Policy and Capital Alignment Narrative- CEWT/Carbon recycling Technology

Policy and Capital Alignment Narrative – CEWT / Carbon Recycling Technology (CRT) Australia’s energy transition has entered a new phase in which delivery, not aspiration, is the defining test. Policymakers increasingly recognise that achieving net-zero objectives at scale cannot be realised through public funding or policy instruments alone, but requires the systematic mobilisation of private capital into bankable, confidence-preserving infrastructure. This shift is reflected in contemporary sustainable-finance thinking, where private capital is now explicitly integrated into policy frameworks as a critical enabler of transition delivery, alongside the need for partnership models that maintain market confidence and international competitiveness . In this context, governments are no longer seeking isolated technology pilots or intermittent solutions, but commercially investable systems capable of underpinning long-term industrial, electricity, and export competitiveness. Clean Energy and Water Technologies Pty Ltd (CEWT)’s Carbon Recycling Technology (CRT) is directly aligned with this policy evolution. CRT is designed as infrastructure-grade, zero-emission energy capacity, not as an offset mechanism, voluntary abatement project, or subsidy-dependent concept. By combining proven combined-cycle power generation, carbon capture, and closed-loop carbon conversion using renewable hydrogen, CRT delivers dispatchable, baseload electricity and renewable fuels while progressively eliminating fossil-carbon dependency from the system. Critically, CRT is structured to meet the requirements of private capital participation: • Long-life assets using established industrial equipment • Predictable revenue streams from firm power and fuel substitution • Clear system boundaries that enable credible carbon accounting • Compatibility with blended finance models involving concessional public capital and commercial debt and equity In this way, CRT does not rely on policy support to substitute for market discipline; rather, it operationalises policy intent by translating climate objectives into bankable infrastructure capable of attracting institutional capital at scale. Public funding, where applied, acts as a catalyst for risk reduction, not as the primary driver of project viability. Accordingly, CEWT’s CRT projects represent the class of transition investments now explicitly recognised by policymakers as essential: projects that preserve energy security, maintain competitiveness, and enable private capital to participate confidently in the delivery of net-zero outcomes.

Carbon Credit

CEWT Policy Note CRT-Specific Article 6 Authorisation Roadmap Purpose This policy note sets out a Carbon Recycling Technology (CRT)–specific roadmap for engagement under Article 6 of the Paris Agreement, aligned with the Article 6.4 Guidance (2025). The roadmap is designed to support host-country decision making, protect Nationally Determined Contribution (NDC) ambition, and enable progressive monetisation of high-integrity mitigation outcomes. Core Principle CRT is positioned as conditional-NDC infrastructure delivering baseload zero-emission energy through closed-loop carbon recycling. It is introduced through a staged authorisation pathway that prioritises national integrity, learning, and system confidence before international transfer. Phase 0 – National Positioning CRT is framed as a structural decarbonisation system rather than an offset activity. It supports conditional NDC achievement, long-term net-zero strategies, and energy security, without drawing on unconditional NDC targets. Phase 1 – Article 6.4 Activity Approval The host country approves CRT as an Article 6.4 activity under the Paris Agreement Crediting Mechanism. At this stage, no international transfer occurs and no corresponding adjustments apply. Phase 2 – Mitigation Contribution Units (MCUs) CRT-generated mitigation outcomes are issued as MCUs for domestic use, voluntary cancellation, or results-based climate finance. This phase enables early value creation while remaining NDC-neutral. Phase 3 – Partial Authorisation of A6.4ERs Following verified performance and demonstrated fossil fuel displacement, the host country may authorise a limited volume of A6.4ERs for specific international purposes. Corresponding adjustments apply only to the authorised share. Phase 4 – Full A6.4ER Authorisation CRT is recognised as conditional-NDC infrastructure, enabling full authorisation of A6.4ERs for international transfer as ITMOs, supporting buyer NDCs and compliance mechanisms such as CORSIA. Phase 5 – Policy and Sectoral Scaling CRT becomes eligible for inclusion in positive lists, sectoral or policy crediting approaches, supporting national-scale baseload decarbonisation. Conclusion This staged roadmap aligns with Article 6.4 best practice by avoiding overselling, safeguarding environmental integrity, and enabling host countries to progressively unlock international value from transformative infrastructure.