In Dutch dairy farming there is growing enthusiasm for carbon farming on 'Permanent grassland'. In addition to the fact that carbon farmers serve as an additional sustainable source of income for the dairy farmer, the positive social aspect is also of great importance. That is the result of a survey among dairy farmers of Boerenbusiness.
Carbon farming means that agricultural workers make an effort to fix more organic matter in the soil. Organic matter consists of 50% carbon (C). More C in the soil ultimately means less CO2 in the atmosphere. In this way, farmers contribute to climate objectives and a better environment. To further encourage them to do so, they can receive compensation for this contribution, the so-called carbon credits. These represent the amount of extracted CO2. And that in turn is interesting for companies that want to offset their emissions. They then buy credits from those farmers.
It is precisely these two elements mentioned in the survey as a reason to get serious about carbon farming. The response was therefore high.
Permanent Grassland
The research focused on capturing CO2 in permanent grassland. This grassland has a minimum age of five years. The supply of organic matter from crop residues is high here and the degradation is low, because there is no tearing. This contributes to the quality of the soil, grass production and water retention capacity. This creates even more advantages for the farmer, while he does not have to do or not do much for this. As long as he sticks to the rules for permanent pasture and tries to add as much organic matter to his soil as possible.
Yield
The survey included a question about what farmers expect in terms of yield from carbon farming on permanent grassland if no entry costs apply. In response, 37.5% indicate that they want up to €100 per hectare per year. A larger proportion indicate that they find more than €250 realistic. Various studies have shown that between one and two tons of CO2 per hectare per year can be captured in the Netherlands. At a price of, for example, €2 per tonne (carbon credit), the yield would be between €60 and €60. In previous similar carbon farming projects, prices of €120 to €30 and higher have been paid per credit.
Based on the results of the survey and the market prices mentioned above, a good number of dairy farmers would therefore be willing/able to participate in a Dutch project. Of course, at these prices and circumstances, buyers of the credits also have to be found. Voluntary CO2 emission compensation has become an important topic, which is receiving more and more attention. Based on this, it is expected that more and more buyers will sign up for this type of project in the near future. The compensation of Dutch emissions is also compensated in the Netherlands with these types of projects, which makes this type of compensation attractive.
Project duration
It should be noted, however, that capturing CO2 and measuring it takes several years. Farmers indicate that they want to quickly add butter to the fish. 42% say they want to participate for one year, 22% say they want to participate for two to three years. About 13% want to participate for three to five years and just under 6% want to participate for 10 years or more. This therefore produces a diverse picture in which preference is given to a short duration of the project, but that this is at odds with the practice where three to five years seems minimal. The survey shows that the extra income (60%) is a reason to participate in a carbon farming project. For 30% (also) the climate and the environment are important factors.
When does point hit the post?
If we look at the wishes and ideas of dairy farmers and at the practice of measuring and recording CO2 in permanent grassland, the minds seem ripe to start a number of these types of projects and link them to buyers of CO2 compensation rights.
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