Bill Debate · Second Reading

Carbon Credits and Other Legislation Amendment (Integrity and Transparency) Bill 2026; Second Reading

House of Representatives · Tuesday 13 October 2026

Continued from Thursday 17 September 2026.

Official Hansard for this day (APH) · Read this debate on OpenAustralia

At a glance

The debate centred on reforms to the Australian Carbon Credit Unit Scheme, focusing on strengthening integrity, enhancing First Nations consent rights, and updating governance structures. Government members argued the bill addresses recommendations from independent reviews, protects traditional owners through upfront consent processes, and maintains market confidence by separating regulation from purchasing. Opposition and independent members raised concerns about increased bureaucracy for developers and farmers, the removal of the least-cost purchasing test, and insufficient safeguards against overcrediting or methane underreporting. The debate was interrupted before a vote was recorded.

Outcome

The debate was interrupted before a conclusion was reached.

Summary in reported speech - not a transcript. AI-generated, so check the official record before quoting.

How the debate unfolded

Continued the debate

Zaneta Mascarenhas (Swan) (Australian Labor Party) ALP

Mascarenhas supported the bill, arguing it strengthens the integrity of the carbon credit scheme and ensures genuine free, prior and informed consent for traditional owners. Mascarenhas highlighted that the legislation replaces conditional registration with a two-stage consent process, requiring approval before project registration and credit issuance. Mascarenhas noted the establishment of the Carbon Abatement Integrity Committee, which must include Aboriginal or Torres Strait Islander representation, and the shift from least-cost to value-for-money purchasing principles. Mascarenhas emphasised that the safeguard mechanism drives demand for credits, supporting ranger jobs and emissions reductions, and criticised the opposition's commitment to abolish it.

Opposition response

Michael McCormack (Riverina) (National Party) Nationals

McCormack opposed the bill, characterising it as flawed and regressive, particularly regarding its expansion of native title requirements and removal of the least-cost financial test. McCormack argued that requiring consent from registered native title claimants, rather than holders, would create legal uncertainty and bureaucratic hurdles for developers and farmers. McCormack expressed concern that these changes would exacerbate the housing crisis and hinder agricultural productivity by adding red tape. McCormack also criticised the opaque value-for-money purchasing test, arguing it could lead to expensive government purchases without clear financial accountability.

Madonna Jarrett (Brisbane) (Australian Labor Party) ALP support

Jarrett supported the bill, stating it builds trust in the carbon market by ensuring credits represent genuine emissions reductions. Jarrett highlighted reforms that separate regulatory functions from government purchasing and strengthen oversight through the new integrity committee. Jarrett argued that the bill balances certainty for investors with accountability, including powers to correct overcrediting and support innovation in emissions reduction methods.
Zali Steggall (Warringah) (Independent) Ind mixed

Steggall welcomed reforms regarding native title consent and the separation of purchasing from regulation but raised concerns about the scheme's overall integrity. Steggall argued that the proposed integrity committee needs greater scientific capacity and independence to challenge method assumptions effectively. Steggall called for stronger safeguards against conflicts of interest and better monitoring of methane emissions, warning that carbon credits should not justify continued fossil fuel expansion.
Libby Coker (Corangamite) (Australian Labor Party) ALP support

Coker supported the bill, noting it responds to independent reviews and strengthens oversight of carbon credits. Coker emphasised the benefits for regional communities, including diversified income for farmers and recognition of First Nations rights through upfront consent processes. Coker highlighted the introduction of method transition declarations as a safeguard against integrity risks while maintaining certainty for legitimate projects.
Helen Haines (Indi) (Independent) Ind support

Haines supported the bill, acknowledging it improves transparency and integrity based on evidence from independent reviews. Haines noted the shift to upfront consent for native title holders and the enhanced role of the integrity committee. Haines raised concerns about the potential impact of low-integrity methods on agricultural productivity and food security, supporting amendments to ensure these risks are considered in method transition decisions.
David Moncrieff (Hughes) (Australian Labor Party) ALP support

Moncrieff supported the bill, arguing it strengthens a high-integrity carbon market that delivers economic and social benefits. Moncrieff highlighted the scheme's role in supporting First Nations communities through cultural fire practices and providing income diversification for farmers. Moncrieff also noted amendments to the new vehicle efficiency standards that correct drafting anomalies, providing regulatory certainty for the automotive industry.

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First speaker today

Zaneta Mascarenhas (Swan) (Australian Labor Party)

ALP

Bill

Carbon Credits and Other Legislation Amendment (Integrity and Transparency) Bill 2026

Speeches

7 speeches, 5 other contributors

Topics

Agriculture First Nations Integrity & Parliament

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About House of Representatives debates

The House of Representatives debates bills, motions and matters of public importance in its main chamber. Members from all parties can take part, and the responsible minister usually replies for the government. Summaries are in reported speech, not transcripts; always check the official record before quoting.