Which sectors are approved for the CCTS offset mechanism in phase 1 and phase 2?
BEE's September 2024 memorandum lists six phase 1 sectors: energy, industries, waste handling and disposal, agriculture, forestry and transport. Phase 2 adds four more: construction, fugitive emissions, solvent use, and carbon capture, utilisation and storage, making ten sectors in all.
Phase 1 sectors and the example technologies BEE gives
- Energy: green hydrogen by electrolysis or from biomass, renewable energy with storage, offshore wind, compressed biogas, a more efficient lime kiln.
- Industries: green ammonia use, feed switch in integrated ammonia-urea plants.
- Waste handling and disposal: biochar, landfill gas capture.
- Agriculture: systematic rice intensification, biochar, agroforestry.
- Forestry: afforestation, institutional forestry.
- Transport: modal shift, electric vehicles and buses.
Phase 2 examples
- Construction: limestone calcined clay cement (LC3).
- Fugitive emissions, from fuels and from industrial gases: CF4 reduction in semiconductor plants, recovery and use of gas from oil fields.
- Solvent use: no example technology listed.
- Carbon capture, utilisation and storage, and other removals: post-combustion CCS.
A sector is not a methodology
A project also needs an approved methodology. BEE's list had 12 methodologies on 7 July 2026, so many technologies named above still have no method to register under.
What Senseible does here
Senseible reads the invoices behind energy and fuel projects; it does not decide sector eligibility.
Sources: BEE Office Memorandum No. 45/02/NMEEE/Energy Efficiency-CCTS/2024, Approved Sectors in Offset Mechanism (20 September 2024), BEE, Detailed Procedure for Offset Mechanism under CCTS, Version 1.0 (effective 27 March 2025), BEE, Methodologies and Tools under Offset Mechanism (list updated 7 July 2026)
Last reviewed 2026-10-23.