National Greenhouse and Energy Reporting (Measurement) Amendment Determination 2013 (No. 1)

Link to law: https://www.comlaw.gov.au/Details/F2013L01191

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National Greenhouse and Energy Reporting (Measurement) Amendment Determination 2013 (No. 1)
I, Greg Combet AM, Minister for Climate Change, Industry and Innovation, make the following determination under sections 7B and 10 of the National Greenhouse and Energy Reporting Act 2007.
Dated:                          25 June 2013
Greg Combet AM
Minister for Climate Change, Industry and Innovation
 
  
  
Contents
1............ Name of determination.................................................................................................. 1
2............ Commencement............................................................................................................. 1
3............ Authority....................................................................................................................... 1
4............ Schedule(s).................................................................................................................... 1
Schedule 1—Amendments                                                                                                                          2
National Greenhouse and Energy Reporting (Measurement) Determination 2008                 2
 
1  Name of determination
                   This determination may be cited as the National Greenhouse and Energy Reporting (Measurement) Amendment Determination 2013 (No. 1).
2  Commencement
                   This determination commences on 1 July 2013.
3  Authority
                   This determination is made under sections 7B and 10 of the National Greenhouse and Energy Reporting Act 2007.
4  Schedule(s)
                   Each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.
Schedule 1—Amendments
  
National Greenhouse and Energy Reporting (Measurement) Determination 2008
1  Subsection 1.3(1)
Omit “section 7B and subsection 10 (3)”, substitute “sections 7B and 10”.
2  Paragraph 1.3(1)(d)
Omit “natural gas”, substitute “designated fuel”.
3  Subsection 1.3(2)
Omit “natural gas”, substitute “designated fuel”.
4  Subsection 1.3(2) (note 3)
Repeal the note, substitute:
Note 3:       Designated fuel has the meaning given by the Clean Energy Act 2011.
5  Subsection 1.4(3)
Omit “natural gas”, substitute “designated fuel”.
6  At the end of section 1.4
Add:
             (4)  For potential greenhouse gas emissions embodied in an amount of gaseous designated fuel:
                     (a)  the default method set out in section 1.10JA is based on national average estimates; and
                     (b)  the prescribed alternative method set out in Subdivision 1.1B.2.2 uses Australian or equivalent standards for analysis.
             (5)  For potential greenhouse gas emissions embodied in an amount of liquid designated fuel:
                     (a)  the default method set out in section 1.10KA is based on national average estimates; and
                     (b)  the prescribed alternative method set out in Subdivision 1.1C.2.2 uses Australian or equivalent standards for analysis.
7  Section 1.8
Insert:
active gas collection means a system of wells and pipes that collect landfill gas through the use of vacuums or pumps.
alternative waste treatment activity means an activity that:
                     (a)  accepts and processes mixed waste using:
                              (i)  mechanical processing; and
                             (ii)  biological or thermal processing; and
                     (b)  extracts recyclable materials from the mixed waste.
alternative waste treatment residue means the material that remains after waste has been processed and organic rich material has been removed by physical screening or sorting by an alternative waste treatment activity that produces compost, soil conditioners or mulch in accordance with:
                     (a)  State or Territory legislation; or
                     (b)  Australian Standard AS 4454:2012.
basin means a geological basin named in the Australian Geological Provinces Database.
Note:          The Australian Geological Provinces Database is available at www.ga.gov.au.
designated fuel has the same meaning as in the Clean Energy Act 2011.
enclosed composting activity means composting that takes place within a building, container or vessel from which there is no leakage of emissions.
8  Section 1.8 (definition of fugitive emissions)
Repeal the definition, substitute:
fugitive emissions has the meaning given by the Clean Energy Regulations 2011.
9  Section 1.8
Insert:
gaseous designated fuel means liquefied natural gas.
10  Section 1.8 (after the definition of Global Warming Potential)
Insert:
Note:          It is intended that the Global Warming Potentials will be updated from 1 July 2017 to align with those published by the Intergovernmental Panel on Climate Change in The Physical Science Basis (Cambridge, UK: Cambridge University Press, 2007).
11  Section 1.8
Insert:
GST group has the same meaning as in the Fuel Tax Act 2006.
GST joint venture has the same meaning as in the Fuel Tax Act 2006.
inert waste means waste materials that contain no degradable organic carbon and includes the following waste:
                     (a)  concrete;
                     (b)  metal;
                     (c)  plastic;
                     (d)  glass;
                     (e)  asbestos concrete;
                      (f)  soil.
invoice equivalent means a document (including an electronic document) or series of documents that are intended to be used as evidence of natural gas supply (for example, for commercial or taxation purposes) and from which the following information can be ascertained:
                     (a)  the identity of the natural gas supplier;
                     (b)  the identity of the recipient of natural gas;
                     (c)  the amount of natural gas supplied;
                     (d)  the period to which the supply relates;
                     (e)  the date the document was issued.
Example:    Where natural gas is supplied directly from a natural gas transmission pipeline, volume reports provided by the pipeline operator or wholesale supplier will be invoice equivalents.
liquefied natural gas has the same meaning as in the Regulations.
liquefied petroleum gas has the same meaning as in the Regulations.
liquid designated fuel means:
                     (a)  liquefied petroleum gas; and
                     (b)  specified taxable fuel.
12  Section 1.8 (definition of method)
Repeal the definition, substitute:
method means a method specified in this determination for estimating:
                     (a)  emissions released from the operation of a facility in relation to a source; or
                     (b)  the potential emissions embodied in an amount of designated fuel.
13  Section 1.8
Insert:
netted out number has:
                     (a)  in relation to liquefied petroleum gas and liquefied natural gas imported into Australia, the same meaning as in section 36B of the Clean Energy Act 2011 and any regulations made under that section; and
                     (b)  in relation to liquefied petroleum gas and liquefied natural gas manufactured or produced in Australia, the same meaning as in section 36C of the Clean Energy Act 2011 and any regulations made under that section; and
                     (c)  in relation to liquefied petroleum gas and liquefied natural gas supplied to a person who quotes an OTN, the same meaning as in section 36D of the Clean Energy Act 2011 and any regulations made under that section.
Opt‑in Scheme has the same meaning as in the Clean Energy Act 2011.
OTN has the same meaning as in the Clean Energy Act 2011.
phytocap means an evapotranspiration landfill capping system that makes use of soil and vegetation to store and release surface water.
point of liability means:
                     (a)  for liquefied natural gas (LNG) or liquefied petroleum gas (LPG) that was produced in or imported into Australia—the point at which the LNG or LPG is entered for home consumption; or
                     (b)  for LNG or LPG that was supplied in association with an OTN quotation or misuse of an OTN quotation—the point at which the LNG or LPG is supplied; or
                     (c)  for LNG or LPG that is attributable to a netted out number, but not an OTN quotation—the point at which the LNG or LPG is used; or
                     (d)  for acquisition, importation or manufacture of specified taxable fuel by a participant in the Opt‑in Scheme:
                              (i)  for fuel that is used by the participant that has been entered for home consumption—the point at which the fuel is entered for home consumption; or
                             (ii)  if subparagraph (i) does not apply—the point at which the fuel is acquired.
14  Section 1.8 (definition of scope 1 emissions)
Repeal the definition, substitute:
scope 1 emissions has the same meaning as in the Regulations.
15  Section 1.8 (definition of scope 2 emissions)
Repeal the definition (including the note), substitute:
scope 2 emissions has the same meaning as in the Regulations.
16  Section 1.8
Insert:
separate instance of a source has the meaning given by section 1.9A.
separate occurrence of a source has the meaning given by section 1.9B.
shredder flock means the residual waste generated from the process of scrap metal processing that ends up in landfill.
specified taxable fuel has the meaning given by regulation 3.30 of the Clean Energy Regulations 2011.
well completion means the period that:
                     (a)  begins on the initial gas flow in the well; and
                     (b)  ends on whichever of the following occurs first:
                              (i)  well shut in; or
                             (ii)  continuous gas flow from the well to a flow line or a storage vessel for collection.
well workover means the period that:
                     (a)  begins on the initial gas flow in the well that follows remedial operations to increase the well’s production; and
                     (b)  ends on whichever of the following occurs first:
                              (i)  well shut in; or
                             (ii)  continuous gas flow from the well to a flow line or a storage vessel for collection.
17  After section 1.9
Insert:
1.9A  Meaning of separate instance of a source
                   If 2 or more different activities of a facility have the same source of emissions, each activity is taken to be a separate instance of the source if the activity is performed by a class of equipment different from that used by another activity.
Example:    The combustion of liquefied petroleum gas in the engines of distribution vehicles of the facility operator and the combustion of liquid petroleum fuel in lawn mowers at the facility, although the activities have the same source of emissions, are taken to be a separate instance of the source as the activities are different and the class of equipment used to perform the activities are different.
1.9B  Meaning of separate occurrence of a source
             (1)  If 2 or more things at a facility have the same source of emissions, each thing may be treated as a separate occurrence of the source.
Example:    The combustion of unprocessed natural gas in 2 or more gas flares at a facility may be treated as a separate occurrence of the source (natural gas production or processing—flaring).
             (2)  If a thing at a facility uses 2 or more energy types, each energy type may be treated as a separate occurrence of the source.
Example:    The combustion of diesel and petrol in a vehicle at a facility may be treated as a separate occurrence of the source (fuel combustion).
18  At the end of Part 1.1A of Chapter 1
Add:
Division 1.1A.3—Measuring amounts of natural gas supplied
1.10G  Measuring natural gas supplied
             (1)  This section sets out how Q must be determined for sections 1.10B and 1.10C.
             (2)  This section applies in relation to reports under the Act relating to a financial year beginning on or after 1 July 2013.
             (3)  Q must be determined as a sum of amounts of natural gas supplied where each amount is evidenced using:
                     (a) one of, or a combination of, the primary and secondary criteria set out in subsections (4) and (5); or
                     (b)  for an amount of natural gas supplied that cannot be evidenced using those criteria—industry practice.
             (4)  For the purposes of subsection (3), the primary criterion consists of one of, or a combination of, the following:
                     (a)  data resulting from measurements of amounts that comply with the following:
                              (i)  the amount of natural gas is measured using volumetric measurement in accordance with sections 2.32 and 2.33;
                             (ii)  the amount of natural gas is measured using equipment that complies with the requirements mentioned in section 2.34;
                            (iii)  the measurement is carried out using gas measuring equipment that is in the appropriate category specified in the column headed “Gas measuring equipment category” of the table in subsection 2.31(4), read as if a reference in that table to gas combusted were a reference to gas supplied; and
                            (iv)  the measurement is carried out using gas measuring equipment that complies with the transmitter and accuracy requirements specified, for the item, in the column headed “Transmitter and accuracy requirements (% of range)” of the table;
                     (b)  metre data that has been, or will be, used as the basis for commercial transactions between parties to a natural gas supply transaction;
                     (c)  reports provided by the relevant market operator, including the Australian Energy Market Operator or the Retail Energy Market Company Limited, as applicable;
                     (d)  invoices or invoice equivalents issued by the natural gas supplier or recipient of natural gas.
             (5)  For the purposes of subsection (3), the secondary criterion consists of data extracted from the billing system of a natural gas supplier that is or will be used as a measure of supply in financial reports prepared for the purposes of compliance with the Corporations Act 2001.
             (6)  When ascertaining an interim emissions number for the purposes of subsection 126(7) of the Clean Energy Act 2011, information available on 1 April immediately before the end of the eligible financial year must be used. Information available after 1 April of that year may also be used.
             (7)  When ascertaining a provisional emissions number for the purposes of Division 3 of Part 3 of the Clean Energy Act 2011, information available on 1 July immediately following the end of the eligible financial year must be used. Information available after 1 July of that year may also be used.
             (8)  If the information used to measure a supply contains information relating to a supply in more than one eligible financial year, the amount of natural gas supplied in each year must be apportioned between those years in accordance with industry practice.
Division 1.1A.4—Adjustment to a provisional emissions number
1.10H  Adjustment to a provisional emissions number
             (1)  This section sets out how to increase or reduce, as the case may be, the provisional emissions number for an eligible financial year for the purposes of subsections 10(6) and 10(8) of the Act.
             (2)  This section applies in relation to reports under the Act relating to an eligible financial year beginning on or after 1 July 2014.
             (3)  The provisional emissions number is taken to be:
where:
PEN is the provisional emissions number for the eligible financial year that arises under Division 3 of Part 3 of the Clean Energy Act 2011 (before any adjustment under this section).
PENAdjustmentis the number ascertained in accordance with subsection (4), which may be positive or negative.
             (4)  PENAdjustment is equal to:
where:
PENAdjustment PFY is any adjustment under this section that was made in relation to the eligible financial year before the previous eligible financial year (and so was included in PENReported).
PENReported is the provisional emissions number for an amount of natural gas supplied by a person as reported for the previous eligible financial year in accordance with section 22A of the Act.
PENRevised is the provisional emissions number a natural gas supplier would have had for the previous eligible financial year for the purposes of Division 3 of Part 3 of the Clean Energy Act 2011, if it had been calculated as follows:
                     (a)  the amount of gas supplied is calculated using evidence that:
                              (i)  meets the primary criterion in subsection 1.10G(4); and
                             (ii)  was available on 1 July in the year following the eligible financial year (the current year) or became available after that date;
                     (b)  where it is known that the evidence includes gas that was not in fact supplied, so that it is necessary to reduce the amount so calculated to reflect this—the amount is reduced in accordance with industry practice.
             (5)  A provisional emissions number cannot be reduced below zero.
19  After Part 1.1A of Chapter 1
Insert:
Part 1.1B—Potential greenhouse gas emissions embodied in an amount of gaseous designated fuel
Division 1.1B.1—Preliminary
1.10J  Purpose of Part
                   This Part provides for:
                     (a)  measuring potential greenhouse gas emissions embodied in an amount of gaseous designated fuel in accordance with the default method set out in section 1.10JA; and
                     (b)  ascertaining potential greenhouse gas emissions embodied in an amount of gaseous designated fuel in accordance with the prescribed alternative method set out in Subdivision 1.1B.2.2.
Division 1.1B.2—Available methods
Subdivision 1.1B.2.1—Default method—gaseous designated fuel
1.10JA  Default method
             (1)  For subsection 7B(2) of the Act, the amount of greenhouse gas that would be released into the atmosphere as a result of the combustion of an amount of gaseous designated fuel is determined to be the amount that results from using the following formula:
                  
where:
Ai is the value specified for subsection 7B(2) of the Act for gaseous designated fuel type (i), worked out using the formula in subsection (2).
Ei is the amount of greenhouse gas that would be released into the atmosphere as a result of the combustion of each gaseous designated fuel type (i), measured in CO2‑e tonnes.
Qi is the amount of gaseous designated fuel type (i), measured in cubic metres corrected to standard conditions or gigajoules, estimated in accordance with Division 1.1B.3.
             (2)  For subsection (1), Ai is worked out using the following formula:
                  
where:
ECi is the energy content factor for gaseous designated fuel type (i) mentioned in Part 2 of Schedule 1.
EFiCH4 is the emission factor for CH4 mentioned for the gaseous designated fuel type (i) in Part 2 of Schedule 1.
EFiCO2ox,ec is the emission factor for CO2 mentioned for the gaseous designated fuel type (i) in Part 2 of Schedule 1.
EFiN2O is the emission factor for N2O mentioned for the gaseous designated fuel type (i) in Part 2 of Schedule 1.
Subdivision 1.1B.2.2—Prescribed alternative method—gaseous designated fuel
1.10JB  Prescribed alternative method
             (1)  For subsections 7B(3) and 7B(4) of the Act, this Subdivision specifies the prescribed alternative method for ascertaining the potential greenhouse gas emissions embodied in an amount of gaseous designated fuel.
             (2)  For subsection (1), the potential greenhouse gas emissions embodied in an amount of gaseous designated fuel is worked out using the following formula:
                  
where:
Eiis the potential greenhouse gas emissions embodied in an amount of gaseous designated fuel type (i), measured in CO2‑e tonnes.
ECi is the energy content factor for gaseous designated fuel type (i), which:
                     (a)  is mentioned for the gaseous designated fuel in Part 2 of Schedule 1; or
                     (b)  is estimated by sampling and analysing samples in accordance with sections 1.10JC to 1.10JF.
EFiCH4 is the emission factor for CH4 mentioned for the gaseous designated fuel type (i) in Part 2 of Schedule 1.
EFiCO2ox,ec is the carbon dioxide emission factor for gaseous designated fuel type (i) measures in kiolgrams CO2‑e per gigajoule as worked out under subsection (3).
EFiN2O is the emission factor for N2O mentioned for the gaseous designated fuel type (i) in Part 2 of Schedule 1.
Qiis the quantity of gaseous designated fuel type (i) estimated in accordance with Division 1.1B.3.
             (3)  For subsection (2), the factor EFiCO2ox,ec is worked out as follows:
Method statement
Step 1.   Estimate EFiCO2ox,kgusing the formula:
             
              where:
              Σy is sum for all component gas types.
              dy, total is worked out in accordance with subsection (4).
              EFiCO2ox,kgis the carbon dioxide emission factor for the gaseous designated fuel type (i) incorporating the effects of a default oxidation factor expressed as kilograms of carbon dioxide per kilogram of gaseous designated fuel type (i).
              fy is, for each component gas type (y) mentioned in the table in subsection (5), the number of carbon atoms in a molecule of the component gas type (y).
              moly% is, for each component gas type (y), the gas type’s share of:
               (a)     one mole of gaseous designated fuel type (i), expressed as a percentage; or
              (b)     the total volume of gaseous designated fuel type (i) supplied to the person, expressed as a percentage.
              mwyis, for each component gas type (y), the molecular weight of the component gas type (y) measured in kilograms per kilomole.
              OFg is the oxidation factor 0.995.
              V is the volume of 1 kilomole of the gas at standard conditions, which is 23.6444 cubic metres.
Step 2.   Work out EFiCO2ox,ecusing the formula:
             
              where:
              Ci is the density of the gaseous designated fuel type (i) expressed in kilograms of fuel per cubic metre, analysed in accordance with a standard mentioned in subsection 1.10JD.
              ECi is the energy content factor for gaseous designated fuel type (i) as:
               (a)     mentioned in Part 2 of Schedule 1; or
              (b)     estimated by sampling and analysing samples in accordance with sections 1.10JC to 1.10JF.
              EFiCO2ox,kgis the carbon dioxide emission factor for gaseous designated fuel type (i) worked out under step 1.
             (4)  For subsection (3), the factor dy, totalis worked out using the following formula:
                  
where:
Σ y is sum of all component gas types.
moly% is, for each component gas type (y), the gas type’s share of:
                     (a)  one mole of gaseous designated fuel type (i), expressed as a percentage; or
                     (b)  the total volume of gaseous designated fuel type (i) supplied to the person, expressed as a percentage.
mwy is, for each component gas type (y), the molecular weight of the component gas type (y) measured in kilograms per kilomole.
V is the volume of 1 kilomole of the gas at standard conditions, which is 23.6444 cubic metres.
             (5)  For subsection (3), the molecular weight and number of carbon atoms in a molecule of each component gas type (y) mentioned in column 1 of an item in the following table is set out in columns 2 and 3, respectively, for the item.
 
Molecular weight and number of carbon atoms of each component gas type (y)

Item
Column 1
Column 2
Column 3

 
Component gas type (y)
Molecular Weight (kg/kmole)
Number of carbon atoms in component molecules

1
Argon
39.948
0

2
Butane
58.123
4

3
Carbon dioxide
44.010
1

4
Carbon monoxide
28.016
1

5
Ethane
30.070
2

6
Hydrogen
2.016
0

7
Hydrogen sulphide
34.082
0

8
Methane
16.043
1

9
Nitrogen
28.013
0

10
Oxygen
31.999
0

11
Pentane
72.150
5

12
Propane
44.097
3

13
Water
18.015
0

1.10JC  General requirements for sampling gaseous designated fuels—prescribed alternative method
             (1)  A sample of a gaseous designated fuel must be derived from a composite of amounts of the gaseous designated fuel.
             (2)  The samples must be collected on enough occasions to produce a representative sample.
             (3)  The samples must be free of bias so that any estimates are neither over nor under estimates of the true value.
             (4)  Bias must be tested in accordance with an appropriate standard (if any).
             (5)  The value obtained from the samples must only be used for the delivery period, usage period or consignment of the gaseous designated fuel for which it was intended to be representative.
1.10JD  Requirements for sampling gaseous designated fuels—prescribed alternative method
             (1)  A gaseous designated fuel mentioned in the column headed “Gaseous fuel” of an item of the table in subsection 2.26(3) must be sampled in accordance with a standard specified in the item for the fuel.
             (2)  A gaseous designated fuel may also be sampled in accordance with a standard that is equivalent to a standard that is set out for the gaseous designated fuel in the table in subsection 2.26(3).
1.10JE  Standards for analysing samples of gaseous designated fuels—prescribed alternative method
             (1)  Samples of a gaseous designated fuel mentioned in the column headed “Fuel type” of an item of the table in subsection 2.24(1) must be analysed in accordance with one of the standards mentioned in:
                     (a)  for analysis of energy content—the column headed “Energy content” for that item; and
                     (b)  for analysis of gas composition—the column headed “Gas Composition” for that item.
             (2)  A gaseous designated fuel may also be sampled in accordance with a standard that is equivalent to a standard that is set out for the gaseous designated fuel in the table in subsection 2.24(1).
             (3)  The analysis must be undertaken by:
                     (a)  an accredited laboratory; or
                     (b)  a laboratory that meets requirements equivalent to those in AS ISO/IEC 17025:2005; or
                     (c)  using an online analyser if:
                              (i)  the online analyser is calibrated in accordance with an appropriate standard; and
                             (ii)  the online analysis is undertaken in accordance with this section.
             (4)  The density of a gaseous designated fuel must be analysed in accordance with ISO 6976:1995 or in accordance with a standard that is equivalent to that standard.
1.10JF  Frequency of analysis—prescribed alternative method
             (1)  Subject to subsection (2), samples of gaseous designated fuel must be analysed:
                     (a)  for gas composition—monthly; and
                     (b)  for energy content:
                              (i)  if the samples are analysed using gas measuring equipment that is category 1 or 2 of the following table—monthly; or
                             (ii)  if the samples are analysed using gas measuring equipment that is category 3 or 4 of the following table—continuously.
 
Frequency of analysis

Item
Column 1
Column 2
Column 3

 
Gas measuring equipment category
Maximum daily quantity of gaseous designated fuel that is supplied, entered for home consumption or received (excluding any quantity of gaseous designated fuel that is counted twice) (GJ/day)
Transmitter and accuracy requirements (% of range)

1
1
0‑1750
Pressure