Register      Login
Soil Research Soil Research Society
Soil, land care and environmental research
RESEARCH ARTICLE

Soil carbon market-based instrument pilot – the sequestration of soil organic carbon for the purpose of obtaining carbon credits

Warwick Badgery https://orcid.org/0000-0001-8299-8713 A G , Brian Murphy https://orcid.org/0000-0003-4337-2691 B , Annette Cowie C , Susan Orgill https://orcid.org/0000-0003-1928-2821 D , Andrew Rawson F , Aaron Simmons A E and Jason Crean A
+ Author Affiliations
- Author Affiliations

A NSW Department of Primary Industries, Orange Agricultural Institute, 1447 Forest Road, Orange, NSW 2800, Australia.

B NSW Department of Planning, Industry and Environment, Ground Floor, 11 Farrer Place, Queanbeyan NSW 2620, Australia.

C NSW Department of Primary Industries Livestock Industries Centre/University of New England, Trevenna Road, Armidale, NSW 2351, Australia.

D NSW Department of Primary Industries, Wagga Wagga Agricultural Institute, Pine Gully Road, Wagga Wagga, NSW 2650, Australia.

E 98 Victoria St, Taree, NSW 2430, Australia.

F Charles Sturt University, Leeds Parade, Orange, NSW 2800, Australia.

G Corresponding author. Email: warwick.badgery@dpi.nsw.gov.au

Soil Research 59(1) 12-23 https://doi.org/10.1071/SR19331
Submitted: 18 November 2019  Accepted: 17 April 2020   Published: 18 June 2020

Abstract

Increasing soil organic carbon (SOC) in Australian farming systems has the potential to offset greenhouse gas emissions. Even though methods for soil carbon (C) sequestration have been developed under the Australian Government’s Emissions Reduction Fund, the scope for farm-scale soil C sequestration is poorly understood. A pilot scheme was developed in Central West New South Wales to trial the use of a market-based instrument to encourage farmers to change farm management to increase SOC. This paper reports changes to SOC stocks measured on farms that were successfully contracted in the pilot. The 10 contracted farms were those that submitted the lowest bid per Mg CO2-e. Four land uses were contracted in the pilot: (1) reduced tillage cropping (reference); (2) reduced tillage cropping with organic amendments (e.g. biosolids or compost); (3) conversion from cropping land to permanent pasture; and (4) conversion from cropping land to permanent pasture with organic amendments. At each site a minimum of 10 locations (sampling points) were sampled and analysed for total carbon (LECO elemental analyser) and bulk density calculated. The SOC stocks (0–0.3 m) were assessed before (2012) and after the pilot (2017; calculated on equivalent soil mass of 2012), with 60% of sites showing a significant increase. Pasture had a higher rate of SOC sequestration than reduced tillage cropping (1.2 vs 0.28 Mg C ha–1 year–1, 0–0.3 m); and organic amendments had higher rates of SOC sequestration than without (1.14 vs 0.78 Mg C ha–1 year–1, 0–0.3 m). The results of the pilot demonstrated increases in SOC, using quantification methods consistent with the current Measurement Method of the Australian Government’s Emissions Reduction Fund policy used to generate Australian Carbon Credit Units. The results require careful interpretation as rates of sequestration are likely to be lower in the longer term than initial rates of change seen in this pilot (five years), and the pilot intentionally selected sites with initially low SOC, which ensured a greater opportunity to sequester SOC.

Additional keywords: land management change, organic amendments, permanent pasture, soil carbon sequestration, soil carbon trading.


References

Australian Government (2018) Carbon Credits (Carbon Farming Initiative—Measurement of Soil Carbon Sequestration in Agricultural Systems) Methodology Determination 2018. Available at https://www.environment.gov.au/system/files/consultations/c24a5097-8640-4d23-8762-cb8a19c21bb5/files/measurement-soil-carbon-sequestration-agricultural-systems.pdf [verified 15 November 2015].

Australian Government (2019) CER announces eighth Emissions Reduction Fund auction results. Available at http://www.environment.gov.au/climate-change/publications/emissions-reduction-fund-update [verified 15 November 2015].

Badgery WB, Simmons AT, Murphy BM, Rawson A, Andersson KO, Lonergan VE, Van de Ven R (2013) Relationship between environmental and land-use variables on soil carbon levels at the regional scale in central New South Wales, Australia. Soil Research 51, 645–656.
Relationship between environmental and land-use variables on soil carbon levels at the regional scale in central New South Wales, Australia.Crossref | GoogleScholarGoogle Scholar |

Badgery WB, Simmons AT, Murphy BW, Rawson A, Andersson KO, Lonergan VE (2014) The influence of land use and management on soil carbon levels for crop-pasture systems in Central New South Wales, Australia. Agriculture, Ecosystems & Environment 196, 147–157.
The influence of land use and management on soil carbon levels for crop-pasture systems in Central New South Wales, Australia.Crossref | GoogleScholarGoogle Scholar |

BOM (2019) Climate Data Online. Available at http://www.bom.gov.au/climate/data/ [verified 30 September 2019].

Brus DJ, Spatjens LEEM, de Gruijter JJ (1999) A sampling scheme for estimating the mean extractable phosphorus concentration of fields for environmental regulation. Geoderma 89, 129–148.
A sampling scheme for estimating the mean extractable phosphorus concentration of fields for environmental regulation.Crossref | GoogleScholarGoogle Scholar |

CER (2019) Emission Reduction Fund Register. Clean Energy Regulator. Available at http://www.cleanenergyregulator.gov.au/ERF/project-and-contracts-registers/project-register [verified 15 November 2019].

Chan KY, Oates A, Li GD, Conyers MK, Prangnell RJ, Liu DL, Barchia IM (2010) Soil carbon stocks under different pastures and pasture management in the higher rainfall areas of south-eastern Australia. Australian Journal of Soil Research 48, 7–15.
Soil carbon stocks under different pastures and pasture management in the higher rainfall areas of south-eastern Australia.Crossref | GoogleScholarGoogle Scholar |

Chan KY, Conyers MK, Li GD, Helyar KR, Poile G, Oates A, Barchia IM (2011) Soil carbon dynamics under different cropping and pasture management in temperate Australia: results of three long-term experiments. Soil Research 49, 320–328.
Soil carbon dynamics under different cropping and pasture management in temperate Australia: results of three long-term experiments.Crossref | GoogleScholarGoogle Scholar |

Chapman G, Gray J, Murphy B, Atkinson G, Leys J, Muller R, Peasley B, Wilson B, Bowman G, McInnes-Clarke S, Tulau M, Morand D, Yang X (2011) ‘Assessing the Condition of Soils in NSW, Monitoring, Evaluation and Reporting Program: Soil Condition Central West Region.’ (Office of Environment and Heritage: Sydney)

Commonwealth of Australia (2017) 2017 Review of Climate Change Policies. Available at https://www.environment.gov.au/system/files/resources/18690271-59ac-43c8-aee1-92d930141f54/files/2017-review-of-climate-change-policies.pdf [verified 15 November 2019].

Commonwealth of Australia (2019) Quarterly update of Australia’s National Greenhouse Gas Inventory: March, 2019. Commonwealth of Australia, Canberra. Available at https://www.environment.gov.au/system/files/resources/6686d48f-3f9c-448d-a1b7-7e410fe4f376/files/nggi-quarterly-update-mar-2019.pdf [verified 17 March 2020].

Conyers M, Liu DL, Kirkegaard J, Orgill S, Oates A, Li GD, Poile G, Kirkby C (2015) A review of organic carbon accumulation in soils within the agricultural context of southern New South Wales, Australia. Field Crops Research 184, 177–182.
A review of organic carbon accumulation in soils within the agricultural context of southern New South Wales, Australia.Crossref | GoogleScholarGoogle Scholar |

de Gruijter JJ, McBratney AB, Minasny B, Wheeler I, Malone BP, Stockmann U (2016) Farm-scale soil carbon auditing. Geoderma 265, 120–130.
Farm-scale soil carbon auditing.Crossref | GoogleScholarGoogle Scholar |

Goidts E, van Wesemael B, Crucifix M (2009) Magnitude and sources of uncertainties in soil organic carbon (SOC) stock assessments at various scales. European Journal of Soil Science 60, 723–739.
Magnitude and sources of uncertainties in soil organic carbon (SOC) stock assessments at various scales.Crossref | GoogleScholarGoogle Scholar |

Isbell RF (2002) ‘The Australian Soil Classification.’ (CSIRO Publishing: Collingwood)

Kovac M, Murphy BW, Lawrie JW (1990) ‘Soil Landscapes of the Bathurst 1:250 000 Sheet.’ (Soil Conservation Service New South Wales: Sydney, Australia)

Lal R, Smith P, Jungkunst HF, Mitsch WJ, Lehmann J, Nair PR, McBratney AB, de Moraes Sá JC, Schneider J, Zinn YL, Skorupa AL (2018) The carbon sequestration potential of terrestrial ecosystems. Journal of Soil and Water Conservation 73, 145A–152A.
The carbon sequestration potential of terrestrial ecosystems.Crossref | GoogleScholarGoogle Scholar |

Lorimer-Ward K, Badgery W, Crean J, Murphy B, Rawson A, Pearson L, Simmons A, Andersson K, Warden E, Packer I, Trengove D, Kovac M (2013) Bridging the gap between science, economics and policy to develop and implement a pilot Market Based Instrument for soil carbon. In ‘Proceedings 22nd International Grassland Congress, 15–19 September 2013, Sydney, NSW’. (Eds D Michalik, G Millar, W Badgery, K Broadfoot) pp. 1811–1815. (New South Wales Department of Primary Industries: Orange)

Luo Z, Wang E, Sun OJ (2010) Soil carbon change and its responses to agricultural practices in Australian agro-ecosystems: A review and synthesis. Geoderma 155, 211–223.
Soil carbon change and its responses to agricultural practices in Australian agro-ecosystems: A review and synthesis.Crossref | GoogleScholarGoogle Scholar |

Marland G, McCarl BA, Schneider U (2001) Soil carbon: policy and economics. Climatic Change 51, 101–117.
Soil carbon: policy and economics.Crossref | GoogleScholarGoogle Scholar |

McDonald R, Isbell R, Speight J, Walker J, Hopkins M (1990) ‘Australian Soil and Land Survey Field Handbook.’ 2nd edn. (Inkata Press: Melbourne and Sydney)

McHenry MP (2012) Australian carbon biosequestration and bioenergy policy co-evolution: mechanisms, mitigation and convergence. Australian Forestry 75, 82–94.
Australian carbon biosequestration and bioenergy policy co-evolution: mechanisms, mitigation and convergence.Crossref | GoogleScholarGoogle Scholar |

Murphy B, Rawson A, Badgery W, Crean J, Pearson L, Simmons A, Andersson K, Warden E, Lorimer-Ward K (2012) Soil carbon science to support a scheme for the payment of changes in soil carbon – lessons and experiences from the CAMBI pilot scheme. In ‘Proceedings of the 5th Joint Australia and New Zealand Soil Science Conference, 2–7 December 2012, Hobart, Tasmania.’ (Eds L Burkitt, L Sparrow) pp. 255–258. (Australian Society of Soil Science Incorporated: Hobart, Tasmania)

Murphy BW, Crawford MH, Duncan DA, McKenzie DC, Koen TB (2013a) The use of visual soil assessment schemes to evaluate surface structure in a soil monitoring program. Soil & Tillage Research 127, 3–12.
The use of visual soil assessment schemes to evaluate surface structure in a soil monitoring program.Crossref | GoogleScholarGoogle Scholar |

Murphy B, Badgery W, Simmons A, Rawson A, Warden E, Andersson K (2013b) Soil testing protocols at the paddock scale for contracts and audits – Market-based instrument for soil carbon. NSW Department of Primary Industries. Available at http://www.dpi.nsw.gov.au/__data/assets/pdf_file/0010/457228/Soil-testing-protocols-at-the-paddock-scale-for-contracts-and-audits.pdf [verified 17 March 2020].

Packer IJ, Hamilton GJ, Koen TB (1992) Runoff, soil loss and soil physical property changes of light textured surface soils from long-term tillage treatments. Australian Journal of Soil Research 30, 789–806.
Runoff, soil loss and soil physical property changes of light textured surface soils from long-term tillage treatments.Crossref | GoogleScholarGoogle Scholar |

Page G, Simmons A, Ridoutt B, Badgery W, Bellotti B (2014) Using life cycle approach to evaluate trade-offs associated with payment for ecosystem services schemes. In ‘Proceedings of the 9th International Conference on Life Cycle Assessment in the Agric.-Food Sector, 8–10 October, San Francisco’ (Eds R Schenck, D Huizenga) pp. 941–947.

Paris Agreement (2015) 7. d Paris Agreement. Chapter XXVII (United Nations)

Paustian K, Lehmann J, Ogle S, Reay D, Robertson GP, Smith P (2016) Climate-smart soils. Nature 532, 49–57.
Climate-smart soils.Crossref | GoogleScholarGoogle Scholar | 27078564PubMed |

Payne R, Murray D, Harding S, Baird D, Soutar D (2015) ‘Introduction to GenStat® for WindowsTM.’ 18th edn. (VSN International: Hemel Hempstead, Hertfordshire, UK)

Pearson LJ, Crean J, Badgery W, Murphy B, Rawson A, Capon T, Reeson T (2012) Soil carbon sequestration in mixed farming landscapes: Insights from the Lachlan Soil Carbon Project. In ‘Proceedings of the 56th AARES Conference, 7–10 February 2012, Fremantle, WA’

Pedra F, Polo A, Ribeiro A, Domingues H (2007) Effects of municipal solid waste compost and sewage sludge on mineralization of soil organic matter. Soil Biology & Biochemistry 39, 1375–1382.
Effects of municipal solid waste compost and sewage sludge on mineralization of soil organic matter.Crossref | GoogleScholarGoogle Scholar |

Peel MC, Finlayson BL, McMahon TA (2007) Updated world map of the Koppen-Geiger climate classification. Hydrology and Earth System Sciences 11, 1633–1644.
Updated world map of the Koppen-Geiger climate classification.Crossref | GoogleScholarGoogle Scholar |

Quilty JR, Cattle SR (2011) Use and understanding of organic amendments in Australian agriculture: a review. Soil Research 49, 1–26.
Use and understanding of organic amendments in Australian agriculture: a review.Crossref | GoogleScholarGoogle Scholar |

Rayment GE, Lyons DJ (2011) ‘Soil Chemical Methods – Australasia’. (CSIRO Publishing: Collingwood)

Sanderman J, Baldock JA (2010) Accounting for soil carbon sequestration in national inventories: a soil scientist’s perspective. Environmental Research Letters 5, 034003
Accounting for soil carbon sequestration in national inventories: a soil scientist’s perspective.Crossref | GoogleScholarGoogle Scholar |

Sanderman J, Farquharson R, Baldock J (2010) ‘Soil Carbon Sequestration Potential: A Review for Australian Agriculture.’ (CSIRO)

Singh K, Murphy BW, Marchant BP (2012) Towards cost-effective estimation of soil carbon stocks at the field scale. Soil Research 50, 672–684.
Towards cost-effective estimation of soil carbon stocks at the field scale.Crossref | GoogleScholarGoogle Scholar |

Tatzber M, Stemmer M, Spiegel H, Katzlberger C, Zehetner F, Haberhauer G, Roth K, Garcia-Garcia E, Gerzabek MH (2009) Decomposition of carbon-14-labeled organic amendments and humic acids in a long-term field experiment. Soil Science Society of America Journal 73, 744–750.
Decomposition of carbon-14-labeled organic amendments and humic acids in a long-term field experiment.Crossref | GoogleScholarGoogle Scholar |

van Kooten GC (2009) Biological carbon sequestration and carbon trading re-visited. Climatic Change 95, 449–463.
Biological carbon sequestration and carbon trading re-visited.Crossref | GoogleScholarGoogle Scholar |

Viscarra Rossel RAV, Brus DJ, Lobsey C, Shi Z, McLachlan G (2016) Baseline estimates of soil organic carbon by proximal sensing: Comparing design-based, model-assisted and model-based inference. Geoderma 265, 152–163.
Baseline estimates of soil organic carbon by proximal sensing: Comparing design-based, model-assisted and model-based inference.Crossref | GoogleScholarGoogle Scholar |

Working Group WRB (2015) ‘World Reference Base for Soil Resources 2014, update 2015. International Soil Classification System for Naming Soils and Creating Legends for Soil Maps.’ World Soil Resources Reports No. 106. (FAO: Rome)