Rancher opportunities in grazing land carbon markets in the United States

Abstract

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  Ranchers can potentially be paid in the voluntary carbon market for engaging in land stewardship activities (e.g., enrolling in a conservation easement, halting tilling, reseeding, and rotational grazing) intended to increase carbon sequestration.
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  The prominent registries setting the standards for participating in the voluntary carbon market include American Carbon Registry, Climate Action Reserve, and Verra. Each registry has its own set of requirements for grazing lands’ programs that include contract duration, demonstration of soil carbon accumulation, enrolling in an easement, and methods for estimating soil organic carbon.
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  There are risks associated with participating in the voluntary carbon market, including uncertainties about profitability, soil carbon estimation accuracy, and the capacity of soil to accumulate carbon.
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  Ranchers should “shop around” and explore various carbon companies and their program requirements when considering joining the carbon market.
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  Producers should consider asking explicit questions when speaking to carbon companies about their liability, expectations, and sampling. Ultimately, consulting with an accountant and lawyer is critical.