Carbon Abatement Program
Carbon Abatement Program
Focus on In-Plant Abatement Projects
In FY23 we continued to develop our Carbon Abatement Program, with a focus on in-plant abatement projects with an internal price of greenhouse gas reduction set at $100 / t CO2-e per annum.
Early in-plant abatement projects will also remove emissions faster and for longer, with the aim of reducing Iona’s impact on climate change.
Our five step plan for emissions reduction is as follows:
- Monitor: We are improving the way we monitor and measure Iona’s GHG emissions.
- Screening studies: We will look for opportunities to abate at less than $100 / t CO2-e per annum.
- Rank and invest: Projects will be prioritised for potential investment, based on their impact and alignment with our strategic goals.
- Execute: Approved projects will be coordinated within our existing processes.
- Operate: Once the projects in step 4 are operational, GHG emissions impacts will be estimated and can be monitored, tracked and reported.
Emissions Profile
We calculate and report our Greenhouse Gas (GHG) emissions in accordance with the National Greenhouse and Energy Reporting Act 2007 (NGER) methodology.
Iona has an emissions profile that is Scope 1 dominant, i.e. emissions from direct consumption of hydrocarbons, with a small fraction of Scope 2 emissions. We are working to understand our Scope 3 emissions.
Importantly, Iona’s GHG emissions remain below the threshold for the Safeguard Mechanism. If our HUGS project proceeds, we expect only modest increases to Iona’s Scope 1 and Scope 2 emissions profile and for Iona to remain under the current Safeguard Mechanism threshold.
Responsibly Sourcing Offsets
During FY23, Lochard has been building knowledge regarding carbon offsets. The use of responsibly sourced and independently verified Carbon-Farming Initiative ACCUs is being investigated for the purposes of meeting the Net Zero goal where in-plant abatement is not viable.
The carbon offsets research has the following focus:
- prioritise high quality, independently vetted projects that produce Australian Carbon Credit Units;
- prioritise projects located in Australia; and
- have a strong preference for projects that are aligned with our purpose and strategy – for example, benefits to our local communities.