Accordingly, The Reduction in Emissions

ANAO Report No.11 2014–15 The Award of Grants under the Clean Technology Program 92 contribution of these indicators to the merit criterion one score was dictated by the weightings provided in Table 4.1. Table 4.1: Weightings for merit criterion one Performance indicator used in scoring as detailed in the procedures manual Weighting Maximum score for indicator Predicted reduction in carbon emissions intensity following project implementation indicator one 60 42 Dollars of grant funding requested per tonne of carbon abated 40 28 Total 100 70 Source: ANAO analysis of the procedures manual.

4.6 In

June 2014, the department advised ANAO that the second indicator listed in the customer guidelines was assessed using grant funds per tonne of carbon abated, rather than total carbon savings over the life of the conservation measure, because: The dollars per tonne calculation was simply a tool that allowed us to compare and consistently score total carbon savings over the life of the project. In the absence of this tool it would not be possible to objectively measure performance in terms of total carbon savings. Carbon savings varied enormously across applications depending on the size of the project and the nature of the emission reduction measure, ranging from 1064 kilotonnes to 0.35 kilotonnes.

4.7 This

methodology was approved by the manufacturing policy area of the department in November 2011 and was based on advice from the Department of Climate Change and Energy Efficiency DCCEE, the Department of Resources, Energy and Tourism, Low Carbon Australia and IA. The department advised ANAO in November 2014 that the customer guidelines were cleared in February 2012 by the then AusIndustry General Manager responsible for the programs after being reviewed by DCCEE and IA. However, the department was unable to identify to ANAO who made the decision not to include the fiscal cost of abatement in the customer guidelines . Percentage reduction in carbon emissions intensity

4.8 The

reduction in carbon emissions intensity is the predicted change in the tonnes of greenhouse gases emitted for each unit of output produced by a manufacturer once the proposed emissions reduction measure has been not ANAO Report No.11 2014–15 The Award of Grants under the Clean Technology Program