Supporting the development of electricity and hydrogen EAC markets in Australia
The Australian Government has recently sought stakeholder feedback on a proposed Guarantee of Origin scheme for hydrogen (Product GO) and a national renewable electricity certification scheme (REGO). This is part of their vision to position Australia as a major energy exporter for global markets, with the introduction of low-emissions commodities such as hydrogen, ammonia, and even electricity (potentially through undersea cables). However, beyond the immense infrastructure required to make this a reality, Australia will need trustworthy and internationally recognized EACs to accompany exports into import nations. The I-REC Standard Foundation (I-REC Standard) is enthusiastic in assisting the Australian Government embed flexibility into their draft policies for Australia, helping them to design adaptable policy settings that align with international best-practice for EACs.
The I-REC Standard is already active in Australia, with the I-REC(E) being available for below-baseline generation certification mechanism as of 2021. Building on this relationship, the I-REC Standard has submitted detailed responses to both the REGO and Product GO policy proposals from the Australian government. In both submissions, the I-REC Standard highlighted the importance of creating flexible policies and regulations in Australia to ensure EACs will meet both current and future needs.
To achieve flexibility and provide Australian energy producers and end-users with true choices, the I-REC Standard has recommended to the Australian Government to not discriminate against other robust voluntary initiatives during the design and development of the REGO and GO systems. With lessons learnt from operating in over 50 countries, an optimal path forward for Australia would be to design a government-led scheme that leverages the I-REC Standard attribute tracking system. This operational model ensures domestic credibility at the same time as realising the benefits associated with international standardisation.
The I-REC Standard will continue to work closely with the Australian Government, as well as the local I-REC Issuer, Oakley Greenwood, to work towards a model that meets the needs of all parties: the Government, domestic energy producers, and local and international end-users. I-REC(E) will continue to be available for below baseline generation with assurances in place to avoid double counting between I-RECs and the Australian Renewable Energy Target mechanism (i.e., LGCs or STCs).
For more information, contact the I-REC Standard Foundation secretariat at email@example.com.
Interested stakeholders can reach Oakley Greenwood for any questions through the contact details listed on their website: https://oakleygreenwood.com.au/irec-issuer.