NSW Greenhouse Abatement Certificates

The NSW Greenhouse Gas Reduction Scheme (GGAS) commenced on the 1st January 2003. It was one of the first mandatory greenhouse gas emissions trading schemes in the world. GGAS aims to reduce greenhouse gas emissions associated with the production and use of electricity. GGAS has established annual statewide greenhouse reduction targets which requires electricity providers to meet mandatory benchmarks for reductions in CO2 emissions 

The scheme allows accredited forest managers in NSW to create NSW Greenhouse Abatement Certificates (NGACs) for storing carbon (Carbon Sequestration) in eligable forests for sale to the electricity industry or other major emittors. NGAC's can be created for carbon sequestration whch takes place after 31st December 2002 , and has not been used or traded for any other purpose. Importantly for the creation of NGAC's to be valid appart from a number of requirements related to forest area and coverage, Carbon Sequestration Rights MUST be registered on the land title.

These certificates can be purchased by electricity producers to offset their CO2  emissions allowing them to comply with the reductions required under the Greenhouse Gas Reductions Scheme, OR by other emitters for CO2 offset abatement projects.