions won’t actually be going down,” Mr Walker said.
The Australia Institute’s Richard Denniss also raised concerns about the review.
“Unfortunately, Professor Chubb’s review is silent about the most important issues … namely how many dodgy carbon credits are still circulating in the Australian economy?” Dr Denniss said.
But Professor Chubb said the bulk of the carbon credit projects were operating as intended to offset greenhouse gas emissions.
“It’s a high proportion that are actually delivering or are on track to deliver the intended outcomes,” he told ABC Radio National.
“We cannot throw out the good because it’s not perfect.”
As well as recommending a new internal body to improve integrity in the system, the review wants some responsibilities to be moved away from the regulator and for data to be more publicly available.
The Carbon Market Institute said it would all help to restore confidence in the market.
“I do think it’s important that we … get on with the job of investing in these emission reduction activities,” chief executive officer John Connor told AAP.
Carbon farming group Corporate Carbon said the review would help instil confidence in the industry.
Professor Chubb described the recommended changes to the carbon credit scheme as significant.
“We think that the recommendations make it more open, more transparent, and will give people the opportunity to look in and see the maximum amount of data possible rather than the smallest amount of data possible,” he said.
But one of the key architects of the scheme, Andrew Macintosh, whose criticism triggered the review, said the integrity of the credits remained flawed.
By Liv Casben and Poppy Johnston in Sydney
