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LED Panel Light

Commercial and Public LED Flat Lighting

Feb 17, 2016

Background: Commercial and Public LED Flat Lighting

Improving the energy performance of commercial and public LED Flat Lighting systems by upgrading existing LED Flat Lighting systems can reduce emissions associated with the generation of electricity consumed in buildings and public spaces. The draft Determination is intended to apply to LED Flat Lighting upgrades undertaken in commercial and industrial buildings, as well as LED Flat Lighting upgrades to public areas, such as pedestrian, street and traffic LED Flat Lighting. 

LED Flat Lighting systems

Most greenhouse gas emissions generated by LED Flat Lighting systems are indirect, primarily emissions from electricity that is consumed by the LED Flat Lighting systems (scope 2 emissions). LED Flat Lighting systems that generate direct (scope 1) emissions, through the provision of LED Flat Lighting using direct fuel combustion (for example, gas LED Flat Lighting), are not considered under this draft Determination.  
For this draft Determination, the upgrading of a LED Flat Lighting system involves the modification, installation, removal or replacement of LED Flat Lighting equipment within an existing LED Flat Lighting system for the purpose of decreasing energy usage of that system as a whole. Examples of activities that may contribute to emissions reductions under the draft Determination include modifying, installing, removing or replacing: 
illumination equipment (such as lamps and ballasts);
LED Flat Lighting control systems (such as motion sensors, sensor LED Flat Lights, programmable and manual dimmers), which affect the way LED Flat Lighting systems consume energy; and
equipment that generates electricity for direct use by the LED Flat Lighting systems (such as integrated photovoltaic luminaire units).
The draft Determination would provide for LED Flat Lighting upgrades in multiple buildings or public spaces to be included in a single LED Flat Lighting upgrade project. The draft Determination does not specify the particular activities that would need to be undertaken or products to be installed, providing flexibility for project proponents to determine what activities or technologies are most appropriate for each upgrade.
The energy consumption of commercial LED Flat Lighting systems can be estimated using the nominal lamp power (NLP) of each lamp or luminaire and taking into account deemed values or adjustment factors for lamp type, control gear, hours of operation for the LED Flat Lighting space type, LED Flat Lighting control devices and air conditioning where applicable. The draft Determination makes use of NLP and these deemed values/adjustment factors to establish baseline emissions for the LED Flat Lighting system. The baseline emissions are then compared to project emissions to quantify emissions reductions and energy savings from activities undertaken as part of the LED Flat Lighting upgrade project. 
An additional option is included to allow a public LED Flat Lighting project, should the proponent choose to do so, to use information and data contained in the public LED Flat Lighting inventory and the National Electricity Market Load Tables for Unmetered Connection Points published by the Australian Energy Market Operator in calculating the baseline and project emissions.  This option has been provided to align with current reporting and record keeping practices in the public LED Flat Lighting sector.
Project proponents could include owners, operators or tenants of commercial and industrial buildings, local and state governments, electricity companies, LED Flat Lighting manufacturers/suppliers and other LED Flat Lighting project aggregators.
The draft Determination is based on a similar method under the New South Wales Energy Savings Scheme (ESS). In line with advice from stakeholders, the Department has sought to maintain consistency with the New South Wales method. There remain however some differences between the New South Wales method and the draft method due to differences in overall scheme design and coverage.


Application of the draft Determination
The draft Determination sets out the detailed rules for implementing and monitoring offsets projects that reduce greenhouse gas emissions associated with LED Flat Lighting upgrades to existing commercial and public LED Flat Lighting systems. These rules have been designed to help ensure that emissions reductions are real and additional to business as usual.
Project proponents wishing to implement projects under the draft Determination, once it is made, must make an application to the Regulator under section 22 of the Act. They must also meet the general eligibility requirements for an offsets project set out in subsection 27(4) of the Act, which include compliance with the requirements set out in the draft Determination, and the additionality requirements in subsection 27(4A) of the Act. The additionality requirements are:
the newness requirement; 
the regulatory additionality requirement; and
the government program requirement.
Subsection 27(4A) of the Act provides that a methodology determination may specify requirements in lieu of the newness requirement or the regulatory additionality requirement. The draft Determination does not specify any requirements in lieu, and so the general requirements apply to high efficiency commercial appliances projects.
LED Flat Lighting

Public consultation
The draft Determination has been developed by the Department of the Environment and has been reviewed by a stakeholder group which met on 3 February 2015. The stakeholder group comprised representatives from industry, experts from the energy efficiency sector and the Regulator.
The exposure draft of the Determination has been published on the Department’s website for public consultation from 17 March 2015 to 14 April 2015. Details for how to make a submission are provided on the Department of the Environment website, www.environment.gov.au.


Draft Determination details
The draft Determination will be a legislative instrument within the meaning of the Legislative Instruments Act 2003.
Details of the draft Determination are at Attachment A. 


Note on this explanatory statement
Numbered sections in this explanatory statement align with the relevant sections of the draft Determination.
Definitions for terms which are LED highlighted in bold italics can be found in the draft Determination.