Document ID: chunk:federal_register_of_legislation:F2017C00466:clause:2_6:p2
Version: federal_register_of_legislation:F2017C00466
Segment Type: clause
Provision Reference: sch 2 cl 6 (pt 2/3)
Character Range: 15203–17953

must have historical emissions intensity data that enables the baseline data to be calculated. The historical data is calculated for annual cycles that fall within the period of 7 years that ends on the baseline reference date. This is likely to coincide with the assessment day for measuring abatement, but it is not required to.
      The majority of the cattle must be in herds that have full historical data (data from 3 full years that are not more than 7 years before the first assessment year of the herd). The baseline emissions of such herds are calculated using the data from that herd only.
      The remainder of the herds of the project may have only partial historical data (data from 2 previous years). When calculating the baseline emissions of such a herd, a cap is imposed that is based on historical data from full data herds.
      To comply with this determination:
                   (a) for each herd, the business operation and its livestock inventory must be maintained separately from any others that are part of the project, and have continuity over time; and
                   (b) each herd must be managed separately and must not be pastured with herds not in a project except under an arm's length agistment agreement; and
                   (c) when cattle are moved to or from the herd (by moving them into or out of the livestock inventory):
                               (i) if it is not a transfer from or to a linked herd, it must be a purchase or sale at fair value; and
                               (ii) if it is a transfer from or to a linked herd it:  it must be for a genuine business purpose; it must be recorded as a transaction at fair value, with a statement of the business purpose; and there must be physical movement of the cattle.
      A project proponent with several herds may find it preferable to include all of them in the project, even if some are not expected to generate significant emission reductions, in order to allow joint pasturing and to simplify transfers from one herd to another.
      Herds with different assessment cycles
      The determination allows the project proponent to combine herds with different assessment days in a single project.
      The determination also allows each herd to have its own reporting cycle, providing a separate offsets report for each herd. However, it is not necessary to do this, even if the herds have different assessment days.  If the proponent has a single reporting cycle with the same reporting periods covering all herds, the offsets report for a reporting period must cover the abatement calculations for each herd with an assessment year that finishes during the reporting period.  The abatement is calculated for the whole of each