£10million is being made available to farmers and land managers to create new forests to combat the effects of climate change, through a unique scheme that provides new income in the form of long-term payments for the amount of carbon that a new forest will shop.
Farmers and land managers across England are encouraged to apply for the Woodland Carbon Guarantee scheme by April 24, ahead of the fifth auction which will take place online from May 9-15, 2022.
Administered by the Forestry Commission, the Woodland Carbon Guarantee is a £50 million scheme which aims to help accelerate forest planting rates and permanently remove carbon dioxide from the atmosphere.
Following an online auction process, successful bidders will be offered the opportunity to sell forest carbon in the form of forest carbon units – a monetary value given to each tonne of carbon stored – to the government on 35 years at a guaranteed price protected against inflation. The program reflects the government’s confidence in the continued growth of forest carbon markets, as landowners will continue to enjoy a reliable revenue stream by selling carbon in the domestic market.
Before applying for the Guarantee, land managers should have Woodland Carbon Code registeredwhich provides the tools and information needed to verify and record the carbon they capture and can sell in the future.
Sir William Worsley, chairman of the Forestry Commission, said:
This pioneering program could be the ideal solution for land managers of all kinds looking for long-term income support for the establishment of new forests.
Now in its fifth round, it is encouraging that this program has continued to grow in its success, culminating in the creation of 2,650 hectares of new forest specifically to help combat the many and varied impacts of climate change.
I strongly encourage farmers, foresters and land managers across England to submit their applications for the Guarantee before the April 24 application deadline.
The result of previous auctions has supported projects across England at different scales, including in the South West and East where tree planting has been weaker in recent years. The average price of bids accepted in the fourth auction was £18.62 per unit of forest carbon.
Encouraging diverse timber types and tree species is a key factor in the Forestry Commission’s efforts to triple tree planting rates in England by the end of this Parliament and plant 30,000 hectares of trees across the UK per year by 2025.
Sign up for the Woodland Carbon Code and request the Woodland Carbon warranty here.