[Pil-pc-oceania] Easy being green; profiting from the carbon market (courtesy Farmonline)

[Deb Guildner]

      Breaking Rural News : AGRIBUSINESS AND GENERAL

     Easy being green; profiting from the carbon market
      By MARIUS CUMING - Australia
      Thursday, 8 November 2007

      Farmers are becoming more resource managers and less primary 
producers.
      With markets for carbon, energy and even environmental stewardship 
opening up, significant benefits are being seen for farmers across the 
country.

      Director of The Climate Institute and western Victorian farmer, Mark 
Wootton, said farming had a very good story to tell in the carbon cycle.

      "Working with farming organisations and the Conservation Foundation we 
have calculated there is $2.93 billion presently out there under various 
energy, carbon and environmental schemes and there are great opportunities 
out there for farmers to take advantage of the present global warming issue 
and be a part of the solution," Mr Wootton said.

      Part of the figure is a $300 million per year wind farm revenue, but 
Mr Wootton said in the future it should also be farmers generating the 
energy themselves, not just taking lease payments from wind companies.

      Meanwhile, CarbonSMART is a Landcare initiative that acts as a carbon 
broker, linking businesses that want to minimise their emissions with 
farmers who wish to sequester or set aside carbon through vegetation.

      CarbonSmart project officer, Rob Youl, has calculated that in some 
circumstances farmers can be paid almost as much for managing the land per 
hectare as for producing a commodity.

      "Let's look at a high rainfall beef producer in a 1000-1200mm rainfall 
zone, making $300 per hectare per year," he said.

      "With the right bush tender or stewardship program and being paid $18 
per tonne of carbon in vegetation every year, I reckon that farmer can earn 
up to $240 per hectare per year from environmental projects."

      While the concept of receiving payments as a land manager as opposed 
to a farmer may not sit well with most farmers, finally being financially 
rewarded for good management of the land is something that probably will.

      In future, practices such as no-till or low-till and rotational 
grazing are likely to be recognised through carbon trading or environmental 
programs, however more direct or practical market based incentives already 
exist.

      Under CarbonSMART, Landcare accredited businesses that are already 
trying to minimise their carbon emissions buy carbon credits from Landcare, 
who pass the payments onto accredited farmers, thus acting as a carbon 
broker.

      SOURCE: Extract from full report in Stock & Land, Victoria, November 8 
issue.





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