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Food for Thought

By Ewell Welch
Executive vice president
Arkansas Farm Bureau

Ag leads environmental stewardship
again with carbon credits

America’s farmers and ranchers have long been considered among the most ardent conservationists, though some in the environmental community acknowledge that fact only grudgingly.

However, with the growing interest in carbon sequestration as a tool for environmental enhancement, and agriculture’s critical role, farmers and ranchers may finally get full credit for their daily work to improve the environment.

Carbon sequestration is, basically, the removal of carbon dioxide (CO2) and other gasses from the atmosphere and the holding or storing of that carbon within the soil or plants. Most scientists agree that removing CO2 from the atmosphere helps moderate global warming.

Since certain agricultural practices capture rather large amounts of carbon, farmers and ranchers are vital to the success of sequestering carbon. No-till planting, permanently converting cropland to grass or trees, and using on-farm methane digesters are just some of the agricultural farming practices that provide real benefits through carbon sequestration.

The kicker to it all is that farmers and ranchers now have the potential for additional revenue from acquiring and subsequently trading “carbon credits” through the Chicago Climate Exchange (CCX).

Arkansas Farm Bureau has signed an agreement to participate in Iowa Farm Bureau’s Carbon Credit Aggregation Program, where carbon credits awarded based on carbon sequestering farming practices are gathered and sold. Iowa Farm Bureau will pool farmers’ and ranchers’ carbon credits in Arkansas and 16 other states and sell them on the CCX, much like commodities on the Chicago Board of Trade.

The CCX is a greenhouse gas emissions-trading body whose members — companies, utilities municipalities, even universities — buy carbon credits on the exchange.

The credits are currently trading at a relatively moderate rate. There is strong belief that if the United States implements additional environmental regulations that cap the amount of carbon released into the atmosphere, carbon credits’ value will escalate rather quickly.

Timber producers, in particular, seem to be a prime target for carbon sequestration since trees absorb, and hold, large amounts of carbon  — and garner a proportional amount of carbon credits.

The concept of carbon sequestration is something, I believe, that all of agriculture should embrace. Farmers understand the benefits of environmental stewardship better than any other industry. After all, they make their living off the land.

The program allows industries and businesses a potentially more cost-effective way to achieve their environmental goals by offsetting their greenhouse gas emissions. At the same time, it rewards farmers and ranchers for environmental stewardship.

The net effect is positive for industry, positive for farmers, and positive for the environment.

We think the idea of carbon credits is one whose time has come, and we’re proud that Arkansas Farm Bureau is among those at the forefront of this effort.

To help others better understand the opportunity that exists with carbon credit trading, Arkansas Farm Bureau is hosting a Carbon Credit Conference Aug. 2 at the C.A. Vines 4-H Center in Ferndale. The conference is targeting private land owners and forestry consultants, and will feature officials of the CCX, from the Illinois Association of Conservation Districts and others. The IACD will review procedures necessary to take part in the carbon credit program.


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