Date: February 11, 2021

Subject: ACR Policy Change for Methodologies Related to HFCs 

Background

The American Innovation and Manufacturing Act of 2020 (AIM), a part of the Consolidated Appropriation Act, 2021, was signed by President Trump on December 27, 2020. AIM authorizes the following:

-A phase down the production and consumption of HFCs through an allowance program.

-That the EPA establish standards for the management of HFCs used as refrigerants through recovery, reclamation and improved servicing, repair, and disposal practices.

-The creation of a three-year grant program for small businesses, allocating $5 million annually toward increasing recovery and reclamation of refrigerants at end of life.

-That the EPA establish sector-based use restrictions, facilitating the transition to next-generation technologies.

The AIM Act requires the Environmental Protection Agency (EPA) to implement a phase down of the production and consumption of HFCs in order to reach approximately 15% of their 2011-2013 average annual levels by 2036, consistent with the phase down schedule in the Kigali Amendment[1]. Per the HFC phase-down schedule of the Kigali Amendment, Non-A5 countries shall achieve a 40% reduction below 2011-2013 consumption by 2024[2]. On January 27, 2021 President Biden issued an executive order seeking U.S. Senate consent to ratify the Kigali Amendment to the Montreal Protocol.

ACR’s plans for addressing the impact of AIM on project crediting under three HFC-associated methodologies are described below. For additional information contact acr@winrock.org.

1. Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions Reductions and Removals from Certified Reclaimed HFC Refrigerants (v.1.1) 

ACR’s Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions Reductions and Removals from Certified HFC Refrigerants, has a single reporting period and a 10-year crediting period. In light of recent regulatory activity, effective immediately, ACR will:

-Suspend  listings  for project activities that have occurred in 2021. Project listings for which  the project activity occurred prior to December 27, 2020 will be accepted and eligible for the full crediting period. Please contact ACR regarding 2020 projects that are not already listed.

-Review the AIM Act, rollout schedule and other relevant data in consultation with stakeholders before making a final policy decision on an appropriate, conservative milestone for determining crediting and regulatory additionality.

2. Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions Reductions and Removals from the Transition to Advanced Refrigeration Systems

ACR’s Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse  Gas Emissions Reductions and Removals from the Transition to Advanced Refrigeration Systems credits the installation of new refrigeration systems that can use low or no GWP refrigerants such as ammonia, hydrocarbons and carbon dioxide in lieu of higher GWP HFC systems. Eligible sectors are large commercial refrigeration and stand-alone commercial refrigeration systems. The AIM Act of 2020 does not mandate the installation of advanced refrigeration systems, but it does require the phase down of the production and consumption of HFCs that are commonly used as refrigerants in the baseline. ACR’s Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions, Reductions and Removals from the Advanced Refrigeration Systems has a single reporting period and a 10-year crediting period.  In light of recent regulatory activity, effective immediately, ACR will:

-Suspend  listings for all project activities that have occurred in 2021.  Project listings for which  the project activity occurred prior to December 27, 2020 will be accepted and eligible for the full crediting period. Please contact ACR regarding 2020 projects that are not already listed.

-Review the baseline assumptions, practice-based performance standard, regulatory outlook for SNAP regulations and updated market assessments for potential methodological updates in consultation with stakeholders.

3.          Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions Reductions and Removals from the Transition to Advanced Formulation Blowing Agents in Foam Manufacturing and Use 

ACR’s Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions Reductions and Removals from the Transition to Advanced Formulation Blowing Agents in Foam Manufacturing and Use credits the use of a low GWP foam blowing agent (FBA) in lieu of an FBA with higher GWP. The AIM Act of 2020 requires the phase down of the production and consumption of HFCs that are commonly used as FBA in the baseline. ACR’s Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions Reductions and Removals from the Transition to Advanced Formulation Blowing Agents in Manufacturing and Use relies on a practice-based performance standard and a regulatory surplus test for the assessment of additionality. The practice-based performance standard references SNAP rules 20 and 21 as well as a market assessment completed in 2017. The methodology has a single reporting period and a 10-year crediting period.  In light of recent regulatory activity, effective immediately, ACR will:

-Suspend  listings  for all project activities that have occurred in 2021. Projects for which  the project activity occurred prior to December 27, 2020 will be accepted and eligible for the full crediting period. Please contact ACR regarding 2020 projects that are not already listed.

-Review the baseline assumptions, practice-based performance standard, regulatory outlook for SNAP regulations and updated market assessments for potential methodological updates in consultation with stakeholders.

[1] https://www.congress.gov/bill/116th-congress/house-bill/5544/text

[2] https://eia-international.org/wp-content/uploads/EIA-Kigali-Amendment-to-the-Montreal-Protocol-FINAL.pdf

Arlington VA, October 2, 2020 – The American Carbon Registry (ACR), a nonprofit enterprise of Winrock International, announces an open public comment period for updates to the ACR Standard v7.0, which details ACR’s requirements and specifications for the quantification, monitoring, reporting, verification, registration and issuance of project-based GHG emissions reductions and removals as carbon credits.

Key updates include the use of 100-year Global Warming Potentials (GWPs) from the IPCC 5th Assessment Report (AR5) to calculate emission reductions, requirements to avoiding double claiming between achievement of NDCs targets and voluntary offsetting, and addition of detailed procedures to avoid double counting in the CORSIA.

Please submit written comments via ACR@winrock.org by December 1, 2020.

ACR Standard v7.0 will go into effect January 1, 2021.

JULY 8, 2020 – The American Carbon Registry (ACR), a nonprofit enterprise of Winrock International, is soliciting public comments on an updated Methodology for Landfill Gas Destruction and Beneficial Use.

Under the existing published methodology, projects that reduce methane emissions as a result of specified combustion or beneficial use activities are eligible for crediting emission reductions.

Version 2.0 of the methodology adds as an eligible project activity the installation of an automated collection system that increases landfill gas collection efficiency above that obtained with standard collection methods with methane destruction, conversion, or enhancement.

Automated collection systems hold tremendous promise to increase the collection of methane from landfills through the use of automatic control and measurement devices that eliminate the need for standard manual wellfield tuning. When combined with cloud- based data collection and analysis tools, automated collection systems result in the ability to continuously optimize wellfield conditions resulting in significant increases in landfill gas collection efficiency.

Stakeholders are invited to review the methodology and submit comments to ACR@Winrock.org by August 7, 2020

APRIL 15, 2019: The American Carbon Registry (ACR), a nonprofit enterprise of Winrock International, announces an open public comment period for updates to the ACR Standard v6.0, which details ACR’s requirements and specifications for the quantification, monitoring, reporting, verification, registration and issuance of project-based GHG emissions reductions and removals as carbon offsets.

OCTOBER 17, 2018 – The American Carbon Registry (ACR), a nonprofit enterprise of Winrock International, is soliciting public comments on two methodologies:

• Updates to the Methodology for Avoided Conversion of Grasslands and Shrublands to Cropland Production (ACoGS). Proposed revisions to methodology v2.0 are to simplify use, better align with conservation programs, and reflect the latest trends in conversion.
• A new Methodology for Capturing and Destroying Methane from U.S. Coal and Trona Mines to quantify GHG emission reductions associated with the capture and destruction of methane that would otherwise be vented into the atmosphere as a result of mining operations at active underground and surface coal and trona mines and abandoned underground coal mines. Not only an important GHG mitigation activity, coal mine methane mitigation also contributes to mine safety initiatives and can increase the supply of a clean energy source when methane is recovered and used to produce electricity or heat.

Stakeholders are invited to review the methodologies and submit comments to ACR@Winrock.org by November 18, 2018.

OCTOBER 17, 2018 – The American Carbon Registry (ACR), a nonprofit enterprise of Winrock International, is soliciting public comments on two methodologies:

Updates to the Methodology for Avoided Conversion of Grasslands and Shrublands to Cropland Production (ACoGS). Proposed revisions to methodology v2.0 are to simplify use, better align with conservation programs, and reflect the latest trends in conversion.

A new Methodology for Capturing and Destroying Methane from U.S. Coal and Trona Mines to quantify GHG emission reductions associated with the capture and destruction of methane that would otherwise be vented into the atmosphere as a result of mining operations at active underground and surface coal and trona mines and abandoned underground coal mines. Not only an important GHG mitigation activity, coal mine methane mitigation also contributes to mine safety initiatives and can increase the supply of a clean energy source when methane is recovered and used to produce electricity or heat.Stakeholders are invited to review the methodologies and submit comments to ACR@Winrock.org by November 18, 2018.

MAY 25, 2018 – The American Carbon Registry (ACR), a nonprofit enterprise of Winrock International, announces the following:

Open public comment period for updates to the ACR Standard v5.0, which details ACR’s requirements and specifications for the quantification, monitoring, reporting, verification, registration and issuance of project-based GHG emissions reductions and removals as carbon offsets.

Publication of ACR’s Guidance for Carbon Project Development on Tribal Lands, which was developed in partnership with the Indian Lands Tenure Foundation to facilitate the validation, verification, and registration on ACR of carbon offset projects located on tribal land, including both lands held by tribal nations and those held by individuals.

FEBRUARY 1, 2018 – The American Carbon Registry (ACR), a nonprofit enterprise of Winrock International, is accepting stakeholder comments on the update of its Methodology for the Quantification, Monitoring, Reporting and Verification of Greenhouse Gas Emissions Reductions and Removals from Advanced Refrigeration Systems.

The Methodology, developed by Dentons US and EOS Climate in cooperation with Susan Wood Consulting and True Manufacturing, is intended to incentivize GHG emissions reductions through the deployment and use of advanced refrigeration systems in large commercial and stand-alone commercial refrigeration.

The Methodology updates including making advanced refrigeration systems a stand-alone methodology and expanding the stand-alone commercial refrigeration sector to include numerous equipment types. Additional changes have been made to clarify, revise, and add context to updates.

Please send comments to ACR@Winrock.org by March 5, 2018.