The Emissions Reduction Fund Auction has seen substantial returns upon its 12th edition, the Clean Energy Regulator has announced.
The Chair of the Clean Energy Regulator David Parker said the event had great returns, after $108 million worth of contracts were granted towards reduced emission projects.
Parker said the demand for Carbon Credits was also evident at the 12th auction.
“There is strong supply coming online to meet existing contracts and growing private demand for Australian carbon credit units,” he said.
Demand in Carbon Credits is only increasing, with the interest reaching a record 16 million units, an increase of 8 per cent from 2019.
This year the demand is set to result in a further supply of 17 million Carbon Credits in 2021.
New projects were also present at the auction with Orica receiving a contract for 3.4 million Carbon Credits to reduce emissions in its operations.
The Emission reduction Fund has allocated over $2 billion to projects reducing emissions and rural and regional areas, with more funding on the way.