think climate. think change.
Department of Climate Change
January 1999
The Prime Minister's package released in November 1997 tasked the Australian Greenhouse Office (AGO) with establishing a National Carbon Accounting System to provide the framework and services necessary to account for land based greenhouse gas emissions reduction and sink enhancement programs.
A world class viable National Carbon Accounting System will provide a sound basis for future reporting for the National Greenhouse Gas Inventory and Kyoto Protocol reporting requirements, assist in supporting any future emissions trading and provide a basis for assessing Australia's progress towards meeting its Kyoto emissions target.
This Strategic Plan sets out the priority issues for the development of the National Carbon Accounting System over the next five years, and the approach to be taken by the AGO in implementing these priorities. Given that the International agenda for implementation of provisions relating to the Land Use Change and Forestry sector will be progressed rapidly over the next year or two, it will be essential that the National Carbon Accounting System progresses at a pace to more than match the tempo of these developments.
Working in partnership with stakeholders will be fundamental to establishing an internationally credible and verifiable National Carbon Accounting System in the required time frame. The AGO looks forward to and encourages involvement of industry, all levels of Government and the broader community in establishing and implementing this important initiative.
Gwen Andrews
Chief Executive Officer
Australian Greenhouse Office
Atmospheric concentrations of greenhouse gases have been increasing over the past 200 years and emissions from human activities have been identified as responsible for this. In response to this concern, the international community developed the United Nations Framework Convention on Climate Change (UN FCCC).
The Convention, which entered into force in 1994, lays the basis for global action "to protect the climate system for present and future generations". It provides a framework within which Governments can work together to implement polices and measures that address climate change. Parties to the Convention have agreed to work towards achieving "stabilisation of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic (human-induced) interference with the climate system" by implementing appropriate greenhouse response measures.
International negotiations held in Kyoto in December 1997, have put in place a post-2000 response to further address the threat of climate change. The Kyoto Protocol to the UN FCCC represents a significant advance for the global environment. For the first time developed countries have agreed to potentially binding targets to reduce their greenhouse gas emissions.
Under the Protocol, developed countries as a whole are required to reduce their greenhouse gas emissions by at least 5% by 2008-2012. In recognition that developed countries have different economic circumstances and differing capacities to make emissions reductions, developed countries have been assigned differentiated emissions reduction targets. Australia's requirement is to limit the growth of its greenhouse gas emissions in the commitment period, 2008-2012, to 8% above 1990 levels. Most other countries are required to reduce their emissions below 1990 levels by 2008-2012 based on their particular national circumstances.
Many of Australia's exports are greenhouse gas intensive (eg. the supply of aluminium, steel and agricultural products) and the nation has limited opportunity to switch to less greenhouse intensive forms of energy. Australia's international emissions reduction target reflects this and other unique features of our economy, such as our high level of population growth, which will lead to a growth in energy demand, and our changing land use pattern. Australia's target equates to a reduction in emissions of about 30% over business as usual scenarios. This is equivalent to the task facing other developed nations.
As a Party to the UN FCCC, Australia is obliged to prepare annually an inventory of anthropogenic emissions by sources and removals by sinks of greenhouse gases not controlled by the Montreal Protocol and submit any necessary supplementary information. These national inventories are likely to form the basis for assessing emissions trends, abatement performance and compliance to commitments under the Kyoto Protocol.
Under the Kyoto Protocol, data to establish Australia's level of carbon stocks in 1990 is required to be submitted for consideration by the Subsidiary Body for Scientific and Technological Advice prior to the first session of the Meeting of the Parties (Article 3.4 of the Kyoto Protocol), in perhaps three years time.
As Australia was estimated to be a net emitter of greenhouse gas emissions from Land Use Change and Forestry Sector in 1990, net emissions from land use change activities may be incorporated in the calculation of our assigned target (Article 3.7). Hence, for this and other reasons connected with implementation of the Kyoto Protocol, it is important Australia prepare a robust, transparent and verifiable record of emissions and removals for land based sources and sinks for 1990 within the next three years.
Significant investment by Australia in improving its understanding of the sustainability and productivity of its land and vegetation resources through Commonwealth and State programs (such as the National Land and Water Audit, the Natural Heritage Trust programs and the Land Cover Change 1990-1995 project) will assist in meeting this objective. Although these programs were not designed as greenhouse abatement measures and therefore lack the specific accounting framework and monitoring infrastructure, development of strong cooperative links between programs has been recognised as the most effective way to reduce duplication and produce a comprehensive compatible database of natural resources.
The National Carbon Accounting System (NCAS) will reduce uncertainty in our estimate of land based emissions and may allow Australia to claim revegetation initiatives as a 'benefit' under the Kyoto Protocol. Continued involvement of the States and Territories in cooperating with the Commonwealth to collect, collate and share data from relevant programs is essential to the successful outcome.
The Prime Minister's statement of 20 November 1997 tasked the Australian Greenhouse Office (AGO) with establishing and implementing "a consolidated package (that) will provide the comprehensive framework and scientific services necessary to account for Australia's emissions reduction and sink enhancement programs (in land based sources and sinks) to an internationally credible standard".
"To provide a complete accounting and forecasting capability for human-induced sources and sinks of greenhouse gas emissions from Australian land based systems for developing an optimum greenhouse policy response to requirements of the UN FCCC and its instruments".
Because of the interrelationship of these issues, it is difficult to place differing priorities on the objectives for the system. However, the timelines that are linked to the timetable of requirements under the Kyoto Protocol and implementation of mitigation measures under the National Greenhouse Strategy provide an important basis for prioritising objectives.
Australia will need to have available its estimate of 1990 greenhouse gas emissions soon after the Kyoto Protocol comes into force. This will occur when at least 55% of parties to the convention and Annex 1 countries representing 55% of these countries' total CO2 emissions for 1990 have ratified the Protocol.
The timing of this depends on progress of international negotiations and decisions of other countries. It is prudent to plan that this could occur from 2001/2002 onwards.
Given that the international agenda for implementation of priorities in the Land Use Change and Forestry Sector, other activities and emissions trading will be progressed rapidly over the next year or two, it will be essential that the NCAS progresses at a pace to more than match the tempo of these developments.
Afforestation, reforestation and deforestation activities since 1990 (Article 3.3) and any others accepted under Article 3.4 will affect Australia's assigned amount in the first commitment period in 2008 - 2012. Rapid identification and location of areas of reforestation and afforestation activity since 1990 will ensure that all possible sinks are included in Australia's assigned target. This will also enable monitoring of their progress and modelling of their potential contribution towards meeting international commitments.
The Conference of the Parties (COP) will define the additional activities since 1990 that may be included in the second and subsequent commitment periods, possibly with significant focus on this issue at the 5th meeting of the COP (late 1999) and 6th meeting of the COP (2000). Countries may then decide to include some or all of these activities in the first commitment period. Identification of a range of potential additional activities and estimates of their likely contribution to the emissions profile will be required to support Australia's position in development of international policy.
Australia will be required to demonstrate progress towards meeting commitments under the Kyoto Protocol by 2005. It will be necessary to have the capacity to substantiate claims of emissions reductions and sinks enhancement and to provide estimates of associated uncertainties to the international community at this time.
Though the international timetable for emissions trading is not yet clear, domestic activity has already begun in advance of any trading schemes. Establishing links to ensure compatibility of project level data with national requirements will be necessary as public and private sinks agendas develop.
Much of the activity that will be commissioned under the NCAS will address more than one of the objectives. The extent to which multiple objectives are served by one activity will become a factor in making investment decisions about which activities to pursue.
Cost-benefit analyses of activities proposed for the NCAS will need to be undertaken on a regular basis. Such analyses should take into account: the extent to which the proposed activity serves the objectives;
To finalise acceptance of issues under the Kyoto Protocol, it will be important to define any terms needing negotiation. However, future technological advances and changes in methodology may result in changes to what we currently understand to be accepted definitions.
An aggregate estimate of anthropogenic greenhouse gas emissions and removals comprising a net emissions figure for a single year (1990) for the energy, industrial processes and solvents and waste sectors and three-year averages (with the base year in the middle) for the agriculture and land use change and forestry sectors. However, it is recognised that greenhouse gas emissions and removals in the area of land use change and forestry can occur over an extended period of time once the activity has occurred.
An aggregate estimate of anthropogenic greenhouse gas emissions comprising an emissions figure for a single year (1990) for the energy, industrial processes and solvents and waste sectors and three-year average (with the base year in the middle) for the agriculture sector. With land use change and forestry constituting a net source of emissions in 1990, net emissions from land use change (land clearing) may also be included in the base year estimate.
Other activities associated with land use, land use change and forestry which are not addressed under Article 3.3 of the Kyoto Protocol but will be dealt with separately under a process governed by Article 3.4.
Planting of new forests on lands which, historically, have not contained forests (IPCC 1996a).
Equations derived for plant species, soil and climate conditions, which relate dimensions (usually tree diameter, at breast height, and tree height) to the amount of above-ground biomass stored. These may be accompanied by ratios which relate above-ground to below-ground (root) biomass.
Developed country or country with an economy in transition to a market economy as listed in Annex 1 of the 1992 UN FCCC.
A list of the gases and source categories which are included in the Kyoto Protocol.
A list of the quantified emissions limitation or reduction commitments for all Annex 1 Parties, except Turkey (see above).
Greenhouse gas emissions and removals that are a direct result of human activities or are the result of natural processes that have been directly affected by human activities (IPCC 1996b).
Living or dead non-fossilised organic material found both above and below ground eg. trees, crops, grasses, tree litter, roots etc.
Total above and below ground biospheric carbon.
The annual meeting of the Parties to the UN FCCC.
Conversion of forests to another land use, frequently accompanied by burning (IPCC 1996c).
Under Article 3.3, all deliberate actions by humans that result in sources and sinks of greenhouse gases constitute direct human-induced activities. [This issue may be further resolved following completion of an IPCC special report.]
United Nations Framework Convention on Climate Change - arose from increasing international concern about the implications of climate change and a recognition that no one country can solve the global environmental problem alone. Australia ratified the UN FCCC in December 1992.
The ultimate objective of the UN FCCC is to achieve stabilisation of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous human-induced interference with the climate system. The Convention's principal commitments for Annex I Parties (OECD and countries with economies in transition) are to adopt policies and measures to reduce greenhouse gas emissions with the aim of restoring their emissions to 1990 levels by 2000, subject to a number of caveats. The Kyoto Protocol, when it comes into force, will substantially extend these commitments.
There are various and somewhat inconsistent international definitions of the term 'forest'. The most widely used is that of the Food and Agriculture Organisation (of the United Nations). However, this definition, which is based on commercial forestry systems, is not considered the most appropriate for Australia's forest systems.
The National Forest Inventory definition used for Australia's reporting to the international Montreal Process for Sustainable Forest Management is also used for the National Greenhouse Gas Inventory: "A forest is an area, incorporating all living and non-living components, that is dominated by trees having usually a single stem and a mature or potentially mature stand height exceeding 2 m, and with existing or potential projected cover of over storey strata about equal to or greater than 20%".
The principal greenhouse gases included in the National Greenhouse Gas Inventory and the Kyoto Protocol are carbon dioxide, methane, nitrous oxide, perfluorocarbons, hydrofluorocarbons and sulphur hexafluoride.
Carbon monoxide, oxides of nitrogen and non-methane volatile organic compounds play an indirect role in the greenhouse effect by influencing the levels of other greenhouse gases. While these gases are included in the National Greenhouse Gas Inventory, they do not have global warming potentials assigned and are not included in the Kyoto Protocol. Emissions of radiatively active gases that are also ozone depleting substances (eg. CFCs - chlorofluorocarbons), controlled under the Montreal Protocol for the protection of stratospheric ozone, lie outside the scope of the Inventory.
Any process, activity or mechanism which removes a greenhouse gas from the atmosphere.
Intergovernmental Panel on Climate Change. The IPCC was established in 1988 by the World Meteorological Organisation and the United Nations Environment Program. The Panel carries out internationally coordinated assessments of the magnitude, timing and potential impacts of climate change and provides technical assessments of potential measures to mitigate climate change. It does not engage in basic research or policy formulation.
Relates to forests described under Article 3.3 of the Kyoto Protocol which currently provides that: "The net changes in greenhouse gas emissions by sources and removals by sinks resulting from direct human-induced land use change and forestry activities, limited to afforestation, reforestation and deforestation since 1990, measured as verifiable changes in carbon stocks in each commitment period..."
A continuing change in the nature and abundance of vegetation and soil components. Land cover change is driven by natural (eg. climatic change) or anthropogenic forces (eg. land use).
A change in the way land is used eg. clearing of forests for agriculture (IPCC 1996b). Estimates of CO2 emissions due to land use change vary due to uncertainties in annual forest clearing rates, the fate of the land that is cleared, the amounts of biomass (and hence carbon) contained in different ecosystems, the modes by which CO2 is released (eg. burning or decay) and the amount of carbon released when soils are disturbed.
Any forest subject to periodic or continuing human intervention that affects carbon stocks (NGGIC 1997).
National Greenhouse Gas Inventory Committee
Organisation for Economic Cooperation and Development
An area of managed forest where the trees have been planted, rather than grown naturally through regeneration (NGGIC 1997).
Planting of forest on land which has historically contained forests but which has been converted to some other use (IPCC 1996d).
Establishment of vegetation in areas which historically have been cleared.
The removal of carbon dioxide from the atmosphere by changes in ecological processes, such as net primary production and decomposition, that lead to a net stable accumulation of carbon stocks above or below ground.
IPCC. 1996a. Greenhouse Gas Inventory Reporting Instructions, Revised 1996 IPCC Guidelines for National Greenhouse Gas Inventories, Volume 1, Glossary.1.
IPCC. 1996b. Greenhouse Gas Inventory Reporting Instructions, Revised 1996 IPCC Guidelines for National Greenhouse Gas Inventories, Volume 3, Overview 5.1.
IPCC. 1996c. Greenhouse Gas Inventory Reporting Instructions, Revised 1996 IPCC Guidelines for National Greenhouse Gas Inventories, Volume 3, Overview 5.6, Footnote 7.
IPCC. 1996d. Greenhouse Gas Inventory Reporting Instructions, Revised 1996 IPCC Guidelines for National Greenhouse Gas Inventories, Volume 1, Glossary.15.
NGGIC. 1997. Workbook for Carbon Dioxide from the Biosphere, Workbook 4.2, Revision 2, CANBERRA, AUST.
We acknowledge with thanks the High Level Steering Committee for the National Carbon Accounting System for their contributions to the completion of this document.
The strategic plan is also available for downloading as a PDF file. (PDF help)
