CFI advice and opportunities from the NLMP

Summary

This was a consulting role as part of the National Livestock Methane Program funded by the Department of Agriculture and coordinated by MLA.
The Consultant worked with a red meat processor and two designated WA agricultural consulting groups to better understand how an Emissions Reduction Fund (ERF) aggregation platform may work for the benefit of cattle and sheep producers.
The business cases provide generic information to support a decision on whether to pursue the development of an ERF aggregation platform that might be useful to red meat (livestock) producers in terms of accessing the ERF, and commercially feasible for an aggregator.
Two Emissions Reduction Fund Aggregation Case Studies:
B.CCH.6134 - Emissions Reduction Fund project aggregation by meat processors
This short report outlines the opportunities available to processors to participate in the Emissions Reduction Fund (ERF) as aggregators working with cattle producers across their supply chain. Aggregation under the ERF refers to the process by which emission reduction activities are brought together in order to create economies of scale, overcome high transaction costs and manage performance risk.
In order to provide processors with an overall sense of the revenue potential of ERF project aggregation, we performed modeling that assumed participating producers across QLD and NSW were each able to reduce their emissions intensity by approximately 10%, resulting in emissions reductions of between 100 and 140 tCO2e per farm per year. By assuming that 25% of cattle passing through two representative processing facilities were sourced from 'low emission' producers, we estimate that approximately 300,000 carbon credits would be aggregated over the seven year crediting period of the ERF project.
Based on this analysis, the report suggests there may be opportunities for processors to act as aggregators under the ERF; using the 'herd management' method to quantify methane reductions achieved via on-farm productivity improvements. The report provides some high level suggestions as to how processors may structure their aggregation initiatives to incentivise participation by livestock producers in their supply chains.

B.CCH.6134 - Emissions Reduction Fund project aggregation by Farm Consultants
This short report outlines the opportunities available to Farm Consultants (Consultants) specialised in sheep production to participate in the Emissions Reduction Fund (ERF) as aggregators working with their client producers.