1. How do I know if my company has to report under the scheme, am I notified by the government?
Within the next three years all companies which emit more than 50,000 tonnes of greenhouse gas, including emissions related to producing purchased electricity, or use or produce more than 200 terajoules of energy will be required to report under NGER.
In addition, if a company controls a facility which emits more than 25,000 tonnes of greenhouse gas or uses or produces more than 100 terajoules of energy, then they will also be required to report on this facility.
The government may not advise your company directly of its requirement to report under the scheme. The onus is on the company to ensure that it registers if it is over these thresholds.
An on-line calculator has been developed by the NGER scheme to assist companies work out their emissions and energy use. Alternatively Greenhouse Gas Solutions provides a cost-effective service to companies who wish to know where they stand currently. Please contact us for further information.
2. Are there any industry sectors excluded from reporting?
No. It appears that all sectors, including agriculture and waste treatment will be included.
Non energy greenhouse gas emissions from agriculture, land use, land use change and forestry activities will not be included until methodologies for reporting at the facility and corporation level are sufficiently developed.
3. We are in a joint venture with another company, do we both have to report on the same emissions?
To avoid the risk of double counting, corporations involved in a joint venture will be encouraged to nominate one corporation as the “responsible entity” for reporting under NGER. These nominations need to be in writing, provide details of the facilities covered by the joint venture and be signed by the CEO of the responsible entity.
4. How is the transport sector being covered given that there is often no single “facility” associated with emissions in this area? What about international flights and voyages?
Emissions associated with a fleet of cars, trucks, ships or planes will be attributed to a single location within each state. International voyages and flights need to be recorded and reported separately.
5. I lease a lot of my equipment and premises – does that mean I don’t have to worry about emissions from these assets?
No. The test for whether or not you have to report under NGER is not based on ownership of an asset it is whether or not you have overall control of that asset. There are various tests as to whether your company’s arrangements fall under the scope of overall control. Generally a corporation is considered to have overall control over a facility if it has the authority to introduce and implement the operating, health and/or safety and environmental policies for the facility. Only one corporation can have overall control of a facility at one time.
6. Will there be anyone checking on what we report?
Yes, there will be a system of auditing set up under the scheme whereby audits will be undertaken by third-parties to check on the accuracy of the data supplied.
7. What format will the reporting take?
Reporting will be done using an on-line system called the Online System for Comprehensive Reporting (OSCAR).
8. Is there going to be information sessions or training available?
It is likely that there will be training in use of OSCAR. In the interim, Greenhouse Gas Solutions can assist companies evaluate what they need to do to prepare for this scheme. Click here for more information.
9. What happens if we just ignore this? Will we get fined?
The legislation allows for both civil penalties and the imposition of fines. In addition, certain breaches of the legislation could lead to criminal prosecutions. There are also specific provisions that, in certain circumstances, place civil liability on the Chief Executive Officer of companies which are in breach of the legislation. We therefore would recommend all company directors and chief executive officers become familiar with their obligations under this scheme, work out if they need to report and establish appropriate procedures to make this happen.
If you have other questions about how you may be impacted by the scheme please contact us.
Click here if you wish to access the NGER website directly.
