AND SO IT WAS… Coalition Wins 2019 Election. Carbon Farming and Carbon Trade set to Continue and Grow
May 20, 2019 Louisa Kiely
The results are in – A narrow Coalition win or minority Government.
Now let’s get on with it.
Carbon Farming for Trade is an established business that will grow whoever is in power. The worldwide issues around Climate Change and the win/win of Carbon Farming and Regenerative Farming will ensure this result.
So, what are the Coalition Election Promises for Carbon Farming and Trade?
- The Coalition is committed to meeting the Paris Climate Targets of reducing Australian emissions by 26 per cent on 2005 levels by 2030
- ‘Carry over’ Kyoto Units from the previous period will be used, reducing the amount of Australian Carbon Credits (ACCU’s) required to meet the Target.
- However, the ‘Secondary’ or ‘Voluntary’ markets for ACCU’s may increase. Why? Because any company with shareholders must show they are acting on the ‘known’ risk of climate change – or face retribution from shareholders.
This demand is smaller, but more interested in the ‘co-benefits’ that Units such as Soil Carbon can deliver. They want the good news story of lowering drought risk, feeding people, and ultimately stopping losses of top soil. Therefore they are willing to pay higher prices for these credits.
What about Carbon Farming Commitments that the Coalition announced for the Agriculture and Carbon Farming Sector during the election campaign?
1. A ‘CLIMATE CHANGE SOLUTIONS FUND’ – an extension of the existing Emissions Reduction Fund (ERF)
Much of this is earmarked for the Snowy River Hydro system, but the ERF is promised $200m/year over 10 years to meet the Paris target.
WHAT DOES THIS MEAN?
- The ERF Fund continues – Soil Carbon, Vegetation Methods and Projects all established and will continue – No slowing down.
- Potentially still 2 auctions per year for winning Government contracts to reduce emissions and sequester carbon. Plus access Secondary Markets
- It is unclear what it means for new/improved methods.
- It is unclear what it means for the ‘safeguard mechanism’ which assists to add Demand into the System as polluters need to pay for emissions over a certain level.
2. A ‘BIODIVERSITY STEWARDSHIP FUND’
Targeting ‘Family farmers’ This $30 Million ‘pilot’ (which had bi-partisan support) will trial methods of payments to private land managers who improve the landscape or capture carbon on their property.
“This is aimed at family farmers,” Mr Littleproud has said.
According to current information, a ‘methodology’ to measure outcomes on farmland will be developed in consultation with Australian National University and agricultural stakeholder groups.
Mr Littleproud also announced an extra $4m on top of the $30m for the stewardship fund, to develop an ‘internationally recognised’ biodiversity certification scheme to help farmers capture value by promoting their sustainability credentials of their produce in domestic and international markets.
WHAT DOES THIS MEAN?
Carbon Farmers of Australia has seen the need for a ‘wider’ Carbon Farming Certification scheme for some time.
The ERF methods are great for some, as they lead to a very robust credit with increasing value, but Agriculture is not a ‘one size fits all’ industry. What about those outside a current ERF method? But doing great things. They should also be rewarded.
Many in Agriculture are engaging in strong Measurement/Monitoring and Evaluation systems, which currently can lead to Brand Recognition, but not an International ‘certification’ which would better monetize their efforts. See Land to Market for an excellent example.
This is why Carbon Farmers of Australia is developing the ‘Carbon Farming Protocol’. This certification protocol is based on Internationally agreed Greenhouse Gas Accounting principles. It’s a ‘whole of farm’ approach – allowing multiple ‘methods’ to be certified, without having to go through the ERF method development phase.
We’ll unveil this exciting and unique concept at the conference – so, go forth and Register!
Meanwhile, I’ve got a minister to door-knock!!
Groups of 5 or more receive discount registration at the National Carbon Farming Conference & Expo.
The National Carbon Cocky Awards are now open! Who do you want to see rewarded?