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CLIMATEACTIVE
GUIDE
IMPORTANT NOTICE & DISCLAIMER
The Climate Active Guide (the Guide) provides a general overview for businesses and other organisations voluntarily seeking to become
carbon neutral and/or Climate Active certified.
The Guide should only be used as a guide and is not to be relied upon. Interested parties should obtain independent advice on, and
conduct their own independent inquiries, analyses and assessment of, the information set out in the Climate Active Carbon Neutral
Standard (formerly the National Carbon Offset Standard).
No promise, representation, warranty or undertaking, express or implied, is made and no responsibility is accepted by the Commonwealth
as represented by the Department of the Environment and Energy as to the accuracy, currency or completeness of any part of the Guide.
To the maximum extent permitted by law the Commonwealth expressly disclaims all liability for any losses, costs or expenses incurred
directly or indirectly by any party as a result of reliance on or use beyond the intended purpose of the Guide as may be amended from
time to time.
COPYRIGHTThe material in this publication is copyright Commonwealth of Australia except as provided below and as indicated in this publication.
All material presented in this publication is provided under a Creative Commons Attribution (CC BY) 4.0 Australia license, with the
exception of the:
All variations of the Climate Active trade mark.
The details of the relevant license conditions are available on the Creative Commons website as is the full legal code for the CC BY 4.0
Australia license.
ATTRIBUTIONYou are free to copy, communicate and adapt the Commonwealth copyright material in this publication in unaltered form only, retaining
this Disclaimer and attributing the Commonwealth of Australia (Department of the Environment and Energy) in the following manner:
Climate Active Guide © Commonwealth of Australia (Department of the Environment and Energy) 2019.
USING THE COMMONWEALTH COAT OF ARMSInformation and Guidelines on the use for the Coat of Arms are available from the It’s an Honour website and also at the following link
https://www.pmc.gov.au/resource-centre/government/commonwealth-coat-arms-information-and-guidelines.
Image and cover image: copyright Cieran Murphy – Cunderdin, Western Australia
1 Introduction 2
2 Climate Active and carbon neutrality 4
3 Thebenefitsofbeingcarbonneutral 6
4 How to become carbon neutral 8
5 CarbonOffsets 12
Co-benefitsofoffsetting 13
6 ClimateActivecertification 14
Benefitsofcertification 15
Sixstepstocertification 15
Costofcertification 17
Climate Active trade mark 19
Contents
Climate Active Guide
2
1 Introduction
“Westpac Group knows investing in making
the environmental impacts of our activities more
efficient delivers long-term savings and enables us
to bring to life our commitment to environmental
responsibility and sustainability”– Westpac
ClimateActiveisAustralia’scollective
initiativeforclimateaction.Drivenby
membersandactivatedbyconsumers,
ClimateActiveisauniqueGovernment
backedprogramthatenablesbusinesses,
governmentandthecommunityto reduce
carbonemissions.
BybecomingClimateActive,Australian
businessesandorganisationsare
positioningthemselvesforsuccess
inalowcarboneconomy.TheClimate
Activetrademarkconfirmsthat
acarbon neutralclaimhasmeta
robust standardandisalegitimate
and visiblestampofapproval.
ThisGuideisanoverviewfor
businesses andotherorganisations
seekingtobeClimateActivefor
theiroperations,events,buildings,
precincts,productsorservices.
It outlinesthebenefitscertification
brings,theprocess ofbecoming
carbon neutral, and thecosts.
1 Introduction
Image credit: Leah Kelley – Group of people enjoying music
concert (creative commons)
3
Climate Active Guide 2 Climate Active and carbon neutrality
4
ClimateActivecertificationisawardedto
businessesandorganisationsthathave
reachedastateofachievingnetzero
emissions,otherwiseknownascarbon
neutrality.WhilewebelievethatClimate
Activecertificationisthemostcredible
waytoproveacarbonneutralclaimitis
possibletobecarbonneutralwithout
beingcertified.Businessesarefreeto
usetheClimateActiveCarbonNeutral
Standardtoachievecarbonneutrality.
Tobecomecarbonneutral,organisations
calculatetheemissionsgenerated
bytheiractivity(suchas drivingor
flyingorelectricityuse),reducethese
emissionsasmuchas possible,and
thencompensatefor the remaining
unavoidableemissionsbypurchasing
carbonoffsetsorcarboncredits.
Offsetsaregeneratedfromanactivity
thatprevents,reducesorremoves
greenhousegasemissionsfrom
being releasedintotheatmosphere.
2 Climate Active and carbon neutrality
Image credit: Tiff Ng – Aerial shot of city (Melbourne)
5
The Climate Active Carbon Neutral StandardThe Standard is administered by the Australian Government
and underpins Climate Active certification. It is based on
international standards tailored to Australia and is reviewed
and improved regularly to ensure its integrity and that it
remains aligned with best practice. The Standard:
• Provides guidance and sets minimum requirements for calculating, reducing, offsetting, validating and publishing emissions.
• Details how to credibly claim or become certified carbon neutral.
• Is available for a range of categories including organisations, products and services, buildings, precincts and events.
The Standard is available at www.climateactive.org.au
Climate Active Guide 3 The benefits of being carbon neutral
6
“We are acutely aware of the emerging impacts of climate
change and our responsibility in taking action in the interests
of our clients, staff, volunteers and the broader community.
The process of becoming a carbon neutral organisation has
led to significant operational savings, improved efficiencies
and positive recognition for the leadership we have taken.
We are proud of our investment in the future of Uniting
Communities, the South Australian community we serve
and our planet”
– UnitingCommunitiesChiefExecutive,SimonSchrapel
Future-proof your organisation
A carbon neutral commitment
today will ensureyourorganisation
is equipped toreadilyadapttoachanging
regulatorylandscapeanda lowcarbon
economyin thefuture.
Themorebusinessesthatcommit
to reducingtheiremissions,thebetter
chancetheyhavecollectivelyoflimiting
theimpactsofclimatechangeon
business,includingnegativeeffects
onsupplychains,customerbases
and insurancepremiums.
Attract and retain talent
Researchindicatesthatsustainability
isan increasinglyimportantfactorin
attractingandretainingtalent.Several
peer-reviewedstudiesshowthatmany
job seekersareattractedto organisations
withsustainablepractices,andthatthey
feelmoreengagedandpurpose-driven
whentheir employerhasameaningful
socialandenvironmentalstrategy.
3 Thebenefitsof being carbon neutral
Image credit L–R: copyright Department of the Environment and
Energy – Night time view over the Yarra River to the Melbourne
Cricket Ground; Johannes W – Action! (creative commons);
copyright With_Architecture Studio – Sustainable Housing for
Artists and Creative (SHAC) Development; Burak K – Turned on
Pendant Lamp (creative commons)
7
Meet growing expectations from stakeholders
Theprivatesectorisfacingmounting
pressurefromconsumersandinvestorsto
showthattheyaretakingactiononclimate
change.Acommitmenttocarbonneutrality
demonstratesthatyourorganisationis
seriousaboutoperatingsustainably.Not
takingactionrepresentssignificantlegal,
financialand reputationalrisks.
Stand out from competitors
Environmentalperformanceofan
organisationisbecomingavaluable
sourceofcompetitiveadvantage.Carbon
neutralityisagenuineanddemonstrable
contribution to the environment that
goesbeyondanorganisation’scorporate
social responsibility.
Organisationsthatgocarbonneutralcan
purchaseoffsetunitsfromprojectsthat
alignwiththeirorganisationalvaluesand
brandpurpose,furtherhighlightingtheir
commitmenttosustainability.
Enter the carbon neutral supply chain
Carbonneutralbusinesseshavean
advantageoverotherbusinesseswhen
itcomestosupplychains.Increasingly
governments,councilsandbusinessesare
embeddingsustainabilitypoliciesintheir
procurementprocesses,andbusinesses
thathaveaccountedfor,andoffset,their
emissionswillbefirstinlineinlowcarbon
procurementprocesses.
Saveenergyandreduce costs
Reducingemissionsaspartofbecoming
carbonneutral,commonlyinvolvesmaking
operationalchangesthatreduceenergyor
fueluse.Manyorganisationsseesignificant
savingsduringthisprocess.
Develop carbon management expertise
Becomingcarbonneutralhelps
organisationstobuildinternalcarbon
accountingcompetenceandmanagement
processestomeetcompliance
andvoluntaryemissionreduction
commitments.
Connect with the community
Manycommunity-facingorganisationsand
businessesenjoygreaterrecognitionand
engagementintheircommunityasa result
oftheircarbonneutrality.
Climate Active Guide 4 How to become carbon neutral
8
“One of the key challenges to carbon neutrality is the
collection of robust data and metrics to accurately
account for all emissions under the organisation’s
operational control. Whilst this has been challenging,
it has also identified further opportunities for cutting
costs and emissions from within our operations”
– JardanAustralia
4 How to become carbon neutral
Image credit L–R: copyright NextDC – TP Facility M1_Racks; Anna Jiménez Calaf (creative commons)
9
Calculating emissions
Thefirststepingoingcarbonneutralisto
calculatetheamountofgreenhousegases
emittedwithinadefinedboundary.The
boundarywilldependonwhetheryou are
seekingtobecomecarbonneutralforyour
operations,theproductsyoumake,the
servicesyouprovide,theeventyouhostor
thebuildingorprecinctthatyouoperate.
Withinthisboundary,allactivities
orsourcesthatleadtogreenhouse
gasemissionsneedtobeidentified.
These includesourcesthatyouhavedirect
orindirectcontrolover,suchastransport
fuels,purchasedelectricity,waste
generatedinoperations,business travel
andotherpurchasedgoodsandservices.
Emissionfactors,includingfactorspublicly
availablefromtheAustralianGovernment,
areusedtoconvertthedatafromthe
emissionsourcesintocarbondioxide
equivalent(CO2e)orgreenhousegas
emissions.Thecarbonaccountorfootprint
isthesumofallthe emissions.
Understanding emission sources and
calculating your carbon footprint
helps identify operational or
productionefficienciesleadingto
energyand costsavings.
Reducing emissions
Havingidentifiedtheemissionssources,
itmaybepossibleforyoutomakesimple
changestoyouroperationsthat canlead
toemissionreductions.For example,
an organisationmay:
• Improveenergyefficiency
by upgrading equipment
• Reduceelectricityorfueluse
by changingstaffbehaviour
• Purchaseelectricityfrom
renewable energysources
• Usecertifiedcarbonneutral
products andservices
• Reduceoravoidtravelwhere possible.
Reducing emissions also means
that less money is spent purchasing
offset units required to achieve
carbon neutrality.
Climate Active Guide 4 How to become carbon neutral
10
Offsetting emissions
Offsetunitsorcarboncreditscanbeused
tocompensateforemissionsyoucannot
reduceandtobringyourcarbonfootprint
downtozero.
Thepurchaseofcarboncreditssupports
projectsthatreduceorremoveemissions
fromtheatmosphere,suchasreforestation,
renewableenergyorenergyefficiency.
For example,aprojectmayreduce
emissionsbychangingthetimingofsavanna
burninginNorthernAustraliaorbybuilding
windfarmsinChina.Onecarboncreditis
issuedforeachtonneof emissionsavoided
orremovedfromtheatmosphere.
Theprojectsandcreditsareverifiedthrough
privateandinternationalstandards.These
standardsensurethattheprojectsare
implemented,runandmanagedproperlyand
thecreditstheygeneraterepresentrealand
actualemissionssequesteredoravoided.
Carboncreditsoroffsetunitscanbe
boughtfromvariousserviceprovidersthat
managetheinteractionbetweenyouand
theoffsetproject.Thismightincludecredit
verification,issuance,registrationand
cancellationonanofficialregister.
Tooffsetyouremissionsandmakea
claim ofcarbonneutrality,youneedto
canceleligibleoffsetunitsequivalent
toyourcarbonfootprint.Cancellationis
donethroughanofficialcreditregister
whichensuresthecreditcannotbesold
or used again.
Carbonneutralcertificationforbuildings
canbesoughtthrough:
• NABERSEnergy(NABERS
National Administrator)
• GreenStar–Performance
(Green BuildingCouncilofAustralia).
Image credit right: copyright Department of the Environment and Energy – Arncliffe; Right – copyright
Department of the Environment and Energy – Botany Bay area; Infographic: Offset units are used to compensate
for emissions a business produces in order to bring their carbon footprint down to zero
Image credit: copyright Department of the Environment and Energy – Arncliffe
11
Climate Active Guide 5 Carbon Offsets
12
Offset units can be purchased from a range of domestic
and overseas projects that reduce or remove emissions
from the atmosphere. The Climate Active Carbon Neutral
Standard sets the requirements that must be met for an
offset unit to be eligible for use as part of a carbon neutral
claim. Integrity principles of the Standard ensure that any
units used to offset emissions are genuine and credible.
5 Carbon Offsets
Image credit clockwise from top left: copyright Aboriginal Carbon Fund – Aboriginal Rangers managing country using traditional
knowledge and burning practises at Kowanyama in Cape York; John Andrew Rice – Eucalyptus (creative commons); Mariana Proenca –
Solar panel (creative commons); Matthew T Rader – Turbine (creative commons)
13
Offset units are generated by projects that reduce, remove or
capture emissions from the atmosphere such as reforestation,
renewable energy or energy efficiency
Co-benefitsofoffsetting
Manyoffsetprojectsdeliversocial,economic
or environmentaloutcomesinadditionto
emissionreductions.
Environmentalbenefits includeincreased
biodiversity,maintaininghabitatfornative
animalandplantspecies,improvedlocal
airand waterquality,avoidingvegetation
clearance,re-establishingvegetationon
previouslyclearedareas,andimproved
environmentalmanagement.
Socialandculturalbenefits arethepositive
aspectsforcommunitieswhereaprojectis
basedsuchasemploymentforlocalpeople,
livingandworkingoncountry,capacitybuilding,
improvedhealthandeducation,and accessto
cleanandaffordableenergy.
Economicbenefits occurwhenincomefromthe
saleofoffsetcreditsflowstothecommunity
whereaprojectislocatedandoftentranslates
intoemploymentand communitysupport,
improvedinfrastructure,technologytransfer,
andincreasedeconomicactivity.
Whenconsideringoffsets,manyorganisations
choosetosupportprojectsthatalignwiththeir
corporatevalues.Theymaylookforprojects
thathelppeopleandcommunities,conserve
naturalresourcesorsupportmovesfrom
conventionaltorenewableenergy.
Many organisations choose offset units that support co-benefits which align with their organisational values
Climate Active Guide 6 Climate Active certification
14
Climate Active certifies carbon neutral claims
for organisations, products and services, events,
buildings and precincts. Meeting the requirements
of the Standard is essential for certification.
ClimateActiveprovidesasimpleframeworkofwhatisrequiredformakingacarbon
neutralclaim.Thisisbasedonmeasuringemissions,reducingemissions,offsetting
and publicreporting.
6 Climate Active certification
Image credit clockwise from top left: copyright BioPak – BioPak products; copyright Sydney Opera House – Sydney Opera House
sails in green; copyright City of Sydney – Solar panels at Sydney Park; copyright Jardan – Showroom
15
Benefitsofcertification
A genuine stamp of approval against your
carbon neutral claim:Certifiedorganisations
canusetheClimateActivetrademarkto
supportagenuineclaimtobecarbonneutral
againstarobustandauthoritativestandard.
Promotion by the Climate Active team:
Certifiedorganisationsareshowcasedonthe
ClimateActivewebsiteandacknowledged
throughmediareleases,magazinearticles,
case studiesandsocialmedia.
Membership to the Climate Active Network:
Certifiedorganisationsjoinagrowingnetworkof
carbonneutralleadersthatareinvitedtoattend
sectorinsightandnetworkingsessions.
Guidance, advice and administration support:
Certifiedorganisationsreceiveguidanceand
administrativesupportrequiredtomaintain
carbonneutralstatus.
Sixstepstocertification
Climate Active Guide 6 Climate Active certification
16
Step 1 – Enter and maintain a licence agreement
Enteringintoalicenceagreementconfirmsyourcommitmenttoachievingcarbonneutrality
andensuresyouareawareofyourobligationsforcertification.Alicenceagreementlasts
fortwoyears;however,youwillhavetheopportunitytore-committo a newagreement
every year.
Step 2 – Calculate your emissions
Calculatingemissionsensuresyouaretakingresponsibilityforallemissionsproduced
froma certifiedactivity.Emissionscancomefrommanysources,includingelectricityuse,
transportfuels,wasteandbusinesstravel.Emissionsfromallrelevantsourcesare added
uptogivethetotalemissionsinacarbonaccount.A baseyearissettoallowforemission
comparisonsover time.
Step 3 – Develop and implement an emission reduction strategy
Akeycomponentofcertificationistomakeemissionreductionsaheadofoffsetting.
An emissionreductionstrategyidentifiestheactivitiesyouplantoundertaketoreduceyour
emissionsoveradefinedperiod.Thisoftenincludeschangestoyourbusinessoperations
suchasreducingelectricityorpurchasingitfromrenewablesources,limitingoravoiding
travel,andusingcertifiedcarbonneutralproductsandservices.Youwillneedtoreport
publiclyonyouremissionseachyearandidentifywherereductionactivitieshavecontributed
toloweremissions.
Step 4 – Purchase offsets
Offsetsarepurchasedtocompensateforemissionsthatcannotbereducedoravoided.
To ensurealloffsetsusedunderClimateActivearegenuineabatement,only offsetsthat
havemetstrictintegritycriteriaareallowed.
Step 5 – Arrange independent validation
Independentvalidationhelpsprovideassurancethatacarbonneutralclaimiscredible.
Independentvalidationsvarydependingonthecertificationtypeandsizeofyourtotal
emissions.Itmayincludearrangingasourcedataauditwhenyouapplyandperiodic
technicalassessmentsofyourcarbonneutralclaim.
Step 6 – Publish a public statement
Apublicdisclosurestatementallowsinterestedpartiestointerrogateyourcarbonneutral
claim.Itensurestransparencyandhelpsbuildstrustandpublicconfidenceintheclaim.
A statementisrequiredeveryyearforongoingcertifications.
17
Costofcertification
Thecostofgoingcarbonneutraldepends
largelyonthetypeandoperationofyour
organisation,onthe levelofin-house
expertiseandon thesizeofthecarbon
footprintneedingtobeoffset.
Annual licence fee
ThereisanannuallicencefeeforClimate
Activecertificationbasedonthesize
ofanorganisation’scarbonaccount
andtypeandnumberofcertifications.
It paysforlicenceadministration,trade
markcomplianceandsupportservices
forcertifiedorganisations.Thisincludes
promotinganorganisation’scarbonneutral
statusandmembershiptothe Climate
ActiveNetwork.
Formoreinformationandcurrent
fees contacttheClimateActive
team via theClimateActivewebsite
(www.climateactive.org.au).
Carbon account consultants and offset providers
Calculatingthecarboninventoryof
anorganisationorthelifecycleofa
productcanbeacomplexprocessand
mayrequirethetechnicalexpertiseofa
consultant.Consultantscanalso maintain
carboninventoriesand undertakeannual
reportingonbehalfof yourorganisation.
Someorganisationsarealreadyreporting
theircarbonimpacttootherprograms,
andcandrawandexpandon existing
in-houseskillstotakeoncarbonneutrality.
Othersusetheservicesofacarbon
consultanttoassistwithcalculatingat
leasttheinitialcarboninventory.
Aconsultantoroffsetprovidermayalso
beengagedtoassistwiththepurchase
andcancellationofoffsetunits.
TheDepartmentmanagesalistof
RegisteredConsultants.
Climate Active Guide 6 Climate Active certification
18
Offset units
Achievingcarbonneutralityusually
requiresthepurchaseandcancellation
ofcarboncreditsoroffsetunits.While
someorganisationsareverysuccessful
insignificantlyreducingtheircarbon
footprint,inmostcasessomeemissions
remaintobeoffset.
Thecostofoffsetunitsfluctuates
withthemarket.However,thepriceis
alsolargelydependentonthetypeof
abatementprojectfromwhichtheoffset
unitissoughtandwhetheritsupports
additional outcomes(co-benefits).
Independent validation
Independentvalidationandpublic
reportingensurestransparencyandrigour
aroundcarbonneutrality.Climate Active
certificationgenerallyrequiresthat
theemissionsinventoryorlifecycle
assessment,andpublicreportofa
certificationisindependentlyvalidated.
Thecostofthisvalidationthereforeshould
bebuiltintoconsiderationsofanyplanning
for carbonneutralityconsideration.
Image credit clockwise from top left: copyright Department of the Environment and Energy – Cullulleraine; copyright
Department of the Environment and Energy – Storm clouds gathering over Toowoomba; copyright Ross Hill Wines – Vineyard;
copyright Department of the Environment and Energy – Small Eucalypt seedling
19
Climate Active trade mark
OrganisationsthatachievecertificationareprovidedalicencetousetheClimate
Activetrademark.Thecertificationtrademarkprovidesalegitimateandvisual
stampofapproval.Itgivesthecommunityconfidencethatacarbonneutral
claimhasmetallrequirementsofarobuststandard.Formanybusinesses,
theClimateActivetrademarkhelpstopromoteproductsandservicesandis
anintegralpartoftheirmarketingstrategy.Thetrademarkcanbeappliedto
businessactivities,productsorservices,buildings,precincts,orevents.
Thecertificationtrademarkisatrustedsymbolforgenuineclaimsofcarbon
neutralityandpositiveactiononclimatechange.
Thetrademarkcanonlybeusedbyentitiesthathaveenteredintoalicence
agreement.Asetofrulesgovernshowandwhenit canbeused.
Readytobecertified?
Visitourwebsiteformoreinformationandtostartthecertificationprocess.
www.climateactive.org.au