2026-08-20 · 5 minute read

Climate Active is ending. Here's what actually happens to the work you paid for.

If your business is Climate Active certified, you've probably seen the news and filed it under “deal with it later.” Later is closer than it looks, and there's one date in the next few weeks that's worth ten minutes of your time.

What's actually been decided

More than you'd think, and less than some people are telling you.

The Department of Climate Change, Energy, the Environment and Water opened an eight-week consultation on 24 July. It closes at 5pm AEST on Friday 18 September. It puts two options forward: close the Climate Active program, or close it but keep some of the voluntary standards and guidance in place.

Read those options again: both of them end certification. The consultation isn't asking whether your certification survives. It's asking what, if anything, of the framework underneath it does.

What's genuinely still open is the transition: what happens to certifications mid-term, whether the standards continue in some voluntary form, and what carries over. A final decision and the transitional arrangements are due by the end of 2026, with certification ceasing 30 June 2027.

So: anyone telling you nothing is settled is behind. Anyone selling you a replacement badge today is ahead of a decision that hasn't been published.

The thing worth ten minutes

The consultation is open to anyone, including you. If you've paid for certification (arguably especially if you've paid for certification) you are exactly the party whose transition arrangements are being decided, and the submissions that land will be dominated by consultants and certification providers with a commercial interest in the outcome.

You don't need to write an essay. What's useful is the operator's view that nobody else can give: what you spent, what your customers actually did with the certification, and what you'd need for the transition not to waste it. Submissions go through the DCCEEW consultation page and close 18 September.

Then there's 31 October

Here's the date that catches people. If you report on a financial-year basis, your annual Climate Active report is still due 31 October (30 April for calendar-year reporters). The scheme is closing, but it hasn't closed, and the obligations of certification run until it does.

Which means a large number of Australian SMBs are about to spend several weeks chasing electricity bills, fuel records and travel data to compile a full year of emissions accounting, for a credential that expires eighteen months later.

That work is not wasted. But it will be, if the only place it ends up is a consultant's spreadsheet and a PDF certificate for a scheme that no longer exists.

What survives, and what doesn't

The badge doesn't survive. Neither does the claim that goes with it.

What survives is the underlying inventory: the activity data (kilowatt hours, litres, kilometres) and the emission factors applied to it. That is the part your customer, your tender panel, or your board was actually asking about. The certification was a wrapper that let you answer without showing your working. When the wrapper goes, you show your working.

So the practical question for any certified business right now isn't “which badge do I buy next?” It's “do I own my emissions data in a form I can hand to whoever asks, without paying someone to reassemble it every year?”

For a lot of certified SMBs the honest answer is no. The data exists, but it lives in a consultant's spreadsheet, in a format built for the scheme's reporting template, and reproducing it next year means paying for the same exercise again.

What to do between now and June 2027

Three things, in order, none of which require buying anything:

Get your last submission back in a usable form. You paid for that inventory. Ask your consultant or certification provider for the underlying activity data: the actual bills, volumes and distances, not just the summary report. If they'll only give you a PDF, that tells you something about who owns the asset.

Do the 31 October report in a system you keep. You're going to compile the data anyway. The only question is whether it lands somewhere you can reuse next year, or somewhere that expires with the scheme.

Find out what your customers will accept instead. This is the one people skip, and it's the one that matters. Whoever asked you for the certification in the first place is going to be asked what they'll accept now. Ask them early. The answer is usually “a credible emissions report with the methodology shown”, and it's usually less demanding than the certification you've been maintaining.

The uncomfortable part

Climate Active was closed partly because voluntary offset-based claims stopped carrying weight. The replacement, for most businesses, isn't another certificate. It's being able to show a measured number and where it came from.

That's a lower bar than certification in some ways and a higher one in others. Lower, because you don't need a scheme's approval. Higher, because you can't hide behind a logo. The number and its methodology are the claim.

Businesses that come out of this well will be the ones that stop treating emissions data as a compliance artefact they rent each year, and start treating it as something they own.

Disclosure: CarbonCut is carbon accounting software for Australian SMBs, which is a reason to be sceptical of the last two paragraphs. So here's the test: everything above is doable in a spreadsheet, and if your consultant hands back your activity data this week, do that instead. If you'd rather own it in a system built for the annual loop, here's how ours works.

Dates verified 18 August 2026 against DCCEEW and Climate Active. A final decision on transitional arrangements is due by the end of 2026 and may change the detail above.