Our department’s response to Coronavirus (COVID-19)
See Australia.gov.au for whole of Australian Government COVID-19 advice.
- Policies and initiatives
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- Increasing international collaboration
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- Applying to export rough diamonds
- Applying to export uranium and controlled ores
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- Regulating offshore oil and gas in Australian Commonwealth waters
- Regulating the Ranger Uranium Mine
- Taxes and royalties on minerals and petroleum
Measurement
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Business support
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Emissions reduction
Industry innovation and science
- Australian Square Kilometre Array Fellowships Programme
- Business Research and Innovation Initiative
- Business-research collaboration
- Collaborating with Asia-Pacific on science, research and innovation
- Collaborating with China on science and research
- Collaborating with India on science and research
- Cooperative research centres
- Enabling international space investment
- Industry 4.0
- Inspiring Australia: Science engagement in Australia
- International research collaboration
- Moon to Mars: opportunities for Australian businesses
- Prime Minister's Prizes for Science
- Research and Development Tax Incentive
- Supporting advanced manufacturing
- Supporting business and innovation
- Supporting space infrastructure growth
- Transitioning Australia’s automotive manufacturing industry
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- Anti-Dumping Review Panel
- Australian Radioactive Waste Agency
- Australian SKA Office
- Australian Space Agency
- Critical Minerals Facilitation Office
- National Measurement Institute
- Office of Innovation and Science Australia
- Office of Northern Australia
- Office of the Chief Economist
- Office of the Chief Scientist
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- Annual report
- Assurance and Audit Committee
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- Grants reporting
- Information Publication Scheme
- Our contracts
- Privacy impact assessments
- Public interest disclosure
- Senate Order 15: portfolio appointments and vacancies
Our online presence
Contact
- Publications
- News
- Policies and initiatives
Emissions reduction
Industry innovation and science
- Artificial intelligence
- Australian Radioactive Waste Agency
- Australian Space Agency
- Boosting innovation and science
- Co-hosting the Square Kilometre Array
- Increasing international collaboration
- Industry growth centres
- Industry Innovation and Science Australia
- National Measurement Institute
- Optical astronomy in Australia
- Participating in the digital economy
- Promoting innovation precincts
- Science in our department
- Science, technology, engineering and mathematics (STEM)
Energy
Resources
Northern Australia
Trade
Business support
Measurement services
Government to government services
- Regulations and standards
Emissions reduction
Energy
Resources
- Applying to export rough diamonds
- Applying to export uranium and controlled ores
- Offshore mineral exploration and mining
- Offshore oil and gas exploration and development
- Offshore petroleum exploration acreage release process
- Regulating offshore oil and gas in Australian Commonwealth waters
- Regulating the Ranger Uranium Mine
- Taxes and royalties on minerals and petroleum
Measurement
Trade
Space industry
Building industry
Business support
- Funding and incentives
Emissions reduction
Industry innovation and science
- Australian Square Kilometre Array Fellowships Programme
- Business Research and Innovation Initiative
- Business-research collaboration
- Collaborating with Asia-Pacific on science, research and innovation
- Collaborating with China on science and research
- Collaborating with India on science and research
- Cooperative research centres
- Enabling international space investment
- Industry 4.0
- Inspiring Australia: Science engagement in Australia
- International research collaboration
- Moon to Mars: opportunities for Australian businesses
- Prime Minister's Prizes for Science
- Research and Development Tax Incentive
- Supporting advanced manufacturing
- Supporting business and innovation
- Supporting space infrastructure growth
- Transitioning Australia’s automotive manufacturing industry
- Venture capital
Resources
- About us
COVID-19
Jobs
Who we are
- Our Ministers
- Our Executive team
- Organisation chart
- Our portfolio agencies
- Overseas engagement
- Anti-Dumping Commission
- Anti-Dumping Review Panel
- Australian Radioactive Waste Agency
- Australian SKA Office
- Australian Space Agency
- Critical Minerals Facilitation Office
- National Measurement Institute
- Office of Innovation and Science Australia
- Office of Northern Australia
- Office of the Chief Economist
- Office of the Chief Scientist
Who we work with
Reporting and accountability
- Annual report
- Assurance and Audit Committee
- Budget statements
- Campaign Certification Statements
- Continuing Order of the Senate
- Corporate plan
- Deregulation agenda
- Freedom of information
- Gifts and benefits register
- Grants reporting
- Information Publication Scheme
- Our contracts
- Privacy impact assessments
- Public interest disclosure
- Senate Order 15: portfolio appointments and vacancies
Our online presence
Contact
- Publications
- News
On this page
Safeguard Mechanism
Our department is the policy lead for the Safeguard Mechanism. The Safeguard Mechanism requires Australia’s largest greenhouse gas emitters to keep their net emissions below an emissions limit (a baseline).
The Safeguard Mechanism builds on the National Greenhouse and Energy Reporting scheme’s reporting and record keeping requirements.
Together, the National Greenhouse and Energy Reporting scheme and the Safeguard Mechanism help businesses to measure, report and manage their emissions.
Baselines support business growth and allow businesses to continue normal operations, while encouraging lower emissions production.
See the National Greenhouse and Energy Reporting (Safeguard Mechanism) Rule 2015 (the Safeguard Rule).
The Clean Energy Regulator administers the National Greenhouse and Energy Reporting scheme and the Safeguard Mechanism. The Regulator publishes information like:
- obligations and deadlines
- names of facilities
- baseline emissions numbers
- the amount of covered emissions
- the number of Australian Carbon Credit Units surrendered for compliance purposes
Facilities required to register
The Safeguard Mechanism covers around half of Australia’s emissions, which mainly come from:
- mining
- electricity
- oil and gas production
- manufacturing
- transport
- waste facilities
The Safeguard Mechanism applies to facilities emitting more than 100,000 tonnes of carbon dioxide equivalent per year.
The responsible emitter who has operational control of the facility must ensure the facility’s net emissions do not exceed the baseline determined by the Regulator.
Read the definitions of a facility and operational control on the Regulator’s website.
Read how the Regulator sets baselines, how facilities can manage excess emissions and about the Regulator’s discretionary options to deter noncompliance on the Regulator’s website.
Changes in response to the 2017 review
A 2017 review of the Australian Government’s climate change policies recommended amending the Safeguard Mechanism to make it simpler and fairer.
The Safeguard Mechanism was amended in March 2019 to bring baselines up-to-date and allow them to keep pace with business growth. These amendments give facilities the option to use published production variables and industry default emissions intensity values in baseline applications.
The Safeguard Rule was amended by the National Greenhouse and Energy Reporting (Safeguard Mechanism) Amendment (Additional Prescribed Production Variables) Rule 2020 in October 2020 to:
- include additional prescribed production variables and default emissions intensity values
- update default emissions intensity values that apply from the 2020-21 compliance year
For changes in the Safeguard Rule see:
- Compilation 5 of the Rule for default emissions intensity values that apply to the 2019-20 compliance year.
- Compilation 6 (and any later compilation) of the Rule for default emissions intensity values that apply to the 2020-21 compliance year and later.
The Safeguard Mechanism document defines published production variables. It also provides guidance for facilities who want to calculate site-specific emissions-intensity values .
Changes in response to the COVID-19 pandemic
The Safeguard Mechanism was amended in May 2020 to address the impacts of the COVID-19 pandemic. In response to the significant and widespread workforce disruptions at covered facilities, a number of administrative timing changes were made. These maintain the integrity and accuracy of baseline applications.
The National Greenhouse and Energy Reporting (Safeguard Mechanism) Amendment (Extended Transition) Rule 2020 started on 12 May 2020.
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The Emissions Reduction Fund encourages businesses to adopt smarter practices to cut their greenhouse gas emissions.
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Last updated: 2 February 2021
Content ID: 67329