The Clean Energy Regulator, the Australian government's legislative body for reducing carbon emissions, has awarded 107 carbon abatement contracts worth $660 million, the regulator announced Thursday.
The carbon reduction contracts were awarded to 43 contractors with 144 projects promising to deliver a reduction in over 47 million tonnes of carbon emissions. The contracts were granted after the first auction was held on April 15 and 16.
The project targets greenhouse gas emissions arising from land regeneration and the capture of gases from agriculture and industry.
"The auction results show the emissions reduction fund has made a good start," said Chloe Munro, chair of the Clean Energy Regulator for the Australian government.
The average price for carbon abatement was $13.95 per tonne at the auction.
"The auction is a competitive process which allows us to choose the lowest priced abatement on offer," said Munro and added, "we are pleased with the level and mix of participation, and as expected saw a high number of bids from carbon farming projects."
"We anticipate commercial and industrial projects will become more prominent in future auctions, as additional methods continue to be released under the Emissions Reduction Fund," she said.
The next emissions reduction auction is expected later in the year.
Gokhan Yildiz
Anadolu Agency
gokhan.yildiz@aa.com.tr